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HomeMy WebLinkAboutOrdinance 23243-06-2018 ORDINANCE NO. 23243-06-2018 AN ORDINANCE OF THE CITY OF FORT WORTH, TEXAS APPROVING A SERVICE AND ASSESSMENT PLAN UPDATE FOR THE FORT WORTH PUBLIC IMPROVEMENT DISTRICT NO. 17 (ROCK CREEK RANCH); MAKING A FINDING OF SPECIAL BENEFIT TO THE PROPERTY IN THE DISTRICT; LEVYING ROADWAY IMPROVEMENT SPECIAL ASSESSMENTS AGAINST CERTAIN PROPERTY WITHIN THE DISTRICT; ESTABLISHING A LIEN ON SUCH PROPERTY; APPROVING UPDATES TO THE ASSESSMENT ROLLS FOR THE DISTRICT; PROVIDING FOR THE METHOD OF ASSESSMENT AND THE PAYMENT OF THE ROADWAY IMPROVEMENT SPECIAL ASSESSMENTS; PROVIDING FOR PENALTIES AND INTEREST ON DELINQUENT ASSESSMENTS; PROVIDING FOR A SEVERABILITY CLAUSE; PROVIDING AN EFFECTIVE DATE; AND PROVIDING FOR RELATED MATTERS WHEREAS, Chapter 372, Texas Local Government Code (the "Act") authorizes the governing body (the "City Council") of the City of Fort Worth, Texas (the "City"), to create a public improvement district within the corporate limits and extraterritorial jurisdiction of the City; and WHEREAS, on December 6, 2016, the City Council conducted a public hearing to consider a petition received by the City on November 9, 2016 (the "Petition") requesting the creation of the Fort Worth Public Improvement District No. 17 (Rock Creek Ranch) (the "District") to undertake the construction of certain public improvements described in the Petition(the"Authorized Improvements"); and WHEREAS, (1)on December 13, 2016,the City Council approved Resolution No. 4724-12-2016 (the"Authorization Resolution"),authorizing, establishing and creating the District;(2)on December 16, 2016(the"Authorization Publication Date"),the City published the Authorization Resolution in the Fort Worth Star-Telegram,a newspaper of general circulation in the City and the boundaries of the District;and (3) no written protests regarding the creation of the District from any owners of record of property within the District were filed with the City Secretary within twenty (20) days of the Authorization Publication Date; and WHEREAS,(1)the City Council previously adopted a Service and Assessment Plan(the"Service and Assessment Plan") for the District pursuant to Ordinance 22832-08-2017, adopted on August 15, 2017; (2) levied the Major Improvement Special Assessments (as defined in the Service and Assessment Plan; and(3) issued its bonds designated "City of Fort Worth, Texas Special Assessment Revenue Bonds, Series 2017 (Fort Worth Public Improvement District No. 17 (Rock Creek Ranch) Major Improvement Project)" payable from and secured by the Major Improvement Special Assessments; and WHEREAS, on May 15, 2018, the City Council adopted Resolution No. 4937-05-2018, determining the updated total estimated costs of the Roadway Improvements (as defined below) to be financed by the District at this time, directing the filing of proposed updates to the assessment rolls, directing the mailing and publication of notice of a public hearing to be held on June 5, 2018 to consider the levying of the additional special assessments against the property within the District to pay the costs of the Roadway Improvements, and directing related actions; and WHEREAS,the City Council, pursuant to Resolution No. 4937-05-2018 and Sections 372.016(b) and (c) of the Act, directed the City staff to publish notice on or before May 19, 2018 in the Fort Worth Star Telegram,which notice was published on May 18,2018,of a public hearing to be held on June 5,2018 to consider the proposed additional special assessments to be levied against property located in the District 1 and mailed copies of such notice to the last known address of the owners of the property liable for such special assessments; and WHEREAS,the City Council convened the public hearing at the City Council meeting beginning at 7:00 p.m.on Tuesday,June 5,2018,at which all persons who appeared,or requested to appear,in person or by their attorney, were given the opportunity to contend for or to contest the Service and Assessment Plan update attached hereto as EXHIBIT A (the "Service and Assessment Plan Update"), the updated Assessment Rolls in the forms attached as APPENDIX A-1 and APPENDIX A-2 to the Service and Assessment Plan (collectively, the "Updated Assessment Rolls"), and the proposed Roadway Improvement Special Assessments (as defined in the Service and Assessment Plan Update)to be levied against the Western Improvement Area (as defined in the Service and Assessment Plan Update) of the District,and to offer testimony pertinent to any issue presented on the amount of the Roadway Improvement Special Assessments,the apportionment of the costs of the Roadway Improvements that benefit the Western Improvement Area of the District and which are to be funded by the Roadway Improvement Special Assessments levied in the District (the "Roadway Improveg►ents"), the purpose of the Roadway Improvement Special Assessments, the special benefits accruing to the property within Western Improvement Area of the District due to the Roadway Improvements, and the penalties and interest of annual installments and on delinquent annual installments of the Roadway Improvement Special Assessments; and WHEREAS, the Roadway Improvements benefit only the Western Improvement Area of the District, and the Roadway Improvement Special Assessments are being levied across all property (other than Non-Benefitted Property, as defined in the Service and Assessment Plan Update) in the Western Improvement Area; and WHEREAS, the City Council further finds that there were no written objections or evidence submitted to the City Secretary in opposition to the Service and Assessment Plan Update,the apportionment of the costs of the Roadway Improvements, the Updated Assessment Rolls, or the levy of the Roadway Improvement Special Assessments; and WHEREAS,the City Council finds and determines that the Service and Assessment Plan Update and the Updated Assessment Rolls,which are incorporated herein for all purposes,should be approved and that the Roadway Improvement Special Assessments should be levied against the property in the District as provided in this Ordinance and the Service and Assessment Plan Update and Updated Assessment Rolls; and WHEREAS, prior to the issuance of bonds secured by the Roadway Improvement Special Assessments,WUSF 4 Rock Creek LP,a Texas limited partnership,and Walton Texas,LP,a Texas limited partnership(collectively,the"Landowners")the owners of all of the privately-owned and taxable property located within the Western Improvement Area of the District and subject to assessment,will have executed and presented to the City staff for approval and acceptance a Landowner Consent Certificate (the "Landowner Consent") in the form and substance acceptable to the City, in which the Landowners acknowledge and accept the Service and Assessment Plan Update,approve the Updated Assessment Rolls, acknowledge and accept this Ordinance and acknowledge and accept the levy of the Roadway Improvement Special Assessments against their property located within the District, and agree to pay the Roadway Improvement Special Assessments when due and payable; and WHEREAS, the City Council closed the public hearing, and after considering all comments and all written and documentary evidence presented at the hearing, including all written comments and statements filed with the City, determined to proceed with the adoption of this Ordinance in conformity with the requirements of the Act; and 2 WHEREAS, the apportionment of the cost of the Roadway Improvements, the Roadway Improvement Special Assessments and the Annual Installment thereof pursuant to the Service and Assessment Plan Update is fair and reasonable,reflects an accurate presentation of the special benefit each property will receive from the administrative services and construction of the Roadway Improvements identified in the Service and Assessment Plan Update,and is hereby approved; and WHEREAS, the Service and Assessment Plan Update covers a period of at least five years and defines the annual indebtedness and projected costs for the Roadway Improvements related and Administrative Expenses;and WHEREAS, the Service and Assessment Plan Update apportions the cost of the Roadway Improvements and related Administrative Expenses to be assessed against property in the District and such apportionment is made on the basis of special benefits accruing to the property because of the Roadway Improvements and related Administrative Expenses; and WHEREAS, all of the real property in Western Improvement Area of the District upon which the Roadway Improvement Special Assessments are being levied in the amounts shown in the Updated Assessment Rolls will be benefitted by the Roadway Improvements proposed to be provided through the District in the Service and Assessment Plan Update, and each parcel of such real property will receive special benefits in each year equal to or greater than each Annual Installment of the Roadway Improvement Special Assessments and will receive special benefits during the term of the Roadway Improvement Special Assessments equal to or greater than the total amount assessed; and WHEREAS, the method of apportionment of the cost of the Roadway Improvements, Administrative Expenses, and Annual Installments associated with the Roadway Improvement Bonds set forth in the Service and Assessment Plan Update results in imposing equal shares of the costs of the Roadway Improvements and Administrative Expenses on property similarly benefitted, and results in a reasonable classification and formula for apportionment of such costs; and WHEREAS,the Service and Assessment Plan Update should be approved as the service plan and assessment plan for the District as described in Sections 372.013 and 372.014 of the Act; and WHEREAS, the Updated Assessment Rolls should be approved as the assessment rolls for the District; and WHEREAS, the provisions of the Service and Assessment Plan Update relating to payment due and delinquency dates for the Roadway Improvement Special Assessments and the Annual Installments, interest and penalties on delinquent Roadway Improvement Special Assessments and Annual Installments and procedures in connection with the imposition and collection of the Roadway Improvement Special Assessments should be approved and will expedite collection of the Roadway Improvement Special Assessments in a timely manner in order to provide the services and improvements needed and required for the area within the District;and WHEREAS,the Roadway Improvement Special Assessments herein levied and assessed are made and levied under and by virtue of the terms,powers and provisions of the Act. NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH,TEXAS THAT: 3 Section 1.Findings. The findings, determinations and recitations set out in the preambles of this Ordinance are found to be true and correct and they are hereby adopted by the City Council and made a part hereof for all purposes. Section 2.Public Hearing. The action of the City Council holding and closing the public hearing in these proceedings is hereby ratified and confirmed. Section 3. Terms. Terms not otherwise defined herein are defined in the Service and Assessment Plan Update. Section 4.Assessment Plan. The Service and Assessment Plan Update substantially in the form attached to this Ordinance is hereby accepted and approved pursuant to Sections 372.013 and 372.014 of the Act. Section 5.Assessment Rolls. The Updates to the Assessment Rolls attached as APPENDIX A-1 and APPENDIX A-2 to the Service and Assessment Plan are hereby approved. Section 6. Levy and Payment of Roadway Improvement Special Assessments for Costs of Improvement Project. (a) The City Council hereby levies an assessment on each tract of property located within the Western Improvement Area of the District,except for the Non-Benefitted Property,as shown and described within the Service and Assessment Plan Update and the Updated Assessment Rolls, in the respective amounts shown on the Updated Assessment Rolls. There is further levied and assessed against each tract of property located within the Western Improvement Area of the District, except for the Non-Benefitted Property, having not paid the assessments in full, additional annual assessments for the Administrative Expenses related to the Roadway Improvement Special Assessments, as described in the Service and Assessment Plan Update, which shall be part of the Roadway Improvement Special Assessment and the Annual Installment thereof. The amount of the Annual Installment shall be reviewed and determined annually by the City Council following the City Council's annual review of the Service and Assessment Plan for the District. Pursuant to Section 372.015(d)of the Act,the amount of assessment for each property owner within the District may be adjusted following the annual review of the Service and Assessment Plan. (b) The levy of the Roadway Improvement Special Assessments shall be effective on the date of adoption of this Ordinance levying assessments and strictly in accordance with the terms of the Service and Assessment Plan and the Act. (c) The collection of the Roadway Improvement Special Assessments shall be as described in the Service and Assessment Plan Update and the Act. (d)Each Roadway Improvement Special Assessment may be paid in a lump sum or may be paid in Annual Installments pursuant to the terms of the Service and Assessment Plan Update. 4 (e)Each Roadway Improvement Special Assessment shall bear interest at the rate or rates specified in the Service and Assessment Plan Update. (f)Each Annual Installment shall be collected each year in the manner set forth in the Service and Assessment Plan Update. (g) The Annual Installments for Assessed Properties shall be calculated pursuant to the terms of the Service and Assessment Plan Update. Section 7.Method of Assessment. The method of apportioning the Actual Costs of the Roadway Improvements and the related Administrative Expenses is set forth in the Service and Assessment Plan Update. Section 8.Penalties and Interest on Delinquent Roadway Improvement Special Assessments. Delinquent Roadway Improvement Special Assessments shall be subject to the penalties, interest, procedures, and foreclosure sales set forth in the Service and Assessment Plan Update and as allowed by law and such enforcement. The Roadway Improvement Special Assessments shall have lien priority as specified in the Act and the Service and Assessment Plan Update. Section 9.Prepayments of Roadway Improvement Special Assessments. As provided in subsection 372.018(f)of the Act and Section VI.E of the Service and Assessment Plan Update, the owner (the "Owner") of any Assessed Property may prepay all or any portion of the Roadway Improvement Special Assessments levied by this Ordinance. Section 10.Lien Property. (a)The City Council and each of the landowners in the District intend for the obligations,covenants and burdens on such landowners of the Assessed Property, including without limitation such landowner's obligations related to payment of the Roadway Improvement Special Assessments and the Annual Installments, to constitute a covenant running with the land. The Roadway Improvement Special Assessments and the Annual Installments levied hereby shall be binding upon the Landowners,the Owners and their respective transferees, legal representatives, heirs, devisees, successors and assigns in the same manner and for the same period as such parties would be personally liable for the payment of ad valorem taxes under applicable law. Roadway Improvement Special Assessments and the Annual Installments shall have lien priority as specified in the Service and Assessment Plan and the Act. (b)The Roadway Improvement Special Assessments and Annual Installments levied and assessed against the property within the District as provided in this Ordinance and the Service and Assessment Plan Update,together with reasonable attorney's fees and costs of collection,if incurred, are hereby declared to be and are made a lien upon each tract of property within the District against which the same are levied and assessed, and a personal liability and charge against the real and true owners of such lot, including the successors and assigns, whether such owners be named herein or not,and said liens shall be and constitute the first enforceable lien and claim against the lot on which such assessments are levied,and shall be a first and paramount lien thereon, superior to all other liens and claims except state, county, school district and municipal ad valorem taxes. The City Council hereby authorizes enforcement of such lien in the manner set forth herein and in the Act. 5 Section 11.Continuation of Appointment of Administrator and Collector of Assessments. (a)MuniCap,Inc., of Columbia,Maryland,was previously appointed and designated as the initial administrator of the Service and Assessment Plan and of Major Improvement Special Assessments levied by the prior assessment ordinance(the"Administrator"),and is hereby confirmed as the Administrator of the Roadway Improvement Special Assessments. The Administrator shall perform the duties of the Administrator described in the Service and Assessment Plan and in this Ordinance. The City has entered into a PID Administration Services Agreement with MuniCap,Inc. The Administrator's fees,charges and expenses for providing such service shall be part of the Annual Installment, as further described in the Service and Assessment Plan Update. (b) The Chief Financial Officer / Director of Financial Management Services of the City or his designee is hereby appointed as the temporary collector of the Roadway Improvement Special Assessments. The Chief Financial Officer/Director of Financial Management Services or his designee shall serve in such capacity until such time as the City shall arrange for the collection duties to be performed by the Tarrant County Tax Assessor or any other qualified collection agent selected by the City. (c) In connection with carrying out the purposes and intent of this Section 11, and the Chief Financial Officer/ Director of Financial Management Services is hereby