Eligible voters in and around Old Colorado City will choose on Nov. 5 if they want to create a new special taxing district that aims to revitalize and invigorate the historic neighborhood on Colorado Springs’ far western edge.

Proponents have said establishing an Old Colorado City Downtown Development Authority will celebrate the area’s historic main street, will create new entrepreneurial opportunities and will provide consolidated leadership to better guide rejuvenation efforts.

Development authorities use their tax revenue for downtown development and redevelopment. Old Colorado City voters will also cast their votes in November to establish whether to approve a special tax rate within district boundaries to fund it, and to authorize the proposed district to take on up to $5 million in debt to pay for development and redevelopment projects.

The district boundaries are to be the Colorado Springs and Manitou Springs line to the west; to the north by the alley between West Pikes Peak Avenue and Colorado Boulevard; to the east by Interstate 25; and to the south by the alley between West Cucharras Street and Colorado Boulevard. It would also include the southern nodes at Interstate 25 and 21st Street.

If the development authority is established, it will include about 425 businesses, 350 commercial properties, and 250 residential properties representing about 700 residents, Jamie Giellis, president of Denver-based consultant firm Centro Inc, has said. Giellis’ firm came aboard last year to assist local efforts to invest in and revitalize Old Colorado City.

Eligible voters living within the proposed authority boundaries will receive a second ballot this fall, separate from the ballot mailed by the El Paso County clerk and recorder, to vote on just the authority-related questions, Giellis previously said.

About 1,000 ballots will go out, but that number could change slightly as the campaign continues verifying voter details, she told The Gazette by email in late September.

Colorado Springs Councilman Mike O’Malley, who was the sole vote against sending the proposal to the ballot, described it as “almost an embarrassment.”

“They’re telling us the city is not doing its job, the government is not doing its job,” O’Malley said at an Aug. 13 City Council meeting.

If created, the Old Colorado City DDA will consolidate several stakeholder groups, including two special improvement maintenance districts currently located within its proposed boundaries. Joining those groups in a DDA will create a sustainable revenue source, allow the district to leverage additional funding for its projects and establish clear leadership for revitalization efforts, Giellis has said.

Funding for the proposed Old Colorado City DDA will come first through a capped, annual 5-mill tax levy to support operations. The mill levy taxes all commercial and residential property owners in the district’s boundaries.

It would also be funded through a mechanism called tax increment financing. This is when the district pledges future sales and property tax revenue from new and redeveloped properties to help pay for development and redevelopment projects; the development authority often partners with the private sector in these cases.

Under the development authority, the average Old Colorado City residential property owner within the district would pay about $136 a year in assessed special taxes, according to financial projections Giellis presented to the City Council this summer. The average commercial owner would pay around $686 a year. Old Colorado City residents would no longer pay the SIMDs’ assessed tax rate of about 13 mills.

Giellis told The Gazette last month there are not currently any specific planned developments for the proposed Old Colorado City DDA. Should voters choose to create the special taxing district, its leaders will need to present the City Council a plan of development for approval, which could include specific viable projects to support, she said.

Giellis anticipates initial investments from the DDA would go toward paid leadership, investing in additional safety efforts, making aesthetic improvements to the corridor, and funding more marketing, events and programming.

Over time, the development authority would focus on supporting redevelopment and bringing more small businesses to the area, she said.

Read more about the proposed Old Colorado City DDA here and here.