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HomeMy WebLinkAbout8.0 BOCC Staff Report 02.09.2000PC 02/09/00 PROJECT INFORMATION AND STAFF COMMENTS PROJECT: Rose Ranch Metropolitan District Service Plan. LOCATION: The proposed district is located in portions of Sections I, and 12, T7S., R89W, and portions of Sections 2, and 35, T6S, R89W; more practically described as an area approximately 3.5 miles south of Glenwood Springs along Highway 82, adjacent to and west of the Roaring Fork River, and adjacent to County Road 109 (Rose Ranch PUD). I. PROJECT DESCRIPTION The applicant is proposing the formation of a Service District to serve a portion of the approved Rose Ranch PUD. This includes 292 single-family residential attached and detached units with an estimated population of 730, but does not include the 30 affordable housing units included in the approved Rose Ranch PUD. The 30 affordable housing units are not to be included in the District to avoid the increased costs to the affordable units which would result, should they be included . The District is proposed to include parks and recreational facilities, within and without the boundaries of the district; street improvements, both on-site and off-site; a complete potable and non -potable local water supply, storage, transmission, and distribution system; and, a complete local sanitary sewage collection and transmission system. The parks, recreational facilities, and street improvements will be maintained by the proposed District or the Homeowners Association. The golf course which will be within the proposed District is to be developed and operated by a private party, and is not anticipated to be owned or maintained by the proposed District. The potable and non -potable water supply as stated by the applicant in their submittal, is to be dedicated to and maintained by the Roaring Fork Water and Sanitation District pursuant to an Intergovernmental Agreement. This can only occur if the RFWSD amends its service plan to allow for service. The sanitary sewage system except for storm and drainage facilities is to be dedicated to and maintained by the Roaring Fork Water and Sanitation District. This will need to be done as per the "Roaring Fork Water & Sanitation District Roaring Fork Investments, LLC Pre -Inclusion Agreement which was a condition of the approval of the Rose Ranch PUD. The storm and drainage facilities will be dedicated to and maintained by the proposed District or Homeowners Association. Construction costs for necessary improvements are to be advanced by the developer(s) within the proposed District, subject to subsequent acquisition by the proposed District of the completed improvements and reimbursement to the developer(s) of such advanced construction costs. The -1- total estimated cost of capital improvements to be constructed is not projected to exceed Eight Million Seven Hundred Fifty Thousand Dollars ($8,750,000). This figure breaks down into $3,151,890 for street and safety system, $2,292,393 for water facilities, $1,560,279 for sewer facilities, $1,245,438 for drainage facilities, and $500,000 for parks and recreation. The applicant also notes that any additional facilities required (not included in this plan), will be designed, constructed and paid for by the Developer. The provision of facilities by the proposed District will be primarily financed by the issuance of several series of general obligation bonds, secured by the ad valorem taxing authority of the proposed District with limitations as discussed in the submitted application. Prior to the issuance of bonds, the first issuance anticipated in 2000, the construction cost for necessary improvements will be advanced by the developer(s) within the proposed District, subject to subsequent acquisition by the proposed District of the completed improvements and reimbursement to the developer(s) of such advanced construction costs. Any obligations issued or otherwise contracted for to reimburse the developer(s) for advanced construction costs shall be included within the debt limits described in the submitted application. The proposed District may also issue notes, certificates, debentures, or other evidences of indebtedness, which issuances shall be subject to the limitations set forth in the Service Plan. The proposed District will have a mill levy assessed on all taxable property in the proposed District as a primary source of revenue repayment of debt service and for operations and maintenance. Interest income through the reinvestment of construction funds, capitalized interest and annual tax receipts will provide additional funds. In addition to property taxes, the District may also rely upon various other revenue sources authorized by law and this Service Plan to offset the expenses of capital construction and District management, operations and maintenance. These will include the power to assess fees, rates, tolls, penalties, or charges as provided in Title 32, as amended. A Facilities Fee in the amount of nine thousand five hundred dollars ($9,500) will be imposed on each lot within the District to be collected at the time of sale of each lot. II. ISSUES AND COMMENTS A. Colorado Revised Statutes - C.R.S. 32-1-101, et. seq. Within 30 days of the filing of a service plan with the County Clerk and Recorder, the