HomeMy WebLinkAbout2023 SLMD Annual Report1615.0024; 7VAWM2FEZEXZ-314893874-159
SIENNA LAKE METROPOLITAN DISTRICT
2023 ANNUAL REPORT
Pursuant to §32-1-207(3)(c), Siena Lake Metropolitan District (the “District”) is required
to provide an annual report required to provide an annual report to the Town of Gypsum with
regard to the following matters:
For the year ending December 31, 2023, the District make the following report:
§32-1-207(3) Statutory Requirements
1. Boundary changes made.
There were no boundary changes made or proposed to the Districts’ boundaries in 2023.
2. Intergovernmental Agreements entered into or terminated with other governmental
entities.
The District did not enter into nor terminate any intergovernmental agreements during
2023.
3. Access information to obtain a copy of rules and regulations adopted by the board.
As of December 31, 2023, the Districts had not adopted any rules or regulations.
4. A summary of litigation involving public improvements owned by the District.
To our actual knowledge, based on review of the court records in Eagle County, Colorado
and the Public Access to Court Electronic Records (PACER), there is no litigation
involving the District’s public improvements as of December 31, 2023.
5. The status of the construction of public improvements by the District.
Raw Water System & Ponds-$0
Raw Water Pumpback System-$0
Potable Water System-to be conveyed to Town of Gypsum-$926,980
Sewer & Storm Sewer System-to be conveyed to Town of Gypsum-$538,975
The district continues to accept certified costs for public improvements being constructed
by the developer
6. A list of facilities or improvements constructed by the District that were conveyed or
dedicated to the county or municipality.
The Districts did not construct any facilities or improvements dedicated to or accepted by
the City in 2023.
7. The final assessed valuation of the District as of December 31st of the reporting year.
The District’s final assessed valuation for 2023 is $2,690,830.
8. A copy of the current year’s budget.
A copy of the 2024 Budget is attached hereto as Exhibit A.
1615.0024; 7VAWM2FEZEXZ-314893874-159
9. A copy of the audited financial statements, if required by the “Colorado Local
Government Audit Law”, part 6 of article 1 of title 29, or the application for
exemption from audit, as applicable.
The 2023 Audit is attached hereto as Exhibit B.
10. Notice of any uncured events of default by the Districts, which continue beyond a
ninety (90) day period, under any Debt instrument.
To our actual knowledge, the Districts did not receive notice of any uncured events of
default by the Districts, which continued beyond a ninety (90) day period, under any Debt
instrument.
11. Any inability of the Districts to pay their obligations as they come due, in accordance
with the terms of such obligations, which continue beyond a ninety (90) day period.
To our actual knowledge, there was not any inability of the Districts to pay their obligations
as they came due, in accordance with the terms of such obligations, which continued
beyond a ninety (90) day period.
1615.0024; 7VAWM2FEZEXZ-314893874-159
EXHIBIT A
2024 Budget
SIENA LAKE METROPOLITAN DISTRICT
2024 BUDGET MESSAGE
Siena Lake Metropolitan District, formerly Saddleridge Metropolitan District, is a quasi-municipal
corporation organized and operated pursuant to provisions set forth in the Colorado Special District
Act. The District was established to provide for the planning, design, acquisition, construction,
installation, relocation, redevelopment and financing of Public Improvements such as streets,
water, sanitary sewer, traffic and safety controls, parks and recreation improvements,
transportation improvements, mosquito control and fire protection.
The District has no employees and all operations and administrative functions are contracted.
The following budget is prepared on the modified accrual basis of accounting, which is consistent
with the basis of accounting used in presenting the District's financial statements.
2024 BUDGET STRATEGY
The District’s primary responsibilities in 2024 are to levy and collect property taxes which will be
used to pay operating and debt service expenditures as well as use of bond proceeds for
construction and/or acceptance of infrastructure. Shortfalls in available funding will be funded
through Developer advances.
Siena Lake Metropolitan District
Statement of Net Position
09/30/2023
ASSETS
Current Assets
Alpine Bank Checking 12,524 12,524
Colotrust Savings 5.25%22,135 22,135
UMB Bank - Project Fund - Restricted 6,534,966 6,534,966
UMB Bank - Project Fund - Unrestricted 4,778,050 4,778,050
UMB Bank - Bond Fund Account 1,300,671 1,300,671
UMB Bank - Surplus Fund Account 1,894,087 1,894,087
UMB Bank - Cost of Issuance Fund - -
Pooled Cash 5,426 (2,835) (2,591) 0
Due From Treasurer - - -
Prepaid Expense 2,076 2,076
Property Taxes Receivable 2 4 6
Fixed Assets
Roads - -
Parks & Recreation - -
Sewer 1,697,437 1,697,437
Water 4,400,773 4,400,773
Accumulated Depreciation (69,534) (69,534)
TOTAL ASSETS 42,163 3,191,926 11,310,425 6,028,676 20,573,190
LIABILITIES & DEFERRED INFLOWS
Current Liabilities & Deferred Inflows
Accounts Payable 72,448 72,448
Deferred Property Taxes 2 4 6
Retainage Payable - -
Long-Term Liabilities:
Bonds Payable - Series 2021 24,565,000 24,565,000
Developer Payable- Red Table Ventures- Operations 24,000 24,000
Developer Payable- Siena Lake LLC- Operations 143,000 143,000
Developer Payable- Siena Lake LLC- Capital 626,191 626,191
Accrued Interest- Series 2021 Bonds 79,271 79,271
Accrued Interest- Red Table Ventures- Operations 5,776 5,776
Accrued Interest- Siena Lake LLC- Operations 9,352 9,352
Accrued Interest- Siena Lake LLC- Capital 40,087 40,087
TOTAL LIABILITIES & DEFERRED INFLOWS 72,450 4 - 25,492,677 25,565,131
NET POSITION
Investment in Capital Assets 6,028,676 6,028,676
Investment in Long-Term Debt (25,492,677) (25,492,677)
Fund Balance- Nonspendable 2,076 2,076
Fund Balance- Restricted for Emergencies 2,561 2,561
Fund Balance- Restricted for Debt Service & Capital 3,191,922 11,310,425 14,502,347
Fund Balance- Unassigned (34,924) (34,924)
TOTAL NET ASSETS (30,287) 3,191,922 11,310,425 (19,464,001) (4,991,941)
TOTAL LIABILITIES AND NET ASSETS 42,163 3,191,926 11,310,425 6,028,676 20,573,189
= = = = =
General Fund
Debt Service
Fund Capital Fund
Fixed Assets &
Long-Term Debt Total
No assurance is provided on these financial statements;
substantially all disclosures required by GAAP omitted.Page 1
Siena Lake Metropolitan DistrictPrint Date: 12/22/2023Statement of Revenues, Expenditures, & Changes In Fund BalanceModified Accrual Basis For the Period Indicated2022 2023 Variance YTD Thru YTD Thru Variance 2024Audited Adopted Favorable 2023 09/30/2023 09/30/2023 Favorable Adopted BudgetActualBudget(Unfavor)ForecastActualBudget(Unfavor)BudgetCommentsPROPERTY TAXESAssessed Valuation 865,950 847,810 847,810 2,690,830Final AV Per CountyMill Levy - Operations 15.000 15.000 15.000 18.029 70 Mills Less Debt Service LevyMill Levy - Debt Service Fund 35.000 35.000 35.000 51.971 Adjust to Max Since Development DelayedTotal Mill Levy 50.000 50.000 50.000 70.000 Increase to 70 Mills TotalProperty Tax Revenue - Operations 12,989 12,717 12,717 48,513 AV X Mill Levy / 1,000Property Tax Revenue - Debt Service Fund 30,308 29,673 29,673 139,845 AV X Mill Levy / 1,000Total Property Taxes 43,298 42,391 42,391 188,358 AV X Mill Levy / 1,000No assurance is provided on these financial statements;substantially all disclosures required by GAAP omitted.Page 2
