Turion Metropolitan District Nos. 1-6

In accordance with Section 32-104.5(3)(X), C.R.S., the following general explanation in plain, nontechnical language, is provided.  This information is intended to be read in conjunction with all applicable legal requirements, governing documents, agreements, resolutions, and determinations of the Boards of Directors of the Districts. 

1. A metropolitan district is a special district that provides any two or more of the following services: 

(a) Fire protection; 

(b) Mosquito control; 

(c) Parks and recreation; 

(d) Safety protection; 

(e) Sanitation; 

(f) Solid waste disposal facilities or collection and transportation of solid waste; 

(g) Street improvement; 

(h) Television relay and translation; 

(i) Transportation; and 

(j) Water. 

2. In accordance with the Districts’ Service Plan, the Districts may provide the following public improvements and services: 

(a) Sanitation and Storm Drainage; 

(b) Water; 

(c) Non-potable Water; 

(d) Streets; 

(e) Traffic and Safety Controls; 

(f) Parks and Recreation; 

(g) Mosquito and Pest Control;  

(h) Security Services; 

(i) Covenant Enforcement and Design Review Services; and 

(j) Fire Protection and Emergency Services. 

As contemplated by the Districts’ Service Plan and by separate agreement among the Districts, District No. 1 (the “Coordinating District”) is responsible for undertaking the construction, operation and maintenance of public improvements for the benefit of the Districts as development occurs, and District Nos. 2 – 6 (the “Financing Districts”) will provide funding for the costs associated with the provision of public improvements and services by District No. 1. 

District No. 1 will provide the following ongoing services on behalf of the Districts: operation and maintenance services of public improvements owned by District No. 1 and located within the boundaries of the Districts. 

3. In accordance with the Districts’ Service Plan, the total amount of debt the Districts can incur to provide and pay for public infrastructure is as follows:. 

In order to respond to future contingencies and increases in costs, each Financing District’s Debt issuance limit will be $20,000,000.00, the Coordinating District's Debt issuance limit will be $75,000,000 (the "Individual Debt Limit"), and the total Debt issuance limit for all Districts combined shall be $75,000,000.00 (the "Combined Debt Limit") (the Individual Debt Limit and Combined Debt Limit are referred to herein collectively as the "Debt Limits").   

4. In accordance with the Districts’ Service Plan, the following revenue may be used to pay for the Districts’ debt:   

The Districts may authorize, issue, sell, and deliver such bonds, notes, contracts, reimbursement agreements, or other obligations evidencing or securing a borrowing (collectively, "Obligations") as are permitted by law.  Obligations may be payable from any and all legally available revenues of the Districts in any form or combination of forms that may be permitted by applicable law. 

5. In accordance with the Districts’ Service Plan, the maximum mill levy a District may assess to pay for its debt is as follows: 

The maximum mill levy the District can promise to impose for the payment of Debt shall be 50 mills; provided however, that in the event the method of calculating assessed valuation is changed after the date of the approval of the Service Plan, the mill levy limitation applicable to such Debt may be increased or decreased to reflect such changes, such increases or decreases to be determined by the Board in good faith (such determination to be binding and final) so that to the extent possible, the actual tax revenues generated by the mill levy, as adjusted, are neither diminished nor enhanced as a result of such changes.  For purposes of the foregoing, a change in the ratio of actual valuation to assessed valuation shall be deemed to be a change in the method of calculating assessed valuation. 

6. Residents within each District may serve on the Board of Directors of the District if they are eligible electors of the District. A resident is an eligible elector of the District if the resident lives within the boundaries of the District and is registered to vote in Colorado.