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HomeMy WebLinkAbout20110719 • INVENTORY OF ITEMS FOR CONSIDERATION Applicant Amended and Restated Case Number 2011-XX Consolidated Service Plan for Beebe Draw Farms Metropolitan District No. 1 and No. 2 Submitted or Prepared Prior to At Hearing Hearing 1 Staff Comments X Letter to Applicant N Legal Notifications \ 2 Application— Draft Dated Jmtuory 14,20112-12-II X ‘'`' 3 Referrals without comments N/A ‘-' 4 Referrals with comments X Director of Finance &Administration referral dated February 7, 2011 N. Department of Public Works referral dated February 4, 2011 • N' 5 PC Exhibits NA A B C I hereby certify that the four(4) items identified herein were submitted to the Department of Planning Services at or prior to the scheduled Planning Commissioners hearing. Kim Ogle ❑ PlanneKi • 2011-0719 • DEPARTMENT OF PLANNING SERVICES Greeley Planning Office 1555 North 171 Avenue Greeley, Colorado 80631 WEBSITE: www.co.weld.co.us E-MAIL: kogle@co.weld.co.us PHONE (970) 353-6100, EXT. 3549 FAX (970) 304-6498 March 1, 2011 Beebe Draw Farms Metropolitan District 1 and 2 c/o Kristin J. Bowers McGeady Sisneros, P.C. 450 E. 17th Avenue, Suite 400 Denver, CO 80203-1214 • Subject: Beebe Draw Farms Metropolitan District Nos. 1 and 2 Amended and Restated Consolidated Service Plan Legal: Generally described as Lots 1-36, 37-127, 128-138, 139-151, 152-158 and 161-188 and Outlots A, 1, 2, and 3, Corrected First Filing Plat of Beebe Draw Farms and Equestrian Center; and generally described as Sections 3, 4, 5, 8, 9, 10, 15, 16 and 17, Township 3 North, Range 65 West of the 6th P.M., Weld County, Colorado. A Legal Description with greater detail is included in Exhibit A Dear Ms. Bowers: The Department of Planning Services has reviewed the request for comments in regard to the submitted Amended and Restated Consolidated Service Plan for the Beebe Draw Farms Metropolitan District Nos. 1 and 2 applications. Please consider these comments as a unified response to the Special District Provisions. This request is scheduled before the Weld County Planning Commission on March 1, 2011, at 1:30 p.m. The hearing will take place at the Greeley Planning Office at 918 Tenth Street, Greeley, Colorado POSSIBLE ISSUES SUMMARIZED FROM APPLICATION MATERIALS The criteria for review of these metropolitan districts are listed in Section 32-1-203(2) and Section 32-1-203(2.5), C.R.S. and Section 2-14-20 through Section 2-14-70 of the Weld County Code. • The Department of Planning Services' staff has received responses from the following agencies: Weld County Department of Finance, referral dated February 7, 2011 Weld County Department of Public Works, referral dated February 4, 2011 • The Department of Planning Services' staff has not received responses from the following agencies: LaSalle Fire Protection District Weld County Sheriff's Office Comment: The Department of Finance and Administration has reviewed "The Beebe Draw Farms Metropolitan Districts 1 & 2 Amended and Restated Service Plans. The plans are being amended to provide for changes in the structure and relationships between the districts. Key to the change is the districts will enter into the Beebe Draw Farms Authority Establishment Agreement (AEA). The AEA establishes processes for financing the operation and maintenance of the existing public improvements as well as the financing, construction, and operating and maintaining the additional public improvements, and the establishment of operations and maintenance budgets and operating mill levies. This development has struggled for years to create a viable community and resolve issue between residents, owners of parcels in the development and the developers. This amendment that has been negotiated with all parties involved appears to go a long way to resolve many past issues and lay out a reasonable plan for the future development that will be in the best interest of the existing residents, owners of vacant land, and the developer. The Department of Planning Services in conjunction with the Weld County Attorney's Office and Weld County Finance Department recommend that the Planning Commission approve the attached Service Plan for Amended and Restated Consolidated Service Plan for the Beebe • Draw Farms Metropolitan District Nos. 1 and 2 for the following reasons: It is the opinion of the Department of Planning Services' staff that the applicant has shown compliance with Section 32-1-203(2) and Section 32-1-203(2.5), C.R.S. as follows: 1. Section 32-1-203(2) states the Board of County Commissioners (BOCC) shall disapprove the Service Plan unless evidence satisfactory to the Board of each of the following is presented: (a) There is sufficient existing and projected need for organized service in the area to be serviced by the proposed special district. The proposal identifies that except for the Districts and the Authority, there are currently no other governmental entities, including the County, located in the immediate vicinity of the Districts that consider it desirable, feasible or practical to undertake the planning, design, acquisition, construction, installation, relocation, redevelopment, financing, and operations and maintenance of the Public Improvements needed for the Development. The utilization of the Districts is necessary in order for the Public Improvements required for the Development to be provided in the most economic manner possible. (b) The existing service in the area to be served by the proposed special district is inadequate for present and project needs. The applicant has indicated in their application that except for the Districts and • the Authority, there are currently no other governmental entities, including