Siena Lake Metropolitan DistrictPrint Date: 12/22/2023Statement of Revenues, Expenditures, & Changes In Fund BalanceModified Accrual Basis For the Period Indicated2022 2023 Variance YTD Thru YTD Thru Variance 2024Audited Adopted Favorable 2023 09/30/2023 09/30/2023 Favorable Adopted BudgetActualBudget(Unfavor)ForecastActualBudget(Unfavor)BudgetCommentsCOMBINED FUNDSREVENUEProperty Taxes 43,297 42,391 - 42,391 42,385 42,391 (6) 188,358 Increase to 70 Mills TotalState Property Tax Backfill - - - - - - - 1,432 90% of Lost Taxes From SB 22-238Specific Ownership Taxes 2,329 2,120 - 2,120 1,643 1,413 230 5,651 3% of taxesWater System Fees - - - - - - - - Interest & Other Income 278,548 385,000 340,000 725,000 545,275 288,750 256,525 439,000 Interest on Bond Funds at 5%TOTAL REVENUE 324,175 429,510 340,000 769,510 589,302 332,554 256,749 634,441 EXPENDITURESAdministrationAccounting, Audit, Legal, & Other Prof Fees 85,040 69,000 (4,500) 73,500 54,661 55,000 339 83,000 Per General FundTreasurer's Fees 1,310 1,272 - 1,272 1,272 1,272 0 5,651 3% of TaxesElection, Insurance, SDA Dues, Misc Other 5,698 10,800 4,574 6,226 5,677 10,800 5,123 6,450 Based on 2023 ForecastContingency - 5,000 5,000 - - - - 5,000 Unforeseen NeedsOperationsLandscape Maintenance - 10,000 10,000 - - 8,333 8,333 10,000 Same as 2023 BudgetRaw Water Management 5,000 5,000 - 4,167 4,167 5,000 Same as 2023 BudgetSnowplowing - 5,000 5,000 - - - - 5,000 Same as 2023 BudgetDebt Service- - Bond Interest 951,250 951,250 - 951,250 475,625 475,625 - 951,250 Per Amortization Schedule Bond Principal - - - - - - - 6,835,000 Restricted Proj Fund Paydown- Aug 19, 2024Developer Note Repayment - - - - - - - - Debt Issuance Expense & Trustee Fees 4,000 4,000 - 4,000 - - - 4,000 Annual FeeContingency - 5,000 5,000 - - 5,000 5,000 60,000 Unforeseen NeedsCapital Outlay1,324,723 7,386,302 4,650,743 2,735,559 2,729,414 7,378,802 4,649,388 4,916,715 See Capital FundTOTAL EXPENDITURES 2,372,021 8,452,624 4,680,817 3,771,807 3,266,649 7,938,999 4,672,350 12,887,065 REVENUE OVER / (UNDER) EXPENDITURES (2,047,846) (8,023,114) 5,020,817 (3,002,297) (2,677,346) (7,606,445) 4,929,099 (12,252,624) OTHER SOURCES / (USES)Developer Advances 69,000 97,000 244,156 341,156 269,156 72,750 196,406 65,000 To Cover ShortfallBond Proceeds & Premium - - - - - - - - TOTAL OTHER SOURCES / (USES) 69,000 97,000 244,156 341,156 269,156 72,750 196,406 65,000 CHANGE IN FUND BALANCE (1,978,846) (7,926,114) 5,264,973 (2,661,141) (2,408,191) (7,533,695) 5,125,505 (12,187,624) BEGINNING FUND BALANCE 18,859,096 16,813,322 66,928 16,880,250 16,880,250 16,813,322 66,928 14,219,109 ENDING FUND BALANCE 16,880,250 8,887,208 5,331,901 14,219,109 14,472,059 9,279,627 5,192,432 2,031,485 See Breakout BelowCOMPONENTS OF FUND BALANCE========Non-Spendable 3,759 7,350 (3,200) 4,150 2,076 4,357 Prepaid InsuranceTABOR Emergency Reserve 2,734 3,311 (750) 2,561 2,561 3,492 3% of General Fund Revenue/ExpendituresRestricted For Debt Service 3,514,908 2,664,710 80,215 2,744,925 3,191,922 2,008,520 See Breakout in Debt Service FundRestricted for Capital Projects 13,348,118 6,200,000 5,251,714 11,451,715 11,310,425 - Assume All Funds SpentRestricted For Raw Water System - - - - - - Unassigned 10,732 11,838 3,921 15,759 (34,924) 15,116 Remaining Funds AvailableTOTAL ENDING FUND BALANCE 16,880,250 8,887,208 5,331,901 14,219,109 14,472,059 2,031,485 ===== =No assurance is provided on these financial statements;substantially all disclosures required by GAAP omitted.Page 3
Siena Lake Metropolitan DistrictPrint Date: 12/22/2023Statement of Revenues, Expenditures, & Changes In Fund BalanceModified Accrual Basis For the Period Indicated2022 2023 Variance YTD Thru YTD Thru Variance 2024Audited Adopted Favorable 2023 09/30/2023 09/30/2023 Favorable Adopted BudgetActualBudget(Unfavor)ForecastActualBudget(Unfavor)BudgetCommentsGENERAL FUNDREVENUESProperty Taxes 12,989 12,717 - 12,717 12,715 12,717 (2) 48,513 70 Mills Less Debt Service LevyState Property Tax Backfill - - - - - 1,432 90% of Lost Taxes From SB 22-238Specific Ownership Taxes 699 636 - 636 493 424 69 1,455 3% of taxesInterest Income 143 - - - - - - - Other Income 507 - - - - - - - TOTAL REVENUE 14,337 13,353 - 13,353 13,208 13,141 67 51,401 EXPENDITURESGENERAL OPERATIONSAccounting 39,126 36,000 - 36,000 22,680 25,000 2,320 40,000 Based on 2023 ForecastAudit 7,215 8,000 500 7,500 7,500 8,000 500 8,000 Required by BondsElection 850 2,500 1,233 1,267 1,267 2,500 1,233 1,000 Pre 2025 Election PrepEngineering - - - - - - - - None AnticipatedInsurance & SDA Dues 3,722 7,000 3,241 3,759 3,759 7,000 3,242 4,150 Based on 2023 ForecastLegal 38,698 25,000 (5,000) 30,000 24,481 22,000 (2,481) 35,000 Based on 2023 ForecastOffice Overhead and Supplies 1,127 1,300 100 1,200 651 1,300 649 1,300 Bill.com & Misc OtherTreasurers Fees 393 382 - 382 381 382 0 1,455 3% of TaxesContingency 5,000 5,000 - - - 5,000 Unforeseen NeedsTOTAL GENERAL OPERATIONS91,131 85,182 5,074 80,108 60,720 66,182 5,462 95,905 MAINTENANCELandscaping 10,000 10,000 - 8,333 8,333 10,000 Same as 2023 BudgetRaw Water Irrigation Management 5,000 5,000 - 4,167 4,167 5,000 Same as 2023 BudgetSnow Plowing & Other Operations 5,000 5,000 - - - 5,000 Same as 2023 BudgetTOTAL MAINTENANCE EXPENDITURES- 20,000 20,000 - - 12,500 12,500 20,000 TOTAL EXPENDITURES 91,131 105,182 25,074 80,108 60,720 78,682 17,962 115,905 REVENUE OVER (UNDER) EXPEND. (76,793) (91,829) 25,074 (66,755) (47,511) (65,540) 18,029 (64,505) OTHER FINANCING SOURCES AND (USES)Developer Advance- Operations 69,000 97,000 (25,000) 72,000 - 72,750 (72,750) 65,000 To Cover ShortfallTransfers In/(Out) - - - - TOTAL OTHER SOURCES (USES) 69,000 97,000 (25,000) 72,000 - 72,750 (72,750) 65,000 NET CHANGE IN FUND BALANCE (7,793) 5,171 74 5,245 (47,511) 7,210 (54,721) 495 BEGINNING FUND BALANCE 25,018 17,327 (103) 17,224 17,224 17,327 (103) 22,470 ENDING FUND BALANCE 17,224 22,498 (29) 22,470 (30,287) 24,537 (54,824) 22,965 = = = = = = = =No assurance is provided on these financial statements;substantially all disclosures required by GAAP omitted.Page 4
Siena Lake Metropolitan DistrictPrint Date: 12/22/2023Statement of Revenues, Expenditures, & Changes In Fund BalanceModified Accrual Basis For the Period Indicated2022 2023 Variance YTD Thru YTD Thru Variance 2024Audited Adopted Favorable 2023 09/30/2023 09/30/2023 Favorable Adopted BudgetActualBudget(Unfavor)ForecastActualBudget(Unfavor)BudgetCommentsDEBT SERVICE FUNDREVENUESProperty Taxes 30,308 29,673 - 29,673 29,669 29,673 (4) 139,845 Adjust to Max Since Development DelayedSpecific Ownership Taxes 1,631 1,484 - 1,484 1,150 989 161 4,195 3% of taxesInterest Income 60,100 93,000 62,000 155,000 122,710 69,750 52,960 139,000 Interest on Bond Funds at 5%TOTAL REVENUES 92,039 124,157 62,000 186,157 153,529 100,412 53,117 283,040 EXPENDITURESTreasurer's Fees 917 890 - 890 890 890 0 4,195 3% of Property TaxesBond Interest 951,250 951,250 - 951,250 475,625 475,625 - 951,250 Per Amortization Schedule Bond Principal - - - - - - - - Per Amortization ScheduleBond Principal- Mandatory Excess Redemption6,835,000 Restricted Proj Fund Paydown- Aug 19, 2024Paying Agent / Trustee Fees 4,000 4,000 - 4,000 - - - 4,000 Annual FeeCost of Issuance - - - - - - - - Contingency 5,000 5,000 - 5,000 5,000 