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  1. 8/27/2010 BOARD OF DIRECTORS ADOPTS RESOLUTION OPPOSING AMENDMENTS 60 AND 61 AND PROPOSITION 101
  2. The Board of Directors of Platte Canyon Water and Sanitation District has adopted a resolution opposing Amendment 60 and 61 and Proposition 101 three initiatives that will appear on the November 2, 2010 ballot.
     
    The Board’s decision to oppose the ballot proposals came after extensive analysis and discussion of the potential ramifications of the ballot proposals.
     
    The Board urges all voters to research and fully understand the implications of the three ballot proposals before voting.
     
    The text of the Board’s resolution is printed below:
     
     
    RESOLUTION 2010-8-1
    PLATTE CANYON WATER AND SANITATION DISTRICT
    ARAPAHOE AND JEFFERSON COUNTIES, Colorado
                                                                                                                                                               
     
    A RESOLUTION ADVOCATING VOTER OPPOSITION TO AMENDMENT 60, AMENDMENT 61, AND PROPOSITION 101
                                                                                                                                                               
     
    WHEREAS, the Platte Canyon Metropolitan Water and Sanitation District (“District”) is a quasi-municipal corporation and political subdivision of the State of Colorado and a duly organized and existing special district pursuant to Title 32, Colorado Revised Statutes; and
    WHEREAS, proposed Amendment 60, Amendment 61 and Proposition 101 will appear on the statewide ballot at the November 2, 2010 General Election and all three proposed measures will have significant adverse impacts on the District and its residents and property owners; and
    WHEREAS, the District provides for the distribution of potable water to its residents by contract with Denver Water (“Denver Water”) and provides for the treatment of wastewater generated by its residents by contract with the City of Littleton (“City”); and
    WHEREAS, pursuant to such contracts Denver Water and the City bill District residents directly for the services provided; and
    WHEREAS, Denver Water and City respectively own extensive water and wastewater treatment and other facilities that have historically have been immune from property taxes under state law; and
    WHEREAS, the water and wastewater facilities of Denver Water and the City are hereinafter collectively referred to as the “Facilities;” and
    WHEREAS, Amendment 60 would require the taxing of the Facilities owned by Denver Water and the City. This will have a direct impact on Denver Water’s and City’s operating expenses and on the water and sewer bills received by District residents; and
    WHEREAS, if proposed Amendment 60 passes, the increased cost for taxes for Denver Water alone could be as high as 34 million dollars annually; and while precise figures are not available, it is anticipated that the District and City will experience similar dramatic increases in operating costs due to expenditures for property taxes on their Facilities; and
    WHEREAS, in order to pay the property taxes that would be imposed upon Denver Water and City if Amendment 60 were to pass, Denver Water and City will have to significantly increase the rates charged to the District customers, for water and wastewater service, respectively; and
    WHEREAS, further, Amendment 60 would require the voter approval previously given to the District, to keep all property tax revenues generated by the District’s property tax mill levy, to be reauthorized every four years, thus increasing the District’s administrative and election costs; and
    WHEREAS, proposed Amendment 61 would require voter approval for the District, Denver Water, and City, or either one of them, to issue bonds, would limit bond terms to 10 years and would make future bonds subject to prepayment without penalty; and
    WHEREAS, if such bond financing restrictions are approved it will make future bond issues by the District, Denver Water and City far more difficult and expensive; and
    WHEREAS, if Amendment 61 passes, large capital projects will likely become unaffordable for the District, Denver Water and City because Amendment 61 requires bonds to be paid off within 10 years, and will place the burden of paying for large capital projects that primarily benefit future residents, upon current residents; and
    WHEREAS, if Amendment 61 passes, any future debt issued by Denver Water and/or City will most likely result in substantially higher water and/or sewer rates because of the short 10 year debt repayment period; and
    WHEREAS, the District currently has no long-term debt, but in the future it may need to incur bonded or other indebtedness in order to replace and rehabilitate the District’s Facilities; and
    WHEREAS, the District’s ability to finance long-term capital projects, including but not limited to the replacement and rehabilitation of its water distribution and wastewater collection systems will also be significantly and adversely impacted by the restrictions on debt financing as proposed by Amendment 61; and
    WHEREAS, if Proposition 101 were to pass, the District’s revenue from specific ownership taxes would be significantly reduced if not eliminated; and
    WHEREAS, the accumulative and destructive nature of Amendments 60, 61 and Proposition 101 would encourage existing business to leave to Colorado and deter prospective businesses from locating in Colorado.  This would result in substantial job losses, a decline in property values, and an erosion of the state and local tax base; and
    WHEREAS, the Colorado Fair Campaign Practices Act authorizes special district’s to adopt resolutions of support or opposition to ballot issues, and it is therefore the desire of the Board of Directors (“Board”) of the District to express its unanimous opposition to Amendment 60, Amendment 61, and Proposition 101; and
    WHEREAS, the Board hereby finds and determines that it is appropriate and necessary to the function and operation of the District and to the furnishing of water and sewer service to its residents at a reasonable cost, to adopt this Resolution urging voters to oppose Amendment 60, Amendment 61, and Proposition 101. 
    NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Platte Canyon Water and Sanitation District that the Board hereby expresses its strongest possible opposition to Amendment 60, Amendment 61, and Proposition 101; and further the voters of the District are encouraged to vote “NO” on Amendment 60, Amendment 61, and Proposition 101 at the November 2, 2010 General Election; and further confirms that, if passed, Amendment 60, Amendment 61, and Proposition 101 threaten to impair the District’s ability to construct, maintain and provide the services and facilities being provided for the health, safety and welfare of current and future District residents.
     
    ADOPTED this 20th day of August, 2010.
     
    PLATTE CANYON WATER AND SANITATION DISTRICT
     
    By  Jack C. Dice, Chairman
     
     
    Attest:  Kenneth D. Bradford, Secretary