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HomeMy WebLinkAbout20233562.tiff fr 1861 DEPARTMENT OF PLANNING SERVICES 1402 North 17TH Avenue, Greeley, CO 80631 Telephone: 970.400.3527 Electronic Mail: mnader@weld.gov v coUNTY November 18, 2023 Ms. Alicia J. Corley, Esq. Ms. Jennifer L. Ivey, Esq. Icenogle Seaver Pogue PC 4725 South Monaco Street, Suite 360 Denver Colorado 80237 Subject: Kiteley Ranch Metropolitan District, Amended and Restated Service Plan Legal: Lot B of Recorded Exemption RE-843, being part of the NW4 of Section 27, Township 3 North, Range 66 West of the 6th P.M., Weld County Colorado The Department of Planning Services has reviewed the request for comments in regard to the submitted Metropolitan District Service Plan application. Please consider these comments as a unified response to the Special District Provisions. This request is scheduled before the Weld County Planning Commission on November 7, 2023, at 1:30 p.m. The hearing will take place at the Weld County Administrative Building, Commissioners Hearing Room, located at 1150 County Road 64 ("O" Street), Greeley. POSSIBLE ISSUES SUMMARIZED FROM APPLICATION MATERIALS The criteria for review of this Metropolitan District 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 referral responses with comments from the following agencies: ➢ St. Vrain Sanitation District, referral dated October 16, 2023 ➢ Mountain View Fire Rescue, referral dated October 10, 2023 ➢ Weld County Department of Finance, referral dated October 19, 2023 ➢ Weld County Oil and Gas Energy Department, referral dated October 12, 2023 The Department of Planning Services' staff has received referral responses without comments from the following agencies: ➢ Town of Erie, referral dated October 3, 2023 ➢ Town of Berthoud, referral dated October 5, 2023 ➢ Town of Firestone, referral dated October 9, 2023 ➢ Town of Frederick, referral dated October 3, 2023 ➢ Weld County Sheriff's Office, referral dated October 3, 2023 ➢ Weld County Department of Planning Services— Floodplain, referral dated October 5, 2023 ➢ Weld County Department of Planning Services— Development Review, referral dated October 19, 2023 ➢ Weld County Department of Public Health and Environment, referral dated October 9, 2023 Page 1 of 7 The Department of Planning Services' staff has not received referral responses from the following agencies: ➢ Town of Mead ➢ City of Dacono ➢ City of Longmont ➢ Weld County Attorney's Office ➢ Weld County Assessor's Office ➢ North Front Range Water Quality Association The Department of Planning Services in conjunction with the Weld County Attorney's Office and the Weld County Department of Finance recommend that the Planning Commission approve the Amended and Restated Service Plan for Kiteley Ranch Metropolitan District. 1. Section 32-1-203(2) states the Board of County Commissioners shall approve 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 the District will finance, acquire, construct, equip, complete, manage, operate, provide, and maintain public improvements and services throughout the Kiteley Ranch Development, unless transferred to the County or another agency, and to generate property tax and revenue sufficient to pay on-going expenses and debt service costs incurred by the District. The proposed public improvements to be financed, acquired, installed and constructed by the district to serve the Kiteley Ranch Development are as follows: Street System and Traffic Safety, Storm Drainage, Sanitary Sewer System, Water System, and Park and Recreation. The Kiteley Ranch Development at Foster Lake PUD Change of Zone, PZ #1082 is for 427 single-family detached homes with 31.11 acres of parks and open space and was approved by the Board of County Commissioners on July 26, 2006. Kiteley Ranch Development at Foster Lake PUD was approved as a three phased development. The current Kiteley Ranch Development at Foster Lake PUD plan is for 279 single family detached homes, forty (40) acres of open space and approximately sixteen (16) acres designated for oil and gas operations. The Final Plan application has not been submitted for staff and referral agency review and comment. (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 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 Kiteley Ranch Development. The St Vrain Sanitation District in their referral dated October 16, 2023 states: "An intergovernmental agreement will be required with the St. Vrain Sanitation District as the provider of sanitary sewer service to the area." Page 2 of 7 Longs Peak Water District did not return referral comments at this time. (c) The proposed special district is capable of providing economical and sufficient service to the area within its proposed boundaries. The referral dated October 19, 2023 addresses the concerns of the Weld County Department of Finance and Administration, Chief Financial Officer Ms. Cheryl Pattelli. Ms. Pattelli states, " The financial plan calls for the Kiteley Ranch Metropolitan District to have a maximum of 50 mills for the debt limit cap. The debt mill levy limit cap is within the standard of a maximum debt mills in the Weld County Metro District Policies County Code Section 2-14-30, with the permitted assessed valuation ratio adjustment per County Code Section 2-14-20 H from the base year of 2006 to the current year's residential ratio of 6.765%, to allow a maximum debt mill levy of 57.266. As proposed, the financial plan has a reasonable debt mill levy and a reasonable debt tax burden on all properties within the District. The Aggregate Mill Levy Cap, which is the maximum mill levy the District is permitted to impose on the properties in the District for debt and operations and maintenance function, is sixty-five (65) mills with the permitted assessed valuation ratio adjustment per County Code Section 2-14- 20 H from the base year of 2006 to the current year's residential ratio of 6.765%. This adjustment allows a maximum debt mill levy of 57.266 plus 15 mills for operations and maintenance functions, totaling 72.266 mills. Initial operating costs including land acquisition, engineering services, legal services, and administrative services, anticipated at $50,000, will be eligible for reimbursement from debt proceeds. The first year's operating costs, estimated at $75,000, are anticipated to be derived from property taxes and other revenue. Subsequent year's operating costs are anticipated to be derived from property taxes and other revenue as well." (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 October 19, 2023 addresses the concerns of the Weld County Department of Finance and Administration, Chief Financial Officer Ms. Cheryl Pattelli. Ms. Pattelli states, "The financial plan submitted is adequate. Although I have some concerns regarding the financial plan, there is no financial risk to the County if assumptions and/or other aspects of the financial plan do not hold true. Therefore, from review of the service plan, I have no objections in approval of the service plan with the Total Debt Issuance Limit in the service plan of 30,000,000, Total Debt Mill Levy Limit Cap, and Total Aggregate Mill Levy Limit cited in the service plan based upon my conclusion that the financial matters in the service plan appear to be in conformance with the county's metro district policies." 