60,000 Unforeseen NeedsTOTAL EXPENDITURES 956,167 961,140 5,000 956,140 476,515 481,515 5,000 7,854,445 REVENUE OVER (UNDER) EXP (864,129) (836,983) 67,000 (769,983) (322,986) (381,103) 58,117 (7,571,405) OTHER FINANCING SOURCES (USES)Transfer From (To) Capital Fund (9,892) - - - - - - 6,835,000 Bond Proceeds - - - - - - - - Bond Premium - - - - - - TOTAL OTHER SOURCES/(USES) (9,892) - - - - - - 6,835,000 CHANGE IN FUND BALANCE (874,020) (836,983) 67,000 (769,983) (322,986) (381,103) 58,117 (736,405) BEGINNING FUND BALANCE 4,388,928 3,501,693 13,215 3,514,908 3,514,908 3,501,693 13,215 2,744,925 ENDING FUND BALANCE 3,514,908 2,664,710 80,215 2,744,925 3,191,922 3,120,590 71,332 2,008,520 = = = = = = = =COMPONENTS OF FUND BALANCE:Cost of Issuance Fund - - Capitalized Interest Fund 1,691,591 671,359 64,982 736,341 1,300,671 - Used To Fund 2024 & Prior ShortfallsBond Surplus Fund 1,826,774 1,993,351 15,233 2,008,584 1,894,087 2,008,520 Fills to $4.913M until Debt/AV 50%Bond Payment Fund / Internal Balances (3,457) - - - (2,835) - TOTAL FUND BALANCE - ENDING 3,514,908 2,664,710 80,215 2,744,925 3,191,922 2,008,520 ===== =No assurance is provided on these financial statements;substantially all disclosures required by GAAP omitted.Page 5
Siena Lake Metropolitan DistrictPrint Date: 12/22/2023Statement of Revenues, Expenditures, & Changes In Fund BalanceModified Accrual Basis For the Period Indicated2022 2023 Variance YTD Thru YTD Thru Variance 2024Audited Adopted Favorable 2023 09/30/2023 09/30/2023 Favorable Adopted BudgetActualBudget(Unfavor)ForecastActualBudget(Unfavor)BudgetCommentsCAPITAL FUNDREVENUESInterest Income 217,799 292,000 278,000 570,000 422,565 219,000 203,565 300,000 Interest on Project Funds at 5.25%TOTAL REVENUES 217,799 292,000 278,000 570,000 422,565 219,000 203,565 300,000 EXPENDITURESAccounting 6,016 15,000 (5,000) 20,000 15,331 11,250 (4,081) 15,000 Bond Draws & Cost Cert ReviewsLegal 17,966 15,000 11,000 4,000 3,485 11,250 7,765 15,000 Capital Related Legal WorkSurveying & Sitework - - - - - - - - Engineering 6,002 20,000 - 20,000 19,038 20,000 962 20,000 Cost Certification WorkStreets & Traffic Safety - - (1,225,604) 1,225,604 1,225,604 - (1,225,604) - Sewer & Storm Sewer System - - (538,975) 538,975 538,975 - (538,975) - Potable Water System - - (926,980) 926,980 926,980 - (926,980) - Raw Water System & Ponds 1,294,740 - - - - - - - Budget Contingency /Other 7,336,302 7,336,302 - 7,336,302 7,336,302 4,866,715 Remaining Unrestricted Funds AvailableTOTAL EXPENDITURES 1,324,723 7,386,302 4,650,743 2,735,559 2,729,414 7,378,802 4,649,388 4,916,715 REVENUE OVER (UNDER) EXP (1,106,924) (7,094,302) 4,928,743 (2,165,559) (2,306,849) (7,159,802) 4,852,953 (4,616,715) OTHER FINANCING SOURCES (USES)Transfer From Debt Service Fund 9,892 - - - - - - (6,835,000) Transfer of Restricted Proj Fund 8/19/24Developer Advance - - 269,156 269,156 269,156 - 269,156 - Developer Repayment - - - - - - - - TOTAL OTHER FINANCING 9,892 - 269,156 269,156 269,156 - 269,156 (6,835,000) CHANGE IN FUND BALANCE (1,097,033) (7,094,302) 5,197,899 (1,896,403) (2,037,693) (7,159,802) 5,122,109 (11,451,715) BEGINNING FUND BALANCE 14,445,150 13,294,302 53,815 13,348,118 13,348,118 13,294,302 53,816 11,451,715 ENDING FUND BALANCE 13,348,118 6,200,000 5,251,714 11,451,715 11,310,425 6,134,500 5,175,924 - Assume All Funds Spent= = = = = = = =No assurance is provided on these financial statements;substantially all disclosures required by GAAP omitted.Page 6
104 County Tax entity code DOLA LGID/SID 65047
TO: County Commissioners1 of Eagle County , Colorado.
On behalf of the Siena Lake Metropolitan District (Formerly Saddleridge Metropolitan District)
the Board of Directors
of the Siena Lake Metropolitan District
$
$
Submitted:12/22/2023 for budget/fiscal year 2024 .
(not later than Dec 15) (mm/dd/yyyy)(yyyy)
PURPOSE (see end notes for definitions and examples)LEVY2 REVENUE2
1.General Operating ExpensesH 18.029 mills 48,512.97$
2.
(0.000) mills -$
SUBTOTAL FOR GENERAL OPERATING: 18.029 mills 48,512.97$
3.General Obligation Bonds and InterestJ 51.971 mills 139,845.13$
4.Contractual ObligationsK 0.000 mills -$
5.Capital ExpendituresL 0.000 mills -$
6.Refunds/AbatementsM 0.000 mills -$
7.OtherN (specify): 0.000 mills -$
0.000 mills -$
TOTAL:[]70.000 mills 188,358.10$
Daytime
phone:(970) 926-6060 x 6
Signed: Title: District Administrator
(local government)C
(GrossD assessed valuation, Line 2 of the Certification of Valuation From DLG 57 E)
(NETG assessed valuation, Line 4 of the Certification of Valuation Form DLG 57)
Hereby officially certifies the following mills to
be levied against the taxing entity's GROSS
assessed valuation of:
Include one copy of this tax entity's completed form when filing the local government's budget by January 31st, per 29-1-113 C.R.S. with the Division
of Local Government (DLG), Room 521, 1313 Sherman Street, Denver, Colorado 80203. Questions? Call DLG (303) 864-7720.
Note: If the assessor certified a NET assessed valuation
(AV) different than the GROSS AV due to a Tax Increment
Financing (TIF) AreaF the tax levies must be calculated using
the NET AV. The taxing entity's total property tax revenue
will be derived from the mill levy multiplied against the NET
assessed valuation of:
2,690,830
2,690,830
1 If the taxing entity's boundaries include more than one county, you must certify the levies to each county. Use a separate form for each
county and certify the same levies uniformly to each county per Article X, Section 3 of the Colorado Constitution.
2 Levies must be rounded to three decimal places and revenue must be calculated from the total NET assessed valuation (Line 4 of Form
DLG57 on the County Assessor's FINAL certification of valuation).
USE VALUE FROM FINAL CERTIFICATION OF VALUATION PROVIDED BY
ASSESSOR NO LATER THAN DECEMBER 10
<Minus> Temporary General Property Tax Credit/
Temporary Mill Levy Rate ReductionI
Contact person:
(print) Eric Weaver
Sum of General Operating
Subtotal and Lines 3 to 7
CERTIFICATION OF TAX LEVIES for NON-SCHOOL Governments
(taxing entity)A
(governing body)B
Form DLG 70 (rev 6/16)Page 1 of 4
THIS SECTION APPLIES TO TITLE 32, ARTICLE 1 SPECIAL DISTRICTS THAT LEVY TAXES
FOR PAYMENT OF GENERAL OBLIGATION DEBT (32-1-603 C.R.S.). Taxing entities that are
Special Districts or Subdistricts of Special Districts must certify separate mill levies and revenue to the
Board of County Commissioners, one each for the funding requirements of each debt (32-1-603, C.R.S.)
Use additional pages as necessary. The Special District's or Subdistrict's total levies for general obligation
bonds and total levies for contractual obligations should be recorded on Page 1, Lines 3 and 4 respectively.
CERTIFY A SEPARATE MILL LEVY FOR EACH BOND OR CONTRACT:
BONDSJ:
1. Purpose of Issue:
Finance Public Improvements Related to the Development.
Series: General Obligation Limited Tax Bonds Series 2021
Date of Issue: August 18, 2021
Coupon rate: 3.25-4.00%
Maturity Date: December 1, 2051
Levy: 51.971
Revenue: $139,845.13
2. Purpose of Issue:
Series:
Date of Issue:
Coupon rate:
Maturity Date:
Levy:
Revenue:
3. Purpose of Issue:
Title:
Date:
Principal Amount:
Maturity Date:
Levy:
Revenue:
CONTRACTSK:
4. Purpose of Contract:
Title:
Date:
Principal Amount:
Maturity Date:
Levy:
Revenue:
Use multiple copies of this page as necessary to separately report all bond and contractual obligations per 32-1-1603, C.R.S.
