Rock Canyon Metropolitan District

Rock Canyon Metropolitan District

2025 ANNUAL REPORT

 

(For Activities Completed in 2025, and With Information About Prospective Years)

As required by Section 32-1-207(3)(c), C.R.S. and Section XII of the District’s Service Plan, the following report of the activities of Rock Canyon Metropolitan District (the “District”) from January 1, 2025 to December 31, 2025 is hereby submitted.

I.                        District Description - General Information

a.       Board members, officers’ titles, and terms

1)      VACANCY – Term expires May 2029

2)      VACANCY – Term expires May 2029

3)      Selket Allen, Treasurer/Secretary – Term expires May 2029

4)      K. Sean Allen, President – Term expires May 2027

5)      VACANCY – Term expires May 2027

b.      Changes in board membership in past year:  None.

c.       Name and address for official District contacts: 

Paula J. Williams

McGeady Becher Cortese Williams P.C.

450 E. 17th Ave., Suite 400

Denver, CO  80203-1254

Phone: 303-592-4380

Fax: 303-592-4385

E-mail:  pwilliams@specialdistrictlaw.com

d.      Elections held in the past year and their purpose:  None.

e.       Access Information to obtain a copy of rules and regulation adopted by the Board:  Any rules or regulations adopted by the District may be accessed on the District’s website at https://rockcanyonmd.specialdistrict.org/

II.                        Boundary changes for the report year and proposed changes for the coming year: There were no boundary changes during 2025, and no boundary changes are anticipated for 2026.

III.                        List of intergovernmental agreements (existing or proposed) and a brief description of each detailing the financial and service arrangements.

a.       Contracts for operations, debt, and other contractual obligations with sub- districts or operating and taxing districts: None.

b.      Reimbursement agreements with developers and/or builders for advances to fund capital costs and administrative/operational and maintenance costs of the District: The District is a party to the following reimbursement agreements:

1)      “2020-2021 Operation Funding Agreement,” dated 8/28/20 and effective 9/1/20 (and as amended on 11/20/20 and 11/11/21), with Taylor Morrison of Colorado (“Taylor Morrison”), whereby Taylor Morrison shall advance funds for the operation of the District through 2022 up to a maximum amount of $100,000.  Advances incur interest at a rate not to exceed the current Bond Buyer 20-Bond GO Index plus four percent (4%).  The agreement terminates on December 31, 2062, unless terminated earlier by the parties.

2)      “Facilities Funding and Acquisition Agreement,” dated 12/10/19 and effective 2/28/19, with UDCM Rock Canyon, LLC (“UDCM”), whereby UDCM shall advance funds to the District for capital improvements through fiscal year 2023 up to a maximum amount of $5,000,000.  Advances incur interest at a rate not to exceed the current Bond Buyer 20-Bond GO Index plus four percent (4%). The agreement will terminate on December 31, 2059, unless terminated earlier by the parties.

IV.                        Service Plan

a.       List and description of services authorized in Service Plan: Water, storm sewer, sanitation and wastewater treatment, street improvements, traffic safety protection, parks and recreation, television relay and translation, mosquito control, covenant enforcement and design review, and security services, all as more particularly described in the Service Plan.

b.      List and description of facilities authorized in Service Plan: Water, storm sewer, sanitation and wastewater treatment, street improvement, traffic safety protection, parks and recreation, and television relay and translation facilities, all as more particularly described in the Service Plan.

c.       List and description of any extraterritorial services, facilities, and agreements: None.

V.                        Development Progress:

a.       Indicate the estimated year of build-out, as set forth in the Service Plan: 2021 was the estimated year of build-out.

b.      List the services provided with the date service began compared to the date authorized by the Service Plan: N/A

c.       List changes made to the Service Plan, including when the change was authorized, when it was implemented or is expected to be implemented: None.

d.      List facilities to be acquired or constructed or leased back as set forth in the Service Plan and compare the date of completion or operation with the date authorized by the Service Plan: N/A

e.       List facilities not completed.  Indicate the reason for incompletion and provide a revised schedule, if any: N/A

f.        List facilities currently under construction with the percentage completed and an anticipated date of completion: All the subdivision improvements, including the common area landscaping, have been completed and the District is built out.

g.      Indicate the population of the District for the previous five (5) years and provide population projections for the next five (5) years: Population was zero for the previous five years.  As of year-end 2021, the District had a total of five closings, with a population estimate of 15.  As of year-end 2022, the District closed on 34 homes, with an estimated population of 102.  At build-out, the population is approximately 162 (assuming 3 occupants for each of the 54 single-family residential units in the District).

h.      List the planned number of housing units by type and the number of commercial and industrial properties with respective square footage and anticipated dates of completion/operation.  Compare the completed units and completed commercial and industrial properties to the amount planned in the Service Plan.  All 54 single-family residential units have been constructed and sold within the District.

i.        List any enterprises created by and/or operated by or on behalf of the District and summarize the purpose of each.  N/A

j.        Provide a summary of litigation involving public improvements owned by the District: None.

k.      Conveyances or dedications of facilities or improvements, constructed by the District to Douglas County: None.