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 permitted": (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, Page 3 of 7 design, and completion of the public improvements needed to serve the Kiteley Ranch Development. (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). Service levels and facilities of the districts would likely match those of the County, though exact levels of service are not precisely defined by the Plans or associated documentation. (c) The proposal is in substantial compliance with a masterplan adopted pursuant to Section 30-28- 106 C.R.S. The proposed service plan is in conformance with Chapter 2 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 22-2-50.A and Section 22-2-50.B of the Weld County Code respectively state "Encourage responsible and sustainable water usage" and "Protect water quality within the County." The proposed Service Plan identifies water activities. This section does not identify the long range water quality management plan but identifies the district has the ability to establish a water activity enterprise that will be in accordance with the Water Activities Act. (e) The creation of the proposed special district will be in the best interests of the area proposed to be served. Section 22-2-10.D of the Weld County Code states " The water quality management plans shall protect Health, Safety, and General Welfare. Land use regulations and policies will protect and enhance the health, safety, and general welfare of the citizens of Weld County." The proposed Service Plan and special district will be in the best interests of the area proposed to be served and is in the interest of Weld County. 3. Section 2-14-10.A 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 that 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 or business owners of the County and the District. (Section 2-14-10.B) As indicated above, there is a demonstrated need to provide services, because the proposed Service Area consists of land that is zoned for urban-level development. (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) Page 4 of 7 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 forty-five-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 proposed Service Plan explains that the District may be entered into with the Water District, Sanitation District, other governmental entities, developers, the owners association and other services providers to furnish or discharge any facility or service responsibility of the District set fourth in the Service Plan or to provide funding therefor. Details about the nature and ability of this Agreement are not described in the Service Plan. In the referral from St. Vrain Sanitation District dated October 16, 2023 they are requesting intergovernmental agreements with the Metro District. Longs Peak Water District did not return a referral. The proposed Plan does state that any other intergovernmental agreements not mentioned in the Services Plan shall require the approval of the County in compliance with Section 2-14-20.D of the Weld County Code. (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 exclusions by the District that are not described in the Service Plan shall require forty-five-day notice publication and written notice to the County pursuant to Section 32-1-207(3)(b), C.R.S. (Section 2-14-10.E) The proposed Plan states written notice will be provided to the County pursuant to Section 32-1- 207(3)(b), C.R.S of any action or activity which the District believes is permitted by the Service plan but which may be unclear or with may result in a material change of the Primary Infrastructure Plan (PIP) pursuant to Section 2-14-20.E of the Weld County Code. (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 forty-five-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. (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 as 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 Page 5 of 7 Plan shall require forty-five-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) The proposed Plan states that the District's exercise of the statutory power of eminent domain shall constitute a material modification of the Service Plan and shall require the Approval of the County in accordance with Section 2-14-20.G of the Weld County Code. (g) The Service Plan shall restrict the District's debt service mill levy authorization to fifty (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) mills (the "Aggregate Mill Levy Cap"). (Section 2-14-20.H) The proposed Plan identifies a Mill Levy Cap that is no greater than 65 mills, with 50 mills maximum for debt service and up to 15 mills for operations and maintenance costs. (h) The Service Plan shall require that, thirty (30) days prior to an election thereon, proposed ballot questions for a formation election, debt authorization or de-Brucing will be submitted to the County for filing and review. The 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) The Service Plan states that, "All ballot questions authorizing indebtedness will be filed with the County no later than 30 days before any election held therefor in accordance with Section 2-14- 20.J of the Weld County Code." (i) It is the intent of the County that citizen/ resident control of Districts be encouraged to occur as early as possible. (Section 2-14-40.A) As currently proposed, the Service District boundaries are coterminous with the boundaries of the Kiteley Ranch Development. The District will contain all of the land within the Kiteley Ranch Development. (j) The Service Plan shall provide for the dissolution of the District after the District's debts and financial obligations are fully discharged and the District has completed all of its operations and maintenance responsibilities. A District with long-term, ongoing 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 District will not be dissolved as long as it is providing services and facilities and discharging its obligations in accordance with the provisions of the Service Plan. If all public improvements are transferred to the County or other governmental agencies or a homeowner's association for operation and maintenance, and all bonds or other obligations of the District are discharged, or payment is provided for the District will be dissolved pursuant to the Act. The District will not be dissolved, however, without first complying with the provisions of Section 2-14-50 of the Weld County Code. Sincerely, Page 6 of 7 O Maxwell Nader Planning Manager Weld County Planning Services Page 7 of 7 Hello