CERTIFICATION OF TAX LEVIES, continued
SIENA LAKE METROPOLITAN DISTRICT
Form DLG 70 (rev 6/16)Page 2 of 4
1615.0024; 7VAWM2FEZEXZ-314893874-159
EXHIBIT B
2023 Audit
Siena Lake Metropolitan District
Eagle County, Colorado
FINANCIAL STATEMENTS
With Independent Auditor’s Report
December 31, 2023
Siena Lake Metropolitan District
TABLE OF CONTENTS
December 31, 2023
Independent Auditor’s Report .................................................................................................... I
Basic Financial Statements:
Government-Wide Financial Statements:
Statement of Net Position ........................................................................................................ 1
Statement of Activities .............................................................................................................. 2
Fund Financial Statements:
Balance Sheet – Governmental Funds ..................................................................................... 3
Statement of Revenues, Expenditures, and Changes in Fund Balances –
Governmental Funds .............................................................................................................. 4
Reconciliation of the Statement of Revenues, Expenditures, and
Changes in Fund Balances to the Statement of Activities ...................................................... 5
Statement of Revenues, Expenditures, and Changes in Fund Balances –
Budget and Actual – General Fund ......................................................................................... 6
Notes to Financial Statements ................................................................................................... 7
Supplemental Information:
Schedule of Revenues, Expenditures, and Changes in Fund Balances –
Budget and Actual – Debt Service Fund ............................................................................... 23
Schedule of Revenues, Expenditures, and Changes in Fund Balances –
Budget and Actual – Capital Projects Fund .......................................................................... 24
Fiscal Focus Partners, LLC
PO Box 740339, Arvada, CO 80006
303.202.1800 Office www.ffpcpa.com
INDEPENDENT AUDITOR’S REPORT
To the Board of Directors
Siena Lake Metropolitan District
Eagle County, Colorado
Opinions
We have audited the accompanying financial statements of the governmental activities and each major fund of
Siena Lake Metropolitan District (the District) as of and for the year ended December 31, 2023, and the related
notes to the financial statements, which collectively comprise the District’s basic financial statements as listed
in the table of contents.
In our opinion, the accompanying financial statements referred to above present fairly, in all material respects,
the respective financial position of the governmental activities and each major fund of the District as of
December 31, 2023, and the respective changes in financial position thereof, and the respective budgetary
comparison for the general fund for the year then ended in accordance with accounting principles generally
accepted in the United States of America.
Basis for Opinions
We conducted our audit in accordance with auditing standards generally accepted in the United States of
America (GAAS). Our responsibilities under those standards are further described in the Auditor’s
Responsibilities for the Audit of the Financial Statements section of our report. We are required to be
independent of the District, and to meet our other ethical responsibilities, in accordance with the relevant ethical
requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinions.
Responsibilities of Management for the Financial Statements
Management is responsible for the preparation and fair presentation of the financial statements in accordance
with accounting principles generally accepted in the United States of America, and for the design,
implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial
statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, management is required to evaluate whether there are conditions or
events, considered in the aggregate, that raise substantial doubt about the District’s ability to continue as a
going concern for twelve months beyond the financial statement date, including any currently known information
that may raise substantial doubt shortly thereafter.
I
Auditor’s Responsibility for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free
from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our
opinions. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is
not a guarantee that an audit conducted in accordance with GAAS will always detect a material misstatement
when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one
resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the
override of internal control. Misstatements are considered material if there is a substantial likelihood that,
individually or in the aggregate, they would influence the judgment made by a reasonable user based on the
financial statements.
In performing an audit in accordance with GAAS, we:
Exercise professional judgement and maintain professional skepticism throughout the audit.
Identify and assess the risk of material misstatement of the financial statements, whether due to fraud
or error, and design and perform audit procedures responsive to those risks. Such procedures include
examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that
are appropriate in the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the District’s internal control. Accordingly, no such opinion is expressed.
Evaluate the appropriateness of accounting policies used and the reasonableness of significant
accounting estimates made by management, as well as evaluate the overall presentation of the financial
statements.
Conclude whether, in our judgement, there are conditions or events, considered in the aggregate, that
raise substantial doubt about the District’s ability to continue as a going concern for a reasonable period
of time.
We are required to communicate to those charged with governance regarding, among other matters, the
planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that
we identified during the audit.
Required Supplementary Information
Management has omitted management’s discussion and analysis that accounting principles generally accepted
in the United States of America require to be presented to supplement the basic financial statements. Such
missing information, although not a part of the basic financial statements, is required by the Governmental
Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic
financial statements in an appropriate operational, economic, or historical context. Our opinions on the basic
financial statements are not affected by this missing information.
II
III
Supplemental Information
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively
comprise the District’s basic financial statements. The supplemental information as identified in the table
of contents is presented for the purposes of additional analysis and is not a required part of the basic
financial statements. Such information is the responsibility of management and was derived from and
relates directly to the underlying accounting and other records used to prepare the basic financial
statements. The information has been subjected to the auditing procedures applied in the audit of the
basic financial statements and certain additional procedures, including comparing and reconciling such
information directly to the underlying accounting and other records used to prepare the basic financial
statements or to the basic financial statements themselves, and other additional procedures in accordance
with auditing standards generally accepted in the United States of America. In our opinion, the information
is fairly stated, in all material respects, in relation to the basic financial statements as a whole.
Other Matters
Economic Dependency
As disclosed in Note 8 of the financial statements, the District has not yet established a revenue base
sufficient to pay the District’s operational expenditures. Until an independent revenue base is established,
the District may be dependent upon the developer for funding continued operations.
Arvada, Colorado
July 10, 2024
STATEMENT OF NET POSITION
December 31, 2023
Governmental
Activities
ASSETS
Cash and investments 34,038$
Cash and investments - restricted 14,216,507
Due from county treasurer 177
Prepaid expense 3,759
Property taxes receivable 188,358
Capital assets, not being depreciated 6,261,909
Capital assets, net 2,374,064
Total assets 23,078,812
LIABILITIES
Accounts payable 10,840
Accrued interest payable 79,271
Noncurrent liabilities:
Due in more than one year 25,547,096
Total liabilities 25,637,207
DEFERRED INFLOWS OF RESOURCES
Property tax revenue 188,358
Total deferred inflows of resources 188,358
NET POSITION
Restricted for:
Emergencies 2,300
Debt service 2,753,604
Capital outlay 11,460,727
Unrestricted (16,963,384)
Total net position (2,746,753)$
SIENA LAKE METROPOLITAN DISTRICT
The accompanying Notes to the Financial Statements are an integral part of these statements.
1
Net (Expense)Revenue andChanges inNet PositionFunctions/Programs:ExpensesCharges forServicesOperatingGrants andContributionsCapitalGrants andContributionsGovernmentalActivitiesPrimary governmentGeneral government 197,941$ -$ -$ -$ (197,941)$ Interest on long-term debt and related costs 1,015,830 - - - (1,015,830) Total primary government 1,213,771$ -$ -$ -$ (1,213,771) General Revenues:Property taxes 42,384 Specific ownership taxes 2,419 Interest income 736,485 Miscellaneous income 325 Total general revenues 781,613 Change in net position(432,158) Net position - beginning(2,314,595) Net position - ending(2,746,753)$ Program RevenuesSIENA LAKE METROPOLITAN DISTRICTFor the Year Ended December 31, 2023STATEMENT OF ACTIVITIES The accompanying Notes to the Financial Statements are an integral part of these statements.2
Total
Debt Capital Governmental
General Service Projects Funds
ASSETS
Cash and investments 34,038$ -$ -$ 34,038$
Cash and investments - restricted 2,300 2,753,480 11,460,727 14,216,507
Due from county treasurer 53 124 - 177
Prepaid expense 3,759 - - 3,759
Property taxes receivable 48,513 139,845 - 188,358
Total assets 88,663$ 2,893,449$ 11,460,727$ 14,442,839$
LIABILITIES
Accounts payable 10,840$ -$ -$ 10,840$
Total liabilities 10,840 - - 10,840
DEFERRED INFLOWS OF RESOURCES
Property tax revenue 48,513 139,845 - 188,358
Total deferred inflows of resources 48,513 139,845 - 188,358
FUND BALANCES
Nonspendable
Prepaid expenses 3,759 - - 3,759
Restricted for:
Emergencies 2,300 - - 2,300
Debt service - 2,753,604 - 2,753,604
Capital projects - - 11,460,727 11,460,727
Unassigned 23,251 - - 23,251
Total fund balances 29,310 2,753,604 11,460,727 14,243,641
Total liabilities, deferred inflows of resources
and fund balances 88,663$ 2,893,449$ 11,460,727$
Amounts reported for governmental activities in the statement of net
position are different because:
Capital assets used in governmental activities are not financial resources and,
therefore, are not reported in the funds:
Capital assets, net 8,635,973
Long-term liabilities, including bonds payable, developer advances and accrued interest,
are not due and payable in the current period and therefore are not reported in the funds:
Bonds payable (24,565,000)
Developer advances (867,191)
Accrued interest payable - bonds (79,271)
Accrued interest payable - developer advances (114,905)
Net position of governmental activities (2,746,753)$
SIENA LAKE METROPOLITAN DISTRICT
BALANCE SHEET
GOVERNMENTAL FUNDS
December 31, 2023
The accompanying Notes to the Financial Statements are an integral part of these statements.
