Sterling Ranch Metropolitan District Nos. 1 - 5

Overview

District Nos. 1-5 are generally located between Vollmer Road on the west, Banning Lewis Parkway on the east and are bisected by Briargate Parkway. The development is expected to contain approximately 1,444 acres of 1,119 residential acres, 56 commercial acres, and approximately 270 acres of open space/greenways, trails, community and neighborhood parks, and school sites.

What is a Metropolitan District?

A metropolitan district is a quasi-municipal corporation and political subdivision established under the Special District Act (Title 32, Article 1, Colorado Revised Statutes).  These local governments are formed to finance, construct, and sometimes operate public infrastructure and provide services that counties and municipalities may be unable to provide due to fiscal constraints, such as those imposed by the Taxpayer's Bill of Rights (TABOR).  Once formed, metropolitan districts must adhere to their governing documents and various laws that govern their operations.  These documents and laws address the district’s taxing authority, ability to impose and collect fees and other charges, describe infrastructure and services to be provided by the district, and contain requirements for transparency and accountability.

Special districts possess taxing authority and can issue tax-exempt bonds to finance infrastructure projects.  Property owners within the district are subject to property taxes (mills) levied by the district to repay these bonds.  This structure localizes the cost of public improvements to the specific development, rather than distributing expenses across the entire county or municipality.   As local governments, metropolitan districts can borrow money at lower interest rates, allowing them to finance public infrastructure more efficiently and affordably to the benefit of future district residents.

Metropolitan districts are formed by submitting a detailed service plan to the city council, town board of trustees, or county commissioners for review and approval following publicly noticed and conducted hearings.  These local authorities have oversight and control over limits on taxation, fees, and services.  Organizing elections are also conducted.

Metropolitan districts are operated by an elected Board of Directors.  Director elections are held in May of every odd year.  Initially, developer representatives may sit on the Board of Directors because the district is formed before there are any homes or homeowners.  Over time, residents who are eligible electors can run for board seats, allowing residents to participate in governance of their community.

For additional information about metropolitan districts please visit Metro District Education Coalition.

How to Become a Board Member

Regular special district elections are elections held for the purpose of electing eligible electors to the Board of Directors of the special district.  Elections are held biennially on the first Tuesday after the first Monday of May in odd-numbered years.  C.R.S. 1-13.5-111(1).  A regular election may include the submission of questions to the eligible electors or any ballot issue required under TABOR.  A canceled election counts as having conducted an election; the directors are elected by acclamation.

Special elections may occur in February, May (even years), October, November, and December.  An election question may be asked at any election.  A TABOR ballot question may only be asked at a regular special district election date, the general election date, or the first Tuesday in November of odd numbered years.

Directors typically serve staggered 4-year terms.  For special districts with five Board members, two directors serve until the next regular election after the district organization and three directors serve until the second regular election after organization.  Term limits apply to special district Board members. The voters of any political subdivision may lengthen, shorten or eliminate the term limits.  Art. XVIII, Sec. 11 Colorado Constitution.

An eligible elector is an individual who is registered to vote in Colorado and is a resident of the special district (regardless of property ownership) OR an owner, or the spouse or civil union partner of an owner, of taxable real or personal property situated in the district.  A partnership, corporation, or trust cannot register to vote, is not a "person" in the context of voter registration and therefore is not an eligible elector.  CRS 32-1-103(5).

Under certain circumstances, a person may qualify as an eligible elector if the person is obligated to pay taxes under a contract to purchase taxable property within the boundaries of the special district.  Such individual is considered an owner of property for purposes of eligible elector status.  CRS 32-1-103(5).

A special district candidate must complete a self-nomination form, which form is due 67 days prior to the regular election date.   No earlier than January 1 and no later than the normal close of business on the 67th day before the date of a regular special district election, any person who desires to be a candidate for the office of a special district director shall file a self-nomination and acceptance form or letter signed by the candidate and the candidate’s signature/form must be witnessed by an eligible elector of the state.  An amended self-nomination form or letter may be accepted by the Designated Election Official up to the normal close of business on the 67th day before an election.  C.R.S. 1-13.5-303.

Alternatively, a special district candidate may complete a write-in affidavit, which affidavit is due 64 days prior to the regular election date.

All candidates must comply with the Fair Campaign Practices Act (FCPA) and Amendment 27 of the Colorado Constitution.  Information on campaign finance laws and regulations may be obtained from the Colorado Secretary of State website.

Under the election laws, the board of directors of the special district is charged with appointing a Designated Election Official (DEO) who oversees the election.  C.R.S. 1-13.5-103(2), C.R.S. 1-13.5-108(1).

If the number of candidates is equal to or less than the number of seats available, the election may be canceled, and the candidates are elected by acclamation.  The election may be canceled at any point in time after the 63rd day before the election.  C.R.S. 13-5-513(1).  However, if the electors are to consider the election of directors and ballot issues or ballot questions, the election may only be canceled if those ballot issues or questions have been withdrawn.  No election may be canceled in part.  C.R.S. 1-13.5-513(3),(4).

Additional information regarding special district elections can be found on the Department of Local Affairs (DOLA) Special District Elections website.

Sterling Ranch MDs Service Plan Info

• Services provided – installation/construction and financing of public infrastructure:
  • Water
  • Sanitation
  • Street Improvements
  • Drainage
  • Parks and Recreation
  • District 1 as the financing district, is expected to be responsible for managing the construction, acquisition, installation and operation of the Public Improvements.
• Amount of Debt a district can incur
  • $115,000,000 combined maximum debt authorization shared by District Nos. 1, 2 and 3 under their consolidated service plan
• Revenue to Repay Debt*
  • Ad valorem property taxes:
    • Residential: up to 50 mills for debt service, as may be adjusted for changes in the residential assessment rate.
    • Commercial: up to 35 mills for debt service as may be adjusted for changes in the commercial assessment rate.
  • Operational mill levy: up to 10 mills for both residential and commercial properties  as may be adjusted for changes in the assessment rate.
  • Development impact fees due at building permit/platting prior to the construction of a home:
    • Drainage: $1,200 per lot.
    • Landscaping/Park: $1,000 per lot.
    • Transportation: $2,800 per single-family lot and $1,500 per multifamily lot.
  • Developer funding agreements: Used to cover early-stage capital and operational shortfalls, with repayment from future revenues
  • Revenue obligations: Bonds payable from non-property tax revenues
• Max mill levy to repay debt*
  • 50 mills for residentials.
  • 35 mills for commercials.
• Overlapping entities
  • El Paso County (governing jurisdiction for the Districts)
  • Epc Road & Bridge (Unshared)         
  • Academy School District #20            
  • Pikes Peak Library District
  • Black Forest Fire Protection District
  • El Paso County Conservation District          
  • Sterling Ranch Metro District #2                     
  • El Paso County Pid #2