History / Timeline

Town of Morrison approves the service plans for RRC Metro Districts 1 through 6 as proposed by the Developer. Per District 2's Service Plan, Districts 1, 2 and 3 was to provide services to 695 homes located within the Red Rock Ranch Subdivisions 2, 3B and 4 and all subdivisions were to be annexed into the City of Lakewood. 

Jefferson County approves Red Rocks Ranch Subdivision Filing No 2 plat map submitted by the land owner, Tharaldson Ethanol Plant I, LLC. Filing No 2 is essentially a replatting of Red Rocks Ranch Filing No 1 and changes the intended use of the land from commercial/industrial development to residential development.

Lennar purchases all land within Red Rocks Ranch Subdivision Filing No 2 (which is ultimately platted for 995 homes) for $50 million ($50,251 per home lot) from Tharaldson Ethanol Plant I, LLC. 

The District (while the Board was under control of the Lennar) issues $45 million in bond debt. The proceeds from the bond (plus interest earned on such cash balances) was used to (1) pay for bond issuance costs totaling $1.1 million, (2) subsidize Lennar's development of land for 300 homes in District 1 by transferring $36.3 million to District 1 and (3) subsidize certain costs incurred by the Authority totaling $8.8 million.

The District also entered into an intergovernmental funding agreement with District 1 whereby District 1 has pledged to the repayment of the District’s bond debt all revenues generated by District 1 from (1) a debt levy equal to 50 mills, as adjusted by the State of Colorado for changes in the ratio of taxable valuation to assessed valuation of real property since January 01, 2017 net of county treasurer collection fees and (2) all related specific ownership tax revenues.

Due to the October 2018 exclusion of land from the Town of Morrison comprising the District's property tax, the District submits an amended and restated service plan to Jefferson County for approval. The County approves the District's amended and restated service plan.

The RRC Authority (the “Authority”), a public corporation and political subdivision of the State of Colorado, was created via the RRC Authority Establishment Agreement dated April 6, 2023, by and between the RRC Metropolitan District Nos. 1, 2, 4, 5, and 6. At the time the RRC Authority was created, Lennar Colorado, LLC controlled the boards of all five districts. Each district may appoint one member to the 5-member board of the Authority.

The service boundaries of District 1 is comprised of 300 residential homes (fully built out) located southwest from District 2's service area. And District 2 is comprised of 703 homes (partially built out). However, the service boundaries of Districts 4, 5 and 6 are each comprised of a single vacant home lot owned by Lennar - which ensures Lennar will always control the majority of directors appointed to the Authority. So, although 99.9% of the property tax base subject to the Authority is located in Districts 1 and 2, Districts 1 and 2 will never control the majority of votes on the Authority's Board. 

The Authority may, combined with the Districts, incur a maximum debt of $50,000,000.  Ad valorem property taxes, specific ownership taxes, and any other legally available moneys from the members of the Authority may be used to repay the Authority's debt. 

The Authority does not impose a debt service mill levy on any properties in Districts 1, 2, 4, 5 and 6.  However, the Districts may assess, as adjusted for statutory or legislative changes on or after January 1, 2016, a maximum mill levy of fifty (50) mills to repay any such debt issued by the Authority.  Per separate agreements between the Districts and the Authority (entered into when Lennar controlled the boards of all Districts), the Districts have agreed to pledge their revenues to the Authority.