3
Total
Debt Capital Governmental
General Service Projects Funds
REVENUES
Property taxes 12,715$ 29,669$ -$ 42,384$
Specific ownership tax 726 1,693 - 2,419
Miscellaneous income 325 - - 325
Investment income - 163,474 573,011 736,485
Total revenues 13,766 194,836 573,011 781,613
EXPENDITURES
General government
Accounting 33,739 - 15,476 49,215
Audit 7,500 - - 7,500
Election 1,267 - - 1,267
Engineering - - 19,038 19,038
Insurance 3,759 - - 3,759
Legal 28,291 - 3,485 31,776
Office overhead and expense 743 - - 743
Treasurers fees 381 890 - 1,271
Debt Service
Bond interest - 951,250 - 951,250
Trustee fee - 4,000 - 4,000
Capital
Capital outlay - - 2,691,559 2,691,559
Total expenditures 75,680 956,140 2,729,558 3,761,378
Excess of revenues over (under) expenditures (61,914) (761,304) (2,156,547) (2,979,765)
OTHER FINANCING SOURCES (USES)
Developer advance 74,000 - 269,156 343,156
Total other financing sources (uses)74,000 - 269,156 343,156
Net change in fund balances 12,086 (761,304) (1,887,391) (2,636,609)
Fund balances - beginning 17,224 3,514,908 13,348,118 16,880,250
Fund balances - ending 29,310$ 2,753,604$ 11,460,727$ 14,243,641$
SIENA LAKE METROPOLITAN DISTRICT
STATEMENT OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES - GOVERNMENTAL FUNDS
For the Year Ended December 31, 2023
The accompanying Notes to the Financial Statements are an integral part of these statements.
4
SIENA LAKE METROPOLITAN DISTRICT
RECONCILIATION OF THE STATEMENT OF REVENUES,
EXPENDITURES, AND CHANGES IN FUND BALANCES OF
GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES
For the Year Ended December 31, 2023
Net change in fund balances - governmental funds (2,636,609)$
Amounts reported for governmental activities in the statement of activities
are different because:
Governmental funds report capital outlays as expenditures. In the statement of
activities, capital outlay is not reported as an expenditure. However, the
statement of activities will report as depreciation expense the allocation of the
cost of any depreciable assets over the estimated useful life of the asset.
Capital outlay 2,691,559
Depreciation expense (84,262)
Long-term debt (e.g. bonds, Developer advance) provides current
resources to governmental funds, while the repayment of principal of long-term
debt consumes the current financial resources of governmental funds. Neither
transaction, however, has any effect on net position.
Developer advances (343,156)
Some expenses reported in the statement of activities do not require the use of
current financial resources and, therefore, are not reported as expenditures in
governmental funds.
Accrued interest payable on developer advances - change in liability (59,690)
Change in net position of governmental activities (432,158)$
The accompanying Notes to the Financial Statements are an integral part of these statements.
5
Original and Variance with
Final Final Budget -
Budgeted Positive
Amounts Actual (Negative)
REVENUES
Property taxes 12,717$ 12,715$ (2)$
Specific ownership tax 636 726 90
Miscellaneous income - 325 325
Total revenues 13,353 13,766 413
EXPENDITURES
Accounting 36,000 33,739 2,261
Audit 8,000 7,500 500
Election 2,500 1,267 1,233
Insurance 7,000 3,759 3,241
Legal 25,000 28,291 (3,291)
Office overhead and expense 1,300 743 557
Treasurers fees 382 381 1
Landscaping 10,000 - 10,000
Raw water irrigation management 5,000 - 5,000
Snow plowing and other operations 5,000 - 5,000
Contingency 5,000 - 5,000
Total expenditures 105,182 75,680 29,502
Excess of revenue over (under)
expenditures (91,829) (61,914) 29,915
OTHER FINANCING SOURCES (USES)
Developer advance 97,000 74,000 (23,000)
Total other financing sources (uses)97,000 74,000 (23,000)
Net change in fund balances 5,171 12,086 6,915
Fund balances - beginning 17,327 17,224 (103)
Fund balances - ending 22,498$ 29,310$ 6,812$
SIENA LAKE METROPOLITAN DISTRICT
STATEMENT OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
For the Year Ended December 31, 2023
GENERAL FUND
The accompanying Notes to the Financial Statements are an integral part of these statements.
6
7
Siena Lake Metropolitan District
NOTES TO FINANCIAL STATEMENTS
December 31, 2023
Note 1 – Definition of Reporting Entity
Siena Lake Metropolitan District (District), a quasi-municipal corporation and political
subdivision of the State of Colorado is governed pursuant to provisions of the Colorado
Special District Act (Title 32, Article 1, Colorado Revised Statutes). The District was
organized on November 20, 2001 as Saddle Ridge Metropolitan District. On June 21,
2018, the District’s name was changed to Siena Lake Metropolitan District. The
District’s service area boundaries are located in the Town of Gypsum, Colorado
(Town) in Eagle County, Colorado (County). The District was established principally to
coordinate the financing of public improvements, including transportation, streets and
safety control, street lighting, landscaping, water, sanitary sewer, storm drainage,
television relay, and park and recreation improvements.
The District follows the Governmental Accounting Standards Board (GASB)
accounting pronouncements which provide guidance for determining which
governmental activities, organizations and functions should be included within the
financial reporting entity. GASB pronouncements set forth the financial accountability
of a governmental organization's elected governing body as the basic criterion for
including a possible component governmental organization in a primary government's
legal entity. Financial accountability includes, but is not limited to, appointment of a
voting majority of the organization's governing body, ability to impose its will on the
organization, a potential for the organization to provide specific financial benefits or
burdens and fiscal dependency.
The District has no employees and all operations and administrative functions are
contracted.
The District is not financially accountable for any other organization, nor is the District
a component unit of any other primary governmental entity, including the Town.
Note 2 – Summary of Significant Accounting Policies
Government-Wide and Fund Financial Statements
The government-wide financial statements include the statement of net position and
statement of activities. These financial statements include all of the activities of the
District. The effect of interfund activity has been removed from these statements.
Governmental activities are normally supported by taxes.
The statement of net position reports all financial resources of the District. The
difference between the sum of assets and deferred outflows of resources and the sum
of liabilities and deferred inflows of resources of the District is reported as net position.
Siena Lake Metropolitan District
NOTES TO FINANCIAL STATEMENTS
(continued)
December 31, 2023
8
The statement of activities demonstrates the degree to which the direct and indirect
expenses of a given function or segment are offset by program revenues. Direct
expenses are those that are clearly identifiable with a specific function or segment.
Program revenues include 1) charges to customers or applicants who purchase, use
or directly benefit from goods, services or privileges provided by a given function or
segment, and 2) grants and contributions that are restricted to meeting the operational
or capital requirements of a particular function or segment. Taxes and other items not
properly included among program revenues are reported instead as general revenues.
Separate financial statements are provided for the governmental funds. Major
individual governmental funds are reported as separate columns in the fund financial
statements.
Measurement Focus, Basis of Accounting and Financial Statement Presentation
The government-wide financial statements are reported using the economic resources
measurement focus and the accrual basis of accounting. Revenues are recorded
when earned and expenses are recorded when a liability is incurred, regardless of the
timing of related cash flows.
Governmental fund financial statements are reported using the current financial
resources measurement focus and the modified accrual basis of accounting.
Revenues are recognized as soon as they are both measurable and available.
Revenues are considered to be available when they are collectible within the current
period or soon enough thereafter to pay liabilities of the current period. For this
purpose, the District considers revenues to be available if they are collected within 60
days of the end of the current fiscal period. The major source of revenue susceptible
to accrual are property taxes and specific ownership taxes. All other revenue items
are considered to be measurable and available only when cash is received by the
District. The District determined that Developer advances are not considered as
revenue susceptible to accrual. Expenditures, other than interest on long-term
obligations, are recorded when the liability is incurred or the long-term obligation is
due.
The District reports the following major governmental funds:
The General Fund is the District’s primary operating fund. It accounts for all
financial resources of the general government, except those required to be
reported in another fund.
The Debt Service Fund accounts for the resources accumulated and
payments made for principal and interest on long-term general obligation
debt of the governmental funds.