the County, located in the immediate vicinity of the Districts that consider it desirable, feasible or practical to undertake the planning, design, acquisition, construction, installation, relocation, redevelopment, financing, and operations and • maintenance of the Public Improvements needed for the Development. The utilization of the Districts is necessary in order for the Public Improvements required for the Development to be provided in the most economic manner possible. The Board of Directors of each of District No. 1 and District No. 2 have determined that it is in the best interests of the existing residents and the owner of the vacant land, REI Limited Liability Company (the "Developer") that the Consolidated Service Plan be amended and restated. This Amended and Restated Consolidated Service Plan (the "Service Plan") is necessary to provide for changes in the structure and relationships between the Districts. The Districts intend to enter into the Beebe Draw Farms Authority Establishment Agreement (the "AEA") which will establish the Authority, as hereafter defined. The AEA will establish processes for financing the operations and maintenance of the Existing Public Improvements as well as financing, constructing, and operating and maintaining the Additional Public Improvements, and the establishment of operations and maintenance budgets and operating mill levies (including a capital component) for the existing and planned Public Improvements. Central Weld County Water District has an established Service Agreement between the District and Beebe Draw Farms and Equestrian Center PUD. (c) The proposed special district is capable of providing economical and sufficient service to the area within its proposed boundaries. • The referral dated February 7, 2011 from Don Warden, Director of Finance and Administration states "The Weld County Department of Finance and Administration has no objections to the amended and consolidated service plan for Beebe Draw Farms metropolitan District No. 1 and No. 2 as presented. The amended and consolidated service plan as proposed is consistent with the approach that resulted from Mary Ann McGeady's efforts in working with representatives of the community and developers to resolve some of the historic issues associated with the two districts. Finance and Administration staff concurs with the approach that resulted from those discussions and is incorporated into this proposal." The County's objective in approving the amended service plans for the districts is to authorize the districts to provide revenues to the Authority for the purposes authorized by the AEA. All debt issued by District No. 2 is expected to be repaid by development fees and taxes imposed and collected for no longer than the maximum debt mill levy imposition term and at a mill levy no higher than the District No. 2 mill levy cap (50 mills with some stated adjustment provisions). Debt which is issued within these parameters will insulate property owners from excessive tax burdens to support the servicing of the debt and will result in a timely and reasonable discharge of the debt. The plan also provides that in no case shall the mill levies imposed by the districts for debt service and operations and maintenance functions exceed their respective mill levy caps. The amended plans appear to meet this objective and is consistent and in compliance with Weld County Code Section 2-14-20 (H). The maximum debt mill levy imposition • term is consistent and in compliance with Weld County Code Section 2-14-30." • (d) The area to be included in the proposed special district has, or will have, the financial ability to discharge the proposed indebtedness on a reasonable basis. The referral dated February 7, 2011 from Don Warden, Director of Finance and Administration states "The Weld County Department of Finance and Administration has no objections to the amended and consolidated service plan for Beebe Draw Farms metropolitan District No. 1 and No. 2 as presented. The amended and consolidated service plan as proposed is consistent with the approach that resulted from Mary Ann McGeady's efforts in working with representatives of the community and developers to resolve some of the historic issues associated with the two districts. Finance and Administration staff concurs with the approach that resulted from those discussions and is incorporated into this proposal." 2. Section 32-1-203(2.5) states "the Board of County Commissioners may disapprove the service plan if evidence satisfactory to the Board of any of the following, at the discretion of the Board, is not presented:" (a) Adequate service is not, or will not be, available to the area through the county or other existing municipal or quasi-municipal corporations, including existing special districts, within a reasonable time and on a comparable basis. The applicant has indicated in their application that there are no other governmental agencies in existence within the area which have the legal and financial ability to undertake the financing, design, and completion of the public . improvements needed to serve the Beebe Draw Farms Development. The Board of Directors of each of District No. 1 and District No. 2 have determined that it is in the best interests of the existing residents and the owner of the vacant land, REI Limited Liability Company (the "Developer") that the Consolidated Service Plan be amended and restated. This Amended and Restated Consolidated Service Plan (the "Service Plan") is necessary to provide for changes in the structure and relationships between the Districts. The Districts intend to enter into the Beebe Draw Farms Authority Establishment Agreement (the "AEA") which will