Thompson Crossing Metropolitan Districts No. 3-6

In accordance with Section 32-1-104.5(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) Fire protection;

(b) Mosquito control;

(c) Parks and recreation;

(d) Safety protection;

(e) Sanitation (subject to certain limitations);

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

(g) Street improvement;

(h) Television relay and translation;

(i) Transportation;

(j) Water (subject to certain limitations); and

(k) Covenant enforcement.

District No. 3 has undertaken and/or anticipates undertaking construction of the following categories of public improvements: street improvements and parks and recreation.

District No. 3 provides the following ongoing services: operation and management of the clubhouse and pool amenities; landscaping and irrigation; snow removal; and covenant enforcement and design review.

3.  In accordance with the Districts’ Service Plans, the total amount of aggregate debt the Districts (inclusive of Thompson Crossing Metropolitan District Nos. 1-3) can incur to provide and pay for public infrastructure is Sixty-Five Million Dollars ($65,000,000).

4.  In accordance with the Districts’ Service Plans, the following revenue may be used to pay for each District’s debt: All bonds or other obligations issued by a District may be payable from general ad valorem taxes to be imposed upon all taxable property within such District and from other sources.

5.  In accordance with the Districts’ Service Plans, the maximum mill levy each District may assess to pay for its debt is: So long as the principal amount of all such bonds exceeds 50% of the assessed valuation of the District, as certified by the county assessor, such debt service mill levy may not exceed 50 mills, adjusted as provided in this paragraph. The debt service mill levy limitation of 50 mills will be subject to adjustment if the laws of the State change with respect to the assessment of property for taxation purposes, the ratio for determining assessed valuation changes, or other similar changes occur after August 20, 2001 (the date of approval of the original consolidated service plan). In these events, the 50 mill debt service limit may be adjusted by the District so that the tax liability of individual property owners neither increases nor decreases as a result of any such changes, thereby maintaining a constant level of tax receipts of the District and overall tax payments from property owners.

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