designated as a special Acting Assistant City Manager for the limited purpose of executing such certificates, agreements, notices, instruction letters,requisitions, and other documents on behalf of the City. Section 12.Applicability of Tax Code. To the extent not inconsistent with this Ordinance, and not inconsistent with the Act or the other laws governing public improvement districts,the provisions of the Texas Tax Code governing enforcement of ad valorem tax liens (other than with respect to property subject to agriculture use valuation, including redemption rights following a tax sale) shall be applicable to the imposition and collection of Roadway Improvement Special Assessments by the City, and the Texas Tax Code shall otherwise be applicable to the extent provided by the Act. Section 13. Severability. If any provision of this Ordinance or the application of any provision to any person or circumstance is held invalid, the invalidity shall not affect other provisions or applications of the Ordinance which can be given effect without the invalid provision or application,and to this end the provisions of this Ordinance are declared to be severable. Section 14.Effective Date. This Ordinance shall take effect, and the levy of the Roadway Improvement Assessments, shall become effective from and after its date of passage in accordance with law. Section 15.Open Meetings. It is hereby officially found and determined that the meeting at which this Ordinance is passed was open to the public as required and that public notice of the time, place, and purpose of said meeting was given as required by the Texas Open Meetings Act. 6 Section 16.Filing in Land Records. The City Secretary is directed to cause a copy of this Ordinance, including the Service and Assessment Plan Update, to be recorded in the real property records of Tarrant County, Texas. The City Secretary is further directed to similarly file each Annual Service Plan Update approved by the City Council. AND IT IS SO ORDAINED. APPROVED AS TO FORM AND LEGALITY: ATTEST: axw— rc�r•� Denis McElroy Se for Assistant City Attorney nald Gonzales,Assist t ity Secretary M&C: G-19297 F OR T O: •.O Adopted and Effective: June 5, 2018 yt tit TEXAS 7 City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 6/5/2018 •Ordinance No. 23243-0672018 DATE: Tuesday, June 5, 2018 REFERENCE NO.: G-19297 LOG NAME: 13ROC1< CREEK RANCH PID FY2018 SUBJECT: Conduct Public Hearing to Consider the Levying of Special Assessments in Fort Worth Public Improvement District No. 17 (Rock Creek Ranch); Adopt Ordinance (1) Levying Special Assessments on the Property Located in the Western Improvement Area of Rock Creek Ranch PID, (2)Approving an Updated Service and Assessment Plan for the Rock Creek Ranch PID (Service and Assessment Plan), (3)Approving Updates to the Assessment Roll for the Rock Creek Ranch PID (Assessment Roll) and (4) Ordaining Other Matters Related Thereto (COUNCIL DISTRICT 6) RECOMMENDATION: It is recommended that the City Council: 1. Conduct a public hearing concerning the proposed special assessments to be levied on the property located in the Western Improvement Area of the Rock Creek Ranch PID with collection to begin for the 2018 Tax Year; and 2. Adopt the attached ordinance (a) levying special assessments on the property located in the Western Improvement Area of the Rock Creek Ranch PID in tax year 2018 with the first collection to be due on January 31, 2019 and the last installment to be due on January 31, 2037, (b) approving the updated Service and Assessment Plan, (c) approving the updated Assessment Roll for the Rock Creek Ranch PID, and (d) ordaining other matters related thereto. DISCUSSION: In December 2016, the City Council approved the creation of the Rock Creek Ranch PID, encompassing approximately 1,756 acres located entirely within the corporate limits of the City, as a vehicle to provide a funding mechanism for needed infrastructure related to Tarleton State University. Full development of the Rock Creek Ranch PID will encompass multiple phases that will occur over several years. It is anticipated that when fully developed, the PID will include approximately 4,919 single family residential homes, approximately 2,520 multi-family residential units, approximately 3,780,000 square feet of commercial space and 960,000 square feet planned as a public university. On May 15, 2018, the City Council adopted a resolution concerning certain matters related to the Rock Creek Ranch PID including the following: (1) determining the costs of certain public improvements (Brewer Road); (2) accepting a preliminary service and assessment plan, including proposed updates to the assessment roll; (3) directing the filing of the proposed updates to the assessment roll with the City Secretary; (4) calling for a public hearing to consider the ordinance levying special assessments on property located within the Rock Creek Ranch PID; and (5) directing staff to publish and mail notice of this public hearing to the property owners liable for payment of the special assessment. The purpose of the public hearing is to receive comments on the proposed special assessments to be levied on each property within the Western Improvement Area of the Rock Creek Ranch PID, which is Logname: 13ROCK CREEK RANCH PID_FY2018 Page 1 of 2 expected to be approximately $5,465,000.00, inclusive of project costs, project cost contingencies, capitalized interest through fiscal year 2020, debt service reserve funds, underwriting discounts, and costs of issuance of the associated debt. The special assessments will be levied across all of the land within Western Improvement Area of the Rock Creek Ranch PID, providing an estimated $10,732,570 in revenue, including $5,465,000 in assessments and interest there on, to pay the anticipated debt to be issued to fund the road improvements, as well as amounts collected to cover the cover the administrative costs of the PID and to fund a contingency and prepayment fund. Until land within the PID is sold, the Developer is responsible for the entire annual assessment amount. If the development plan currently outlined in the SAP materializes, then the annual installments are anticipated to be levied at a tax rate equivalent of$0.09 per$100.00 of assessed value. This tax rate equivalent comprises a $0.05 amount for the Major Improvements (water& sewer) and $0.04 for the Roadway Improvements (Brewer Road). The Developer will be responsible for managing all construction and the associated Agreements for the development of the lots and residential units within the Rock Creek Ranch PID. It is recommended that the City Council adopt the attached ordinance levying such special assessments and approving the updated Service and Assessment Plan and Assessment Roll. This M&C does not request approval of a contract with a business entity. FISCAL INFORMATION / CERTIFICATION: The Director of Finance certifies that upon approval of this Mayor& Council Communication (M&C), the Rock Creek Ranch PID Service and Assessment Plan will be approved, the City will levy assessments for a 19 year period on property within the PID, and that the road improvements will be funded through the issuance of PID debt which will be repaid from the generated funds from the assessments. FUND IDENTIFIERS (FIDs): TO Fund Department ccoun Project JProgram ctivity Budget Reference # mount ID ID Year Chartfield 2 FROM Fund Department ccoun Project Program ctivity Budget Reference # moun ID ID Year Chartfield 2 CERTIFICATIONS: Submitted for City Manager's Office by: Jay Chapa (5804) Originating Department Head: Aaron Bovos (8517) Additional Information Contact: John Samford (2318) Logname: 13ROCK CREEK RANCH_PID_FY2018 Page 2 of 2 EXHIBIT A SERVICE AND ASSESSMENT PLAN UPDATE 8 bort Worth Public Improvement District No. 17 Rock Creek Ranch) Service and Assessment Plan August 15, 2 017 As Updated for Roadway Improvement Bonds on June 5, 2018 For additional information,please contact: Initial PID Administrator: Munieap,Inc. 222 W Las Colinas Blvd,Mute 1650E Irving.TX 75039 972.444-2519 main 866-649-8482 toff five City of Fort Worth: Department of Fwancial Management Services City of Ft Words,Texas 200 Texas Street FL Worth,Texas 76102 9 17.392 95W(office) 2180.021%71909.7 Table of Contents Section I PLAN DESCRIPTION AND DEFINED TERMS.........................................................................3 Section II PROPERTY INCLUDED IN THE PID....................................................................................... I I Section III DESCRIPTION OF THE AUTHORIZED LMPROVEMENTS.................................................. 15 Section IV ASSESSMENTPLAN..................................................................................................................20 Section V SERVICEPLAN..........................................................................................................................32 Section VI TERMS OF THE SPECIAL,ASSESSMENTS............................................................................36 Section VII ASSESSMENTROLL..................................................................................................................42 Section VIII MISCELLANEOUS PROVISIONS. ...........................................................................................46 Appendix A-I WESTERN IMPROVEMENT AREA ASSESSMENT ROLL........................................48 Appendix A-2 EASTERN WROVE1VIENT AREA ASSESSMENT ROLL.......................................................51 Appendix A-3 EASTERN IMROVEMENT AREA ASSESSMENT ROLL.......................................................54 Appendix B LEGAL DESCRIPTION FOR.PROPERTY WITHIN PID. .......................................................55 Appendix B-I LEGAL DESCR.IFTTON FOR THE WESTRN IMPROVEMENT AREA.................................61 Appendix B-2 LEGAL DESC"RIP'TiON FOR THE EASTERN MUMQYEAMU AREA................................62 Appendix C MAP OF AUTHORIZED II"ROVEMENTS ............................................................................62 Section E Plan Description and Defined Terms List of Tables Table H-A. PUBLIC IMPROV'DISTRICT'BOUNDARIES............................................................ 12 Table II-B WESTERN IMPROVEMENT AREA.BOUNDARIES............................................................... 13 Table II-C EASTERN IMPROVEMENT AREA BOUNDARIES................................................................ 14 Table III-A COSTS OF AUTHORIZED IMPROVEMENTS, NON-PID RELATED IMPROVEMENTS, AND UNIVERSITY IMPROVEMENT'S ...................................................................................18 Table IV-A UPDATED COSTS OF UNIVERSITY IMPROVEMENTS ....................................................................................................................21 Table IV-B WESTERN IMPROVEMENT AREA UPDATED ACTUAL COST ALLOCATION...............24 Table IV-C EASTERN IMPROVEMENT AREA UPDATED ACTUAL COST ALLOCATION...............24 Table IV-D UPDATED WESTERN IMPROVEMENT AREA SPECIAL ASSESSMENT ALLOCATION. .......................................................................................................................................................28 Table IV-E UPDATED WESTERN IMPROVEMENT AREA ESTIMATED VALUE TO SPECIAL ASSESSMENT RATIOS.......................................................................................................29 Table IV-F UPDATED EASTERN IMPROVEMENT AREA SPECIAL ASSESSMENT ALLOCATION 30 Table IV-G UPDATED EASTERN IMPROVEMENT AREA ESTIMATED VALUE TO SPECIAL ASSESSMENT RATIOS.......................................................................................................30 Table V-A UPDATED MAJOR IMPROVEMENTS PID BONDS SOURCES AND USES.......................33 Table V-B ROADWAY IMPROVEN ENT'S PID BONDS SOURCES AND USES....................................34 Table VII-A UPDATED WESTERN IMPROVEMENT AREA SPECIAL BENEFIT SUMMARY.............43 Table VII-B 1 Section I:Plan Description and Defined Terms UPDATED WESTERN IMPROVEMENT AREA SPECIAL BENEFIT SUMMARY— ROADWAY IMPROVEMENTS.................................................................................................44 Table VII-C UPDATED EASTERN IMPROVEMENT AREA SPECIAL BENEFIT SUMMARY..............45 2 2180.021\71999.7 Section I-Plan Description and Defined Terms Section I PLAN DESCRIPTION AND DEFINED TERMS A. Introduction 1. On December 13,2016,(the"Creation Date"),the City Council(the"City Council")of the City of Fort Worth, Texas (the "City") approved Resolution No. 472412-2016, which authorized the creation of the Fort Worth Public Improvement District No. 17 (Rock Creek Ranch) (the "PID") to finance all or a portion of the Actual Costs of the Authorized Improvements for the benefit of certain property in the PID, all of which is located within the city limits of the City. 2. Chapter 372 of the Texas Local Government Code(as amended,the"PID Act'),governs the creation and operation of public improvement districts within the State of Texas. This Service and Assessment Plan, as updated from time to time, (this "SAP") was prepared pursuant to the PID Act. The PID Act requires that a service plan "cover a period of at least five years and must also define the annual indebtedness and the projected costs for improvements." The PID Act also requires a service plan "be reviewed and updated annually for the purpose of determining the annual budget for improvements." The service plan for the PID is described in more detail in Section V herein. 3. The Assessment Rolls for the PID are attached hereto as Avvendix A-1 and Ayyendix A_2,and are addressed in Section VII of this SAP.The Special Assessments as shown on the Assessment Rolls are based on the method for establishing and levying the Special Assessments described in Sections IV and VI of this SAP. 4. Unless otherwise specified, references in this SAP to a "Section," a "Table," or an "Appendix"shall mean a Section of,a Table in,or an Appendix to this SAP. B. Definitions As used in this SAP,capitalized terms shall have the meanings ascribed to them as follows: 1. "Actual CoWs)" means, with respect to an Authorized Improvement, the demonstrated, reasonable, allocable, and allowable costs of constructing such Authorized Improvement, as specified in a payment request in a form that has been reviewed and approved by the City. Actual Cost may include (i) the costs incurred for the design, planning, financing, administration/management, acquisition, installation, construction and/or implementation of such Authorized Improvement, (ii) the costs incurred in preparing the construction plans for such Authorized Improvement,(iii)the fees paid for obtaining permits,licenses or other governmental approvals for such Authorized lmprovement, (iv) the Project Management Fees, (v) the costs incurred for exterrial professional costs, such as engineering, geotechnical, surveying, land planning, architectural landscapers, advertising, marketing and research studies, appraisals, legal, accounting and similar 3 3180AM719"17 Section I:Plan Description and Defined'Perms professional services related to the Authorized Improvement, (vi) all labor, bonds and materials, including equipment and fixtures, incurred by contractors, builders and materialmen in connection with the acquisition, construction or implementation of the Authorized Improvement, (vii) all related permitting, zoning and authorized approval expenses, architectural, engineering, legal and consulting fees, financing charges, taxes, governmental fees and charges, insurance premiums, and miscellaneous expenses, and (viii)all payments for Administrative Expenses. 2. "Additional Interest" means the 0.50% additional interest charged on the applicable Special Assessments pursuant to Section 372.018 of the PID Act to fund the Delinquency and Prepayment Reserve,pursuant to Section IV.H. 3. "Administrative Expenses" means the administrative, organizational, maintenance and operation costs and expenses associated with, or incident to, the administration, organization, maintenance and operation of the PID, including, but not limited to, the costs of (i) direct and contracted costs incurred by the City including legal counsel, engineers, accountants, financial advisors, investment bankers or other consultants and advisors, (ii) creating and organizing the PID and preparing the Assessment Rolls, (iii) computing, levying, collecting and transmitting the Special Assessments or the Annual Installments thereof, (iv) maintaining the record of Special Assessments, including payments, reallocations and/or cancellations of the Special Assessments or Annual Installments thereof, (v)investing or depositing the Special Assessments or other monies, (vi)complying with the PID Act, arbitrage rebate requirements and/or securities disclosure requirements, (vii) paying the paying agent/registrar's and trustee's fees and expenses (including the fees and expenses of its legal counsel)related to the PID Bonds, and (viii) City costs of administering the construction of the Authorized Improvements. Administrative Expenses shall also include the administrative costs and expenses of issuing, making debt service payments on, and redeeming PID Bonds; provided, however, that for the avoidance of doubt, Administrative Expenses do not include payment of the actual principal of, redemption premium, if any, and interest on PID Bonds. Annual Administrative Expenses collected and not expended shall be carried forward and applied to reduce Administrative Expenses in subsequent years to avoid over collection. 