Siena Lake Metropolitan District
NOTES TO FINANCIAL STATEMENTS
(continued)
December 31, 2023
9
The Capital Projects Fund accounts for financial resources to be used for
the acquisition and construction of capital equipment and facilities.
Budgetary Information
In accordance with the State Budget Law of Colorado, the District’s Board of Directors
holds public hearings in the fall of each year to approve the budget and appropriate the
funds for the ensuing year. The appropriation is at the total fund expenditures and
other financing uses level and lapses at year end. The District’s Board of Directors
can modify the budget line item within the total appropriation without notification. The
appropriation can only be modified upon completion of notification and publication
requirements. The budget includes each fund on its basis of accounting unless
otherwise indicated.
Pooled Cash and Investments
The District follows the practice of pooling cash and investments of all funds to
maximize investment earnings. Except when required by trust or other agreements, all
cash is deposited to and disbursed from a minimum number of bank accounts. Cash
in excess of immediate operating requirements is pooled for deposit and investment
flexibility. Investment earnings are allocated periodically to the participating funds
based upon each fund’s average equity balance in the total cash.
Property Taxes
Property taxes are levied by the District’s Board of Directors. The levy is based on
assessed valuations determined by the County Assessor generally as of January 1 of
each year. The levy is normally set by December 15 by certification to the County
Commissioners to put the tax lien on the individual properties as of January 1 of the
following year. The taxes are payable by April or if in equal installments, at the
taxpayer’s election, in February and June. Delinquent taxpayers are notified in August
and generally sales of the tax liens on delinquent properties are held in November or
December. The County Treasurer remits the taxes collected monthly to the District.
Property taxes, net of estimated uncollectible taxes, are recorded initially as deferred
inflows of resources in the year they are levied and measurable. The property tax
revenues are recorded as revenue in the year they are available or collected.
Capital Assets
Capital assets, which include infrastructure (e.g., potable water and sanitary sewer
systems, streets, and similar items), are reported in the applicable governmental
activities column in the government-wide financial statements. Capital assets are
defined by the District as assets with an initial, individual cost of more than $5,000.
Siena Lake Metropolitan District
NOTES TO FINANCIAL STATEMENTS
(continued)
December 31, 2023
10
Such assets are recorded at historical cost or estimated historical cost. Donated
capital assets are recorded at acquisition value at the date of donation.
Capital assets which are anticipated to be conveyed to other governmental entities are
recorded as construction in progress, and are not included in the calculation of net
investment in capital assets.
Depreciation expense has been computed using the straight-line method over the
following estimated economic useful lives:
Raw water systems and ponds 30 years
The costs of normal maintenance and repairs that do not add to the value of the asset
or materially extend the life of the asset are not capitalized. Improvements that will be
dedicated to other governmental entities are not depreciated.
Deferred Inflows of Resources
In addition to liabilities, the statement of net position reports a separate section for
deferred inflows of resources. This separate financial statement element, deferred
inflows of resources, represents an acquisition of net position that applies to a future
period and so will not be recognized as an inflow of resources (revenue) until that time.
The District has one item that qualifies for reporting in this category. Accordingly, the
item, deferred property tax revenue, is deferred and recognized as an inflow of
resources in the period that the amount becomes available.
Use of Estimates
The preparation of financial statements in conformity with accounting principles
generally accepted in the United States of America requires District management to
make estimates and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of revenues and expenditures during the
reporting period. Actual results could differ from those estimates.
Equity
Net Position
For government-wide presentation purposes when both restricted and unrestricted
resources are available for use, it is the government’s practice to use restricted
resources first, then unrestricted resources as they are needed.
Fund Balance
Fund balance for governmental funds should be reported in classifications that
comprise a hierarchy based on the extent to which the government is bound to honor
Siena Lake Metropolitan District
NOTES TO FINANCIAL STATEMENTS
(continued)
December 31, 2023
11
constraints on the specific purposes for which spending can occur. Governmental
funds report up to five classifications of fund balance: nonspendable, restricted,
committed, assigned, and unassigned. Because circumstances differ among
governments, not every government or every governmental fund will present all of
these components. The following classifications describe the relative strength of the
spending constraints:
Non-spendable fund balance – The portion of fund balance that cannot be spent
because it is either not in spendable form (such as prepaid amounts or inventory)
or is legally or contractually required to be maintained intact.
Restricted fund balance – The portion of fund balance constrained to being used
for a specific purpose by external parties (such as grantors or bondholders),
constitutional provisions or enabling legislation.
Committed fund balance – The portion of fund balance constrained for specific
purposes according to limitations imposed by the District’s highest level of decision
making authority, the Board of Directors, prior to the end of the current fiscal year.
The constraint may be removed or changed only through formal action of the
Board of Directors.
Assigned fund balance – The portion of fund balance that is constrained by the
government’s intent to be used for specific purposes, but is neither restricted nor
committed. Intent is expressed by the Board of Directors to be used for a specific
purpose. Constraints imposed on the use of assigned amounts are more easily
removed or modified than those imposed on amounts that are classified as
committed.
Unassigned fund balance – The residual portion of fund balance that does not
meet any of the above criteria.
If more than one classification of fund balance is available for use when an
expenditure is incurred, it is the District’s policy to use the most restrictive classification
first.
Note 3 – Cash and Investments
Cash and investments as of December 31, 2023 are classified in the accompanying
financial statements as follows:
Statement of net position:
Cash and investments 34,038$
Cash and investments-Restricted 14,216,507
Total cash and investments 14,250,545$
Siena Lake Metropolitan District
NOTES TO FINANCIAL STATEMENTS
(continued)
December 31, 2023
12
Cash and investments as of December 31, 2023 consist of the following:
Deposits with financial institutions 11,043$
Investments 14,239,502
Total cash and investments 14,250,545$
Deposits with Financial Institutions
The Colorado Public Deposit Protection Act (PDPA) requires that all units of local
government deposit cash in eligible public depositories. Eligibility is determined by state
regulators. Amounts on deposit in excess of federal insurance levels must be
collateralized. The eligible collateral is determined by the PDPA. PDPA allows the
institution to create a single collateral pool for all public funds. The pool for all the
uninsured public deposits as a group is to be maintained by another institution or held in
trust. The market value of the collateral must be at least equal to 102% of the aggregate
uninsured deposits.
The State Commissioners for banks and financial services are required by statute to
monitor the naming of eligible depositories and reporting of the uninsured deposits and
assets maintained in the collateral pools.
At December 31, 2023, the District’s cash deposits had a bank balance and a carrying
balance of $11,043.
Investments
The District has not adopted a formal investment policy; however the District follows state
statute regarding investments.
The District generally limits its concentration of investments to those which are believed
to have minimal credit risk, minimal interest rate risk and no foreign currency risk.
Additionally, the District is not subject to concentration risk or investment custodial risk
disclosure requirements for investments that are in the possession of another party.
Colorado revised statutes limit investment maturities to five years or less unless formally
approved by the Board of Directors. Such actions are generally associated with a debt
service reserve or sinking fund requirements.
Colorado statutes specify investment instruments meeting defined rating and risk criteria
in which local governments may invest which include:
Obligations of the United States, certain U.S. government agency securities and
securities of the World Bank
General obligation and revenue bonds of U.S. local government entities
Siena Lake Metropolitan District
NOTES TO FINANCIAL STATEMENTS
(continued)
December 31, 2023
13
Certain certificates of participation
Certain securities lending agreements
Bankers’ acceptances of certain banks
Commercial paper
Written repurchase agreements and certain repurchase agreements collateralized
by certain authorized securities
Certain money market funds
Guaranteed investment contracts
Local government investment pools
As of December 31, 2023, the District had the following investments:
Investment Maturity Amount
Colorado Local Government Liquid Weighted Average
Asset Trust (Colotrust) Under 60 Days 14,239,502$
Total investments 14,239,502$
Colotrust
The District invested in the Colorado Local Government Liquid Asset Trust (the Trust), an
investment vehicle established for local government entities in Colorado to pool surplus
funds. The State Securities Commissioner administers and enforces all State statutes
governing the Trust. The Trust offers shares in three portfolios: Colotrust Prime,
Colotrust Plus, and Colotrust Edge.
Colotrust Prime and Colotrust Plus operate similarly to a money market fund and each
share is equal in value to $1.00. Both portfolios may invest in U.S. Treasury securities
and repurchase agreements collateralized by U.S. Treasury securities. Colotrust Plus
may also invest in certain obligations of U.S. government agencies, highest rated
commercial paper and any security allowed under CRS 24-75-601. Both portfolios are
rated AAAm by Standard and Poor’s.
Colotrust Edge, is managed to approximate a $10.00 transactional share price. Colotrust
Edge may invest in securities authorized by CRS 24-75-601, including U.S. Treasury
securities, repurchase agreements collateralized by U.S. Treasury securities, certain
obligations of U.S. government agencies, highest rated commercial paper. Colotrust
Edge is rated AAAf/S1 by Fitch Ratings.
