Title
A Resolution of the City of Colorado Springs approving a Service Plan for the Evergreen Ridge Metropolitan District serving an area east of South 26th Street and north of Wheeler Avenue.
Presenter:
Mike Tassi, Assistant Director- Planning & Neighborhood Services Department
Peter Wysocki, Director, Planning & Neighborhood Services Department
Body
Summary:
This consolidated service plan would allow formation of the Evergreen Ridge Metropolitan District (District) for the purpose of providing public improvement financing and ongoing services for the proposed Evergreen Ridge development in the southwestern part of Colorado Springs.
There would be only one residential district.
This approximately 20 acre property is in City Council District No. 3.
This service plan utilizes the Special District Policy (approved in 2022) and model service plan which among other provisions, allow for higher residential mill levies and provide an opportunity to present a financial plan to support issuance of future debt without needing to come back to City Council for subsequent approval.
There are no requested exceptions from the new model service plan.
Background:
This single residential district is planned to include 138 residential units (townhomes) over 20 acres with an estimated population of 342. A development plan (Attachment 1) was approved in October of 2022. The front page of that approved development plan is included in the back-up materials as Attachment 2.
Consistent with the 2022 Special District Policy, this service plan allows for debt service mill levies of up to 50.0 mills. The residential district will be authorized to certify an operations and maintenance levy up to 20 mills.
The request includes a pre-authorization of $7,500,000 (see section V.A.13 of Service Plan on Page 12). The estimated public improvements costs are just over $5 million. These estimates are supported by detailed calculations for a variety of public improvements included in Exhibit D.
Exhibit D also includes a financial plan which contemplates two bond issuances (2025 and 2035) of up to approximately $12 million, with an available “project fund” of about $5.7 million. Essentially, these figures “over-project” funding anticipated to be necessary at this time. The actual amount of a bond issue would need to be consistent with funding needs at the time of issuance. Any debt exceeding the $7.5 million maximum would require City Council approval of an amendment to this Service Plan.
In their submittal letter the petitioner has addressed the four criteria in Colorado Revised Statutes for which City Council is required to make an affirmative finding.
The City Council Budget Committee considered this item at their August 22, 2023, meeting. There were questions related to the development plan (slope location) and if the proposal included townhomes or condominiums. Aside from these related inquiries, no significant issues were identified during the Budget Committee meeting.
Financial Implications:
There are no direct implications to general City taxpayers and ratepayers outside of the boundaries of these applicable metropolitan districts.
Board/Commission Recommendations:
N/A
Stakeholder Process:
The staff-level Special District Committee has been provided with the materials associated with this request. No comments or concerns have been received as of the writing of this cover memo.
Previous Council Action:
There have been no prior City Council actions related to special districts for this property.
Alternatives:
City Council has the options of approving or denying this service plan. Council could also continue the item with specific direction provided to staff and the petitioners.
commended Action
Proposed Motion:
Adopt a Resolution of the City of Colorado Springs approving a Service Plan for the Evergreen Ridge Metropolitan District serving an area east of South 26th Street and north of Wheeler Avenue.