establish the Authority, as hereafter defined. The AEA will establish processes for financing the operations and maintenance of the Existing Public Improvements as well as financing, constructing, and operating and maintaining the Additional Public Improvements, and the establishment of operations and maintenance budgets and operating mill levies (including a capital component) for the existing and planned Public Improvements. Central Weld County Water District has an established Service Agreement between the District and Beebe Draw Farms and Equestrian Center PUD. The Board of County Commissioners approved the Law Enforcement Agreement between the Weld County Sheriff and the Beebe Draw Law Enforcement District Authority on December 14, 2009. (b) The facility and service standards of the proposed special district are compatible • with the facility and service standards of each county within which the proposed special district is to be located and each municipality which is an interested party under Section 32-1-204(1). • "Section V.A.2 of the Service Plan provides that the Authority will design and construction the additional Public Improvements in accordance with the standards and specifications of the County and of other governmental entities having jurisdiction, if applicable. The Authority will obtain all applicable permits for construction and installation of the additional Public Improvements prior to performing such work." The Board of County Commissioners approved the Law Enforcement Agreement between the Weld County Sheriff and the Beebe Draw Law Enforcement District Authority on December 14, 2009. (c) The proposal is in substantial compliance with a master plan adopted pursuant to Section 30-28-106, C.R.S. The proposed Amended and Restated Consolidated Service Plan is in conformance with Chapter 22, Article XIV of the Weld County Code. (d) The proposal is in substantial compliance with any duly adopted county, regional, or state long range water quality management plan for the area. Section 22-4-30.F, WA.Goal 6, states "Development should occur in areas where adequate water quantity and quality is currently available or reasonably obtainable;" and Section 22-4-30.D, WA.Goal 4, states, "Strive to address the quality of all water bodies as outlined in the State and Federal Water Quality Standards. The Development is serviced by Central Weld County Water District. • As a management agency, the County has a responsibility to exercise land use authority based on water quality considerations. This responsibility is partly fulfilled by evaluating water quality considerations associated with land use proposals in accordance with the standards set forth in this Chapter and Chapters 23 and 24 of this Code." (e) The creation of the proposed special district will be in the best interests of the area proposed to be sewed. The Districts are independent units of local government, separate and distinct from the County and, except as may otherwise be provided for by state or local law or this Service Plan, their activities are subject to review by the County only insofar as they may deviate in a material matter from the requirements of this Service Plan. It is intended that the Districts, through the AEA, will provide for the financing, design, acquisition, construction, and operations and maintenance of a part or all of the Public Improvements for the use and benefit of all anticipated inhabitants and taxpayers of the Districts. The primary functions of the Districts will be to provide funding to the Authority for all the purposes set forth in the AEA until the consolidation of the Districts or the dissolution of District No. 2. The Authority will provide for the ongoing operations and maintenance of any Public Improvements that are not dedicated to the County, the Central Weld County Water District ("Water District") or another jurisdiction through revenue generated from the operations mill levy imposed by both Districts. This Service Plan has been prepared in accordance with Article XIV of Chapter 2 of the • County Code. The Public Works Department in their referral dated February 4, 2011 states "The Weld County Public Works Department shall not be responsible for any • overall plans for financing, construction, ownership, operation or maintenance of the public improvements associated with roadways and drainage throughout the metro districts." Therefore Public Works is in support of the Amended and Restated Consolidated Service Plan for the Beebe Draw Farms Metropolitan District Nos. 1 and 2. Further, Section 22-3-40.A, P.Goal 1, states, "Promote efficient and cost-effective delivery of public facilities and services. Section 22-3-40.A.1, P.Policy 1.1, states, "Encourage consolidation of public facilities or services and coordination between providers, to avoid duplication of costs and promote efficiency;" and Section 22-4-30.F, WA.Goal 6, states, "Development should occur in areas where adequate water quantity and quality is currently available or reasonably obtainable, and Section 22-4-30.F.1, WA.Policy 6.1, states, "Applications for proposed development should fully assess proposed water sources as being adequate in terms of the quantity, dependability and quality needed for the proposed use. Application should also describe whether the proposed water is currently available for use or reasonably obtainable." Central Weld County Water District has an established Service Agreement with the District for the provision of water to the Development. The proposed Service Plan and special district will be in the best interests of the area proposed to be served and are in the interest of Weld County. 