MEADOWS S.I.A. MANAGEMENT GROUP
C/O LARIMER COUNTY PLANNING DEPARTMENT
P.O. BOX 1190, FT. COLLINS, CO 80521
Report to the Board of County
During the late 1970's and early 1980's Glacier View Meadows Development Company (the Developer) fell behind in the construction of certain subdivisions improvements required under agreements with Larimer County. The most significant improvements included roads in Filing 12, a community water and sewer system designed to serve 174 lots in Filing 12 and the completion of community water and sewer facilities In a portion of Filing 8. following the commencement of a foreclosure action by Larimer County against properties pledged by the Developer to guarantee completion of the improvements, the county and the Developer in 1990 entered into a Stipulation in settlement of the litigation.
Under the terms of the Stipulation, the collateral properties, consisting of 55 lots located in Glacier View Meadows and Crystal Lakes and a 200 acre parcel near Glacier View Meadows, were transferred to the County. The Developer also transferred a small amount in escrowed cash funds to the County and assigned 30 promissory notes given by various purchases of 12th Filing lots which were conditioned upon completion of the proposed water and sewer system. The BCC appointed a committee consisting of three members, one from the County Planning Department, one recommended by the Developer and one recommended by the Glacier View Associations, to oversee the liquidation of the collateral properties and completion of the improvements to the extent possible from the proceeds of the property sales.
From 1991-1994 the Management Group liquidated the 200 acre parcel and 4 lots yielding $175,839.50 in net proceeds. Out of these proceeds, $59,153.00 was paid to Larimer county in reimbursement of delinquent property taxes which had accumulated prior to the transfer to the County. The remaining funds were applied by the Management Group toward the construction of various subdivision improvements, which included the following:
1. Installation of a cistern and related pumping equipment to alleviate a water shortage emergency in the 8th filing community system.
2. commissioned a feasibility study to determine the projected cost of completing the 12th filing community water and sewer system as originally designed and identify alternative plans for reducing the project size given the apparent shortfall in funding.
3. Extended electrical service to the 12th filing community well.
4. Completed the testing, hydro-fracturing and activation of the 12th filing community well.
5. Completed the drilling, testing and activation of an additional 8th filing community well.
The Feasibility Study completed by Ayres and Associates estimated the cost of completing the 12th filing community water and sewer system to be in excess of $2,000.000. Since the net value of the collateral properties was projected to be approximately 600-800,000,it quickly became apparent that the scope of the 12th filing system would have to be reduced. The Feasibility Study identified a number of alternatives which were reviewed by the County Health Department. Under the alternative recommended by the Management Group and adopted by the BCC in 1995, the 12th filing community water and sewer was substantially reduced in scope.
The revised plan calls for (see
* Water service to 64 lots located in the northwest quadrant of the 12th filing. (Sewer service to these lots will be by individual on-site septic systems built at the owner's expense, provided the sites meet County Health Department guidelines based upon soil test results.)
* Cluster sewer services to 28 lots located in the southeast quadrant. (Water will be supplied to these lots by individual on-site wells or cisterns installed at the owner's expense.)
* Restricting 20 lots to cisterns and sealed vaults due to lot size restrictions. (These facilities will be installed at the owner's expense.)
* Releasing the remaining properties to allow construction of individual on-site water and sewer facilities at the owner's expense.
Since 1995 the Management Group, with considerable cooperation and support from the Glacier View Meadows Associations, has completed the following:
Improvement and groveling of approximately 1.5 miles of Meadow Mountain Drive in Filing 12
at a cost of approximately $15,000.
* Secured easements from the owners of Lots 82,83 and 88 for a water line connecting the community well to underground storage tanks for the 12th filing system.
* Completed Phase I of the revised 12th filing community water system at a total project cost of approximately $204,000, which is nearly $50,000 under budget. This phase consisted of the installation of two 30,000 gallon buried storage tanks on Green Mountain Circle, construction of a pump house and installation of pumping equipment, chlorinating tank and water lines connecting the pump house to the storage tanks, and installation of water taps to 5 lots.
* Commissioning an engineering study concerning Phase II of the 12th Filing community water system, which will involve the installation of 9,640 feet of 4" distribution lines and water taps to the remaining 59 properties scheduled for water service. The engineering report received by the Management Group in June 1998 projects to cost of this phase at $295,000.
Summary of Sales to Date/Value of
To date, the Management Group has liquidated the 200 acre parcel and 31 of the 55 collateral lots. These sales have generated a gross sales price of $501,830 and net sales proceeds of $461,927.50 (92%) after payment of real estate commissions and other closing costs. 24 lots remain unsold, representing a total current value of $375,800 in S.I.A. assets.
In order to complete as much of the original plan as possible, the Management Group and Glacier view Meadows Associations have approved an availability fee which will be assessed against the 64 properties served by the 12th Filing community water system. The fee will be $5,000 initially and will be adjusted annually beginning in 1999 based upon the Consumer Price Index. This fee will be payable o n the first day of the second month following the extension of water service past the property. In October 1997, the Management Group advised 12th Filing property that some properties would have service during 1998 and recommended the owners begin to make financial arrangements for the payment of the fee. The $5,000 availability fee will be shared between the Glacier View Water and Sewer Association and the Management Group, with $600 going to the Association in reimbursement of its costs in installing taps and overseeing the project and the balance going into the S.I.A. fund.
Current Available Funds/Remaining
As of June 9, 1998 the S.I.A. escrow account contained $80,093.61. Approximately $20,000 of this amount is committed to payment of the balance of Phase I and the engineering study for Phase II, leaving a current balance of approximately $60,000 in unencumbered funds. The availability fees will yield approximately $280,000 in additional funds, and sales of the remaining collateral properties are expected to yield approximately $3000,000.
Current funds ($60,000), availability fees ($280,0000) and future sales proceeds ($300,000) will provided a total of approximately $640,000 available for future projects, which will include the following:
of additional water wells to serve the 12th Filing community system.
* Further improvements to the 8th filing community water and sewer system serving East and West Quandary Courts.
* Construction of cluster sewer systems serving 28 lots in the southeast quadrant of the 12th filing.
* Road construction and improvement in Filing 12.