4. `Administrator"means an officer or employee of the City or third party designee of the City who is not an officer or employee thereof, who shall have the responsibilities provided for herein, in an Indenture relating to the FID Bonds or in any other agreement approved by the City Council relating to the PID. 4 Section I:Plan Description and Defined Terms 5. "Annual Installment" means, with respect to the Assessed Property, each annual payment of. (i)the applicable Special Assessment(including the principal of and interest on), as shown on the Special Assessment Rolls attached hereto as Appendix A-1 and Appendix A-2,as the same may be updated in accordance with this SAP,or in an Annual Service Plan Update, and calculated as provided in Section VI of this SAP, (ii) Administrative Expenses,and(iii)Additional Interest designated for the Delinquency and Prepayment Reserve described in Section IV.H of this SAP. 6. "Annual Service Plan Update"has the meaning set forth in Section V.2 of this SAP. 7. "Assessed Property" or "Assessed Properties" means property within the PH) that benefit from the Authorized Improvements and on which Special Assessments have been levied as shown on an Assessment Roll (as the same may be updated each year by the Annual Service Plan Update)and which includes any and all Parcels within the PID other than Non-Benefitted Property. 8. "Assessment Ordinance" means, as applicable, the Major Improvement Assessment Ordinance and/or the Roadway Improvements Assessment Ordinance. 9. "Assessment Roll" means, as applicable, each Assessment Roll included in this SAP as Appendix A-1 and Appendix A-2, as the same may be updated, modified or amended from time to time in accordance with the procedures set forth herein and in the PID Act, including updates prepared in connection with the issuance of any PID Bonds or in connection with any Annual Service Plan Update. 10. "Authorized Improvements"means those improvement,including those listed in Table III-A and described in Section III.B, authorized by Section 372.003 of the PID Act, acquired, constructed or installed in accordance with this SAP, and any future updates and/or amendments, for which Special Assessments are levied against the Assessed Property that receives a special benefit from such improvements. 11."City"means the City of Fort Worth,Texas. 12."City Council"means the duly elected governing body of the City. 13. "City Facilities Agreement" means the City's standard community facilities agreement or such other form as the City may require to ensure compliance with its "Community Facilities Agreement (CFA) Policy, Related Ordinance, and Street Design Criteria" last revised by M&C G-13181, March 20, 2001, as the same may be amended from time to time. 14. "County"means Tarrant County,Texas. 15. "Delinquency and Prepayment Reserve"has the meaning set forth in Simon IV.II of this SAP. 5 Section I:Plan Description and Defined Tereus 16."Delinquent Collection Costs" means interest, penalties and expenses incurred or imposed with respect to any delinquent Special Assessment, or an Annual Installment thereof, in accordance with the PID Act which includes the costs related to pursuing collection of such delinquent Special Assessment, or an Annual Installment thereof, and the costs related to foreclosing the lien against the Assessed Property, including attorney's fees to the extent permitted under Texas Law. 17."Developer"means Walton Development&Management TX, LLC, a Delaware limited liability company or their respective successors and assigns. 18. "Eastern Improvement Area" means the approximately 833 acres of land within the PID located east of Chisolm Trail Parkway and shown on Table H-C. 19."Eastern Improvement Area Assessment Roll" means the Eastern Improvement Area Assessment Roll included in this SAP as Arroendiax A-2, as the same may be updated, modified or amended from time to time in accordance with the procedures set forth herein and in the PID Act, including updates prepared in connection with the issuance of PID Bonds or in connection with any Annual Service Plan Update. The Eastern Improvement Area Assessment Roll includes the portion of the Major Improvement Assessment allocable to the Eastern Improvement Area. 20."Indenture" means, as applicable, the Major Improvement Bonds Indenture and/or the Roadway Improvement Bonds Indenture, or any Indenture related to the refinancing of such Bonds. 21."Lot" means (i) for any portion of the Property for which a subdivision plat has been recorded in the official real property records of the County, a tract of land described as a "lot" in such subdivision plat, and (ii) for any portion of the Property for which a subdivision plat has not been recorded in the official real property records of the County, a tract of land anticipated to be described as a"lot"in a final recorded subdivision plat. 22."Land Use"means a classification of final building Lots with similar characteristics(e.g. commercial, light industrial, multifamily residential, single family residential or other uses), as determined or approved by the Administrator and confirmed by the City Council. In the case of single family residential Lots, the Land Use shall be further defined by classifying the residential Tats based on the front footage of the Lot, as determined by the Administrator and approved by the City Council as part of its Annual Service Plan Update. If any change in Land Use requires a change in zoning or other entitlement process, such change must be approved by the City prior to any change in the SAP. 23. "Major Improvements" means, collectively, the Water Improvements and the Sanity Sewer Improvements described in Section HHB. 24."Major Improvement Assessment Ordinance' means Assessment Ordinance No. 22832-08-2017 adopted by the City Council on August 15,2017 which initially approved this SAP and levied the Major Improvement Special Assessments. 6 Section I: Plan Description and Defined Terms 25. "Major Improvement Special Assessments" means the Special Assessments levied pursuant to the Major Improvement Assessment Ordinance on the Eastern Improvement Area and the Western Improvement Area for the Major Improvements, as shown in the Assessment Rolls. 26. "Major Improvement Bonds" means the City of Fort Worth, Texas, Special Assessment Revenue Bonds, Series 2017 (Fort Worth Public Improvement District No. 17 (Rock Creek Ranch) Major Improvement Project) in original principal amount of $12,685,000,issued by the City under Ordinance No. 22833-08-2017 on August 15, 2017 and secured solely by the Major Improvement Special Assessments levied on the Assessed Property within the Eastern Improvement Area and the Western Improvement Area to finance the Water Improvements and the Sanitary Sewer Improvements. 27."Major Improvement Bonds Indenture" means that certain Indenture of Trust, dated August 15, 2017, as modified, supplemented or amended from time to time, authorizing the issuance of, and setting forth the terms and other provisions relating to the Major Improvement Bonds, including the collection of Assessments and/or Annual Installments for the repayment of Bonds. 28."Mandatory Prepayment""has the meaning set forth in Section VLC of this SAP. 29."Maximum Special Assessment per Unit" means, for each Land Use category, the Special Assessment per unit amounts that will be determined by the PID Administrator and the City at the time that the initial Owner of the Assessed Property enters into a contract for sale of any portion of the Assessed Property to an unaffiliated third party, excluding the University and the City. 30. "Non-Benefitted Property" means Parcels that accrue no special benefit from the Authorized Improvements being funded through the PID,including Public Property, such as the University Property, and easements that create an exclusive use for a public utility property. Property identified as Nan-Benefitted Property at the time the Special Assessments(i)are imposed or(ii)are reallocated pursuant to a subdivision of a parcel,is not assessed. Assessed Property converted to Non-Benefitted Property, if the Special Assessments may not be reallocated pursuant to the provisions herein,remains subject to the Special.Assessments and requires the Special Assessments to be prepaid as provided for in Section VLC. 31."Non-PID Related Improvements" means those improvements described in Section HLBA which, although constructed at the same time as Authorized Improvements, do not benefit the Assessed Property and are not paid for by the PID but will be paid by either the City or other property owners not located within the PH). 32."Owner(s)" means Walton Texas, LP; WUSF 4 Rock Creek, LP, WUSF Rock Creek East, LP or any other entity affiliated with Walton International Group (USA), Inc., or their respective successors and assigns. 7 2190, 719"J Section I:Plan Description and Defined Terms 33. "Parol" means a defined portion of the Property identified by either a tax map identification number assigned by the Tarrant County Appraisal District for real property tax purposes, by metes and bounds description, by lot and block number in a final subdivision plat recorded in the official real property records of the County, or by any other means determined by the City Council. 34."PID" means the Fort Worth Public Improvement District No. 17 (Rock Creek Ranch) created by the City pursuant to Resolution No. 472412-2016 approved December 13, 2016. 35.`IPID Act"means Chapter 372 of the Texas Local Government Code,as amended. 36."PID Bonds"means any bonds secured by Special Assessments levied against Assessed Property within the PID that may be issued to finance Authorized Improvements, including the Major Improvement Bonds and the Roadway Improvements Bonds, if any. The term PID Bonds also includes any refunding bonds, as contemplated by Section VI.E.3.d. 37."PID Reimbursement Agreement" means the "PID Reimbursement Agreement - Fort Worth Public Improvement District No. 17 (Rock Creek Ranch)" approved by the City on August 15,2017, as amended by the Roadway Financing Agreement. 38.`Prepayment Costs" mean interest and expenses to the date of prepayment, plus any additional expenses related to the prepayment allowed by applicable law, reasonably expected to be incurred by or imposed upon the City as a result of any prepayment of a Special Assessment. 39. "Project Engineer"means Goodwin&Marshall,Inc. 40. "Project Management Fees"means the fees as agreed to by the City and the Developer for costs incurred by the Developer for the design, construction and installation of such Authorized Improvement exclusive of any costs related to issuing PID bonds or otherwise financing such Authorized Improvement. The Project Management Fees are set forth in clauses a and b of Section HLB.3.No Project Management Fees will be paid in excess of such estimates. 41."Property" means the approximately 1,756 acres of land depicted and described by metes and bounds on Exhibit A to Resolution No. 4724-12-2016 as adopted by City Council on December 13,2016 and is legally described in nvendito this SAP and is depicted in Table ILA of this SAP. 42."Public Property"means real property, located within the boundaries of the PID owned by or irrevocably offered and accepted for dedication to the federal government,the State of Texas, the County, the City, a school district, a public university, a public utility provider or any other political subdivision or public agency, whether in fee simple, 8 Section I: Plan Description and Defined Terms through an easement, by plat or otherwise. Public Property includes the University Property. 43. "Roadway Improvement Assessment Ordinance" means Assessment Ordinance No. 23243-06-2018 adopted by the City Council on June 5, 2018 which approved the updates to the SAP relating to the issuance of the Roadway Improvement Bonds and levied the Roadway Improvement Special Assessments. 44. "Roadway Improvement Bonds Indenture" means that certain Indenture of Trust, dated as of June 1, 2018, as modified, supplemented or amended from time to time, authorizing the issuance of, and setting forth the terms and other provisions relating to the Roadway Improvement Bonds, including the collection of Assessments and/or Annual Installments for the repayment of Bonds. 45. "Roadway Improvement Bonds" means the City of Fort Worth, Texas Special Assessment Revenue Bonds, Series 2018 (Fort Worth Public Improvement District No. 17 (Rock Creek Ranch) Roadway Improvement Project) secured by Roadway Improvement Special Assessments levied on the Assessed Property within the Western Improvement Area to finance the Roadway Improvements for the benefit of such Assessed Property in the Western Improvement Area. 46. "Roadway Improvement Special Assessment" means the Special Assessment levied pursuant to the Roadway Improvement Assessment Ordinance on the Assessed Property within the Western Improvement Area for the Roadway Improvements, as shown in the Western Improvement Area Assessment Roll. 47. "Roadway Improvements"means those Authorized Improvements described in Section III.B.3.b of this SAP. 48. "Roadway Financing Agreement" means that certain "Financing Agreement and Limited Amendment to PID Reimbursement Agreement — City of Fort Worth / Rock Creek Ranch / Chisolm Trail Ranch — Brewer Road Project" by and among the City, Walton Development & Management TX, LLC, and WM Sub CTR, LP, a Texas limited partnership, dated as of May 16, 2018, which sets forth the parties agreement as to the financing of the Roadway Improvements and the Non-PID Related Improvements as described Section III.B.4.b. 49. "Sanitary Sewer Improvements" has the meaning set forth in Section III.B.3.a.ii of this SAP. 50. "Service and Assessment Plan" or "SAP" means this Fort Worth Public Improvement District No. 17 (Rock Creek Ranch) Service and Assessment Plan approved by the City Council pursuant to the Major Improvement Assessment Ordinance, updated to include the Roadway Improvement Special Assessment pursuant to the Roadway Improvement Assessment Ordinance, and as otherwise amended, supplemented or updated by the City Council from time to time. 9 2180.021\71999.7 Section L•Plan Description and Defined Terms 51."Special Assessment- means, as applicable, the Major Improvement Special Assessments and/or the Roadway Improvement Special Assessments levied against a Parcel imposed pursuant to an Assessment Ordinance and the provisions herein,as shown on any Assessment Roll,subject to reallocation upon the subdivision or reduction of such Parcel according to the provisions hereof and the PID Act. 52."Trustee" means the trustee as specified in the applicable Indenture, and any successor thereto permitted under such Indenture. 53. "University Improvements"has the meaning set forth in Section IV.A.2. 54."University Property" is approximately 80 acres of land and is Public Property and Non-Benefitted Property,as described in Section IVA.2. 55."Water Improvements"has the meaning set forth in Section III.B.3.a.ii of this SAP. 56."Western Improvement Area" means the approximately 923 acres of land, within the PID located west of Chisolm Trail Parkway as shown on Table II-B. 57."Western Improvement Area Assessment Roll"means the Western Improvement Area Assessment Roll included in this SAP as Appendix A-1, may be updated, modified or amended from time to time in accordance with the procedures set forth herein and in the PID Act, including updates prepared in connection with the issuance of PID Bonds or in connection with any Annual Service Plan Update. The Western Improvement Area Assessment Roll includes the portion of the Major Improvement Special Assessment allocable to the Western Improvement Area and the Roadway Improvement Special Assessment. 10 Section M- Property Included in the PID Section H PROPERTY INCLUDED IN THE PID A. Property Included in the PID 1. The PID is comprised of the Property shown in Table H-A,which is legally described in Appendix B. The PID, encompassing approximately 1,756 acres, is located entirely within the corporate limits of the City. It is anticipated that the Property will be developed to include approximately 4,919 single family residential homes,approximately 2,520 multi-family residential units, approximately 3,778,830 square feet of commercial space and approximately 960,000 square feet planned as a public university. 2. The Western Improvement Area, encompassing approximately 923 acres is depicted on Table H-B and will include approximately 2,471 single family residential homes, approximately 2,520 multi-family residential units, and approximately 1,274,130 square feet of commercial space. The Western Improvement Area includes the University Property, which will include approximately 960,000 square feet planned as the Tarleton State University — Fort Worth campus. No improvements benefitting the University Property will be financed by Special Assessments in the PID. The Western Improvement Area, save and except for the University Property, is legally described and the Parcels within the Western Improvement Area are shown in Appendix B-L 3. The Eastern Improvement Area, encompassing approximately 833 acres is depicted on Table H-C and will include approximately 2,448 single family residential homes and approximately 2,504,700 square feet of commercial space. The Eastern Improvement Area is legally described and the Parcels within the Eastern Improvement Area are shown in Appendix B-2. 11 m l-.J // //moi MIM ' •f�j;,��,!„ - / Ili /��f✓,/ e..___ __.^.--.-a' sai tepunog pls ivatuaeo t mi:)ilgnd V-II 319v L Old OLP Qt Papmpu1I f4z)du.d :jj uoq=S ss � I saUepunog eaJV JUMaeo iul UJajsaAj S-II 3,IBV L SPIN aLp ut Mnl:3ni void*H ao Section M Property Included in the PID TABLE II-C Eastern improvement Area Boundaries '� i/lam,%l:�//.•',",f/ r L L Section lll:Description of Authorized Improvements Section III DESCRIPTION OF THE AUTHORIZED V"ROVEMENTS A. Authorized Imarovement Overview 1. Section 372.003 of the PID Act identifies the improvements that a City may choose to undertake with the establishment of a PID. The Authorized Improvements identified in the PID Act include: a) landscaping; b) erection of fountains,distinctive lighting,and signs; c) acquiring, constructing, improving, widening, narrowing, closing, or rerouting of sidewalks or of streets,any other roadways,or their rights-of way; d) construction or improvement of pedestrian malls; e) acquisition and installment of pieces of art; f) acquisition,construction or improvement of libraries; g) acquisition,construction or improvement of off-street parking facilities; h) acquisition,construction,improvement or rerouting of mass transportation facilities; i) acquisition, construction, or improvement of water, wastewater, or drainage facilities or improvements; j) the establishment or improvement of parks; k) projects similar to those listed in Subdivisions(i)-(x) 1) acquisition, by purchase or otherwise, of real property in connection with an authorized improvement; m) special supplemental services for improvement and promotion of the district, including services relating to advertising, promotion, health and sanitation, water and wastewater, public safety, security, business recruitment, development, recreation and cultural enhancement; n) payment of expenses incurred in the establishment, administration and operation of the district;and o) the development,rehabilitation,or expansion of affordable housing. 