Tallyn's Reach Reserves

The Tallyn’s Reach Metro District boards want to ensure the future of the community by consolidating District No. 2 and No. 3 boards and structuring the mill levy in a way that helps not only save money through consolidation, but helps create a steady stream of funding into the Reserve account for future needs. The health of a metro district reserve is critical to the future of a community.

CURRENT VALUE OF COMMUNITY REAL ESTATE: $1,218,000,000

TALLYN’S REACH RESERVE CURRENTLY FUNDED AT 6%

Upcoming Reserve Items within the next 10 years: Measures of strength are as follows:
  • Replace Irrigation controllers when warranties expire in 2030: $500,000
  • 25 community-owned streets are over 20 years old and need maintenance: ~$750,000
  • Continue replenishing 50-100 of our 5,000+ trees each year: $60,000 - $120,000 annually

 100% Funded:
Indicates the ideal amount is maintained in the Reserve Fund. The metropolitan district has enough funds in the Reserve to cover anticipated costs at any given time.

 70% - 99% Funded:
Indicates an appropriate level of fi nancial strength in the Reserve Fund. Every attempt to maintain this level should be a goal of the metropolitan district.

What are Reserve Assets?

“Reserve” assets are items that are the responsibility of the metropolitan district to maintain, have a limited Useful Life, predictable remaining useful life expectancies, typically occurs on a cyclical basis that exceeds 1 year, and costs above a minimum threshold cost.

 31% - 69% Funded:
Considered “fair” fi nancial position; likelihood of Special Assessments and deferred maintenance is diminished. Eff orts to strengthen the fi nancial position of the Reserve fund is recommended.

This differs from an “operating” expense, which is typically a fi xed expense that occurs on an annual basis. For instance, minor repairs to a component for damage caused by high winds or other weather elements would be considered an “operating” expense. However, if the entire component needs to be replaced because it has reached the end of its life expectancy, then the replacement would be considered a Reserve expense.

 0% - 30% Funded:
Considered a “weak” fi nancial position; could result in Special Assessments and deferred maintenance. Action needed to improve the strength of the Reserve Fund.

The information on this page is taken from the 2020 Tallyn’s Reach Metro District Reserve Study and/or estimates and projections from the Tallyn’s Reach Treasurer.

Reserve Shortfall

2022 Reserves Shortfall
 Ideal Reserve Fund $10,586,297
 Projected Reserve Balance as of December 2022 $600,000
Ideal Annual Reserve Contribution $1,728,000
2022 Combined Reserve Contribution $500,000
2023 Projected Annual Contribution with new Mill Levy $200,000
2023 Projected Annual Contribution from Quarterly Fees $300,000

2019 Reserve Study

Download the 2019 Tallyn's Reach Metro District Reserve Study