To: Honorable Mayor and Members of Town Council
Through: David L. Corliss, Town Manager
From: Michael J. Hyman, Town Attorney
Title
Resolution Consenting to the Dissolution of the Crystal Valley Shops Metropolitan District
Body
________________________________________________________________________________
Executive Summary
Crystal Valley Shops Metropolitan District (the “District”), by and through its Board of Directors, has voted to dissolve. In accordance with the provisions of Section 32-1-701, et seq., C.R.S., legal counsel for the District is seeking the Town Council’s consent to file a Petition for Dissolution with the Douglas County District Court.
Background
Crystal Valley Shops Metropolitan District was formed pursuant to an order of the Douglas County District Court issued on November 30, 2023. The purpose of the District was to provide services to the property within the boundaries of the District pursuant to the service plan approved by the Town Council on September 5, 2023. After the organization of the District, the property within its boundaries was sold to a new owner who does not wish to use a special district to finance and/or construct any necessary public improvements or provide any services.
Discussion
The District has not financed and/or constructed any public improvements and is not providing any services at this time and, based on the information provided by the new owner of the property, no such activities will be undertaken in the future. In addition, the District does not have any assets to account for or distribute and does not have any financial obligations or outstanding debt at this time other than the payment of its consultant’s fees, which fees will be paid by the property owner.
Pursuant to Section 32-1-704(3)(b), C.R.S., a special district can be dissolved by court order without the need for an election if: (i) the district lies wholly within the corporate limits of the municipality; (ii) the district has no financial obligations or outstanding bonds; and (iii) the special district board and the governing body of the municipality consent to the dissolution. The District is wholly contained within the boundaries of the Town. The District’s legal counsel represents that the District does not have any financial obligations or outstanding bonds.
Staff Recommendation
Based upon the request of the District Board of Directors and the representations made by the District’s legal counsel in support of such request, Town staff recommends that the Town Council consent to the District’s dissolution. Town staff further recommends that the Town council authorize the execution of the Dissolution Agreement between the Town and the District.
Proposed Motion
“I move to approve the resolution as introduced by title on first reading.”
“I move to approve the resolution as introduced by title, with the following conditions: (list conditions)”
“I move to continue this item to the Town Council meeting on (date) to allow additional time to (list information needed)”
Attachments
Attachment A: Town Council Resolution
Attachment B: Dissolution Agreement between the Town and the District
Attachment C: Resolution of the District Board Approving the Dissolution of the District