GENERAL INFORMATION ABOUT THE DISTRICT
The Lupton Village Residential Metropolitan District (District), a quasi-municipal corporation and political subdivision of the State of Colorado, was organized by order and decree of the District Court for Weld County on May 25, 2006, and is governed pursuant to provisions of the Colorado Special District Act (Title 32, Article 1, Colorado Revised Statutes). The District operates under an amended service plan approved by the City of Fort Lupton (the City) in February 2020. From May 2006 through May 2023, District’s 5-memeber board was comprised of employees, owners and business partners of FTL Land Assemblage, LLLP (the Developer), the owners of all land within the District. In May 2023, three homeowners unaffiliated with the Developer were elected to the District’s board – the first time the District’s board was comprised of independent directors.
The District owns and maintains the parks and open spaces throughout the District and provides covenant enforcement and design review services to all homeowners within the District. The District also provides certain public services to the 254 townhome owners including snow removal and maintenance of landscaping around each townhome unit. The District charges a separate monthly maintenance fee to townhome owners to fund the costs of providing services unique to the townhome owners.
The only HOA operating within the boundaries of the District is the HOA that services the 27 single family home senior age-restricted community (aka the Courtyards).
In September 2021, the Developer-controlled District board issued $10.13 million in bonds for the purpose of reimbursing the Developer for costs incurred by the Developer to construct the neighborhood infrastructure (e.g. streets, curbs, sidewalks, water and electric lines, sewer lines, storm drainage, detention pond and open space landscaping, etc). The completed infrastructure assets were turned over by the Developer to the City of Fort Lupton (e.g. streets, water lines, sewer lines, sidewalks) in 2021 and to the District (parks, public open spaces and storm water detention ponds) in 2023. The City assigned a construction value of $3.35 million to the public infrastructure accepted by the City.
DISTRICT BOUNDARY MAP
The District’s service area boundaries solely encompass the Lupton Village Planned Unit Development, which is comprised of 90 single family homes, 254 townhomes and a 27-single family home senior restricted community.
DISTRICT REVENUE SOURCES
In order to fund the repayment of its bond debt and provide neighborhood services to the residents in the Lupton Village Residential Community, the District generates revenue from the following sources:
Property Taxes: Each year, the District assesses property taxes on the homeowners living within the Lupton Village Community. Property tax assessments is the District’s primary source of revenue and currently comprises approximately 88% of the District’s total annual revenue. In November 2020, the Developer-controlled District held an election where five of its employees voted to authorize the District to levy up to $1 million in property tax revenue per year to fund the District’s operations and public services.
State Tax Subsidies: Each year, the District receives a “specific ownership tax” subsidy from the State of Colorado. The State funds this subsidy from its collection of annual vehicle registration fee taxes paid by owners of Colorado-registered vehicles. The subsidy is paid out in the form of a matching contribution to the District and is calculated as a percentage of the total property taxes assessed by the District. The State establishes the rate each year for matching contributions. A historic trend of the matching rates set by the State is presented in Exhibit 1.
As of 2023, this subsidy is equal to approximately 4.3% of the District’s gross property tax revenue.
Interest Income: State laws restrict the types of funds in which the District may invest its cash. For the past several years, the District’s investment income has been an insignificant source of revenue to the District due to the low interest rates paid by banks on savings accounts and certain low-risk money market funds.
Click here to lean more about the District’s contractors.
Click here to learn more about the District’s bond debt.