To: Honorable Mayor and Members of Town Council
Through: David L. Corliss, Town Manager
From: Michael J. Hyman, Town Attorney
Title
Resolution Approving the Fourth Amendment to the Service Plan for the Bella Mesa Metropolitan District; Authorizing the Execution of the First Amendment to the Intergovernmental Agreement by and Between the Town of Castle Rock and the District
Body
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Executive Summary
Bella Mesa Metropolitan District (the “District”), is seeking approval from the Town Council for the fourth amendment to the service plan and first amendment to the IGA under the provisions of the Special District Control Act, §§ 32-1-101, et seq., C.R.S., and Chapter 11.02 of the Castle Rock Municipal Code. The District serves the approximately 406-acre Bella Mesa development located within Town of Castle Rock (the “Town”) northeast of Mikelson Boulevard, south of State Highway 86, and west of Castlewood Canyon Road.
Notification and Outreach Efforts
Pursuant to § 32-1-204(1.5), C.R.S., notice of the public hearing on the service plan amendment was mailed to: (i) the governing body of each municipality and/or special district that has levied an ad valorem tax within the next preceding tax year and that has boundaries within a radius of three miles of the District’s boundaries; (ii) the owner(s) of property within the District as listed on the records of the County Assessor: and (iii) the Colorado Division of Local Government. Such notice was also published in the Douglas County News-Press.
History of Past Town Council, Boards & Commissions, or Other Discussions
• August 24, 2004 - Town Council adopted Resolution No. 2004-120 approving the service plan and IGA under the name "Vistas at Rock Canyon Metropolitan District"
• May 4, 2006 - The District approved a non-material first amendment to the service plan revising the conditions under which it may issue general obligation bonds
• August 29, 2016 - the Douglas County District Court issued an order changing the name of the District to "Bella Mesa Metropolitan District"
• June 19, 2018 - Town Council approved a second amendment to the service plan to allow the District to process an exclusion of property from its boundaries
• February 12, 2020 - Town Council approved a third amendment to the service plan to update the financial plan and allow for debt issuance
The District is wholly located within Town boundaries, thereby giving the Town Council the requisite jurisdiction under Section 32-1-207(2), C.R.S., to review any material modification to the service plan.
Discussion
Special District Control Act
Prior to undertaking any material modification of an existing special district service plan, the district must submit such modification to the proper authority for review and approval. For those districts wholly contained within the boundaries of the Town, the approving authority is the Town Council. A public hearing on the service plan, as modified, must be conducted by the Town Council and a decision made based solely upon the service plan and evidence presented at the hearing. Any decision of the Town Council approving the material modification must be memorialized in a resolution.
Proposed Modifications
The District is seeking approval from the Town Council for the fourth amendment to the service plan and first amendment to the IGA, which amendments make the following material modifications:
• Authorize the District to provide covenant enforcement and design review services within the District pursuant to Section 32-1-1004(8), C.R.S.;
• Clarify the District’s ability to impose fees for operations and maintenance services;
• Clarify the District will not be dissolved after debt is paid off if the District has an ongoing obligation to provide operations and maintenance services as authorized by the Service Plan and the Town
Budget Impact
None.
Staff Recommendation
Town staff submits that the fourth amendment to the District service plan satisfies each of the requirements set forth in the Special District Control Act and the Town Code. Town staff has no objection to the modifications that the District has proposed in the fourth amendment and recommends its approval.
Proposed Motion
“I move to approve the resolution as introduced by title.”
Alternative Motions
“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: Resolution
Attachment B: Fourth Amendment to Service Plan
Attachment C: First Amendment to Intergovernmental Agreement
Attachment D: Affidavit of Publication of Notice
Attachment E: Certificate Concerning Notices of Public Hearing on Service Plan