2. The City has determined to undertake the Authorized Improvements described in Semon M.B.Any change to the Authorized Improvements will require the approval of the City. 15 Section III:Description of Authorized Improvements B. Descriptions and Costs of the Authorized bnprovements I. The Authorized Improvements are described below and depicted in Appendix C. Table M- A shows the Actual Costs of the Authorized Improvements which are being funded by Special Assessments levied against Assessed Property in the PID. Table III-A also shows the actual costs of the University Improvements and the Non-PID Related Improvements, which are not being funded by the PID. The costs shown in Table III-A may be revised in Annual Service Plan Updates. 2. The Authorized Improvements confer a special benefit on the Assessed Property within the PID. The Actual Costs of the Major Improvements are being funded from: (i) the net proceeds of the Major Improvement Bonds, and (ii) funds deposited by the Developer with the Trustee for the Major Improvement Bonds. Under the terms of the PID Reimbursement Agreement, the Developer is responsible for paying any cost overruns for the Major Improvements. The Actual Costs of the Roadway Improvements are to be funded from: (i) the net proceeds of the Roadway Improvement Bonds when issued; (ii)funds contributed by the Developer with the Trustee for the Roadway Improvement Bonds, and (iii) funds contributed by the City, in accordance with the Roadway Financing Agreement and as described herein. Under the terms of the Roadway Financing Agreement, the Developer and the City have agreed to share certain cost overruns related to the Roadway Improvements and the Developer has agreed to remain solely responsible for certain other cost overruns. 3. The Authorized Improvements are described as follows: a. Major Improvements i. Water Improvements - The water improvements ("Water Improvements') consist of the construction and installation of waterlines, mains, pipes, valves and appurtenances, necessary for the water distribution system that will service all of the Assessed Property within the PID. The Water Improvements will be constructed according to City standards, determined in the City's sole discretion, The Actual Costs of the Water Improvements are $2,759,319. Included within such Actual Costs are Project Management Fees of$95,420 which will be paid to the Developer on a percentage of completion basis. ii. Sanitary Sewer Improvements - The sanitary sewer improvements ("Sanitary Sewer Improvements") consist of construction and installation of pipes, service lines, manholes, encasements and appurtenances necessary to provide sanitary sewer service to all of the Assessed Property within the PID.The Sanitary Sewer Improvements will be constructed according to City standards, determined in the City's sole discretion. The Actual Costs of the Sanitary Sewer Improvements are $5,724,317. Included within such Actual Costs are Project Management Fees of $222,039 which will be paid to the Developer on a percentage of completion basis. lb 210O.M019"11 Section III: Description of Authorized Improvements b. Roadway Improvements i. Roadway Improvements — The roadway improvements ("Roadway Improvements') consist of the construction of paving, storm drainage, retaining walls, signage, and traffic control devices which benefit the Assessed Property within the Western Improvement Area and the acquisition of right of way within the Western Improvement Area. The Roadway Improvements are not being funded by the Major Improvement Bonds, but are being funded by the following sources: (i) the net proceeds of the Roadway Improvement Bonds, secured by the Roadway Improvement Special Assessments levied by the Roadway Improvements Assessment Ordinance, (ii) funds contributed by the Developer with the Trustee for the Roadway Improvement Bonds, and(iii)funds contributed by the City, in accordance with the Roadway Financing Agreement and as described herein in Section 1V.A.6, The Roadway Improvements will be constructed according to City standards, determined in the City's sole discretion. The Actual Costs of the Roadway Improvements that are to be financed in part from the net proceeds of the Roadway Improvement Bonds and in part from separate funds of the City under the terms of the Financing Agreement are $6,931,647 and do not include the costs of associated University Improvements in the amount of $657,992 that will paid as described in Section IV.A.2. Of the Actual Costs of the Roadway Improvements that will be financed from the net proceeds of the Roadway Improvement Bonds under the terms of the Financing Agreement, $562,555 will be applied as follows: (i) $342,489 for costs of the right-of-way (ROW) for the Roadway Inprovements, (ii) $83,074 for Project Management Fees, and (iii) $136,996 financing soft costs of the Developer. The Actual Costs of the Roadway Improvements do not include the costs of associated University Improvements in the amount of$657,992 that will paid as described in Section IV.A.2. The Actual Costs for the Project Management Fees will be paid to the Developer on a percentage of completion basis. According to the Developer, the original estimates for the Roadway Improvements were based on the preliminary designs and projected material costs at the time the initial estimates were prepared. The original estimates have since been updated by the Project Engineer to reflect updated designs, changes in City thoroughfare standards for sidewalks, street lights and piping and current bid prices and such updated costs have been reviewed by the City. Table 111-A below shows the updated Actual costs of the Roadway Improvements. 17 Section III: Description of Author Improvements Table WA Cost of Authorized Improvements,Non-PID Related bnproverients and P unwwsity Inprroverruenls Actual Costs of university Authorized Non-PID Related Improvements Total Costs of Dewx1ptiion improvements day Improvements a a improvements In Maims.krpvvements Water $2,759019 $96,570 $155,045 $3,012,934 Sanftary Server $5,724,317 $1,012,477 $331,239 $7,068,033 Total Major Improvements $6,483,636 $1,111,047 $488,284 $10,080,967 Roadway krpwements E oadway(c) $6,931,647 $1,874,596 $657,992 $9,464,235 Total Roadway knprovements $6,931,647 $1,874,596 $657,992 $9,464,235 (s)Thta Millet Comb of the lhjor biprovapents will be fimdsd by the proceeds of the W jou Impmvapert Bonds,the costs of MM Wm-PID Related .ds be funded by lawfully available funds of thin City and private funds of the Developer and the University hnproveniwfs will be by prhrats funds of the Developee.The Actual Costs of the Roadway tmpiovams; will be handmd in part by tha prooeeda of the Roadway twproinwent 0o ds avidin pen by the City under the terntt of ora Roadway Fffa�AVoomwiL Tho arab of Its Hon4W ReWed lmprovewwanfs she tAdwegMy imp omew b wfli be funded by aepwWo hinds of the CUy wd oaw p luso hmdMrp sources usrdwr se terms of the Roadway Finsticing Agreausat- 00 100OW cos�ts.�P n Old W by the Project ESVINOW and include pro)bet n a age na nt,,soft coals urd�coyn�ttiingency�A000 dlnq to the Developer,the Ael"Comb fo the NON and onavvy sewer bwpravwmen/s romabts the senw)as to 101001 budget and the wds improvements portion and the se"It ry sewer improve nsnt portion of the Non-PID Rohftd baprovements increased by$96,570 and$187,71111,respeaft".The figures shove►in Table O-A will be revised in Amiust Service Plan tfpdar w (c)The Roadway hwpeoveraw costs of$6,931,917 will be funded by lawfully ova ft6io funds of the City of Fort Woreu In the amount of$'1„184,519 and from to not proceeds of the Roadway Bonds In the amount of$3,747,101.The Non-PID Related improvements(Chishobn TNO imOrovenreMs) M tha.mound of$1,974,599 wgl be funded by lawfugy"Witt funds of the City in tf eie amount of$l,=,Wilsnd the balance of$eo9;80Z will be hsded with private hinds of the developer of the ChW+Wm Trail Ranch project.The City Is expected to appropriate ft poison of the Roadway 1 ipmrvm- de concurrently with the issuance of the Roadway fmpwovonent PID Bonds.The University Roadway improvewmnto($957,91171,will be funded with p how funds of the Developer deposited with the Truslse for the Roadway unproven ent Bonds.The Roadway impvrwements also N+dudo$3754090 for the acquisition right of wsy,$9X899 for project msnrgarnent team and ti10X000 In Developer bond financing costs that aro between the PID and the tfntvwsity Property based on the total soup of the Univenslty Property within the Western hmprovan nt Area the Univeni ty Property portion of arose costs will be funded by the Developer.The total acreage of the IbOvswo*Pfoperly b appOXMM efy$9 earm and ilia Western h provoment Area is approximately 972.783 acres.As a rowit,the pn spa rtaeal alesrie of see UdveraRy Property Is"Mae 799 m 4.97%nne dmd). 4. The Non-PID Related Improvements consist of the following: a. Sanitary Sewer Improvements: i. The Non-PID Related Improvements associated with the Sanitary Sewer Improvements consist of oversizing additions to the system in order to accommodate future growth in adjacent areas. The Non-PTD Related Improvements associated with the Sanitary Sewer Improvements do not benefit the Assessed Property within the PID. ii. The Non-PID Related Improvements associated with the Sanitary Sewer Improvements in the amount of $1,012,477 will be funded 100% by the City concurrent with the Actual Costs for the Sanitary Sewer Improvements being funded by the Developer and the proceeds of the Major Improvement Bonds through one or more City Facilities Agreement to be executed separate and apart from this SAP. b. Roadway Improvements i. The Non-PID Related Improvements associated with the Roadway Improvements consist of an extension of brewer Road to serve property not located within the PID.. The Non-PID Related Improvements associated with the Roadway Improvements serve property not located within the PID and do not provide a special beat to the lig 21MAIA111"17 Section III: Description of Authorized Improvements Assessed Property within the PID; however, such improvements are integral to the overall development of the Property within the PID. ii. As set forth in the Roadway Financing Agreement, the Non-PID Related Improvements associated with the Roadway Improvements are anticipated to be funded equally by the City and the owners of Chisohn Trail Ranch, an adjoining development being developed by an affiliate of the Developer. c. Water Improvements i. Subsequent to the issuance of the Major Improvement Bonds, additional Non-PID Related Improvements associated with the Water Improvements consisting of oversizing additions to the water system were agreed to by the Developer and the City in order to accommodate future growth in adjacent areas. The Non-PID Related Improvements associated with the Water Improvements are not required to service the Assessed Property within the PID. ii. The Non-PID Related Improvements associated with the Water Improvements in the amount of$98,570 will be funded 100%by the City concurrent with the Actual Costs for the Water Improvements being funded by the Developer and the proceeds of the Major Improvement Bonds through a City Facilities Agreement executed separate and apart from this SAP. 19 Section IV:Assessment Plan Section 1V ASSESSMENT PLAN A. Introduction 1. The PID Act requires the City Council to apportion the cost of the Authorized Improvements based on the special benefits conferred to each Parcel from the Authorized Improvements. The PID Act provides that the Actual Costs may be assessed: (i) equally per front foot or square foot; (ii)according to the value of the property as determined by the governing body, with or without regard to improvements on the property; or (iii) in any other manner that results in imposing equal shares of the cost on property similarly benefited. The PID Act further provides that the City Council may establish the methods of assessing the special benefits for various classes of improvements. 2. Certain improvements related to the Authorized Improvements are being constructed on the University Property. In addition, certain improvements related to the Authorized Improvements are being constructed elsewhere in the PID which serve the University Property. These improvements constructed on or otherwise serving the University Property are referred to herein as the "University Improvements." The costs of the University Improvements will be funded directly by the Developer.No University Improvements will be financed by Special Assessments or the proceeds of PID Bonds nor will any Special Assessments be levied in the future for the purpose of reimbursing the Developer for the costs of the University Improvements. The University Improvements are being paid from funds deposited by the Developer concurrently with the issuance of the Major Improvement Bonds and the Roadway Improvement Bonds and will not be paid by Special Assessments or the proceeds of PTD Bonds; and, therefore, the University Property shall be treated as Nan-Benefitted Property. The actual costs of the University Improvements related to the Authorized Improvements consisting of the Water Improvements and Sanitary Sewer Improvements have been determined on the basis of the estimated usage, as determined by the Project Engineer, of all Authorized Improvements in the District consisting of Water Improvements and Sanitary Sewer Improvements applicable to the University Property. The actual costs of the University Improvements related to the Authorized Improvement benefitting the Western Improvement Area consisting of the Roadway Improvements has been determined on the basis of the University Property's pro- rata share of the total acreage of the Western hnprovement Area. Table 1V-A describes the updated costs of the University Improvements. 20 Section IV: Assessment Plan Ta1Ye FV-A IdArm MflMefeSidAnOCoetsd w1d isW1Ml�lwd Mf Clef op" "t.1wshch"Trm 711 wm H m FI41 AFeme Owt- D TOM Wer►fMD UINVOMNY Rokftd ReMOd p okftdl TORR Coob- univon* Autlla bW e% Dee %Won 1'aW Coaft 0)hapwavemmenis Ihwpruvemmenft IMproveimemb projftt dive em m" ft" emen" W Ma)- Wafer $ 3,01xA34 $ 98.570 S - : 98.570 S x,914.364 S 156,046 $ 2759,319 S-V% Semer S 7,069,G33 S 1.6'112;477 $ S 1.012,477 S 8e0%,556 $ 331239 $ 5,724,317 5,W% TaW Major Gap rowammemis $ 10,090,9 7 $ 1,1111,647 $ - S 1,1111,047 $ 6,969,920 $ 499,2!14 $ 6,493,6X gyp'knprarvemerAs Palk-Y S 9.464,235 S 1„x39,594 $ 636.0012 S 1,674,„596 $ 7,50A N $ 867,992 $ 6.931,847 &67% TOAM Reatway Imi avemmem# $ 9,AU 35 $ 11a,-%4 $ MW2 $ 1 A74,M $ 7a $ 867 $ &ILMA47 (�TeldLyalelerYY Me AaerlQrAastA/MAMI�sewif►flrMwl6�YUelmWwewa�rMl4MrUMiMe�li�MwafaMM►TMaMA 0AA+ferM U1SrrIMr«sRIP 1 *rrMrwr/1sef�tlepeereaalrMNMw9rWiMee/prlYe a NOMdMMOf NMwi�weMeatAMa+wyrariwaIaNwe lmTlfYflA According to the Developer, the original estimates for the Roadway Improvements were based on the preliminary designs and projected material costs at the time the initial estimates were prepared. The original estimates have since been updated by the Project Engineer to reflect updated designs, changes in City thoroughfare standards for sidewalks, street lights and piping and current bid prices and such updated costs have been reviewed by the City. Table IV-A above shows the updated Actual costs of the Major Improvements and the Roadway Improvements (as described in Section III and shown in Table III-A), as well as the updated costs of the University Improvements related to the Roadway Improvements based on the University Property's pro-rata share of the total acreage of the Western Improvement Area as described in Section IV.A.2 above. Additionally, the Owners and the City anticipate dedicating approximately 12 acres of property to the City for use as a police, fire or other public facility. Upon such conveyance, the provisions of Section VLC shall apply and a Mandatory Prepayment shall be calculated in accordance with the terms of this Service and Assessment Plan. 3. The Major Improvements benefit the all of the Assessed Property within the PID(in both the Eastern Improvement Area and the Western Improvement Area), while the Roadway Improvements benefit only the Assessed Property within the Western Improvement Area, The Actual Costs of the Major Improvements were allocated to the Assessed Property in the District (in both the Eastern Improvement Area and the Western Improvement Area) based on estimated build out value as described in Section 1V.E,below,which resulted in imposing equal shares of cost on properties similar benefitted. The Actual Costs of the Roadway Improvements are being allocated solely to the Assessed Property in the Western Improvement Area because the Roadway Improvements benefit only the Assessed Property within the Western Improvement Area. The Actual Costs of the Roadway Improvements are allocated to the Assessed Property within the Western Improvement Area based on updated estimated build out value calculated in Appendix A-3 based on the updated development plan provided by the Developer and described in Section IV.E, below, which will result in imposing equal shares of cost on properties similar benefitted. 4. Table 1V-B details the updated allocation of costs of the Authorized Improvements to the Western Improvement Area Assessed Property based on the updated development plan and related updated projected build out values shown in Appendix A-3. 21 Section IV:Assessment Plan 5. Table IV-C details the updated allocation of costs of the Authorized Improvements to the Eastern Improvement Area Assessed Property based on the updated development plan and related updated projected build out values shown in Appendix A-3. 