VI.                        Financial Plan and Financial Activities

a.       Provide a copy of the audit or exemption from the audit for the reporting year. The District’s 2025 Audit will be prepared and filed with the State Auditor by July 31, 2025, pursuant to statute.  A copy of the 2025 Audit will be linked when available.

b.      Provide a copy of the budget, showing the reporting and previous years.  A copy of the District’s budget proceedings for 2026 is attached hereto.

2026 Budget

c.       Show revenues and expenditures of the District for the previous five (5) years and provide projections for the next five (5) years.  Include any non-District or non-governmental financial support.  Include and list individually all fees, rates, tolls, etc., with a summary of the purpose of each.  Show other miscellaneous tax revenue, such as specific ownership taxes.  For the same period, show actual and projected mill levies by purpose (showing mill levies for each individual general obligation, revenue-based obligation, or contractual obligation).  For projections for the next five (5) years, see the Financial Plan of the District.

Financial Plan

d.      List all debt that has been issued, including all individual issuances with a schedule of service until the debt is retired.  The District issued the following debt in 2020.  See the District’s 2026 Budget Proceedings (Exhibit A) for the debt retirement schedule.

1)                        General Obligation Limited Tax Bonds, Series 2020A, in the amount of $1,637,000;

2)                        Subordinate General Obligation Limited Tax Bonds, Series 2020B(3), in the amount of $398,000.

e.       List individually all authorized but unissued debt, including the purpose, ballot issue letter designation and election date, and amounts authorized and unissued.  See the Board of Canvassers’ Certificate of Election results for the November 6, 2018, organizational election, provided with the 2019 Annual Report for authorized debt.  As of December 31, 2020, the authorized debt amount was reduced by $2,035,000, due to the issuance of the Series 2020A and Series 2020B(3) Bonds.

f.        List the total amount of debt issued and outstanding as of the date of the annual report and compare to the maximum authorized debt level as set forth in the Service Plan.  The District is authorized under its Service Plan to issue up to $5,000,000 in debt.  As of December 31, 2025, the District issued $2,035,000 in debt, leaving $2,965,000 in debt authorized but unissued .

g.       Enterprises of the District.  N/A

1)                        Include revenues of the enterprise, showing both direct support from the District and all other sources.

2)                        Include expenses of the enterprise, showing both direct payments to the District and all other obligations.

h.      Detail contractual obligations. 

1)                        Describe the type of obligation, current year dollar amount, and any changes in the payment schedule, e.g. balloon payments.  See the District’s 2025 Audit (when available) for obligations pursuant to the Series 2020A and Series 2020B(3) Bonds.

2)                        Report any inability of the District to pay current obligations that are due within the current budget year: None.

Describe any District financial obligations in default: None .

i.        Actual and Assessed Valuation History.  

*The District was organized on February 28, 2019

1)                        Report the annual actual and assessed valuation for the current year and for each of seven (7) years prior to current year.

2)                        For each year, compare the certified assessed value with the Service Plan estimate for that year.  If Service Plan estimates are not available, indicate the same and report the certified value.

j.        Mill Levy History.  

*The District was organized on February 28, 2019

1)                        Report the annual mill levy for the current year and for each of the seven (7) years prior to current year.  Break the mill levies out by purpose (e.g., debt issuance and operations and maintenance)

2)                        For each year, compare the actual mill levy with the Service Plan estimate for that year.  If Service Plan estimates are not available, indicate the same and report the actual mill levies.

k.      Miscellaneous Taxes History.  N/A

1)                        Report the annual miscellaneous tax revenue for the current year and for each of the seven (7) years prior to the current year.  Break the tax revenue out by purpose (e.g., general operations, revenue-based obligations, debt by issue, contractual obligations, other)

2)                        For each year, compare the actual miscellaneous tax revenue with the Service Plan estimate for that year (if provided in Plan).  If the Service Plan estimates are not available, indicate the same and report the actual taxes.

l.        Estimated Assessed Valuation of District at 100% Build-Out.  

Financial Plan

1)                        Provide an updated estimate and compare this with the Service Plan estimate.

m.    Estimated Amount of Additional General Obligation Debt to be Issued by the District between the End of Current Year and 100% Build-Out.  

Financial Plan

1)                        Provide an updated estimate based on current events.  Do not include refunding bonds.  No current plans to issue the $2,965,000 in authorized but unissued debt.

n.       Notice of any uncured events of default by the District, which continue beyond a ninety (90) day period, under any debt instrument. To our knowledge, there are no uncured events of default by the District which continue beyond a ninety (90) day period.

o.        Any inability of the District to pay its obligations as they come due, in accordance with the terms of such obligations, which continues beyond a ninety (90) day period. To our knowledge, the District has been able to pay its obligations as they come due

 

*For accessibility purposes, this is an alternate conforming version of the 2024 Annual Report

2024 Audit2023 Audit

2026 Budget

2026 Mill Levies - 74.792

2025 Budget

2025 Mill Levies - 74.702

2024 Budget Amendment2025 Budget Amendment

The Transparency Notices for the Districts can be accessed on the Special District Association website:

https://www.sdaco.org/lc/sda-transparency/notice/id/2963