Understanding the details presented on a ballot is never easy. Before casting a vote, please review the sample ballot below, along with the detailed explanations provided to fully understand the incorporation ballot. As mentioned in the TABOR article on page 3, three other questions must be addressed in voting on incorporation. For incorporation to be successful, a “yes” vote must be cast on all four questions.

BALLOT QUESTION 2B

SHALL THE CITY OF CASTLE PINES NORTH BE INCORPORATED?

A “yes” vote on this question means that the City of Castle Pines North will be incorporated and will exist as a legal entity. If the vote is favorable, the next steps will be to organize the City and to hold an election for mayor and for members of the city council, as well as other elected positions including a city clerk and a treasurer. A “no” vote means that the City will not be in existence and the court’s petition to form the new City will be dismissed.

BALLOT QUESTION 2C

SHALL THE CITY OF CASTLE PINES NORTH BE AUTHORIZED TO INSTITUTE A NEW SALES AND USE TAX, ON ALL ITEMS TAXABLE BY LAW, RESULTING IN AN INCREASE TO THE CITY OF CASTLE PINES NORTH OF $ 420,650 ANNUALLY (ESTIMATED FIRST FISCAL YEAR DOLLAR INCREASE), BEGINNING THE FIRST FISCAL YEAR OF 2008, AND BY WHATEVER ADDITIONAL AMOUNTS ARE PRODUCED EACH YEAR THEREAFTER, WITH SUCH REVENUES TO BE GENERATED FROM A SALES AND USE TAX NOT TO EXCEED A RATE OF 2.75%, AND SHALL SUCH INCREASED TAXES CONSIST OF SALES AND USE TAXES IMPOSED BY THE CITY THROUGH ORDINANCES ADOPTED FROM TIME TO TIME, SUCH ORDINANCES SUBJECT ONLY TO THE LIMITATIONS CONTAINED IN THE COLORADO AND U.S. CONSTITUTIONS; AND IN CONNECTION THEREWITH AS A VOTER-APPROVED TAX INCREASE, SHALL THE PROCEEDS OF ANY SUCH TAXES, AND INVESTMENT INCOME THEREON, BE RETAINED, COLLECTED, AND SPENT BY THE CITY WITHOUT REGARD TO ANY SPENDING, REVENUE-RAISING, OR OTHER LIMITATION CONTAINED IN ARTICLE X, SECTION 20 OF THE COLORADO CONSTITUTION OR ANY OTHER LAW, AS IT CURRENTLY EXISTS OR AS IT MAY BE AMENDED, AND WITHOUT LIMITING IN ANY YEAR THE AMOUNT OF OTHER REVENUE THAT MAY BE COLLECTED AND SPENT BY THE CITY, AND SHALL A PERCENTAGE OF THE SALES AND USE TAX AUTHORIZED BE SHARED WITH THE CITY OF CASTLE PINES, IF SUCH A CITY IS INCORPORATED, PURSUANT TO THE REVENUE SHARING AND SETTLEMENT AGREEMENT ENTERED INTO BY THE CITIZENS FOR THE PRESERVATION OF CASTLE PINES NORTH, THE CASTLE PINES NORTH HOMEOWNERS ASSOCIATION, THE COMMITTEE TO PROTECT CASTLE PINES VILLAGE AND THE CASTLE PINES HOMES ASSOCIATION AND APPROVED BY THE DOUGLAS COUNTY DISTRICT COURT IN CASE NO. 06CV2550?

This ballot question calls for the new City, if it is approved, to impose a sales and use tax beginning with the formation of the City. The tax would amount to $2.75 on a $100 taxable purchase, or two and three-quarters cents on a dollar (2.75% sales tax.) The money will be used to fund the operations of the Castle Pines North City government. Under the Taxpayer Bill of Rights, or TABOR, the imposition or increases in taxes such as sales taxes must be approved by the voters.

Proceeds of the sales and use tax will only be shared with the City of Castle Pines (Village), if formed within the next five years. During the first five years both communities are incorporated, Castle Pines North would retain 80% of the tax proceeds; after that, it would keep 75%. Until and unless the City of Castle Pines (Village) is formed, Castle Pines North will keep 100% of the revenues. THE SALES TAX WOULD NOT APPLY TO FOOD.

BALLOT QUESTION 2D

SHALL THE CITY OF CASTLE PINES NORTH BE AUTHORIZED TO INSTITUTE A NEW AD VALOREM PROPERTY TAX, ON ALL PROPERTY TAXABLE BY LAW, RESULTING IN AN INCREASE TO THE CITY OF CASTLE PINES NORTH OF $600,000 ANNUALLY (ESTIMATED FIRST FISCAL YEAR DOLLAR INCREASE), BEGINNING THE FIRST FISCAL YEAR OF 2008, AND BY WHATEVER ADDITIONAL AMOUNTS ARE PRODUCED EACH YEAR THEREAFTER, WITH SUCH REVENUES TO BE GENERATED FROM A PROPERTY TAX NOT TO EXCEED A RATE OF 4.5 MILLS, TO REPLACE THE CURRENTLY EXISTING LAW ENFORCEMENT ASSISTANCE ADMINISTRATION (LEAA) TAX, AND SHALL SUCH INCREASED TAXES CONSIST OF PROPERTY TAXES IMPOSED BY THE CITY THROUGH ORDINANCES ADOPTED FROM TIME TO TIME, SUCH ORDINANCES SUBJECT ONLY TO THE LIMITATIONS CONTAINED IN THE COLORADO AND U.S. CONSTITUTIONS; AND IN CONNECTION THEREWITH AS A VOTER-APPROVED TAX INCREASE, SHALL THE PROCEEDS OF ANY SUCH TAXES, AND INVESTMENT INCOME THEREON, BE RETAINED, COLLECTED, AND SPENT BY THE CITY FOR PUBLIC SAFETY AND LAW ENFORCEMENT BUT WITHOUT REGARD TO ANY SPENDING, REVENUE-RAISING, OR OTHER LIMITATION CONTAINED IN ARTICLE X, SECTION 20 OF THE COLORADO CONSTITUTION OR ANY OTHER LAW, AS IT CURRENTLY EXISTS OR AS IT MAY BE AMENDED, AND WITHOUT LIMITING IN ANY YEAR THE AMOUNT OF OTHER REVENUE THAT MAY BE COLLECTED AND SPENT BY THE CITY?