6. The Roadway Improvement Assessment Ordinance levying the Roadway Improvement Special Assessments approves the updates to this Service and Assessment Plan contained herein,including the updated Assessment Rolls. 7. This Section IV is intended to describe the special benefit conferred upon each Parcel or Lot as a result of the Authorized Improvements, to provide the basis and justification for the determination that this special benefit exceeds the amount of the Special Assessments, and to explain the methodologies by which the City Council allocates and reallocates the special benefit of the Authorized Improvements to Parcels or Lots so that there is an equal share of the Actual Cost being apportioned to Parcels or Lots similarly benefited. The determination by the City Council of the assessment methodology set forth below is the result of the discretionary exercise by the City Council of its legislative authority and governmental powers, consistent with the PID Act, and is conclusive and binding on the Owners and all future owners and developers of any Assessed Property. B. Sial Benefit 1. The Assessed Property must receive a direct and special benefit from the Authorized Improvements, which must be equal to or greater than the amount of the Special Assessments. 2. The Major Improvements are provided for the benefit of all of the Assessed Property in the PID (in both the Eastern Improvement Area and the Western Improvement Area). The Roadway Improvements are being provided only for the benefit of the Assessed Property in the Western Improvement Area. 3. When the City Council initially approved this SAP,the Owners owned 100%of the Assessed Property within the PID. In connection with the issuance of the Major Improvement Bonds, the Owners executed a consent certificate that acknowledged the Major Improvements confer a special benefit on the Assessed Property and consented to the levy of the Major Improvement Special Assessments to pay for the Actual Costs associated therewith. 4. When the City Council approves this SAP update, the Owners will still own 100% of the Assessed Property within the PBD. In connection with the issuance of the Roadway Improvement Bonds,the Owners will execute a consent certificate that(i)acknowledges that the Roadway Improvements confer a special benefit on the Assessed Property within the Western Improvement Area and that the Major Improvements confer a special benefit on the Assessed Property within the entire PID (in both the Eastern Improvement Area and the Western Improvement Area), (ii) consents to the levy of the Roadway linprovement Special Assessments to pay for the Actual Costs of the Roadway Improvements as shown on the updated Western Improvement Assessment Rolls; and(iii)consents to the reallocation of the Major Improvement Special Assessments to pay for the Actual Costs of the Major 22 Section IV: Assessment Plan Improvements based on the updated development plan and updated estimated build-out value as shown on the updated Assessment Rolls. 5. If the Special Assessment for the Assessed Property prior to subdivision exceeds the sum of the Special Assessments for all newly divided Assessed Properties after such reallocation,the excess amount shall be prepaid as a Mandatory Prepayment as provided under Sermon VLC herein.As of the date of this SAP update,there has been no subdivision of Assessed Property and no Mandatory Prepayment triggered under Section VLC. 6. The City Council determined that funding a portion of the Actual Costs for the Major Improvements through the issuance of the Major Improvement Bonds secured by the Major Improvement Special Assessments is beneficial to the City and confers a special benefit to the Assessed Property within the PID. Such special benefit exceeds or equals the amount of the Major Improvement Special Assessments levied on the Assessed Property within the PID. This conclusion is supported by the evidence, information, and testimony provided to the City Council. 7. The Eastern Improvement Area and the Western Improvement Area are separated by the Chisholm Trail Parkway (the "Parkway"). Within the PID, no roadway access currently exists through the Parkway to connect the two improvement areas. As a result,the Roadway Improvements do not provide access and,therefore,consistent with Section IV.B.2 above,do not confer any special benefit to the Eastern Improvement Area. The City Council has therefore determined that no special benefit is conferred on the Eastern Improvement Area by virtue of the Roadway Improvements, and that the Eastern Improvement Area cannot be assessed any portion of the costs thereof. The City Council has also determined that funding a portion of the Actual Costs for the Roadway Improvements through the issuance of the Roadway Improvement Bonds secured by the Roadway Improvement Special Assessments is beneficial to the City and confers a special benefit to the Assessed Property within the Western Improvement Area. Such special benefit exceeds or equals the amount of the Roadway Improvement Special Assessments levied on the Assessed Property within the Western Improvement Area. This conclusion is supported by the evidence, information, and testimony provided to the City Council. C. Allocation of Actual Costs to the Western Imttrovement Area Major Improvements 1. In the Major Improvement Assessment Ordinance, the City Council determined that the Major Improvements benefit all of the Assessed Property within the PID and allocated the Actual Costs of the Major Improvements to the Western Improvement Area Assessed Property. As described below, the Actual Costs of the Major Improvements have since been updated based on the updated development plan and updated estimated build-out value as shown in Table IV-B. The Actual Costs of the Major Improvements are subject to revision through the Annual Service Plan Updates, but may not result in increased Special Assessments except as authorized under this SAP or the PID Act. 23 Section IV:Assessment Plan As shown in Appendix A-3 and Table IV-D, the revised total estimated buildout value of Lots and Parcels within the Western Improvement Area and Eastern Improvement Area are $1,316,418,000 and $1,235,340,000 respectively, resulting in an estimated $2,551,758,000 in total buildout value within the PID. Accordingly, the proportionate share of the Major Improvements consisting of the Water Improvements and Sanitary Sewer Improvements allocated to the Western Improvement Area is 51.59% ($1,316,418,000 - $2,551,758,000 = 51.59%).Table 1V-B shows the updated allocation of Actual Costs to the Western Improvement Area. Western knprovament Ares Updated AckW Cost Aaocatlat City of Fort ChPainoitn Trall Western Worth Non431D Manch Non, knprovement Related PID Related Uni'versIty Total Coats- Area Share of Authorized Improvements Total Costa(a)Improvements knpwovements Innip"ements "d Costs a Water $ 3,012,934 $ 98,570 $ - S 155,045 2,759,3119 $ 1,423,496 Sanitary Sewer $ 7,068,033 $ 1,012,477 $ - $ 331,239 5,724,317 $ 2,953,099 Roadway(b) $ 9,464,235 $ 1,239,594 $ 6 ,002 $ 657,992 $ 6,931,647 $ 6,9311,647 Total Authorized Im rovemem $ 19,545,202 $ 2,LW,641 S M,= $ 1,1114PS $ 15,415,-= $ 1I1 ,241 i)Sw Tdit 9FAarMt&#,I far debMs. Thw ltoadiny brgrwemsntw owb d!8,941817 MAIf be hMrded by im*ftewW- ko t ofMe Ckyof Fort 1rorM in Mw aaamed of l3,1sf,9tK and NaMMa net prawods of O w Rwdwey Bards M ft mount of ri1,T47,ie1.The Mo w-M Rsittt"bgeoverrwnb h Yre atooM of 31 l.99N rMB be futded byew cayand the Wwws of$038,082 WO be hndtd WW privab funds of the Ce"WW.The tMYrorfnpb"v" wft M/be bAyhwdsd xfM pAvate funds of b Developer= of PeroerHaSsatar wYetr rnd Senkary Bever fmpnovemppts werre deMeeiMed t►aawd on Me 9ttet4rrn wiprwvelMrat Atwt'w iMMod ver rwMwdwaNMtaMetelld of*M*Lot or prod($1,3f8A9AM a lady%)to Rr toW bund omit wise for 1 tab and Praefe Nkhb er P1D(42JM0M. "sd for Mt RoedMq kpw9ottnb oa tho univenoy t4oprtys prorate ahem of the Mo Ytbatem NWroveamnt Ana acnaps,Umo s Afateesn Spodd Assoox=M Fr fink isswt w p o i kk N11 tILE d Mw SAP,thr ritia)breed on the revtwd ex0mbd buttd*W' of*so L41 or Pace aro mod to cargo beard an updaMs to Mit adteWltdrwegwsto"OmOodaWktaatVAN. Roadway Improvements 1. The Roadway Improvements will provide a special benefit to only the Western Improvement Area Assessed Property. The Actual Costs detailed in Table 1V-B are updated to reflect the updated Roadway Improvements budget. D. Allocation of Actual Costs to the Eastern Improvement Are. 1. In the Major Improvement Assessment Ordinance, the City Council determined that the benefit all of the Assessed Property within the PID and allocated the Actual Costs of the Major Improvements to the Eastern Improvement Area Assessed Property. As described below, the Actual Costs of the Major Improvements has been updated based on the updated development plan and updated estimated build-out value as shown in Table IV-C.The Actual Costs of the Major Improvements are subject to revision through the Annual Service Plan Updates,but may not result in increased Special Assessments except as authorized under this SAP or the PID Act 24 210MV 19".1 Section IV:Assessment Plan Table FV-C Eastern bttprovemerd Area Updated Aob —CMAN-Milm Chishok"Trait Entsm City of Fort Worth Ranch Non Fslf) impWoment Nott-PID Related Related University Total COM. Area Owe of Anted Improvements Tara)Costs a knpnrvements kaprovements 1hiprovements PTLM Ca m' Water $ 3,012,934 S 98570 S - S 155,045 $ 2,759,319 $ 4,3475.8 Sanitary Sewer $ 7,089,033 $ 1.012,477 $ - $ 331239 $ 5,724,317 $ 2,771,08 Roadwaya* $ 9,466,235 S 1239594 5 635,002 $ 957,992 $ 6,931,6147 $ Totts Aathortzed Improvements $ 19,545,202 $ 2„3&0„841 $ 635,01'2' $ 1,1",M $ 15,41,5283 S 4,1671411 M Ser TSW&Aaad 0*61 for 600L Oy The ltaedrry I Opnaranee0t tare OF 0,1MAIT WO be hndad byYr*AyrvatrbY arde N#0CRy61 FW1 tMtrar Y str aaaeM diS7„II1414e Wed hVWVW ww/reeoitflow AI I 1Saltlogo aanrMdiS&M.M.The rron4Wilatrlld1 pnawrewMeIngo aatr�nRdiSt,t7/�W4MWMOadbyaieCsyadMMbineNt11FtyMRdieMtlai/ Vito0v MeeddwDvmkprr.TbeUnh raayhnprogaotnMcall*,**1 --t-umprlrrYM1 d1sweevrtopm (q Pa- bate far16YttradsrMayseaerY+prave"W rDeredtlarn- bard0091eEaelwnYproe4alMtA 80ftelWenwiwdrtlratttd60060rotediet*LAN arPaaN^230Oeeear4a4MIcarrtobMbaMdmaVOW rtraMtiadPareMtrlMfYarPSI(SK4lf,7W/pNtbibrMrMtsnn1pnidArMranoelPrrtlnaYete Vvikledft EdineSAP,atendorbardmarn hodaiseradNNOoatViaedio"LNorPantswwgatMa - baadmapdOwbtlwitwho p4mad reltleM Aw*W b uanbtd bdlM ad vMm. As shown in Appendix A-3 and Table IV-H, the revised total estimated buildout value of Lots and Parcels within the Western Improvement Area and Eastern Improvement Area are $1,316,418,000 and $1,235,340,000 respectively, resulting in an estimated $2,551,758,000 in total buildout value within the PID. Accordingly, the proportionate share of the Major Improvements consisting of the Water Improvements and Sanitary Sewer Improvements allocated to the Eastern Improvement Area is 48.41% ($1,235,340,000 _ $2,551,758,000 = 48.41%). Table IV-C shows the updated allocation of Actual Cost to the Eastern Improvement Area. E. Assessment Methodoloff 1. The City Council may assess all or a portion of the Actual Costs against Assessed Property so long as the special benefit conferred upon the Assessed Property by the Authorized Improvements equals or exceeds the amount of the Special Assessments. All or a portion of the Actual Costs may be assessed using any methodology that results in the imposition of equal shares of the Actual Costs on Assessed Property similarly benefited. For purposes of this SAP, the City Council has determined that the Actual Costs of a portion of the Major Improvements shall be allocated to the Assessed Property within the PID by spreading the entire Major Improvement Special Assessment across all of the Assessed Property within the PID (both the Eastern Improvement Area and Western Improvement Area)based on the ratio of the estimated build out value of each Land Use therein to the total build out value for all Land Uses. For purposes of this SAP, the City Council has also determined that the Actual Costs of a portion of the Roadway Improvements shall be allocated to the Assessed Property within the Western Improvement Area of the PID by spreading the entire Roadway Improvement Special Assessment across all of the Assessed Property within the Western Improvement Area of the PID. Table IV-D summarizes the assessment methodology described in this Section. IV.E.2 for the Major Improvement Special Assessment and the Roadway Improvement Special Assessment. Table IV-D also summarizes for each Land Use of Assessed Property within the Western.Improvement Area: (1)the Major Improvement Special Assessment for each Land Use, (2)the projected average Annual Installment of the Major Improvement Special Assessment for each Land Use; and 25 Section IV:Assessment Plan (3)the projected average Annual Installment of the Major Improvement Special Assessment as an equivalent tax rate for each Land Use based on estimated build out value. Table IV-D also summarizes for each Land Use of Assessed Property within the Western Improvement Area: (1) the Roadway Improvement Special Assessment for each Land Use; (2) the projected average Annual Installment of the Roadway Improvement Special Assessment for each Land Use; and (3) the projected average Annual Installment of the Roadway Improvement Special Assessment as an equivalent tax rate for each Land Use based on estimated build out value. Table IV-D also summarizes for each Land Use of Assessed Property within the Western Improvement Area: (1) the combined Major Improvement Special Assessment and Roadway Improvement Special Assessment for each Land Use; (2) the combined projected average Annual Installment of the Major Improvement Special Assessment and Roadway Improvement Special Assessment for each Land Use; and (3) the combined projected average Annual Installment of the Major Improvement Special Assessment and Roadway Improvement Special Assessment as an equivalent tax rate for each Land Use based on estimated build out value. a. The City Council has determined that the benefit to the Assessed Property in the Eastern Improvement Area and the Western Improvement Area from the Major Improvements is at least equal to the Major Improvement Special Assessments levied thereon. b. The Major Improvement Special Assessments and the Annual Installments thereof for Assessed Property located in the Western Improvement Area are shown on the Western Improvement Area Assessment Roll attached as Appendix A-1. The Major Improvement Special Assessments and Annual Installments thereof for Assessed Property located in the Eastern Improvement Area are shown on the Eastern Improvement Area Assessment Roll attached as Appendix A-2. No Special Assessment shall be changed except as authorized by this SAP and the PID Act. Table IV-F summarizes the updated allocation of the Major Improvement Special Assessment to the Eastern Improvement Area Assessed Property based on the updated development plan and updated estimated buildout value provided by the Developer and shown in Appendix A-3. Table IV-G summarizes the updated estimated build out value to the Major Improvement Special Assessments ratio for the Eastern Improvement Area Assessed Property based on the updated development plan and updated estimated buildout value provided by the Developer and shown in Appendix A-3. c. The Roadway Improvement Special Assessments are being levied only on the Assessed Property within the Western Improvement Area of the PID pursuant to the Roadway Improvement Assessment Ordinance approving this updated Service and Assessment Plan. 2. In the Major Improvement Bonds Indenture, the City reserved the right to issue Roadway Improvement Bonds secured by Roadway Improvement Special Assessments levied at a future date to finance the Roadway Improvements.Pursuant to Section 13.2(c) of the Indenture for the Major Improvement Bonds, the issuance of Roadway Improvement Bonds was subject to the following: 26 2180.21%719":7 Section IV: Assessment Plan a. There are no delinquent Major Improvement Special Assessments at the time the Roadway Improvement Bonds are to be issued; b. The City and Developer are each in full compliance with their respective continuing disclosure agreements entered into in connection with the Major Improvement Bonds pursuant to Rule 15c2-12 adopted by the SEC under the Securities Exchange Act of 1934; c. Either(a)the Major Improvements have been completed,or(b)the Project Engineer shall have certified in writing to the City prior to the levy of Roadway Improvement Special Assessments for the Roadway Improvement Bonds, that there are sufficient funds in the form of cash available to complete the Major Improvements;and d. The City will have determined that there are sufficient funds in the form of cash on hand to fund the construction of all of the planned roadway improvements (other than the Roadway Improvements described herein to be financed by the Roadway Improvement Bonds)as set forth in the Roadway Improvements Financing Agreement. In connection with the levy of Roadway Special Assessments and issuance of the Roadway Bonds,the City has confirmed the above described conditions have all been satisfied. 