METEX Metropolitan District

Mr. Kevin Ziegler
5196 Lone Star Pl
Colorado Springs CO 80922
Home: 719-573-9908

Mr. Lindsay J. Case Vice-chairman
102 E. Pikes Peak Ave.
Colorado Springs CO 80903
Office: 719-633-2700

Mr. Louis J. Joniak Chairman
Email: louisj@q.com
6280 Dazzling Ct.
Colorado Springs CO 80922
Home: 719-570-7643

Mr. John Brown Sec/Treas
6540 Holt Drive
Colorado Springs CO 80922
Home: 719-647-0276

Mrs. Rosemary Ferrarini Secretary
5070 Purcell Dr.
Colorado Springs CO 80922
Home: 719-596-6362

METEX District
1530 Fourmile La.
Canon City CO 81212
Home: 719-276-9649
Fax: same

METEX Metropolitan District

SERVICE AREA

METEX is bordered on the north by Woodmen Road, on the south by Platte Avenue, on the east by Marksheffel Road, and on the west by a line running parallel to Powers one mile to the west.

HISTORY

METEX (the District) is a quasi-municipality formed January, 1986, for the single purpose of expanding Powers Boulevard. When Stetson Hills and Springs Ranch subdivisions were requesting annexation into the City of Colorado Springs(the City), the City responded that no permits would be granted until the issue of Powers Boulevard was addressed because the existing two-lane county road was not adequate to handle the traffic that would be generated by the anticipated development. Property owners joined together and formed the METEX District to improve Powers in one consolidated effort from Woodmen Rd. to Platte Ave. An Intergovernmental Agreement (IGA) was signed establishing the purpose and responsibilities of the City, El Paso County (the County) and the District with regard to this improvement.

Construction was financed through the sale of bonds in the amount of $13,150,000 in November, 1986, and scheduled to be repaid in 20 years. These bonds were issued at an interest rate of 9-9.5 percent. Repayment would be made from tax revenues and development fees. The bonds were secured by 3.5 million dollars in letters of credit. In the early years, some calls were made on the letters of credit, but by 1990 the Resolution Trust Corporation (RTC) closed four of the five institutions that had issued those letters. In 1990 the RTC dishonored the letters of credit which caused the District to raise the mill levy to 31 mills with the possibility of 80 mills in subsequent years.

Homeowners organized and asked the City and County for assistance. A new Intergovernmental Agreement was signed by the City, the County and the District on December 15, 1991. In this IGA the City and County agreed to make annual appropriations in the form of interest-free loans enabling the District to cap its mill levy at 15 mills (1991 equivalency). The 1991 equivalency for 2002(collectible in 2003) is 19.51 mills. The loans would continue until the District was able to meet its debt service requirements at 15 mills on its own which was anticipated to be until 2006. Through 1999 the loans totaled $6,975,000.

The District worked with legal and financial consultants for several years until it was able to issue refunding bonds in 1997 at 4.5 percent and negotiate a new Intergovernmental Agreement with the City and County. The new bonds are to be repaid by taxes and developer fees and extended the debt until 2016. The 1997 IGA required the District to keep the 15 mill rate (1991 equivalency), but the total amount of loans was reduced because of the restructure of the debt that reduced the amount of assistance needed from the City and County. If the loans are not fully repaid by 2016, the remainder of the loans from the City and County are forgiven.

Because growth and valuation of the District have exceeded projections, the City and County were paid off in 2003. The mill levy for 2006 (collected in '07) was dropped to 0, and the Series A Bonds were paid off at the earliest call date of December, 2007. The District will be dissolved when the formalities are completed.

C. S. Goodwin
6/26/09

If you have questions about any of the above information, please call the METEX office at (719)275-7877.