Title
A resolution of the City Council of the City of Colorado Springs approving a Service Plan for the Kettle Creek Metropolitan District sited north of Old Ranch Road, east of Voyager Parkway and South of Federal Drive.
Council District 2
Presenter:
Allison Stocker, Senior Planner, City Planning Department
Kevin Walker, Planning Director, City Planning Department
Body
Summary:
The approval of a service plan will allow for the creation of the Kettle Creek Metropolitan District (the “District) for the purpose of financing public improvements for the use and benefit of all anticipated inhabitants and taxpayers of the District as set forth in Exhibit D.
Background:
The formation of the proposed District would allow for the financing of public improvements, as well as funding for operational and maintenance costs for the service area, as depicted in the Initial District Boundary Map (Exhibit C). The purpose of the District being to plan for, engineer, acquire, construct, install, relocate, redevelop, and finance the public improvements, as well as to provide the essential operational services to support the development of the 20.601-acre area. Approval of this District Service Plan will allow the District to provide the financing and construction of public improvements, as detailed in Exhibit D, as well as to fund the ongoing services, as authorized by the description of permitted services described in Exhibit E.
In accordance with the Special District Policy no property shall be included in the District if it is not part of either the Initial District Boundaries or Future Inclusion Area, without prior written consent of the City. Furthermore, all future district inclusions are required to be identified and presented with the initial petition and depicted on the future district inclusions map to the Service Plan.
The District is intended to be developed with residential land uses, that propose a total of 122 units, consisting of 82 single-family detached and 40 single-family attached units. The District service plan is being submitted for City Council consideration concurrent with the following applications; 1) Annexation Plat (ANEX-25-0002), 2) Land Use Plan (LUPL-25-0014), Establishment of a City Zone District (ZONE-25-0028), Planned Development Zone Development Plan (PDZD-25-0034), as well as a Vacation of Public Right-of-Way (SUBD-26-0010). The proposal includes the establishment of the R-Flex Medium, SS-O (Streamside Overlay), and AF-O (the United States Air Force Academy Overlay) zone, which allows for medium density unit typologies, and gives respect to the adjacent Kettle Creek and US Airforce Academy considerations. While the resolution hearing for the District will occur in concurrence with the annexation, zone establishment, and land use plan hearings, the District is unable to be created while the property is still within El Paso County’s jurisdiction. The subject service plan will not be voted on by Council until the annexation plat has been recorded which is anticipated to take place before the targeted resolution hearing for the District’s creation.
Approval of this petition to create the Kettle Creek Metropolitan District limits the debt issuance to $8,000,000.00, which is based on the $5,155,119.66 estimated cost for public improvements and a $75,000.00 yearly maintenance and operating budget. The financial calculation portrayed in the service plan shows that the requested debt is sufficient so as to cover both the public improvements cost estimate and the anticipated yearly operations and maintenance costs, as depicted in Exhibit D of the Service Plan and Exhibit E respectively.
In summary, Exhibit D of the Service Plan offers an itemized list of the public improvements to be constructed, addresses anticipated categorical costs, and provides the timing for the issuance of debt through the life of the District. To this end, two bond issuances are anticipated; the first in 2027 and the second in 2037. The Financial Plan is founded in the projected development revenues, as limited by the service plan through the maximum debt mill levy and the maximum operations and maintenance mill levy. Finally, the plan provides the proposed maximum debt authorization calculations, discusses how they were contemplated, and provides justification regarding its appropriateness based on the expected scope of work.
Exhibit E of the service plan authorizes the District to provide ongoing operations and maintenance functions related to trash removal, landscaping, stormwater detention facilities, monumentation, snow removal, park and recreational facilities, public improvements, streetscaping, sidewalk, and public space maintenance, covenant enforcement, public art, and mosquito control.
The maximum debt mil levy for any district or combination of districts (commercial and residential) shall be limited to no more than 50 mills, which is consistent with the City’s Model Service Plan. The maximum operations and maintenance mill levies will be 20.0 mill for residential districts. The District is limited to the maximum mill levies described here, but can impose lower mill levies if desired.
Review Criteria:
Colorado Revised Statutes include four criteria for which an affirmative finding must be made in order to approve this service plan, along with five other criteria which may be considered. These are all included within the body of the City’s Model Service Plans and this particular service plan. The nine criteria are as follows:
• There is sufficient existing and projected need for organized service in the area to be serviced by the Districts;
• The existing service in the area to be served by the Districts is inadequate for present and projected needs;
• The Districts are capable of providing economical and sufficient service to the area within its proposed boundaries; and
• The area to be included in the Districts does have, and will have, the financial ability to discharge the proposed indebtedness on a reasonable basis.
• Adequate service is not, and will not be, available to the area through the City or County or other existing municipal or quasi-municipal corporations, including existing special districts, within a reasonable time and on a comparable basis.
• The facility and service standards of the Districts are compatible with the facility and service standards of the City within which the special district is to be located and each municipality which is an interested party under Section 32-1-204(1), C.R.S.
• The proposal is in substantial compliance with the Comprehensive Plan adopted pursuant to the City Code.
• The proposal is in compliance with any duly adopted City, regional or State long-range water quality management plan for the area.
• The creation of the Districts is in the best interests of the area proposed to be served.
Previous Council Action:
N/A
Financial Implications:
There are no direct implications to general City taxpayers and ratepayers outside of the boundaries of these applicable metropolitan districts.
City Council Appointed Board/Commission/Committee Recommendation:
N/A
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.
Recommended Action
Proposed Motions:
Motion to adopt a Resolution of the City Council of the City of Colorado Springs, Colorado approving a Service Plan for the Kettle Creek Metropolitan District sited north of Old Ranch Road, east of Voyager Parkway and South of Federal Drive.