3. Allocations between Land Use may be updated in an Annual Service Plan Update until the initial Owner of the Assessed Property sells any portion of the Assessed Property to an unaffiliated third party, excluding the University and the City, which will then trigger the determination of and approval of the Maximum Special Assessment per Unit within each Land Use category. The Developer has agreed with the City, in the PID Reimbursement Agreement, to provide notice of intent by any Owner to enter into a contract for We an unaffiliated third party,excluding the University. As described in Section IV.E.2.b above, Table IV-D, have been updated based on the updated development plan. Table IV-E summarizes the estimated build out value to the Major Improvement Special Assessments and Roadway Improvement Special Assessment ratios for the Western Improvement Area. Table IV-G summarizes the estimated build out value to the Major Improvement Special Assessments ratios for the Eastern Improvement Area. 27 Section IV:Assessment Plan _ To IV-D. Western Improvement Area Upda tad Major Improvements A Roadway Im rovemants A490011106 u" -- Average % Equivalent Equivalent Tex Estimated Estimated Allocation ]Major Special Average Tax Rate(per Rate(per Impraysd Build Out Estimated at Total Improvement Average Assessment Annual $100(AV)- $100tAV)- Land Value Value Per Improved Estimated Build Special Special Annual Per UniUSF Installment Improved Build Out Land Use UnitafSF par Unit_ Unit Land Value Out Value Assessment Assessment Installment fa) fast UniUSF Land Value Value SF Raside mal 2,471 111 65,000 $ 300,000 $160,615,000 $ 741,300,000 56.3% $ 3,684,285 $ 363,820 $ 1,491.01 $ 147.24 $ 023 $ 0105 M.Uttlfamily 2,520 $ 8,000 $ 127,100 $ 20,160,000 $ 320,292,000 24,3% $ 1,590,198 $ 157,195 $ 631,03 $ 62.38 $ 0,78 $ 0.05 UQmroercal 1,274,130 $ _ 8 $ 200 $ 10,193,040 $ 254,826,000 19.4% $ 1,26%540 $ 125,065 $ 1,00 $ 0,10 $ 1.23 $ 0.05 Total $190,0458,040 $1 316 418 000 100.0% $ 6,544,023 $ 646,080 $ 0.34 $ 0.05 Average % Equivalent Equivalent Tax Estimated Estimated Allocation Roadway Special Average Tax Rate(per Rate(per Improved Build Out Estimated of Total Improvement Average Assessment Annual $100/AV)- $1001AV)- Land Value Value Per Improved Estimated Build Spacial Special Annual Per Unit1SP Installment Improved Build Out Land Usi UnitaiSF pm,_Unit Unit Land Value Out Value Assessment Assessment Installment (a) Per Unit/SF Land Value Value SF RwIdanNat 2,471 $ 65,000 $ 300,000 $160,615,000 $ 741,300,000 56,3% $ 2,902,265 $ 297,604 $ 1,174.53 $ 120.44 $ 0.19 $ 0.04 Multitamfly 2,52.0 $ 8,000 $ 127,100 $ 20,160,000 $ 320,292,000 242% $ 1,252,665 $ 128,585 $ 497,09 $ 51,03 $ 0.64 $ 0.04 Cornmercisli 1,774,13,0 $ 8 $ 200 $ 10,193,040 $ 254,826,000 1SA% $ 1,000,070 $ 102,303 $ 0.78 $ 0.08 $ 1.00 $ 0.04 Tvtat ^-- $191DM,040 $1 116 418,000 100.0% $ %155,000 $ 5N,493 $ 0.28 $ 0.04 Average % Equivalent Equivalent Tax Estimated Estimated Allocation Spada] Average Tax Rate(per Rate(par traproved! Sutld Out Estimated of Total Average Assessment Annual $1OQ/AV)- $100/AV)- Lanal Value Value Per Improved Estimated Build Special Total Spada] Annual Per UnWSF Installment Improved Build Out Land Use Un,fhsfSF par_Unfit Un0 Land Value Out Value Assessment Assessment Installment a Per UnIUSF Land Value Value SF Rewdenball 2„471 $ 65„000 $ 300,000 $160,615,000 $ 741,300,000 56.3% $ 6586,550 $ 661,424 $ 2,665.54 $ 267.67 $ 0,41 $ 0.09 ldulliUanvi$ 2,520 $ 8,000 $ 127,100 $ 20,160,000 $ 320,292,000 24.3% $ 2,842,863 $ 285,780 $ 1,128,12 $ 113.40 $ 1.42 $ 0.09 CommawjW 1,274„130 $ 8 $ WO $ 10,193,040 $ 254,826,000 19A% $ 2,269,610 $ 227,368 $ 1.78 $ 0,18 $ 2.23 $ 0.09 Totali $1 968„040 $11316,41!,000 100,0% $ 11,699,023 $ 1 17 573 $ 0,62 $ 0.09 e'Tre Spatial esrr Assaront per Unit wlI be updated to rallied the t4assnam Specie!Assesanrrn per Unit when when determined accordance with Seetbn VI.E of the SAP.Until such ens the number d units and the assessment per gunk In lhk Table is subjaat to Ow"with each Annual Servsan Plan Update based on updates to the devslopment plan and related chargee to estimated build out valus. WW Estimates basad an hlormattan avalab`e as of 3!151201&Although the actual unk counts and eskirnated unimproved land value may wry from the estimates shown above,the total amount of the Major Woromment 5psoial Anstanaril wN net charge unless modified In an Annual Service Plan Update approved by the City Council.subjecr to the tam of this W.the Pk)Act,and in accordance with the kerma and provislons at the indenture,PID 111ianl> sarWit Agreement,and oawr dmiments related to the Mejor Impncwment Bonds.The above astlmas assumes an average 5,07%interest rate and a 20 year term ter the K%or li m provsmant Bonds,an average 5.00% tin aaaattale aed a t9 yam tam on tae P461*"milimn went Bonds and annual adminearsttve ammse d 579,209 uwxsaatng et 3.Q%par year.Allocations between Land Use a"be updated and reallocated smargat the 4ass feel Property In an AnnuW Service Pian Update una the MAW Owner of the Assessed Property*09 any portion of the Assessed Propery,to an unaftlased third pry,eaduding Urs UnNeralty and the sky,which wilt then IPtggereplinual of tae ellaAaWA Spedal Aaaswwtpw Unit*thin each Lard Lies afiegory ag&*afth Paroal of Assessed Prapeny. 28 2180.021\71949.7 i Section IV:Assessment Plan Table IV-1~below summarized the estimated build out value to the Major Improvement Special Assessments and Roadway Improvement Special Assessment ratios for the Western Improvement Area, Table IV•E Western Improvement Area Illipinovemords a Roadway Improvement*Eatimated Value to 1 Aaaeeamant Ratios Estimated Estimated %Allocation Total Valor Special Average Improved Improved Build Out Estimated of Total Improvement Average Assessment Annual Land to Build Out Value Land Valrie Value Per Improved Land Estimated Build Special special Annual per Unit/SF Installment Assessment to Assessment Land Use UnlisISF per Unit _ Unit Value Out Value Assessment Assessment Installment (a) Per UnIV$F Leverage Leverage SF Raadantial 2,471 S 65,000 $ 300,000 $ 160,615,000 $ 741,300,000 56.3% $3,684,285 $383,820 $1,491.01 $147,24 43.59 201.21 Muftitamily 2,520, $ 8,000 $ 127,100 $ 20,160,000 $ 320,292,000 24,3% $1,590,198 $157,195 $631.03 $62.38 12.68 201.42 Commercial 1,274.130 $ _8 $ 200 $ 10,193,040 $ 254,826,000 19.4% $1,269,540 $125,065 $1.00 $0.10 6.03 200.72 Total. $ 190 986,040 $1,316,418,000 100.0% $6,544,023 $646,080 28,18 201.16 Total Estimated Estimated %Allocation Roadway Special Average Improved Improved Build Out Estimated of Total Improvement Average Assessment Annual Land to Build Out Value Land Value Value Per Improved Land Estimated Build Special special Annual Per UnIVSF Installment Assessment to Assessment Land Use UnItsISF per UnitUnit Value Out Value Assessment Assessment tnstaliment Ca Par UnIUSF Leverage Leverage SF Residential 2,471 $ 65,000 $ 300,000 $ 160,615,000 $ 741,300,000 56.3% $2,902,265 $297,604 $1,174.53 $120.44 55.34 255,42 Multifamily 2,520 $ B,QQQ $ 127,100 $ 20.160,000 S 320,292,000 24.3% $1,252,665 $128,555 $497,09 $51,03 16,09 255.69 Commercial 1,274,134 $ 8 $ 200 $ 10,193,040 $ 254,826,000 19.4% $1,000,070 $102,303 50.78 $0.08 10.19 254.81 Total _-- $ 190,968,040 $1,316,418,000 100,0% 5511551000 $52a,493 37.06 255.37 Estimated Estimated %Allocation Special Average Improved Improved Build Out Estimated of Total Average Assessment Annual Land ic Build Out Value Land Value Value Per Improved Land Estimated Build Special Total Special Annual Per UnMF Installment Assessment to Assessment Land Use Untts'$F per Unit _ Unit Value Out Value Assessment Assessment Installment a Per UAIVSF Leverage Leverage Sr Rev4aintiel 2,471 $ 65,040 $ 300,000 $ 160,615,000 $ 741,300,000 56.3% $6,586,550 $661,424 $2,665.54 5267,67 24,39 112.55 Mullifapnily 2,520 $ 8,004 $ 127,100 $ 20,160,000 $ 320,292,000 24.3% $2,842,863 $285,780 $1,128.12 $119.40 7.09 112,67 Gammer,cjal 1,274,134, $ 8 $ 200 $ 10,193,040 $ 254,826,000 19.4% $2,269,610 $227,368 $1,78 $0,18 4,49 112,28 Total. --- 5 190,968,040 $11316,411k= 100.0% $11,699,023 $1,174,573 16,32 112,52 71me v'AepMl Ammaapnsnt per Una w61 be updated to redact the Maximum Space!Assessment par Unit when determined In accordance with Section WE at the SAP.Until such time,the number of units and the assessment par ;urs M Mia Table is subject to change with oath Annual Samoa Wan update based on updates to the davelopmerd plan and related charges to estimated ou lld out value. Ncsw Estinvisse basest on information available as of 311512018.Although the actual unit taunts and estimated unimproved land value may vary from the estimates shown above,the total amount of the Major Improvement Special Assessment wp not change unless moditied to an Annual Service Wan Update approved by the City Lound,subject to the terms of this SAP,the PID Ac,and in accordance with the tarns and provisions of the Indenture,PID Age and other documents rotated to fie Major improvement Bonds.The above estimate assumes an average 5.07%interest rife and a 20 year tern M the Major(m ilrovemant Bonds,an average 5.00% kolarealfaestirl a 19 year term on on Roadway Wwwarent Bonds and annual administrative expanse of$79.203 increasing at 20%per year.Allocations between Land the maybe updated and realft"arnangat the Assessed P aperly in an Annual SarAos Wan Update until the Initial Owner of the Assessed Property sells any portion of aro Assessed Property to an unansiated third party,exoiudng the University and the Cay,which will then 4pf++'ovei at the Maximum npSilsl Assessment par Urta within each t afmd Use attegory ailainst each Panel of/uaasaad Property. 29 �►Safnn7►ggv.� Section N:Assessment Plan Table IV-F Eastern Improvement Area Updated ANor ImproyonisinI3 Special Assessment Allocation Average Estimated Equivalent Equivalent Improved Estimated %Allocation Special Average Tax Rate(per Tax Rate(per Land Build Out Estimated of Total Total Average Assessment Annual $100lAV)- $100/AV)- Value per Value Per Improved Estimated Special Special Annual Per Unit/SF Installment Improved Build Out Land Use UnitsiSF Unit _ Unit Land Value Build Out Value Assessment Assessment installment (a) Per UnitfSF Land Value Value SF Residential 2,448 $65,000 $300,000 $159,120,000 $734,400,000 59.4% $3,650,763 $360,434 $1,491.32 $147,24 $0,23 $0,05 Commercial 1504,700 $0.00 _ $200,00 $20,037,500 $500,940,000 40,6% $2,490,214 $245,6555 $019 $0.10 st23 $0.05 Total �^ $179:157,600 $1,235,340,000 100.0% $6,140,977 $606,206 $0.34 $0.05 Spacial Assessment per Unit will be updated to reflect the Maximum Speclat Ass"ernent per Unit when determined in accordance with Section VLE of the SAP,Until such time,the number of units and asaaasameM par unit in thio Table Is subject to change with esch Annual Service Plan Update basad on updates to the development plan and misted changes to estimated build out value Nab:Estimates based on Information available as of W1 1102015.Although the actual unit counts and utlmated unimproved land value may very from the eMimstea shown above,the total amount of the Major t fevsMarlROpaelat Assessment will not change unless modified In an Annual Service Plan Update approved by the City Counail,subject to the terra of this SAP,the PID Act,and In accordance with the Old P190—na of the Indenture,PID Reimbursement Agreement,and other documents related to the Major Improvement Bonds.The above estimate assumas an average 6.079E Interest rate and a 20 year Una for iha Major Innprovement Bonds and annual administrative expense of$32,097 Increasing at 2.0%per year.Al locations between Land Use may be updated and reallocated amongst the Assessed Property in an Annual Service Plan Update twill the Initial Owner of the Assessed Popery sells any portion of tire Assessed Property to an unattllleted third pony,excluding the University and the qty,which than trtggsr approval of the Maximum Special Assessment per Unit within each Land Use category against each Parcel of Assessed Property. I Table IV-G Eastern improvement Area Updated or Improvements Estimated Valor to Special Assessment Ratios Estimated Estimated %Allocation Special Average Improved Improved Build Out Estimated of Total Average Assessment Annual Land to Build Out Value Land Value Value Per Improved Land Estimated Build Special Total Special Annual Per UnIW Installment Assessment to Assessment Land Use Urtts/SF per Unit Unit Value Out Value Assessment Assessment Installment (a) Per UmIVSF Leverage Leverage RWdwtiW 2,445 $65,000 $300,000 $159,120,000 $734,400,000 59.4% $3,650,763 $360,434 $1,491.32 $147.24 43.59 201.16 Commeerdat 2,5R4,700 $8.00 $206 $2,0,037,600 $500,940,000 40.6% $2,4.90,2.14 $245,8555 $13.99 $0.10 8.05 201.16 TcatWJ �T $179,157,600, $1,235:340,000 100.0% $6,140x977 $606,208 29,17 201,16 MTh*SpWM Assessment per Unn w"I be updated to reflect the Maximum Special Assessment per Unit when determined in accordance with Section VIE of the SAP.Until such time,the number of units and the wasisoment per unh In this Tabte is subject te change with with Annual Service Plan Update based on updates to the development plan and related changes to extimsted build out value. ;Nab;EarrMMs:rased on Infonnetton"table as of 8N3r2014.Although the actual unit counts and eatlmsted unimproved land value may vary from the estimates shown*bay%the total amount of the Major IlAtpmovaeeent Special Asssesm ent will not chorpe unless modified In an Annual Service Plan Update approved by the City Council,subject to the terns of this SAP,the PID Act,and In aocordana with the terma and provteica s of the Indenture,PID F#aimburaemant Agreement,and other documents related to the Major Improvement Bonds,The above estimate assumes an avenge 5.07%Intsm at rate and a 20 year tern for IOW Major Improvement Bonds and annual adminlatretWe expense of M097 Increasing at 2.0%par year.Allocations between Land Use may be updated and reallocated amongst the Anasnod Property In on Anneal Service Parr Updato until the Initial Owner of the Assessed Property salla any portion of the Assessed Property to an a naltiliated third party,excluding the University and the City,which will then trigger gWrwtd of the Maxamurn SpedY Assessment per Unit within each Land Use category against each Parcel of Assessed Popery. 30 Section IV:Assessment Plan F. Assessment and Annual Instalments The Special Assessments for the PID Bonds will be levied on each Parcel or Lot according to the Eastern Improvement Assessment Roll and the Western Improvement Assessment Roll, as applicable, subject to any revisions made during an Annual Service Plan Update. The first Annual Installments of the Major Improvement Special Assessments securing the Major Improvement Bonds were due no later than January 31, 2018; and, subsequent Annual Installments shall be due no later than January 31 of each year in the amounts shown on the updated Assessment Rolls until the Major Improvement Special Assessments are paid in full. The Annual Installments of the Roadway Improvement Special Assessments securing the Roadway Improvement Bonds are anticipated to be due no later than January 31 of each year beginning in 2019 in the amounts shown on an update to the Western Improvement Area Assessment Roll. G. Administrative Expenses The cost of administering the PID and collecting the Annual Installments shall be paid for on a pro rata basis by each Parcel or Lot based on the amount of outstanding Special Assessment remaining on the Parcel or Lot.The Administrative Expenses shall be collected as part of and in the same manner as Annual Installments in the amounts shown on the Assessment Rolls attached hereto as Appendix A-1 and Aouendix A-2 which are subject to revision through Annual Service Plan Updates. H. Delinquency and Prepayment Reserve The interest rate on Special Assessments may exceed the interest rate on PID Bonds by the Additional Interest.The Additional Interest shall be collected as part of each Annual Installment. Under each Indenture, the Additional Interest shall be deposited into a reserve account and segregated from other funds of the City (the "Delinquency and Prepayment Reserve Account") until the balance in the Delinquency and Prepayment Reserve equals a maximum of 5.5% of the outstanding principal balance of the applicable PID Bonds. The Delinquency and Prepayment Reserve shall be used to pay Prepayment Costs or to cover any deficiencies in the funds available to pay debt service on the applicable PID Bonds. If, in a given year, a Delinquency and Prepayment Reserve Account is fully funded, the Additional Interest will be allocated for the additional purposes set forth in the applicable Indenture, which purposes include: (i) covering deficiencies in funds available to pay debt service on the applicable PID Bonds, (ii) paying costs associated with the prepayment of any applicable Special Assessment; (iii)paying the costs of Administrative Expenses related to the applicable PID Bonds, and/or(iv) paying the costs associated with the redemption of the applicable PID Bonds. 31 2190.MA70"7 Section V:Service Plan Seen V SERVICE PLAIN( 1. The PID Act requires that a Service Plan(i) cover a period of at least five years, and(ii) define the annual projected costs and indebtedness for the Authorized Improvements undertaken within the PID during the five year period. Construction of the Major Improvements commenced in October 2017 and the Water Improvements are substantially complete by April 2018 and the Sanitary Sewer Improvements are expected to be completed by February 2019. 2. The Actual Costs for the Major Improvements plus costs related to the issuance of the Major Improvement Bonds, and payment of expenses incurred in the establishment, administration and operation of the PID are shown in Table V-A. 3. The Actual Costs for the Roadway Improvements plus costs related to the issuance of the Roadway Improvement Bonds, and payment of expenses incurred in the establishment, administration and operation of the PID are shown in Table V-B. 4. The Service Plan shall be reviewed and updated at least annually for purposes of determining the annual budget for Administrative Expenses,updating the Actual Costs of the Authorized Improvements, and updating the Western Improvement Area Assessment Roll shown on Appendix A-1 and the Eastern Improvement Area Assessment Roll shown on Appendix A-2. Any update to this SAP is herein referred to as an "Annual Service Plan Update." 5. Table V-A summarizes the sources and uses of funds required to construct the Major Improvements, establish the PID, and issue the Major Improvement Bonds. The sources and uses of funds shown in Table V-A shall be updated each year in the Annual Service Plan Update to reflect any revisions to the Actual Costs of the Major Improvements, 6. Table V-B summarizes the sources and uses of funds required to construct the Roadway Improvements and issue the Roadway Improvement Bonds. The sources and uses of funds shown in Table V-B shall be updated each year in the Annual Service Plan Update to reflect any revisions to the Actual Costs of the Roadway Improvements. 