This ballot question would allow the new City of Castle Pines North to levy a property tax on houses and vacant property within the city, at a rate not to exceed 4.5 mills. The tax is needed for public safety and law enforcement services in the City of Castle Pines North, and it is designed to completely replace the current mill levy imposed by Douglas County of 4.5 mills to fund the County’s Law Enforcement. A “yes” vote will NOT result in a net tax increase to Castle Pines North residents because the County tax will be replaced in full. The rest of the language in the question allows the new City to keep and spend the revenues of the 4.5 mill tax under TABOR. THIS IS NOT A PROPERTY TAX INCREASE. CPN RESIDENTS CURRENTLY PAY 4.5 MILLS TO THE COUNTY FOR LAW ENFORCEMENT.

BALLOT QUESTION 2E

SHALL THE CITY OF CASTLE PINES NORTH BE AUTHORIZED TO INSTITUTE A NEW AD VALOREM PROPERTY TAX, ON ALL PROPERTY TAXABLE BY LAW, RESULTING IN AN INCREASE TO THE CITY OF CASTLE PINES NORTH OF $2,533,333 ANNUALLY (ESTIMATED FIRST FISCAL YEAR DOLLAR INCREASE),BEGINNING THE FIRST FISCAL YEAR OF 2008, AND BY WHATEVER ADDITIONAL AMOUNTS ARE PRODUCED EACH YEAR THEREAFTER, WITH SUCH REVENUES TO BE GENERATED FROM A PROPERTY TAX NOT TO EXCEED A RATE OF 19 MILLS, PROVIDED THAT THE CITY MAY IMPOSE SUCH TAX ONLY IN THE EVENT THAT THE CASTLE PINES NORTH METROPOLITAN DISTRICT REDUCES OR ELIMINATES ITS CURRENT MILL LEVY OF 19 MILLS FOR OPERATIONS PURPOSES, THEN THE CITY MAY IMPOSE A MILL LEVY EQUAL TO THE AMOUNT OF REDUCTION FOR PURPOSES OF PROVIDING WATER AND SANITATION SERVICE, PROVIDED HOWEVER, THAT THE CITY MAY NEVER CHARGE ON ITS RESIDENTS A NON-UNIFORM TAX, AND THE CITY WILL NOT LEVY MORE THAN A TOTAL OF 19 MILLS FOR THE PURPOSES OF WATER AND SANITATION SERVICES, AND SHALL SUCH INCREASED TAXES CONSIST OF PROPERTY TAXES IMPOSED BY THE CITY THROUGH ORDINANCES ADOPTED FROM TIME TO TIME, SUCH ORDINANCES SUBJECT ONLY TO THE LIMITATIONS CONTAINED IN THE COLORADO AND U.S. CONSTITUTIONS; AND IN CONNECTION THEREWITH AS A VOTER-APPROVED TAX INCREASE, SHALL THE PROCEEDS OF ANY SUCH TAXES, AND INVESTMENT INCOME THEREON, BE RETAINED, COLLECTED, AND SPENT BY THE CITY FOR WATER AND SANITATION SERVICES, BUT WITHOUT REGARD TO ANY SPENDING, REVENUE-RAISING, OR OTHER LIMITATION CONTAINED IN ARTICLE X, SECTION 20 OF THE COLORADO CONSTITUTION OR ANY OTHER LAW, AS IT CURRENTLY EXISTS OR AS IT MAY BE AMENDED, AND WITHOUT LIMITING IN ANY YEAR THE AMOUNT OF OTHER REVENUE THAT MAY BE COLLECTED AND SPENT BY THE CITY?

This ballot question calls for a property tax on houses and vacant property within the City of Castle Pines North not to exceed 19 mills for water and sewer purposes. The new City tax is designed to replace the current 19 mill levy imposed by the Castle Pines North Metropolitan District. A “yes” vote would permit the new city to impose the tax up to 19 mills ONLY IF the Metropolitan District had reduced or eliminated its mill levy by the amount of the tax imposed by the City. For example, if the CPN Metro District reduced its mill levy by four mills, the City could impose a tax of up to four mills; if the District eliminates the 19 mill levy, the City could replace it up to 19 mills. Once again, the rest of the language simply allows the City to keep and actually spend the proceeds of the property tax. THIS IS NOT A PROPERTY TAX INCREASE. CPN RESIDENTS CURRENTLY PAY 19 MILLS TO THE CPN METRO DISTRICT FOR WATER AND SEWER SERVICES. This transfer of funds will be used for the same services currently being provided at the same cost.

The approach for residents of Hidden Pointe should have a similiar outcome. It is anticipated that the Hidden Pointe residents would see the 25% water surcharge they currently pay removed as they transition into the new city. In that case, a non tax-deductible water surcharge would be replaced by a deductible mill levy.

Mail Ballots Before November 6. Vote — It’s Your Future

A “yes” vote must be cast on all FOUR ballot questions for the proposed City of Castle Pines North to incorporate successfully.