3. Section 2-14-10 of the Weld County Codes states, "The County establishes the following • as its policy for the review and approval or disapproval of Service Plans, including any amendment thereof, for Metropolitan Districts and other Title 32 Special Districts." (a) The County generally accepts the formation of districts where it is demonstrated the formation of a district is needed to provide public services or facilities to local development and will result in benefits to existing or future residents of the County and the District. (Section 2-14-10.8) As indicated above, Don Warden, Director of Finance and Administration states "The Weld County Department of Finance and Administration has no objections to the amended and consolidated service plan for Beebe Draw Farms metropolitan District No. 1 and No. 2 as presented. The amended and consolidated service plan as proposed is consistent with the approach that resulted from Mary Ann McGeady's efforts in working with representatives of the community and developers to resolve some of the historic issues associated with the two districts. Finance and Administration staff concurs with the approach that resulted from those discussions and is incorporated into this proposal." (b) The Service Plan shall enumerate and describe all powers requested on behalf of the district. Demonstration of the need or benefit of each power is required. Powers which are not clearly needed will not be approved in the service plan. (Section 2-14-20.C) As previously discussed, the need for urban-level services has been adequately • demonstrated. • (c) Any Intergovernmental Agreement which is required, or known at the time of formation of the District to likely be required to fulfill the purposes of the District, must be described in the Service Plan, along with supporting rationale. The Service Plan shall provide that execution of intergovernmental agreements by the District that are not described in the Service Plan shall require 45 day notice publication and written notice to the County pursuant to Section 32-1-207(3)(b), C.R.S. (Section 2-14-20.D) The Service Plan describes the AEA intended to be entered into between the Districts which will establish the Authority. The AEA will establish processes for financing the operations and maintenance of the existing Public Improvements as well as financing, constructing, operating and maintaining the additional Public Improvements, and the establishment of operations and maintenance budgets and operating mill levies (Including a capital component) for the existing and planned Public Improvements. All intergovernmental and extraterritorial service agreements must be for facilities, services and agreements lawfully authorized to be provided by the Districts, pursuant to the State Constitution, Article XIV, Section 18(2)(a), and Sections 29-1-201 et seq., C.R.S. To the extent practicable, the Districts may enter into additional intergovernmental and private agreements to better ensure long-term provision of the Public Improvements identified herein. Agreements may also be executed with property owner associations and other service providers. Central Weld County Water District may request an updated intergovernmental agreement with the Metropolitan District. • (d) The Service Plan shall include the description of any planned inclusion into, or exclusion of property from, the District's boundaries. The Service Plan shall provide that inclusions or executions by the District that are not described in the Service Plan shall require 45 day notice publication and written notice to the County pursuant to Section 32-1-207(3)(b), C.R.S. (Section 2-14-20. E) The Service Plan provides the Districts shall be authorized to exclude and include property from their respective boundaries that is within the Development in accordance with the process set forth in the AEA. Inclusions and exclusions processed in accordance with the AEA will not require the prior written consent by the BOCC. The Districts shall not include within their boundaries any property outside of the development without the prior written consent of the BOCC. Inclusions and exclusions not described in this Service Plan and the AEA shall require a forty-five (45) day notice publication and written notice to the BOCC pursuant to Section 32-1-207(3)(b), C.R.S. If, within forty-five (45) days of the publication of such notice, the BOCC expresses to the Districts a written objection to the proposed inclusion or exclusion shall be considered a material modification of the Service Plan and shall be resolved in accordance with Section 32-1-207(2), C.R.S. (e) The Service Plan shall describe any planned extraterritorial service agreement. The Service Plan shall provide that any extraterritorial service agreements by the District that are not described in the Service Plan shall require 45 day notice • publication and written notice to the County pursuant to Section 32-1-207(3)(b), C.R.S. (Section 2-14-20.F) • The Plan as proposed does not intend to furnish services or facilities outside of its boundaries, except as authorized in the service plan or by intergovernmental agreement in compliance with Section 2-14-20.F of the Weld County Code. The District's failure to comply with Section 2-14-20.F of the Weld County Code prior to providing any exterritorial services shall be considered a material modification of the service plan. All intergovernmental and extraterritorial service agreements must be for facilities, services, and agreements lawfully authorized to be provided by the districts, pursuant to the State constitution, Article XIV, Section 18(2)(A), and Sections 29-1-201 et seq., C.R.S. (f) The Service Plan shall outline any anticipated plans or needs for the exercise, by the District, of