32 Section V:service Plan Table V-A Major I nprornsrtt Bonds Of fRaft maw, Non-lid l"Pro~►emenl 4f*en'OY Refaced Descr` ion Bonds kwaverwrift lOnproyanents TOW Sources of Funds Gross Bond Amount $ 12,885,000 $ - $ - $ 12,8961000 (Tiny of Fort Wath conlrilbulion $ - $ - $ 1,111,047 $ 1,111,047 Net premium $ 70,588 $ - $ ' $ 70,588 Developer deposit to property tax account $ 10,000 $ - $ - $ 10,000 Other contribution(at $ - $ 486,2M $ - $ 498,284 Total Sources $ 12,765,589 $ 498 $ 1,,11111047 $ 14,2%900 Uses of Funds Water $ 2,759,319 $ 1551045 $ 98,570 $ 3,012,934 Sanitary sewer $ 5,724,317 $ 331,239 $ 11,012,477 $ 7,088,033 Aulhaized/Off-Site Improvements Subtotal $ 8,483,636 $ 493,294 $ 1,111,047 $ 10,080,967 Other Fund Deposits: Debt service reserve fund 10) $ 1,151,119 $ $ - $ 1,151,119 Capitalized Interest" $ 1,998,149 $ - $ - $ 1,898,149 Other Fund Deposits Subtotal: $ 3,049,268 $ - $ - $ 3,049,268 DevelWer deposit to Pr Tax Account $ 10,000 $ ' $ - $ 10,000 Costs of issuance(6) $ 844,283 $ - $ $ 944 293 Underwrriter's cosis/umlemiter ccunseltn $ 378,392 $ - $ - $ 379,392 Total uses of funds $ 12,7655N 486 11111,047 14 900 a! rsement any cost ovier>rtam mprovefet and University Improvermwft In excess of the funds deposited with the Inalos under the Indena re related b the Me# impnoverrorrt Bonds. (b)See Table III-A,Table IV-A,and Table IV-B for detalis. (c)The Major Improvement Bands include a debt service reserve fund calculated at the maximum wrxral dent service for ft Major Improvement Bands.Such calculation is In accordance nce wlfn the IRS rules and the Indentrre. (d)The Major Improvement Bands include capitalized interest from September 14,2017 though September 30,2020. (e)lndL w of prepayment of a pofon of fne initial year's Administrative Experws. CdcLdwmd as 2.98%of the Groes Bond Must 33 2180.021%719":1 Section ',� Service Plan Table V-B Roadway Improvement Bonds Updated Sources and Usesoll-ft . Roadway Chisholm Trail University Improvement Ranch Roadway Road Description Bonds improvements Improvements Total Sources of Funds Gross bond amount $ 51155,000 $ - $ - $ 51155,000 Bond premium $ 88,228 $ - $ - $ 66,228 City of Fort Worth contribution(a) $ 3,184,546 $ 1,239,594 $ - $ 4,424,140 Chisholm Trail contribution $ - $ 635,002 $ - $ 635,002 Other contribution(b) $ - $ - $ 6577,992 $ 657,992 Total Sources $ 8,427,773 $ 1,674,500 $ 667,992 $ 10,9>li6,362 Uses of Funds Authorized/Off-Site kinprowments(c): Roadway improvements $ 6,931,647 $ 1,674,E $ 657,992 $ 9,464,235 Total Authorized/Off-site Improvements $ 6,931,647 $ 1,874,596 $ 657,992 $ 9,464,235 Other Fund Deposits: Debt service reserve fund(d) $ 463,000 $ - $ - $ 463,000 Capitalized interest(e) $ 5.64,902 $ - $ - $ 564,992 $ 1,027,902 $ - $ $ 1,027,902 Costs of issuance(t) $ 314,100 $ - $ - $ 314,100 Underwriters costs/underwriter counsel(g) $ 154,125 $ - $ - $ 154,125 Total uses $ 8,427,773 $ 1,874,596 $ 657,992 $ 10,900,362 (a)The total Roadway Improvement Costs are$9,464,235,which Include$6,973,683 In construction costs,$375,000 in ROW, $90,956 in project management fees,$150,000 in developer financing costs and$1,674,596 In Chisholm Trail improvement costs,The University share of the Roadway Improvements(excluding the Chisholm Trail Improvernentcost) is$657,992 ((".464,235-$1,874,596)x 6.67%)1,which will be funded in full with private funds of the Developer.The City contribution for the Roadway Improvement Costs is$3,184,548.In addition,the City contribution for Chisholm Trail improvements is$1,2 ,594 and the balance of the Chisholm Trail Improvement costs,$635,002($1,874,596-$1,239,594),will be funded with privials funds of the Developer. (b)The Developer will fund all Major Improvements not funded bythe Major Improvement Bonds.The Developer and the City will equallyshare anycostovermns for the Roadway Improvements(excluding ROW costs,project management costs,or Developerfinanc ing costs)under the terms of the Roadway Financing Agreement.The Owner's contributions include 100%of the University share of the Roadway Improvement Costs,$657,992($7$89,639 x 8.87%), (c)See Table 111-A Table*A and Table IV-B for details. (d)The Roadway improvement Bonds include a debt service reserve fund calculated in accordance with IRS rules. (e)The Roadway Improvement Bonds include eapitaliaed interest from June 22,2018 through September 1,2020, (f}Inclusive of the initial year's Administrative Expenses. (q)Calculated at 229%of the gross Roadway knpctiwmsntBond amount The updated projeeW Alutual lwtallments of the Major Iirl ovement Sp at Azwostwto relating to the Major Imtprovernmlts and the updaW pwjecled Amittal Imtallmnts of die 34 2190.021%719".7 Section V:Service Plan Roadway Improvement Special Assessments relating to the Roadway Improvements for the Western Improvement Area for the five years following the approval of this SAP updated are presented in Appendix A-1-C. The Service Plan is being updated to reflect the levy of the Roadway Improvement Special Assessments and the issuance of the Roadway Improvement Bonds. The Annual Installments are subject to revision and shall be updated in Annual Service Plan Updates to reflect any changes expected for each year. The updated Annual Installments of the Major Improvement Special Assessments for the Eastern Improvement Area for the five years after the approval of this SAP update are presented in Appendix A-2-C. The Annual Installments are subject to revision and shall be updated in the Annual Service Plan Updates to reflect any changes expected for each year. 35 Section VI:Terms of the Assessments Section VI TERMS OF THE SPECIAL ASSESSMENTS A. Amount of Maior Improvement Speclal Assameab and Annual InsWiments for Parcels Located Within the Assessed Property 1. The Major Improvement Special Assessments, the Roadway Improvement Special Assessments, and the projected Annual Installments associated with each of the foregoing,for the Assessed Property in the Western Improvement Area are shown on the updated Assessment Roll in Appendix A-1. The Major Improvement Special Assessments and the projected Annual Installments for the Assessed Property in the Eastern Improvement Area are shown on the updated Assessment Roll in Appendix A-2o The Major Improvement Special Assessments, the Roadway Improvement Special Assessments and Annual Installments shall not be changed except as authorized by this SAP and by the PID Act. 2. The Annual Installments of the Major Improvement Assessments and the Roadway Improvement Special Assessments shall be collected in an amount sufficient (i) to pay the principal and interest on the applicable PID Bonds, (ii) to fund the Delinquency and Prepayment Reserve for the applicable PID Bonds, and(iii) to cover a proportional share of the Administrative Expenses for the PID. B. Reallocation of Special Assessments for Parcels Located Within AMUMA Property 1. Upon Division Prior to Recording of Subdivision Plat a. Upon the division of any Assessed Property (without the recording of subdivision plat), the Administrator shall reallocate the Special Assessment for the Assessed Property prior to the division among the newly divided Assessed Properties per the assessment methodology as presented in Section IV.E.2. b. If Lots are not platted in accordance with the approved entitlements, the Special Assessments for each affected Lot will be allocated in an equitable manner. c. The reallocation of a Special Assessment for Assessed Property that is a homestead under Texas law may not exceed the Special Assessment prior to the increase or reallocation. Any reallocation pursuant to this section shall be reflected in a Service and Assessment Plan Update approved by the City Council. The reallocation herein shall be considered an administrative action that will not require the City Council to issue notice and hold a public hearing. d. The sum of the Special Assessments for all newly divided Assessed Properties shall.equal the Special Assessment for the Assessed Property prior to subdivision. The calculation shall be made separately for each newly divided Assessed Property. Any reallocation 36 21W.021a719"l Section VE Terms of the Assessments pursuant to this section shall be reflected in an update to this SAP approved by the City Council. 2. Upon Subdivision by a Recorded Subdivision Plat a. Once a Lot or a Parcel has a Special Assessment applied to it, as shown in Table IV-D and Table IV-H, and is then subdivided again, such newly subdivided Lots or Parcels will be the Special Assessment of the applicable Land Use as set forth in Table IV-D and Table IV-H. In no event will the new subdivision cause the sum of the Special Assessments for the newly subdivided Land Uses to be greater than the Special Assessment for the undivided Land Use prior to its subdivision or greater than the Maximum Special Assessment per Unit. b. The allocation method used above is to insure there will not be an increase in the Special Assessment for each specific Lot or Parcel. If Lots or Parcels are not platted in accordance with the approved entitlements,the Special Assessments for each affected Lot or Parcel will be allocated in an equitable manner. 3. Upon Consolidation Upon the consolidation of two or more Assessed Properties, the Special Assessment for the consolidated Assessed Property shall be the sum of the Special Assessments for the Assessed Properties prior to consolidation. The reallocation of a Special Assessment for an Assessed Property that is a homestead under Texas law may not exceed the Special Assessment for such Assessed Property prior to the reallocation. Any reallocation pursuant to this section shall be calculated by the Administrator and reflected in an update to this SAP approved by the City Council. The consolidation of any Assessed Property as described herein shall be considered an administrative action and will not require any notice or public hearing(as defined in the PID Act)by the City Council, 4. Upon Transfer between Parcels with Different Uses a. Should an owner of an Assessed Property choose to transfer the intended land use between all or a portion of one or more Parcels or Lots,in no event will the transfer cause the sum of the Special Assessments for the affected Parcels or Lots to be greater than the Special Assessment for those Parcels or Lots prior to the transfer of use. b. If uses are transferred among Parcels or Lots, the Special Assessments for each affected Parcel or Lot will be allocated in an equitable manner. C. Mandatory Prepayment of Special Assessments If Assessed Property or a portion thereof is transferred to a party that is exempt from the payment of the Special Assessment under applicable law, or if an owner causes a Parcel or portion thereof to become Non-Benefitted Property, the owner of such Parcel or portion thereof shall pay to the City the full amount of the Special Assessmeent, plus all Prepayment Costs, for such Parcel or portion thereof prior to any such transfer or acct (a "Mandatory Prepayment!). Should a Mandatory Prepayment be anticipated under this 37 Section VL Terms of the Assessments Section VLC, the owner of such Parcel or portion thereof shall notify the City and the Administrator no later than thirty (30) days prior to the anticipated date of transfer. The amount of a Mandatory Prepayment of Special Assessment shall be calculated in accordance with the terms of this Service and Assessment Plan. Following a Mandatory Prepayment of Special Assessment under this Section, the owner of such Parcel or portion thereof shall notify the City and the Administrator no later than thirty (30) days after the date of the payment of the Mandatory Prepayment. The sum of the Special Assessments for all newly-divided Assessed Properties shall equal the Special Assessments for the Assessed Property prior to subdivision.If the Special Assessment for the Assessed Property prior to subdivision exceeds the sum of the Special Assessments for all newly divided Assessed Properties after such reallocation, the Parcel owner shall pay the Special Assessment in excess of the Maximum Special Assessment per Unit amount as a Mandatory Prepayment. D. Redaction of Special Assessments 1. If after all Authorized Improvements to be funded with PID Bonds have been completed and the Actual Costs for the Authorized Improvements are less than the Actual Costs used to calculate the Special Assessments securing such PID Bonds, resulting in excess PID Bond proceeds, then the City may, at its discretion and in accordance with the Indenture related to such series of PID Bonds, reduce the Special Assessment securing the series of PID Bonds for each Assessed Property pro rata such that the sum of the resulting reduced Special Assessments for all Assessed Properties equals the reduced Actual Costs and such excess PID Bond proceeds shall be applied to redeem PID Bonds of such series. The Special Assessments shall not be reduced to an amount less than the principal amount of the related outstanding series of PID Bonds. 2. Similarly, if any of the Authorized Improvements to be funded with a series of PID Bonds are not undertaken resulting in excess PID Bond proceeds then the City may, at its discretion and in accordance with the Indenture related to such series of PID Bonds, reduce the Special Assessment securing the PID Bonds for each Assessed Property pro- rata to reflect only the Actual Costs that were expended and apply such excess PID Bond proceeds as described in the paragraph immediately above. The Special Assessments shall not be reduced to an amount less than the principal amount of the related outstanding series of PID Bonds. E. Payment of Special Assessments 1. Payment in Full a. The Special Assessment for any Parcel or Lot may be paid in full at any time in accordance with the PID Act. The payment shall include all Prepayment Costs,if any. If prepayment in full will result in redemption of PID Bonds, the payment amount shall be reduced by the applicable portion of the proceeds from a debt service reserve fund applied to the redemption pursuant to the Indenture, net of any other costs applicable to the redemption of PID Bonds. 38 2190MA9A9.9 Section VI.Terms of the Assessments b. If an Annual Installment has been billed prior to payment in full of a Special Assessment, the Annual Installment shall be due and payable and shall be credited against the payment in full amount upon payment. c. Upon payment in full of a Special Assessment and all Prepayment Costs, the City shall deposit the payment in accordance with the related Indenture; whereupon, the Special Assessment for the Parcel or Lot shall be reduced to zero, and the Parcel or Lot owner's obligation to pay the Special Assessment and Annual Installments thereof shall automatically terminate. The City shall provide the owner of the affected Assessed Property a recordable"Notice of PID Special Assessment Termination." 2. Partial Payment a. At the option of a Parcel or Lot owner,the Special Assessment on any Parcel or Lot may be paid in part in an amount equal to the amount of prepaid Special Assessments plus Prepayment Costs, if any, with respect thereto. Upon the payment of such amount for a Parcel or Lot, the Special Assessment for the Parcel or Lot shall be reduced by the amount of such partial payment in a manner conforming to the provisions of the Indenture, the Special Assessment Roll shall be updated to reflect such partial payment, and the obligation to pay the Annual Installment for such Parcel or Lot shall be reduced to the extent the partial payment is made. For any Partial Payment made, the amount which is paid may be adjusted if required by the terms of the Indenture to conform with the denomination of any individual bond. 3. Payment of Annual Installments a. If a Special Assessment is not paid in full, the PID Act authorizes the City to collect interest and collection costs on the outstanding Special Assessment. A Special Assessment for a Parcel or Lot that is not paid in full will be collected in Annual Installments each year in the amounts shown in the Special Assessment Roll, which includes interest on the outstanding Special Assessment and Administrative Expenses. The interest on the Special Assessments or Annual Installments thereof, includes the interest generated from the Additional Interest Rate as described in Section W.H. b. The Annual Installments as listed on the Assessment Rolls have been calculated assuming a weighted average interest rate on the PID Bonds (1) issued as Major Improvement Bonds of 5.07%and(2)issued as Roadway Improvement Bonds of 5.00%. The principal amounts of Annual Installments may not exceed the amounts shown on the Assessment Doll except pursuant to any amendment or update to this SAP. The interest on the Special Assessments or Annual Installments thereof, includes the interest generated from the Additional Interest Rate as described in Sermon W.H. c. The Annual Installments shall be reduced to equal the actual costs of repaying the related series of PIIS Bonds plus the interest generated from the Additional Interest Rate and actual Administrative Expenses (as provided for in the definition of such term), taking 39 2190.421%11"9:-7 Section VI:Terms of the Assessments into consideration any other available funds for these costs, such as interest income on account balances. d. The City reserves and shall have the right and option to refund PID Bonds in accordance with Section 372.027 of the PID Act and the Indenture related to such PID Bonds. In the event of issuance of refunding bonds, the Administrator shall recalculate the Annual Installments, and if necessary, may adjust, or decrease, the amount of the Annual Installment so that total Annual Installments of Special Assessments will be produced in annual amounts that are required to pay the debt service on the refunding bonds when due and payable as required by and established in the ordinance and/or the indenture authorizing and securing the refunding bonds plus interest generated from the Additional Interest Rate,and such refunding bonds shall constitute"PID Bonds"for purposes of this SAP. F. Collection of Annual Installments 1. The Administrator shall, no less frequently than annually,prepare and submit to the City Council for its approval, an Annual Service Plan Update to allow for the billing and collection of Annual Installments, which may be performed by the City, the Administrator, or a third-party selected by the City. Each Annual Service Plan Update shall include an updated Assessment Roll and a calculation of the Annual Installment for each Assessed Property. Administrative Expenses shall be allocated among Assessed Properties in proportion to the amount of the Annual Installments for the Assessed Property. Each Annual Installment shall be reduced by any credits applied under the applicable Indenture, such as capitalized interest, interest earnings on any account balances, and any other funds available to the Trustee for such purpose, and existing deposits for a Delinquency and Prepayment Reserve. Annual Installments may be collected by the City(or such entity to whom the City directs)in the same manner and at the same time as ad valorem taxes. Annual Installments shall be subject to the penalties, procedures,and foreclosure sale in case of delinquencies as set forth in the PID Act. The City Council may provide for other means of collecting the Annual Installments to the extent permitted under the PID Act. The Special Assessments shall have lien priority as specified in the PID Act. Any sale of Assessed Property for nonpayment of the delinquent Annual Installments shall be subject to the lien established for the remaining unpaid Special Assessment against such Assessed Property and such Assessed Property may again be sold at a judicial foreclosure sale if the purchaser thereof fails to make timely payment of the non- delinquent Annual Installments against such Assessed Property as they become due and payable. 