Clerk and Recorder is required to deliver the service plan to the Planning Commission for review and recommendation. The Planning Commission is required to make a recommendation to the Board of County Commissioners to take one of the following actions: 1. Approve, without condition or modification, the service plan. 2. Disapprove the service plan. 3. Conditionally approve the service plan subject to additional information being submitted or the modification of the proposed service plan. -2- The applicant agreed to wave the 30 day requirement and allow for the application to be heard before the Garfield County Planning Commission on February 9, 2000 (See letter p. 9). The Board of County Commissioners "shall disapprove the service plan unless evidence satisfactory to the Board of each of the following is presented": 1. There is sufficient existing and projected need for organized service in the area to be serviced by the proposed special district. 2. The existing service in the area to be served by the proposed special district is inadequate for present and projected needs. 3. The proposed special district is capable of providing economical and sufficient service to the area within its proposed boundaries. 4. 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 Board of County Commissioners may disapprove the plan if evidence satisfactory to the Board of any of the following, at the discretion of the Board, is not presented: 1. 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. 2. 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). 3. The proposal is in substantial compliance with a master plan adopted pursuant to Section 30-28-108, C.R.S.. 4. The proposal is in compliance with any duly adopted county, regional or state long-range water quality management plan for the area. 5. The creation of the proposed special district will be in the best interests of the area proposed to be served. The following are responses to the statutory criteria: 1. There is sufficient existing and projected need for organized service in the area to be serviced by the proposed special district. At this time, the Rose Ranch PUD Final Plat and accompanying documents have not been recorded. However, with approval of the Preliminary Plan for the Rose Ranch PUD from the Board of County Commissioners it is assumed that the Final Plat and accompanying documents will be recorded and therefore there is sufficient existing and projected need for the District. To ensure that this existing need will be in place, as a -3- condition of approval of this District, the Final Plat and accompanying documents of the Rose Ranch PUD must be recorded before this District is approved. Given that the potable and non -potable water supply and sanitary sewage system is to be dedicated to and maintained by the RFWSD, the golf course is anticipated to be developed and operated by a private party other than the proposed District, and the parks, recreational facilities, street improvements, and the storm and drainage facilities for the sanitary sewage system are to be dedicated to and maintained by the District or the Home Owners Association, there are no facilities which are absolutely going to be dedicated to and maintained by the proposed District. Since the above requirement states "to be serviced by the proposed district" the proposed district must have facilities dedicated to it to be serviced by it. Therefore, to satisfy this requirement, all facilities proposed to be dedicated to and maintained either by the District or the Home Owner's Association as outlined in the submitted application and above, will have to be dedicated to the proposed District and not to the Home Owner's Association. Further, if no facilities were dedicated to the proposed District, the District would be proposed solely for the purposes of financing infrastructure for the Rose Ranch PUD. The formation of a District should not be meant to be solely for the financial benefit of a developer. The Subdivision Improvements Agreement which is part of the Rose Ranch PUD states that "the homeowners association shall be solely responsible for the maintenance, repair and upkeep of those roads." This will have to be amended to dedicate the roads to the proposed District and not the homeowners association. Other sections within the SIA which do not expressly dedicate improvements to the proposed District other than those improvements to be dedicated to the RFWSD must be amended to dedicate improvements to the proposed District. Further, the Rose Ranch PUD Preliminary Plan may need to be amended to reflect the need to dedicate improvements not dedicated to the RFWSD to the proposed District. 