General Information About the District

The Riverdale Dunes Metropolitan District No. 1 (District), a quasi-municipal corporation and political subdivision of the State of Colorado, was organized by order and decree of the District Court for Adams County on November 19, 1996, and is governed pursuant to provisions of the Colorado Special District Act (Title 32, Article 1, Colorado Revised Statutes). The District operates under the amended service plan approved by Commerce City (the City) in July 2000 and as modified on November 20, 2006. The District’s service area boundaries encompass the Dunes Park neighborhood, which is comprised of 250 single family homes and the 182 townhome units.

In 2002, the District issued bonds to finance the construction and development of the Dunes Park infrastructure (e.g. streets, curbs, sidewalks, water and electric lines, sewer lines, storm drainage, detention pond, recreational pool, perimeter fencing, open space landscaping, etc). With a few exceptions, the completed infrastructure assets were turned over to Commerce City (e.g. streets) and the respective utility companies (e.g. water and sewer

lines turned over to South Adams County Water & Sanitation District, street lights and power lines were turned over to United Power, etc). The open spaces, recreational pool, park, detention pond and perimeter fencing were turned over to the Dunes Park residents to maintain. The residents maintained these assets through the Dunes Master Owners Association, Inc. through 2012.  Beginning in 2013, the residents voted to restructure its neighborhood operations and return these assets to the District to operate and maintain.

In addition to maintaining the open spaces and recreational facilities in Dunes Park, the District also enforces the covenants and architectural design guidelines of the Dunes Park common interest community, provides architectural review services and services the repayment of its bond indebtedness.

District Revenue Sources

In order to fund the repayment of its bond debt and provide neighborhood services to the Dunes Park residents, the District generates revenue from the following sources:

Property Taxes: Each year, the District assesses property taxes on the homeowners living within Dunes Park.  Property tax assessments is the District's primary source of revenue and comprises approximately 90% to 93% of the District's total annual revenue.  In November 2000, voters approved the District's ballot issue 5A, which authorized the District to change the mill levy rate each year without obtaining further approval from the voters.  However, the District is restricted from generating annual property tax revenue in excess of $500,000.  This tax ceiling limit is adjusted each year for inflation based on the Colorado Consumer Price Index.

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 provided in Exhibit 1.

For the past few years, this subsidy has comprised approximately 6% of the District's total annual revenue.

Conservation Trust Fund: Beginning January 1, 2014, the District will be eligible to receive an annual subsidy from the Conservation Trust Fund (CTF). The Colorado Constitution (Article XXVII, Section 3), as amended in 1992, directs 40% of the net proceeds of the Colorado Lottery to the CTF for distribution to municipalities and counties and other eligible entities for parks, recreation, and open space purposes.  The annual subsidy is calculated as a rate (established by the CTF) multiplied by the population size of the District.  The rate changes each year and is primarily dependent on the amount of revenue generated by the State Lottery.

For the District, the revenue is not significant--comprising less than 2% of the District's total revenue.  However, the Board anticipates the subsidy will still bring in between $4,000 and $5,000 each year to the District to fund improvements to the Dunes Park open spaces and recreational facilities.

Interest Income: State laws restrict the types of funds in which the District may invest its cash.  For the past three years, the District's investment income has been an insignificant source of revenue to the District due to the decline in interest rates paid by banks on savings accounts and certain low-risk money market funds.

Covenant Enforcement

Click here to learn more about the District's enforcement of the Dunes Park restrictive covenants and minimum maintenance requirements.

Architectural Review Services

Click here to learn more about the architectural design guidelines for the Dunes Park neighborhood.

District Contractors

Click here to lean more about the District's contractors.

Bond Debt

Click here to learn more about the District's bond debt.