A designated custodial bank serves as custodian for the Trust’s investment portfolios
pursuant to a custodian agreement. The custodian acts as safekeeping agent for the
Trust’s investment portfolios and provides services as the depository in connection with
direct investments and withdrawals. The custodian’s internal records segregate
investments owned by the Trust. Colotrust records its investments at fair value and the
Siena Lake Metropolitan District
NOTES TO FINANCIAL STATEMENTS
(continued)
December 31, 2023
14
District records its investment in Colotrust at net asset value as determined by fair value.
There are no unfunded commitments, the redemption frequency is daily or weekly, and
there is no redemption notice period. The District invested in the Colotrust Plus portfolio
during 2023.
Note 4 – Capital assets
An analysis of the changes in capital assets for the year ended December 31, 2023
follows:
Balance at Balance at
December 31, December 31,
2022 Additions Deletions 2023
Capital assets, not being depreciated:
Construction in progress:
Potable water 1,872,913$ 926,980$ ‐$ 2,799,893$
Sanitary sewer and storm drainage 1,697,437 538,975 ‐ 2,236,412
Streets ‐ 1,225,604 ‐ 1,225,604
Total capital assets, not being depreciated 3,570,350 2,691,559 ‐ 6,261,909
Capital assets, being depreciated:
Raw water system and ponds 1,233,120 ‐ ‐ 1,233,120
Raw water pumpback system 1,294,740 ‐ ‐ 1,294,740
Total capital assets, being depreciated 2,527,860 ‐ ‐ 2,527,860
Less accumulated depreciation for:
Raw water system and ponds 47,955 41,104 ‐ 89,059
Raw water pumpback system 21,579 43,158 ‐ 64,737
Total accumulated depreciation 69,534 84,262 ‐ 153,796
Total capital assets being depreciated, net 2,458,326 (84,262) ‐ 2,374,064
Governmental activities capital asset, net 6,028,676$ 2,607,297$ ‐$ 8,635,973$
Depreciation expense was charged to the general government function.
Siena Lake Metropolitan District
NOTES TO FINANCIAL STATEMENTS
(continued)
December 31, 2023
15
Note 5 – Long-Term Obligations
Changes in long-term debt for the year ended December 31, 2023 are summarized as
follows:
Balance at Balance at Due
December 31, December 31, Within
2022 Additions Reductions 2023 One Year
Governmental Activities:
General Obligation Bonds:
General Obligation Limited Tax
Bonds - Series 2021 24,565,000$ -$ -$ 24,565,000$ -$
Other:
Developer Advances - Operating 167,000 74,000 - 241,000 -
Accrued Interest - Operating 15,128 13,665 - 28,793 -
Developer Advances - Capital 357,035 269,156 - 626,191 -
Accrued Interest - Capital 40,087 46,025 - 86,112 -
25,144,250$ 402,846$ -$ 25,547,096$ -$
General Obligation Limited Tax Bonds Series 2021
Bond Details
On August 18, 2021, the District issued $24,565,000 General Obligation Limited Tax
Bonds, Series 2021 (the Bonds). The Bonds were issued for the purposes of: i)
financing public improvements related to the development; ii) funding the initial surplus
fund deposit; iii) funding the capitalized interest on the Bonds; and iv) paying the costs
incurred in connection with the issuance of the Bonds.
The Bonds bear interest at rates ranging from 3.25% to 4.00%, payable semi-annually
on June 1 and December 1, beginning on December 1, 2021. Annual mandatory
sinking fund principal payments are due on December 1, beginning on December 1,
2028. The Bonds mature on December 1, 2051. To the extent principal of any Bond
is not paid when due, such principal is to remain outstanding until paid and is to
continue to bear interest at the rate then borne by the Bond. To the extent interest on
any Bond is not paid when due, such interest is to compound on each interest
payment date, at the rate then borne by the Bond. The District is not obligated to pay
more than the amount permitted by law and its electoral authorization in repayment of
the Bonds, including all payments of principal, premium if any, and interest, and all
Bonds will be deemed defeased and no longer outstanding upon the payment by the
District of such amount.
Siena Lake Metropolitan District
NOTES TO FINANCIAL STATEMENTS
(continued)
December 31, 2023
16
Optional Redemption
The Bonds are subject to redemption prior to maturity, at the option of the District on
September 1, 2026, and on any date thereafter, upon payment of par, accrued
interest, and a redemption premium of a percentage of the principal amount so
redeemed, as follows:
Redemption
Date of Redemption Premium
September 1, 2026, to August 31, 2027 3.00%
September 1, 2027, to August 31, 2028 2.00%
September 1, 2028, to August 31, 2029 1.00%
September 1, 2029, and thereafter 0.00%
Security
The Bonds are secured by and payable from moneys derived by the District from the
following sources, net of any costs of collection: i) the Required Mill Levy; ii) the
portion of Specific Ownership Tax which is collected as a result of the imposition of the
Required Mill Levy; and iii) any other legally available moneys which the District
determines, in its absolute discretion to transfer to the Trustee for application as
pledged revenue.
The Bonds are also secured by amounts on deposit in the Surplus Fund which will be
funded from pledged revenue that is not needed to pay debt service on the Bonds in
any year, up to the Maximum Surplus Amount of $4,913,000 (Maximum Surplus
Amount). As of December 31, 2023, the balance in the Surplus Fund was $1,919,278.
Required Mill Levy
Pursuant to the Bond Indenture, the District has covenanted to impose a Required Mill
Levy in an amount sufficient to fund the Bond Fund for the relevant Bond Year and pay
the Bonds as they come due and, if necessary, an amount sufficient to replenish the
Surplus Fund to the Minimum Surplus Amount of $500,000 (Minimum Surplus
Amount), but i) not in excess of 50 mills, ii) for so long as the Surplus Fund is less than
the Maximum Surplus Amount, not less than 35 mills, or such lesser mill levy which will
fund the Bond Fund for the relevant Bond Year, pay the Bonds as they come due, and
will fund the Surplus Fund up to the Maximum Surplus Amount, and iii) in the event
that the amount of the Surplus Fund is less than the Minimum Surplus Amount, 50
mills, or such lesser mill levy which will fund the Bond Fund for the relevant Bond Year,
pay the Bonds as they come due, and will fund the Surplus Fund up to the Minimum
Surplus Amount. If after January 1, 2001, there are changes in the ratio of actual
valuation to assessed valuation, then the minimum and maximum mill levies shall be
increased or decreased to offset such changes.
Siena Lake Metropolitan District
NOTES TO FINANCIAL STATEMENTS
(continued)
December 31, 2023
17
The District’s Amended and Restated Service Plan limits the District’s imposition of ad
valorem taxes for debt to 50 mills (subject to adjustment). The maximum Debt Mill
Levy is 50 mills for so long as the total amount of aggregate debt of the District
exceeds fifty percent of the District’s assessed valuation.
Restricted Project Funds
$6,200,000 of proceeds from the Bonds were placed in a restricted account and can
only be released for use by the District as additional property is included in the
boundaries of the District at a rate of $188,450 released per acre included. If any
amounts on deposit in such Restricted Account are not released by August 19, 2024,
then such amounts are to be applied to debt service on the bonds through a
mandatory excess proceeds redemption.
The District’s long-term obligations will mature as follows:
Year Ended
December 31, Principal Interest Total
2024 -$ 951,250$ 951,250$
2025 - 951,250 951,250
2026 - 951,250 951,250
2027 - 951,250 951,250
2028 195,000 951,250 1,146,250
2029-2033 2,605,000 4,574,339 7,179,339
2034-2038 3,785,000 4,002,689 7,787,689
2039-2043 4,950,000 3,207,126 8,157,126
2044-2048 6,480,000 2,114,400 8,594,400
2049-2051 6,550,000 602,200 7,152,200
24,565,000$ 19,257,004$ 43,822,004$
Funding and Reimbursement Agreement
The District entered into a Funding and Reimbursement Agreement for Operations and
Maintenance dated April 2, 2018, which was amended on October 1, 2019 with an
effective date of January 1, 2020 (First Amendment), with Red Table Ventures, LLC.
Red Table Ventures, LLC agreed to advance funds for ongoing operations and
maintenance expenses incurred by the District in an amount of $50,000 per annum
with a maximum loan amount of $200,000. The District is to reimburse Red Table
Ventures, LLC, subject to annual appropriation and budget approval, from funds
available within any fiscal year and not otherwise required for operations, capital
improvements and debt service costs and expense of the District. Reimbursement is
to include interest at the rate of 6% per annum. Any obligation to reimburse Red Table
Ventures, LLC for any advances made pursuant to this agreement after 30 years from
the execution of the agreement shall expire. Any amount of principal and accrued
Siena Lake Metropolitan District
NOTES TO FINANCIAL STATEMENTS
(continued)
December 31, 2023
18
interest outstanding at such date shall be deemed to be forever discharged and
satisfied in full. As of December 31, 2023, the principal and accrued interest
outstanding is $24,000 and $7,216, respectively.
