Points of Clarification re April 28th Informal Meeting:
There were approximately 150 Cave Creek residents in attendance. Far more than the mayor expected. There was no opportunity during the meeting for clarification of certain statements made by Mark Stapp. Here are a few clarifications:
The unimproved land inside Cahava Springs Revitalization District will be used as collateral to obtain $20-million dollars in bond money. The bond holders will be repaid using the property taxes collected against owners of property inside Cahava Springs Revitalization District. However, Mark Stapp owns all the property inside Cahava Springs Revitalization District and has stated that no houses or infrastructure will be built inside the border of Cahava Springs Revitalization District. The start of infrastructure installation is set to begin June, 2015. The infrastructure installation is expected to be completed by December, 2015. All of the $20-million dollars in bond money is earmarked for infrastructure and related expenses. Within the space of six months Mark Stapp will spend $20-million dollars, and using the property tax money he will assess against himself as sole owner of property inside Cahava Springs Revitalization District, repay the bond holders their $20-million dollars plus interest.
Clarification re: bridge: Mark Stapp stated that there will not be a bridge connecting Cahava Springs Revitalization District over the creek to Morning Star Road. In truth, the bridge will be built on the 30± acres of property that fronts the Freeman property, crosses east over the creek, and ends at Morning Star Road. This 30± acre parcel is not currently part of the proposed Cahava Springs Revitalization District. However, under the Revitalization Districts statute, Mark Stapp is allowed to acquire that piece of property as part of the Cahava Springs Revitalization District as there is nothing in the statute requiring the properties be contiguous. And, it just so happens that Mark Stapp’s corporate entity Morningstar Road Properties, Inc., owns that 30± acre parcel.
Clarification re: deeding of infrastructure: Mark Stapp kept referring to the fact that, after the infrastructure was installed it would be deeded over to the town. Given that he claims all of the infrastructure is being installed outside of the Cahava Springs Revitalization District’s borders, he is legally required to do this. However, if any infrastructure was to be installed inside the border of Cahava Springs Revitalization District, there is no legal requirement that Cahava Springs Revitalization District deed any of that infrastructure over to the town. Only upon approval by the residents of Cahava Springs Revitalization District can the 3-member Board of Cahava Springs Revitalization District deed any infrastructure installed inside Cahava Springs Revitalization District over to the town. As long as there are bond holders it would be very unlikely the infrastructure could or would be deeded to Cave Creek, as turning over ownership of the infrastructure would diminish the value of the land and it is the land which is secured as collateral for the bond funding.
Clarification re: “zoning” rights: The only municipal authority a Revitalization District doesn’t have is the power of eminent domain and the power to enact zoning ordinances. A Revitalization District does, however, have the power to interpret zoning policy, and the zoning policy of Cave Creek, as it appears in our existing General Plan, is a town-wide DR-43 zone overlay (lot sizes of less than one acre.) This DR-43 zoning interpretation of our General Plan is what will allow Cahava Springs Revitalization District to reduce the lot sizes to less than one-acre within Cahava Springs without the need to obtain town council approval.
“The Revitalization District is nothing more than a funding mechanism.” If the Revitalization Districts statute is “nothing more than a funding mechanism,” why does the Revitalization Districts statute require the town of Cave Creek cede all governing authority over the Cahava Springs Revitalization District to the 3-member Board of Cahava Springs Revitalization District?
The council is expected to vote on final approval of the Revitalization District as early as May.
There were approximately 150 Cave Creek residents in attendance. Far more than the mayor expected. There was no opportunity during the meeting for clarification of certain statements made by Mark Stapp. Here are a few clarifications:
The unimproved land inside Cahava Springs Revitalization District will be used as collateral to obtain $20-million dollars in bond money. The bond holders will be repaid using the property taxes collected against owners of property inside Cahava Springs Revitalization District. However, Mark Stapp owns all the property inside Cahava Springs Revitalization District and has stated that no houses or infrastructure will be built inside the border of Cahava Springs Revitalization District. The start of infrastructure installation is set to begin June, 2015. The infrastructure installation is expected to be completed by December, 2015. All of the $20-million dollars in bond money is earmarked for infrastructure and related expenses. Within the space of six months Mark Stapp will spend $20-million dollars, and using the property tax money he will assess against himself as sole owner of property inside Cahava Springs Revitalization District, repay the bond holders their $20-million dollars plus interest.
Clarification re: bridge: Mark Stapp stated that there will not be a bridge connecting Cahava Springs Revitalization District over the creek to Morning Star Road. In truth, the bridge will be built on the 30± acres of property that fronts the Freeman property, crosses east over the creek, and ends at Morning Star Road. This 30± acre parcel is not currently part of the proposed Cahava Springs Revitalization District. However, under the Revitalization Districts statute, Mark Stapp is allowed to acquire that piece of property as part of the Cahava Springs Revitalization District as there is nothing in the statute requiring the properties be contiguous. And, it just so happens that Mark Stapp’s corporate entity Morningstar Road Properties, Inc., owns that 30± acre parcel.
Clarification re: deeding of infrastructure: Mark Stapp kept referring to the fact that, after the infrastructure was installed it would be deeded over to the town. Given that he claims all of the infrastructure is being installed outside of the Cahava Springs Revitalization District’s borders, he is legally required to do this. However, if any infrastructure was to be installed inside the border of Cahava Springs Revitalization District, there is no legal requirement that Cahava Springs Revitalization District deed any of that infrastructure over to the town. Only upon approval by the residents of Cahava Springs Revitalization District can the 3-member Board of Cahava Springs Revitalization District deed any infrastructure installed inside Cahava Springs Revitalization District over to the town. As long as there are bond holders it would be very unlikely the infrastructure could or would be deeded to Cave Creek, as turning over ownership of the infrastructure would diminish the value of the land and it is the land which is secured as collateral for the bond funding.
Clarification re: “zoning” rights: The only municipal authority a Revitalization District doesn’t have is the power of eminent domain and the power to enact zoning ordinances. A Revitalization District does, however, have the power to interpret zoning policy, and the zoning policy of Cave Creek, as it appears in our existing General Plan, is a town-wide DR-43 zone overlay (lot sizes of less than one acre.) This DR-43 zoning interpretation of our General Plan is what will allow Cahava Springs Revitalization District to reduce the lot sizes to less than one-acre within Cahava Springs without the need to obtain town council approval.
“The Revitalization District is nothing more than a funding mechanism.” If the Revitalization Districts statute is “nothing more than a funding mechanism,” why does the Revitalization Districts statute require the town of Cave Creek cede all governing authority over the Cahava Springs Revitalization District to the 3-member Board of Cahava Springs Revitalization District?
The council is expected to vote on final approval of the Revitalization District as early as May.
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