PROPOSED MILL LEVY INCREASE FREQUENTLY ASKED QUESTIONS
Overview: Cherry Creek Vista Park and Recreation District was formed in 1998. The District
serves and is supported by approximately 2,400 homes. The District was created to furnish parks and recreation opportunities. Facilities, services and offerings include: a large pool facility with swim team and family membership for residents and neighbors; 5 parks that are home to 4 major playgrounds; 6 keyed tennis courts; 5 park pavilions for rental and everyday use; 4 fields and 1 baseball diamond for team practices and games; 3 concrete bridges included within many miles of improved concrete trails, suitable for pedestrians/runners, cyclists, child carriers, horses, and disabled use, some of which connect and fill a former gap in the Cherry Creek Trail system; 3 miles of brick security fencing surrounding the District; miles of treed, grass-covered, hedged and floral landscaping surrounding District Right-of-Ways as well as parks; and, snowplowing services for sidewalks, park parking lots and drives.
1. What is the District asking voters to approve?
The District is asking its voters to approve a mill levy increase of 1.8 mills that would generate to the
District additional property tax revenue of $114,286 per year.
2. Why is the District only now asking for an increase?
The operating and maintenance property tax mill levy for the District has remained at 2.473 mills since the District’s inception in 1981. Up until 2008, the District was able to rely upon new home development to provide additional revenues to pay for its operations. However, the District is now fully built out and costs continue to increase. The District has seen its costs for water, landscaping and park maintenance continue to escalate. A recent inspection revealed a list of maintenance items that cannot even be addressed for years to come, and that list is sure to grow over time. The District’s emergency fund is only at the bare minimum requirement of 3% for all operations and maintenance of parks and recreation, landscaping and greenbelts, trails, and pool services ($8,000); if a major item requires replacement or repair, the District would find itself unable to make such repair or would have to significantly reduce its park maintenance. A proper emergency fund is 50% of annual operating expenses, according to District best-practices and standards maintained by other park districts, which would be $100,000.
3. For what purposes will the money be used?
First and foremost, the District would gradually build up its emergency fund to recommended levels.
Second, it would begin to address its deferred maintenance projects. Lastly, it would leverage anyremaining funds to obtain Arapahoe County Open Space funds to upgrade its parks, trails and
playgrounds. Currently, the District is unable to pay for the required “match” of such funds and has seen entities such as Greenwood Village, Centennial and South Suburban Park and Recreation District awarded those monies consistently instead.
4. How much will the mill levy cost me?
That depends upon the value of your home. A typical $400,000 home could expect a property tax increase of less than $60 per year based upon the 1.8 mill levy increase being sought. However, the after tax cost of such increase could partially be offset by the fact that property taxes are usually fully deductible by taxpayers who itemize. You can check with your tax advisor for how this would apply to you.
5. How can I be sure the money won’t be wasted or used for such things as “overhead,”
administration and salaries?
First of all, the District has never had, does not currently, and does not ever foresee having ANY
employees. All of its services are contracted by way of competitive bid. The Board runs a frugaloperation and even conducts its meetings in donated space at the St. Peters Lutheran Church on Belleview Avenue (Come to our meetings to see for yourself !). All of the monies will be used in the manner described above, will remain in the District and benefit your facilities that you use and see on an everyday basis. Unlike most tax increases, ALL of the tax revenue being sought would be used right in your neighborhood and benefit you directly.
6. What steps has the District taken to reduce costs instead of asking for a mill levy increase?
As mentioned above, the District operates frugally. This includes competitively bidding of its contract services, such as landscaping, pool management, legal, financial and audit, on a periodic basis. It has had its landscape contractor implement maintenance and watering schedules to reduce its water usage and install water-saving devices to do the same. It has negotiated a lease with its pool concession to generate revenue to the District. The District also has taken steps to save money for you, the taxpayer, by refinancing outstanding debt, that has resulted in a debt service savings of $120 per year per household.
7. Why couldn’t the debt service savings returned to taxpayers cover the District’s operations
shortfall?
Because that is not allowed under state law. The law requires voters to approve tax expenditures for
certain specific reasons.
8. What would happen if voters fail to approve the mill levy increase?
The District would be unable to build a proper emergency fund. Any major failure of any facility, such as a pool boiler, playground, court, etc. could leave the District in the position of closing that facility or severely cutting back on the maintenance of another one. Parks, playgrounds and other facilities would be unable to be repaired and maintained and allowed to continue to deteriorate. In addition, the District would be unable to make any major upgrade of its parks, playgrounds, trails and other facilities.
9. Who supports this? Will I lose what we have if the increase fails?
Many private residents, homeowners' associations, community groups, local schools, within and surround the District, including: swim teams, youth sports programs etc. support the District's ability to provide ongoing maintenance of its parks and facilities for their use and enjoyment.
