Mt. Carbon – the questionable development project to build out all of Rooney Valley in the 1980’s that went bankrupt in the 1990’s and whose bankruptcy bill Solterra residents are paying at 20 mills every year – is alive and kicking.
They are providing Red Rocks Centre with sewer and water. And they are also the same as Red Rocks Centre.
Jeffco Planning and Zoning will hold a public hearing November 6, at 6:15 PM. The County Commissioners with hold a public hearing November 19 at 8:00 AM. At the Jefferson County Building.
The issue is Red Rocks Centre’s application for subdivision. And there will be a lot more information shared.
Here are two maps Mt. Carbon recently filed. The first shows what’s left of Mt. Carbon. (You need to turn it sideways. Solterra is to the upper right corner. Red Rocks Centre/Mt. Carbon is to the lower right corner directly south of Solterra)
The second is the same map with a couple of small “inclusions” – area they recently included in the district. Plus it shows the water line and sewer line that the Mt. Carbon Water and Sanitation District provide to the area.
Two interesting points.
First, the sewer line goes right into the Big Sky district. Here is the Big Sky District – the black outline is the district approved by Lakewood in 2016.
Comparing these second two maps you can see the green line (sewer) go from the sewer treatment plant at the bottom (south) up along the right (east) side of C-470 into the Big Sky territory.
And Big Sky is arguing to the Court that they do not have access to sewer without the Big Sky IGA.
Second interesting point. Mt. Carbon is primarily the Red Rocks Centre development.
And sure enough, the “elected” (there were only two voters) directors of the Mt. Carbon District include the developer of Red Rocks Centre, two builders and the former CEO of the denver area economic council.
And what is even more interesting is that the developer and owner (an Ethanol Company based in Las Vegas) provided loans to the Mt. Carbon District to help fund the construction of the sewer treatment plant – finished in 2013 – and then bought all the tap rights for both water and sewer.
Here is the audit report for Mt. Carbon that provides more details:
Beginning at page 14 there is a description of the evolution of the relationship between the directors as developers on the one hand and directors as government officials running the Mt. Carbon District on the other hand.
Here are a couple of excerpts from Mt. Carbon’s Audit:
“The District was organized on September 14, 1976 as the Mount Carbon Water and Sanitation District and on October 4, 1982, the Service Plan was amended and the District renamed as the Mount Carbon Metropolitan District. The District is a quasi- municipal corporation and political subdivision of the State of Colorado operating under Colorado Special District Act. The District was originally established to provide several services, but these have since been limited to water and sewer facilities, services and programs. The District’s primary revenues are property taxes. The District is governed by an elected Board of Directors.”
“On May 1, 2012, the District entered into a Reimbursement Agreement with Tharaldson Ethanol Plant LLC (“Company”), whereby Company agreed to advance funds to the District based upon a schedule of anticipated funding needs through December 31, 2013 for operating and maintenance costs. The District agreed to reimburse Company the advances plus interest at the Prime Rate plus 1% per annum up to a maximum of 9%. Repayment is subject to annual appropriation, from proceeds received from the sale of District assets or its tax and fee imposition power. In no event shall this Agreement be construed as or constitute a “debt” of the District in such a manner as would violate the Constitution or other laws of the State of Colorado, but shall in all other events constitute a valid and legally binding obligation of the District.”
In essence, the representatives of the owner/developer took over Mt. Carbon and have sold to themselves the water and sewer rights of Mt. Carbon. Essentially, a government body – this special district – sold its public power, public rights and public duties – to a private company. And the people making this decision are affiliated with the owner/developer of the property.
So now this private company owns the water and sewer. Pretty convenient.
And of course there no conflict of interest in this arrangement. The “elected” directors of Mt. Carbon and the owner/developer they represent have nothing to gain by selling to themselves the water and sewer rights. Really.
And there is no check and balance. Unless the Town of Morrison steps up. Unclear what their relationship is to the folks running both Mt. Carbon and Red Rocks Centre.
So, come to the hearings. Should be some interesting questions and discussion.
Oh, and when your read through the files for the subdivision application, you will see there is a lot of concern about building on this area of shelf rock susceptible to landslides over the fault lines.
Here is the applicant’s own geological survey. See beginning at page 9.
Geological Hazard Assessment Red Rocks Centre
Here is the final staff report. See page 7. There must be at least 12 feet of fill between the bedrock and foundation
Red Rocks Centre – Staff Report
Here is the link to the entire Jeffco Planning Department file:
See you all on November 6.
John Henderson