2. The existing service in the area to be served by the proposed special district is inadequate for present and projected needs. At this time, neither the Roaring Fork Water and Sanitation District nor the County intend to expand services at their own expense to accommodate the Rose Ranch PUD. However, as the applicant states, the water and sanitation services to be constructed will be dedicated to the RFWSD upon completion. To dedicate the potable and non -potable water supply to the Roaring Fork Water and Sanitation District, for them to maintain, as proposed by the applicant, would require an amendment to the Roaring Fork Water and Sanitation District Service Plan, to allow for such an undertaking. Until such time as such an amendment to the Roaring Fork Water -4- and Sanitation District Service Plan is completed, the potable and non -potable water supply proposed as part of the Service Plan for the Rose Ranch Metropolitan District must be maintained by the proposed District. Further, no Intergovernmental Agreement pertaining to this has been entered into at this time, since the RFWSD does not have the authority at this time to enter into an agreement for water. To dedicate the sanitary sewage system except for storm and drainage facilities as proposed by the applicant, the "Roaring Fork Water & Sanitation District Roaring Fork Investments, LLC Pre -Inclusion Agreement" which was a condition of approval of the Rose Ranch PUD, must be recorded along with the Rose Ranch PUD. 3. The proposed special district is capable of providing economical and sufficient service to the area within its proposed boundaries. With the approval of the Rose Ranch PUD, evidence that sufficient service to the area would be provided was accomplished in general terms. This is now being specifically proposed to be provided by the creation of this District. With the creation of this District sufficient service will be provided. The proposed District facilities will cost an estimated eight million seven hundred fifty thousand dollars ($8,750,000), with any additional facilities (not currently included in the Service Plan) to be designed, constructed and paid for by the Developer. A uniform mill levy and "reasonable tax burden" on all property within the development is to be maintained through managed financing and coordinated completion of infrastructure improvements. "Through the coordination of services and financing of public infrastructure improvements by the District, the District will be capable of providing economical and sufficient services to the area served by the District." Ultimately, the homeowners living in the district will be responsible for paying off the debt. To provide for the homeowners to be protected from the possible increase in mill levies beyond the maximum of 50 mills as proposed by the applicant, the Service Plan needs to be amended so that the mill levy cannot be increased above 50 mills without the approval of the Garfield County Board of County Commissioners. 4. 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 District proposes to issue general obligation bonds to assist in financing of the improvements, impose a mill levy with a cap of 50 mills, and impose a Facilities Fee in the amount of nine thousand five hundred dollars ($9,500) on each lot within the District to be collected at the time of sale of each lot. As discussed previously, to protect the homeowners living within the District, the Service Plan must be amended so that the mill levy cannot be increased above 50 mills without the approval of the Garfield County -5- Board of County Commissioners. This, along with a detailed financial plan submitted by the applicant demonstrates that the District will be capable of discharging the proposed bonds (debt) on a reasonable basis. The following discussion addresses the reasons the Board of County Commissioners may deny a service plan, if the following is not presented: 1. 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. As discussed above, neither the County nor the RFWSD intend to extend services at their own expense to the Rose Ranch PUD now or in the near future. With the approval of the Rose Ranch PUD, services are needed. 2. 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). The applicant has stated in their submitted report that all facilities will be constructed to the standards of all applicable local, state or federal regulations. This will be a requirement of any approval of this District. 3. The proposal is in substantial compliance with a master plan adopted pursuant to Section 30-28-106, C.R.S.. With the approval of the Rose Ranch PUD, the PUD has been found to be in general conformity with the Comprehensive Plan. With regard to this District, the following is offered: The Water and Sewer Services Goal states the following: To ensure the provision of legal, adequate, dependable, cost effective and environmentally sound sewer and water services for new development The following objectives are relevant to the proposed service plan : 7.2 Development located adjacent to municipalities or sanitation districts with available capacity in their central water/sewer systems will be strongly -6- encouraged W tie into these systems. The proposed District proposes to dedicate the water and sanitary sewer systems to the RFWSD. At this time, the RFWSD is capable of accepting the sanitary sewer system, however, as discussed previously, to accept the water system, the RFWSD Service Plan will have to be amended. This means that the proposed District will have to be prepared to accept and maintain the water system until such time as the RFWSD has amended its Service Plan to accept it for maintenance. With the above in mind, the proposed District is in conformance with this policy. 