its power of eminent domain. The Service Plan will contain language limiting the use of the District's power of eminent domain to carry out the District's essential functions and services as well to implement the intent of the "Primary Infrastructure Plan" as defined in the Model Service Plan described in Section 2-14-60. The use of eminent domain will be undertaken strictly in compliance with State laws. The Service Plan shall provide that use of eminent domain or change in the Primary Infrastructure Plan by the District not described in the Service Plan shall require 45 day notice publication and written notice to the County pursuant to Section 32-1-207(3)(b), C.R.S. (Section 2-14-20.G) Section V.A.9 of the Service Plan provides that the District's shall not exercise their statutory power of eminent domain, except as may be necessary to construct, install, access and relocate or redevelop the Public Improvements. Any use of eminent domain shall be undertaken strictly in compliance with state 1111 law. Any proposed use of eminent domain for a purpose other than as may be necessary to complete the Public Improvements shall require a forty-five (45) day notice publication and written notice to the BOCC pursuant to Section 32-1- 207(3)(b) C.R.S. If within forty-five (45) days of the publication of such notice, the BOCC expresses to the applicable District a written objection to the proposed use of eminent domain by such District, then the proposed use of eminent domain shall be considered a material modification of the Service Plan and shall be resolved in accordance with Section 32-1-207(2) C.R.S. (g) The Service Plan shall restrict the District's debt service mill levy authorization to 50 mills (the "Debt Service Mill Levy Cap"). The Service Plan shall restrict the District's total aggregate mill levy (debt service mill levy plus operations and maintenance mill levy) to sixty-five (65) mill (the `Aggregate Mill Levy Cap"). (Section 2-14-20.H) The proposed Plan identifies a Mill Levy Cap that is no greater than 50 mills, for debt service and for operations and maintenance costs. (h) The Service Plan shall require that 30 days prior to an election thereon, proposed ballot questions for a formation election, debt authorization, or de-Brucing will be submitted to Weld County for filing and review. Weld County shall have the right to object to any ballot questions not in compliance with the Service Plan as a major modification of the District's Service Plan pursuant to Section 32-1- 207(3)(a), C.R.S. (Section 2-14-20.J) • Section VI.I of the Service Plan states that the Districts intend to conduct elections on November 10, 2010 to set in place the proposed financial structure set forth in the Service Plan as required by TABOR. The County did receive and • review the proposed election questions more than thirty (30) days prior to such election. Any future elections held by the Districts will be conducted as provided in the Uniform Election Code of 1992 and TABOR (i) It is the intent of Weld County that "citizen/resident" control of Districts be encouraged to occur as early as possible. (Section 2-14-40.A) Currently, there are approximately 54 homes within the Development with and additional 746 planned. The proposed Plan and the creation of the Authority provides for two residents to sit on the Authority Board who will oversee and implement the operations of the Authority and the Public Improvements. Additionally, the residents will have an equal voice in the decision making process of when and what additional amenities are constructed. Q) The Service Plan shall provide for the dissolution of the District after the District's debts and financial obligations are fully defeased and the District has completed all of its operations and maintenance responsibilities. A district with long-term, on-going operations and maintenance will not be obligated to dissolve. However, the Service Plan must provide that in the event said obligations are someday undertaken by another party, or are otherwise no longer the responsibility of the District, it shall be required to dissolve. (Section 2-14-50) The Service Plan states the following, "The Districts will initiate consolidation proceedings contemporaneously with the repayment of District No. 2's Debt. The Authority will also terminate at the time of consolidation, and all assets of the • Authority will be transferred to the consolidated district. In the event the Districts do not consolidate, District No. 2 will initiate dissolution proceedings upon the written request of the County. Except as described herein, the Districts shall not file a request with any court to consolidate with any other Title 32 districts without the prior written consent of the County. The District will not be dissolved, however, without first complying with the provisions of Section 2-14-50 of the Weld County Code. As discussed, the Amendment to and Restatement to the Consolidated Service Plan for Beebe Draw Farms Metropolitan District Nos. 1 and 2 request is scheduled to be heard by the Planning Commission on March 1, 2011, at 1:30 p.m. The hearing will take place at the Greeley Planning Office hearing room, 918 Tenth Street, Greeley. This letter and recommendation will be forwarded to the Weld County Planning Commission as the basis of their deliberation. If you have any questions about this staff analysis or County comments, please do not hesitate to call me at 970-353-6100, ext. 3549. Sincerely, Kim Ogle Planning Services ec: Bruce Barker,County Attorney • T.Jiricek,Director of Planning Services Don Warden,Director of Finance and Administration M.Mika,Director of Administration D. Bauer, Public Works File: Beebe Draw Farms Hello