The District entered into a Funding and Reimbursement Agreement for Operations and
Maintenance dated January 1, 2022 with Siena Lake, LLC. Siena Lake, LLC agreed to
advance funds for ongoing operations and maintenance expenses incurred by the
District in an amount of $135,000 per annum with a maximum loan amount of
$540,000 through December 31, 2025. The District is to reimburse Siena Lake, LLC,
subject to annual appropriation and budget approval, from funds available within any
fiscal year and not otherwise required for operations, capital improvements and debt
service costs and expense of the District. Reimbursement is to include interest at the
rate of 8.2% per annum. Siena Lake, LLC advanced funds in the amount of $74,000
prior to the effective date of this agreement for which reimbursement shall be made
based on the terms of this agreement. Any obligation to reimburse Siena Lake, LLC
for any advances made pursuant to this agreement after 10 years from the execution
of the agreement shall expire. Any amount of principal and accrued interest
outstanding at such date shall be deemed to be forever discharged and satisfied in full.
The obligation was declared to be subordinate to the obligation from the Funding and
Reimbursement Agreement with Red Table Ventures, LLC. As of December 31, 2023,
the principal and accrued interest outstanding is $217,000 and $21,577, respectively.
Infrastructure Acquisition and Reimbursement Agreement
The District entered into an Infrastructure Acquisition and Reimbursement Agreement
dated April 20, 2021 with Siena Lake, LLC to repay advances and/or costs incurred by
Siena Lake, LLC for certain verified capital improvement costs. The District agrees to
repay Siena Lake, LLC for such capital improvement advances plus simple interest
accruing at the rate of 8% per annum from the date of the applicable District
Acceptance Resolution for District Eligible Costs until paid in full. The District is to
reimburse Siena Lake, LLC, subject to annual appropriation and budget approval. Any
obligation to reimburse Siena Lake, LLC for any advances made pursuant to this
agreement after 10 years from the execution of the agreement shall expire. Any
amount of principal and accrued interest outstanding at such date shall be deemed to
be forever discharged and satisfied in full. As of December 31, 2023, the principal and
accrued interest outstanding is $626,191 and $86,112, respectively.
Debt Authorization
On November 6, 2018, the District’s electorate authorized the issuance of
indebtedness in an amount not to exceed $672,000,000 at an interest rate not to
exceed 18% per annum. After the issuance of the Series 2021 bonds there is
$647,435,000 remaining.
Siena Lake Metropolitan District
NOTES TO FINANCIAL STATEMENTS
(continued)
December 31, 2023
19
Pursuant to the District’s Amended and Restated Service Plan approved September
25, 2018, the District is limited to issuing $28,000,000 in debt. After the issuance of
the 2021 Bonds, the District has $3,435,000 remaining debt authorization under its
Service Plan. In addition, the maximum mill levy for debt service of the District is 50
mills, as adjusted for changes in the ratio of actual value to assessed value property
within the District. The Service Plan does not limit the mill levy for operations of the
District.
In the future, the District may issue a portion or all of the remaining authorized but
unissued debt for purposes of providing public improvements to support development
as it occurs with the District’s service area within the limitations of the District’s Service
Plan.
Note 6 – Net Position
The District’s net position consists of two components – restricted and unrestricted.
Restricted assets include net position that is restricted for use either externally
imposed by creditors, grantors, contributors, or laws and regulations of other
governments or imposed by law through constitutional provisions or enabling
legislation. The District had restricted net position as of December 31, 2023:
Governmental
Activities
Restricted net position:
Emergency reserve 2,300$
Debt service 2,753,604
Capital projects 11,460,727
Total restricted net position 14,216,631$
As of December 31, 2023, the District has unrestricted net position (deficit) of
$(16,963,384). The deficit was a result of the District being responsible for the
repayment of bonds issued for public improvements which will be conveyed to other
governmental entities and which costs will be removed from the District’s financial
records.
Note 7 – Related Parties
The Developer of the property which constitutes the District is Siena Lake, LLC a
Colorado limited liability company. Members of the Board of Directors are officers,
employees, or associated with the Developer and may have conflicts of interest in
dealing with the District. A reimbursement was made to the Developer in the amount
of $2,422,403 during 2023 from the Project Fund for public improvements.
Siena Lake Metropolitan District
NOTES TO FINANCIAL STATEMENTS
(continued)
December 31, 2023
20
Note 8 – Economic Dependency
The District has not yet established a revenue base, as a result of delays in
development, sufficient to pay operational expenditures. Until an independent revenue
base is established, continuation of operations in the District will be dependent upon
funding by the Developer.
Note 9 – Risk Management
The District is exposed to various risks of loss related to torts; thefts of, damage to, or
destruction of assets; errors or omissions; injuries to employees; or acts of God.
The District is a member of the Colorado Special Districts Property and Liability Pool
(“Pool”). The Pool is an organization created by an intergovernmental agreement to
provide property, liability, public officials’ liability, boiler and machinery and workers
compensation coverage to its members. Settled claims have not exceeded this
coverage in any of the past three fiscal years.
The District pays annual premiums to the Pool for liability, property, public officials’
liability and workers compensation coverage. In the event aggregated losses incurred
by the Pool exceed amounts recoverable from reinsurance contracts and funds
accumulated by the Pool, the Pool may require additional contributions from the Pool
members. Any excess funds which the Pool determines are not needed for purposes
of the Pool may be returned to the members pursuant to a distribution formula.
Note 10 - Tax, Spending and Debt Limitation
Article X, Section 20 of the Colorado Constitution, referred to as the Taxpayer’s Bill of
Rights (TABOR), contains tax, spending, revenue, and debt limitations which apply to
the State of Colorado and all local governments.
Spending and revenue limits are determined based on the prior year's Fiscal Year
Spending adjusted for allowable increases based upon inflation and local growth.
Fiscal Year Spending is generally defined as expenditures plus reserve increases with
certain exceptions. Revenue in excess of the Fiscal Year Spending limit must be
refunded unless the voters approve retention of such revenue.
TABOR requires local governments to establish Emergency Reserves. These
reserves must be at least 3% of Fiscal Year Spending (excluding bonded debt
service). Local governments are not allowed to use the emergency reserves to
compensate for economic conditions, revenue shortfalls, or salary and benefit
increases.
A majority of the District’s electors has authorized the District to collect revenues
without regard to the TABOR limits.
Siena Lake Metropolitan District
NOTES TO FINANCIAL STATEMENTS
(continued)
December 31, 2023
21
The District’s management believes it is in compliance with the provisions of TABOR.
However, TABOR is complex and subject to interpretation. Many of the provisions,
including the interpretation of how to calculate Fiscal Year Spending limits will require
judicial interpretation.
* * * * *
22
SUPPLEMENTAL INFORMATION
Original and Variance with
Final Final Budget -
Budgeted Positive
Amounts Actual (Negative)
REVENUES
Property taxes 29,673$ 29,669$ (4)$
Specific ownership tax 1,484 1,693 209
Investment income 93,000 163,474 70,474
Total revenues 124,157 194,836 70,679
EXPENDITURES
General government
County treasurer's fees 890 890 -
Contingency 5,000 - 5,000
Debt Service
Bond interest 951,250 951,250 -
Trustee fee 4,000 4,000 -
Total expenditures 961,140 956,140 5,000
Net change in fund balances (836,983) (761,304) 75,679
Fund balances - beginning 3,501,693 3,514,908 13,215
Fund balances - ending 2,664,710$ 2,753,604$ 88,894$
SIENA LAKE METROPOLITAN DISTRICT
STATEMENT OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
DEBT SERVICE FUND
For the Year Ended December 31, 2023
23
Original and Variance with
Final Final Budget -
Budgeted Positive
Amounts Actual (Negative)
REVENUES
Investment income 292,000$ 573,011$ 281,011$
Total revenues 292,000 573,011 281,011
EXPENDITURES
General government
Accounting 15,000 15,476 (476)
Engineering 20,000 19,038 962
Legal 15,000 3,485 11,515
Contingency 7,336,302 - 7,336,302
Capital outlay - 2,691,559 (2,691,559)
Total expenditures 7,386,302 2,729,558 4,656,744
Excess of revenue over (under)
expenditures (7,094,302) (2,156,547) 4,937,755
OTHER FINANCING SOURCES (USES)
Developer advance - 269,156 269,156
Total other financing sources (uses)- 269,156 269,156
Net change in fund balances (7,094,302) (1,887,391) 5,206,911
Fund balances - beginning 13,294,302 13,348,118 53,816
Fund balances - ending 6,200,000$ 11,460,727$ 5,260,727$
SIENA LAKE METROPOLITAN DISTRICT
STATEMENT OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
CAPITAL PROJECTS FUND
For the Year Ended December 31, 2023
24