7.4 Development will be required to mitigate the impact of the proposed project on existing water and sewer systems. Mitigation in this sense means paying a fare share of costs. Given that this District is being created, the applicant through the creation and financing of the infrastructure will be adequately mitigating any and all impacts. The following policies are relevant to the proposed service plan : 7.2 Where logical, legal and economic extension of service lines from an existing water and/or sewage system can occur, the County will require development adjacent to or within a reasonable distance, to enter into the appropriate agreements to receive service. The burden of proof regarding logical, legal and economic constraints will be on the developer. The proposed District is proposing to dedicate the water and sanitary sewer systems to RFWSD which will comply with this policy. However, as stated above the RFWSD Service Plan must be amended to allow for the RFWSD to accept the water facilities for maintenance. This means the proposed District will have to maintain the water facilities until such time as the RFWSD has amended its Service Plan. Further, an Intergovernmental Agreement between the Roaring Fork Water & Sanitation District and Roaring Fork Investments, LLC, will have to entered into. 4. The proposal is in compliance with any duly adopted county, regional or state long- range water quality management plan for the area. At this time, there is a Water Quality Management Plan (208 Plan) for the Region which was adopted in 1984. The County Engineer has been working on an updated 208 Plan for the County for the last few months, but there is no new document available yet that would support or oppose the development of the proposed District. The existing document and proposed document recommends the consolidation of facilities. The proposed combined water and sewer service with the RFWSD is consistent with the plan. -7- 5. The creation of the proposed special district will be in the best interests of the area proposed to be served. Providing central water and sewer to the Rose Ranch PUD is preferable to individual water and sewer systems. Further, as the applicant states in their submitted report, future expansion of the District to other future development in the area is possible. B. Other Comments: This submitted Service Plan has been forwarded to the Bond Council for the County to review. To date no comments have been received. However, upon receipt of comments from the County's Bond Council, any changes to the Service Plan as recommended by council will have to be completed by the applicant. III. RECOMMENDATION: Staff recommends APPROVAL of the Service Plan for Rose Ranch Metropolitan District with the following conditions: 1. The Service Plan must be amended so that all facilities/improvements not dedicated to the RFWSD will be expressly dedicated to the proposed District and not the Homeowners Association. Further, the administrative costs within the Service Plan must be amended to reflect the cost of these improvements being dedicated to the District. 2. The Subdivision Improvements Agreement which is part of the Rose Ranch PUD must be amended to dedicate all facilities/improvements not dedicated to the RFWSD to the proposed District. The Rose Ranch PUD Preliminary Plan may also need to be amended to reflect the dedication of these facilities/improvements to the proposed District. 3. The Service Plan must be amended so that the proposed maximum mill levy of 50 mills cannot be raised above 50 mills without the approval of the Garfield County Board of County Commissioners. 4. The Service Plan must be amended to reflect any changes recommended by the Bond Council for the County. 5. The Final Plat and accompanying documents including but not limited to the "Roaring Fork Water and Sanitation District Roaring Fork Investments, LLC Pre - Inclusion Agreement" of the Rose Ranch PUD must be recorded before approval of this District. -8- JOHN A. THULSON EDWARD MULHALL, JR. SCOTT BALCOMB LAWRENCE R. GREEN TIMOTHY A. THULSON LORI J. M. SATTERFIELD EDWARD B. OLSZEWSKI DAVID SANDOVAL DENDY M. HEISEL JEFFERSON J. CHENEY BALCOMB & GREEN, P.C. ATTORNEYS AT LAW P. 0. DRAWER 790 818 COLORADO AVENUE GLENWOOD SPRINGS, COLORADO 81602 Telephone: 970.945.6546 Facsimile: 970.945.8902 January 18, 2000 Jeff Laurien, Senior' Planner Garfield County Department of Building & Planning 109 8th Street, 3rd Floor Glenwood Springs, CO 81601 Re: Rose Ranch Metropolitan Service Plan Dear Mr. Laurien: OF COUNSEL: KENNETH BALCOMB On December 13, 1999, the Application for Metropolitan District for the Rose Ranch was referred by the Garfield County Commissioners to the Garfield County Planning Commission. I was present at this meeting of the Commissioners and represented to the Board at this time, as attorney for the Applicants, that the Applicants would be willing to waive the thirty (30) day processing time requirement to enable the Planning Commission's consideration of this Application on February 9, 2000. I have since confirmed this waiver with Mr. Ron Heggmeier who is the manager for Roaring Fork Investments, LLC, the present owner of the Rose Ranch Planned Unit Development, which PUD incorporates the entire boundaries of the proposed Metropolitan District. Should you have any questions or concerns regarding any of the above, please feel free to contact me at your convenience. Very truly yours, By TAT:kjk /%4//i `%'�mo by A. T ulson BALCOMB & GREEN, P.C.