Title
A Resolution Consenting to Inclusion of Property into Canyon Creek Metropolitan District Nos. 1-3
Presenter:
Carl Schueler, Comprehensive Planning Manager, Planning & Community Development Department
Body
Summary:
The Canyon Creek Metropolitan District Nos. 1-3 mistakenly included certain properties within their boundaries that are currently located outside the “Inclusion Area Boundaries as stipulated in Exhibit C-2 of their approved service plan. Paragraph V.A.7 of the service plan requires written consent of City Council to allow and legalize these property inclusions.
Previous Council Action:
City Council approved a consolidated service plan for the Canyon Creek Metropolitan Districts (“Districts”) on October 14, 2008 (Resolution 177-08). On December 12, 2017, City Council approved a resolution temporarily appointing directors to District No. 2 (Resolution 154-17). A resolution authorizing the issuance of debt by these Districts is currently in process.
In November 2015 Council approved an urban renewal plan for a larger area encompassing this District.
This item was introduced at a February 26, 2018 Council Work Session. It was originally scheduled for action at the February 27, 2018 meeting, but has been postponed to this date.
Background:
Canyon Creek Metropolitan District Nos. 1-3 Districts were created in 2008 under a consolidated service plan. District No. 1 is the operating district, District No. 2 is the residential district and District No 3 is the commercial district. District Nos. 2 and 3 have a total levy of 40.0 mills in place and have not previously issued any formal debt. Each of these districts has a debt service mill levy of 30.0 (Gallagher adjusted). Together, the Districts provide financing and a source of reimbursement for qualifying public improvements for a portion of the South Nevada/South Tejon redevelopment areas.
Metropolitan district service plans approved by the City allow for the identification of initial district boundaries (in Exhibit C-1) along with the boundaries of potential future inclusion areas (Inclusion Area Boundaries) which must be identified as Exhibit C-2 of the service plan. The Canyon Creek Metropolitan Districts mistakenly included certain parcels outside of their Inclusion Area Boundaries. Paragraph V.A.7 of the service plan requires written consent of City Council to allow and legalize these prior property inclusions. The Districts are requesting this consent in an expedited fashion because it is necessary in order to proceed with an anticipated bond issuance by the Colorado Springs Urban Renewal Authority which is in turn dependent on a capital pledge agreement by these Districts.
At the February 26, 2018 Council Work Session clarifying questions were asked and City Council requested verification that the subject properties fall within the originally approved urban renewal area boundary, along with a boundary map for that area. This map was provided directly to City Council members, and a copy is attached. Questions were also asked regarding the timing and sequencing of public improvements as these pertain to the properties proposed for inclusion.
Financial Implications:
N/A
Board/Commission Recommendation:
N/A
Stakeholder Process:
The staff-level Special District Committee has been provided with the materials associated with this request. As of the date of this staff report, there have been no comments or questions from the Committee on this request.
This item was briefly discussed at March 1, 2018 meeting of the City Council Budget Committee during which clarifying questions were asked.
Alternatives:
City Council has the options of approving or denying this request
Recommended Action
Proposed Motion:
Move to adopt a resolution consenting to inclusion of properties into the Canyon Creek Metropolitan District Nos 1-3.
Summary of Ordinance Language
N/A