2. Each Annual Installment, including the interest on the unpaid amount of a Special Assessment, shall be updated annually. Each Annual Installment together with interest thereon shall be delinquent if not paid on or before January 31 of the following year. The initial Annual Installments for the Major Improvement Special Assessments will be due when billed,and will be delinquent if not paid on or before January 31,201 S. 40 Section VI: Terms of the Assessments G. Surplus Funds Remaining in the PID Bond Account 1. If proceeds from a series PID Bonds still remain after all of the Authorized Improvements to be funded with such PID Bonds are constructed and accepted by the City,the proceeds may be utilized in accordance with Section VI.D of this SAP. 41 2180.02v1999.7 Section VII: Assessment Roll Sermon VII ASSESSMENTROLL A. Assessment Rally 1. The City Council has evaluated each Assessed Property based on numerous factors such as the applicable zoning for the developable area,the Public Property, the types of Authorized Improvements,and other development factors deemed relevant by the City Council, 2. The Western Improvement Area Assessed Property was assessed for the special benefits conferred upon the Assessed Property by the Major Improvements pursuant to the Major Improvement Assessment Ordinance. The special benefit received by Western Improvement Area Assessed Property from the Major Improvements, a portion of the costs that relate to the establishment, administration and operation of the PID, and the Major Improvement Bonds issuance costs was calculated to be $5,998,703. The par amount of the Major Improvement Bonds originally allocated to the Western hnprovement Area was $5,960,843 which was less than the benefit received by the Assessed Property within the Western Improvement Area from the Major Improvements. The original calculated special benefits conferred by the Major Improvements to the Western Improvement Area Assessed Property have been revised. Pursuant to the updated development plan and related projected estimated build out values shown in Appendix A-3. Table VH-A summarizes the revised calculated $6,585,586 in special benefit received by Assessed Property from the Major Improvements, a portion of the costs that relate to the establishment, administration and operation of the PID, and the Major Improvement Bonds issuance costs. The par amount of the Major Improvement Bonds reallocated to the Western Improvement Area is $6,544,023 which was less than the benefit received by the Assessed Property within the Western Improvement Area from the Major Improvements. 3. The Special Assessment for each Parcel of Assessed Property within the Western Improvement Area is calculated based on the allocation methodologies described in Section IV-D.2.The Western hnprovement Area Assessment Roll is attached hereto as AnrLndix An 42 Section VIE Assessment Roll Table VII-A Western Improvement Area Major Improvements Updated Special Benefit Summary Special Benefit Total Cost Total Authorized Improvements $ 4,376,595 PID Formation/Bond Cost of Issuance Debt Service Reserve Fund $ 593,846 Capitalized Interest $ 979,229 Underwriter's Discount/Underwriters Counsel $ 195,203 Cost of Issuance $ 440,713 PID Formation/Bond Cost of Issuance $ 2,218,991 Total Special Benefit S 6,585,586 Special Benefit Total Special Benefit $ 6,585,586 Projected PID Special Assessment $ 6,544,023 Excess Benefit $ 41,563 4. The Western Improvement Area Assessed Property will be assessed for the special benefits conferred upon the Assessed Property by the Roadway Improvements. Table VII-B summarizes the $8,427,773 in special benefit received by Assessed Property from. the Roadway Improvements, a portion of the costs of relating to the establishment, administration and operation of the PID, and the Roadway Improvements PID Bonds issuance costs. The par amount of the Roadway Improvement Bonds fully allocated to the Western Improvement Area is $5,155,000 which is less than the benefit received by the Assessed Property within the Western Improvement Area from the Roadway Improvements. 5. The Special Assessment for the Assessed Property within the Western Improvement Area is calculated based on the allocation methodologies described in Seetion TV-D.2. The Western Improvement Area Assessment Roll is attached hereto as Appendix A-1. 43 Section VII: Assessment Roll j Table YII-B Western Improvement Area Roadway Improvements !!pgated S cial Benefit Summary Spedal Benefit Total host Total Authorized Improvements $ 6,931,647 PID Formation/Bond Cost of Issuance Debt Service Reserve Fund $ 463,000 Capitalized Interest $ 564,902 Underwriter's Discount/Underwriters Counsel $ 154,125 Cost of Issuance $ 314,100 PID Formation/Bond Cost of Issuance $ 1,496,127 Total Special Benefit $ 8,427,773 Special Benefit Total Special Benefit $ 8,427,773 Projected PID Special Assessment $ 5,155,000 Excess Benefit $ 3,272,773 6. The Eastern Improvement Area Assessed Property was assessed for the special benefits conferred upon the Assessed Property by the Major Improvements. The special benefit received by Assessed Property from the Major Improvements, a portion of the costs that relate to the establishment, administration and operation of the PH), and the Major Improvement Bonds issuance costs was calculated to be $6,766,865. The par amount of the Major Improvement Bonds originally allocated to the Eastern Improvement Area was $6,724,157 which is less than the benefit received by the Assessed Property within the Eastern Improvement Area from the Major Improvements. The original calculated special benefits conferred by the Major Improvements to the Eastern Improvement Area Assessed Property have been revised. Pursuant to the updated development plan and related projected estimated build out values shown in Appendix A-3. Table VII-C summarizes the revised calculated $6,179,981 in special benefit received by Assessed Property from the Major Improvements, a portion of the costs that relate to the establishment, administration and operation of the PID, and the Major Improvement Bonds issuance coats. The pat amount of the Major Improvement Bonds reallocated to the Eastern Improvement Area is $6,140,977 which was less than the benefit received by the Assessed Property within the Western Improvement Area from the Major Improvements. 7. The Special Assessment for the Assessed Property within the Eastern Improvement Area is calculated based on the allocation methodologies described in Sermon IV-I).3, The Eastern Improvement Area Assessment Roll is attached hereto as Aid A--2. 44 Section VII:Assessment Roll Table V11-C Eastern Improvement Area Major Improvements UpdatedS_jpeel Benefit Sumer Special Benefit Total Cost Total Authorized Improvements $ 4,107,041 PID Formation/Bond Cost of Issuance Debt Service Reserve Fund $ 557,272 Capitalized Interest $ 918,919 Underwriter's Discount/Underwriters Counsel $ 183,180 Cost of Issuance $ 413,569 PID Formation/Bond Cost of issuance $ 2,072,940 Total Special Benefit $ 6,179,981 Special Benefit Total Special Benefit $ 6,179,981 Projected PID Special Assessment $ 6,140,977 Excess Benefit $ 39,004 8. The Roadway Improvement Assessment Ordinance levies the Roadway Improvement Special Assessments securing the Roadway Improvement Bonds in the amounts shown in the Western Improvement Area Assessment Roll attached to this updated SAP. B. Annual Assessment Roll Updates 1. The Administrator shall prepare, in consultation with City staff, and shall submit to the City Council for approval,updates to the Assessment Roll and the Annual Service Plan Update to reflect changes such as (i) the identification of each Parcel, (ii) the Special. Assessment for each Assessed Property, including any adjustments authorized by this SAP or the PIIS Act; (iii) the Annual Installment for the Assessed Property for the year(if the Special Assessment is payable in installments); and (iv) payments of the Special Assessment, if any, as provided by Section VLE of this SAP. 2. The Service and Assessment Plan Update shall reflect the actual interest on the PID Bonds on which the Annual Installments shall be paid plus the Additional Interest Rate, any reduction in the Special Assessments, and any revisions in the Actual Costs to be funded by the PID Bonds and Developer funds. 45 Section VIII:Miscellaneous Provisions Section VIII MISCELLANEOUS PROVISIONS A. Administrative Review 1. The City may elect to designate a third party who is not an officer or employee of the City to serve as Administrator of the PID. 2. To the extent consistent with the PID Act, if an owner of the Assessed Property claims that a calculation error has been made in the Assessment Roll, including the calculation of the Annual Installment, that owner must send a written notice describing the error to the Administrator no later than thirty(30) days after the date the invoice or other bill for the Annual Installment is received. If the owner fails to give such notice, such owners shall be deemed to have accepted the calculation of the Assessment Roll (including the Annual Installments) and to have waived any objection to the calculation. The Administrator shall, in consultation with City staff, promptly review the notice, and if necessary, meet with the Assessed Property owner, consider written and oral evidence regarding the alleged error and decide whether,in fact, such a calculation error occurred. 3. If the Administrator, in consultation with City staff, determines that a calculation error has been made and the Assessment Roll should be modified or changed in favor of the Assessed Property owner, such change or modification shall be presented to the City Council for approval, to the extent permitted by the PID Act. A cash refund may not be made for any amount previously paid by the Assessed Property owner (except for the final year during which the Annual Installment shall be collected),but an adjustment may be made in the amount of the Annual Installment to be paid in the following year. The decision of the Administrator regarding a calculation error relating to the Assessment Roll may be appealed to City Council. Any amendments made to the Assessment Roll pursuant to calculation errors shall be made pursuant to the PID Act. B. Termination of Special Assessments 1. Each Special Assessment shall terminate on the date the Special Assessment is paid in full, including payment of any unpaid Annual Installments and Delinquent Collection Costs, if any. After the termination of the Special Assessment, and the collection of any delinquent Annual Installments and Delinquent Collection Costs,the City shall provide the owner of the affected Parcel a recordable Notice of the PID Special Assessment Termination. C. Amendments 1. Amendments to this SAP may be made as permitted or required by the PlI) Act and Texas law. 46 210.021%71"9.7 Section VIII: Miscellaneous Provisions D. Administration and Interpretation of Provisions 1. The City Council shall administer(or cause the administration of)the PID,an approved SAP, and all Annual Service Plan Updates consistent with the PID Act. E. Severability 1. If any provision, section, subsection, sentence, clause or phrase of an approved SAP, or the application of same to an Assessed Parcel or any person or set of circumstances is for any reason held to be unconstitutional, void or invalid, the validity of the remaining portions of the approved SAP or the application to all or any portion of the Property or other persons or sets of circumstances shall not be affected thereby, it being the intent of the City Council in adopting the SAP that no part thereof, or provision or regulation contained herein shall become inoperative or fail by reason of any unconstitutionality, voidness or invalidity of any other part hereof,and all provisions of this SAP are declared to be severable for that purpose. 2. If any provision of the SAP is determined by a court to be unenforceable, the unenforceable provision shall be deleted from the SAP and the unenforceable provision shall, to the extent possible,be rewritten to be enforceable and to give effect to the intent of the City. 47 2180.021\71999.7 Appendix A-1 Western Improvement Area Assessment Roll Exhibit A-1 Western Improvement Area Updated Special Assessments-Major Improvements and Roadway Improvements Total Major Improvement Special Major Roadway Assessment and Improvement Improvement Roadway Estimated Build Special Special Improvement Special Tax Parcel ID Out Value a Assessment b Assessment b Assessment 4103629,6839851,3710890 $ 1,316,418,000 $ 6,544,023 $ 5,155,000 $ 11,699,023 and 41524853 Total $ 1,316,418,000 $ 6,544,023 $ 5,155,000 $ 11,699,023 (a)Estimated build-out value Is based on the estimated build out value shown In Table IV-D calculated using the current development plan attached as Appendix A-3 and is subject to change.The estimated build out value and updated development plans will be provided as part of the Annual Service Pian Update and are subject to change until the Maximum Special Assessment per Unit is determined in accordance with Section VI.E of the SAP. (b)The Special Assessments are shown herein collectively for all Parcels within the Western Improvement Area.Until such time that the Maximum Assessment per Unit Is determined based on the applicable development plan and the Major Improvement Special Assessments and the Roadway Improvement Special Assessments are reallocated to each Parcel,the Annual Installments due from each Parcel will be calculated as part of each annual service plan update based on updated development plan to be provided by the Developer.If the Developer Is unable to provide an updated development plan for each Parcel within the Western Improvement Area,the Administrator will use the current development plan shown in Appendix A-3 herein. 2180MiN'71999.7 Exhibit A•1.3 Western Improvement Area Updated Annual Installments•Major Improvements and Roadway Improvements Major Improvement Bonds Roadw Improvement Bonds Delinquency 6 Net Debt Net Debt Administrative Prepayment Capitalized Annual Year a Princl al Interest(b) Service Princi alInterest(b) Service Expenses c Reserve Interest Installment d 9/30/2018 $ - $ 318,456 $ 318,456 $ - $ - $ - $ 10,318 $ 32,720 $ (318,456) $ 43,038 9/30/2019 $ $ 330,387 $ 330,387 $ $ 307,152 $ 307,152 $ 79,203 $ 58,495 $ (637,539) $ 137,698 9/30/2020 $ $ 330,387 $ 330,387 $ $ 257,750 $ 257,750 $ 80,787 $ 58,495 $ (588,137) $ 139,282 9/30/2021 $ 247,626 $ 330,387 $ 578,012 $ 195,000 $ 257,750 $ 452,750 $ 82,403 $ 58,495 $ $ 1,171,661 9/3012022 $ 260,523 $ 318,005 $ 578,528 $ 205,000 $ 248,000 $ 453,000 $ 84,051 $ 56,282 $ $ 1,171,861 9/30/2023 $ 273,420 $ 304,979 $ 578,399 $ 220,000 $ 237,750 $ 457,750 $ 85,732 $ 53,954 $ $ 1,175,836 9/30/2024 $ 288,897 $ 291,308 $ 580,205 $ 230,000 $ 226,750 $ 456,750 $ 87,447 $ 51,487 $ $ 1,175,889 9/30/2025 $ 304,373 $ 276,863 $ 581,237 $ 240,000 $ 215,250 $ 455,250 $ 89,196 $ 48,893 $ $ 1,174,575 9/30/2026 $ 319,850 $ 261,645 $ 581,495 $ 250,000 $ 203,250 $ 453,250 $ 90,980 $ 46,171 $ $ 1,171,895 9/30/2027 $ 335,326 $ 245,652 $ 580,979 $ 265,000 $ 190,750 $ 455,750 $ 92,799 $ 43,322 $ $ 1,172,850 9/30/2028 $ 353,382 $ 228,886 $ 582,268 $ 280,000 $ 177,500 $ 457,500 $ 94,655 $ 40,320 $ - $ 1,174,743 9/30/2029 $ 371,438 $ 211,217 $ 582,655 $ 295,000 $ 163,500 $ 458,500 $ 96,548 $ 37,153 $ $ 1,174,857 913012030 $ 392,074 $ 192,645 $ 584,719 $ 310,000 $ 148,750 $ 458,750 $ 98,479 $ 33,821 $ $ 1,175,769 9/30/2031 $ 412,709 $ 173,041 $ 585,751 $ 325,000 $ 133,250 $ 458,250 $ 100,449 $ 30,311 $ $ 1,174,760 9/30/2032 $ 435,924 $ 152,406 $ 588,330 $ 340,000 $ 117,000 $ 457,000 $ 102,458 $ 26,622 $ $ 1,174,410 9/30/2033 $ 456,560 $ 130,610 $ 587,169 $ 360,000 $ 100,000 $ 460,000 $ 104,507 $ 22,742 $ $ 1,174,419 9/30/2034 $ 482,354 $ 107,211 $ 589,565 $ 380,000 $ 82,000 $ 462,000 $ 106,597 $ 18,660 $ $ 1,176,822 9/30/2035 $ 508,148 $ 82,490 $ 590,639 $ 400,000 $ 63,000 $ 463,000 $ 108,729 $ 14,348 $ $ 1,176,715 9/30/2036 $ 536,522 $ 56,447 $ 592,969 $ 420,000 $ 43,000 $ 463,000 $ 110,904 $ 9,807 $ $ 1,176,680 9/30/2037 $ 564,896 $ 28,951 $ 593,847 $ 440,000 $ 22,000 $ 462,000 $ 113,121 $ 5,024 $ $ 1,173,993 Total $ 6,544 023 $ 4.371.974 ; i0 915997 ; 5155,000 S 3194,402 $ 8349 402 $ 1 819 365 S 747123 $ (1,614,11 ; 20,267 755 (a)The 9r30ha dates represent the fiscal year end for the Bonds. (b)Gross of Capitalized Interest Including interest from bond closing through 9112020 (c)Preliminary Estimate,Assumes 2%Increase per year.The administrative charges will be updated each year in the Annual Service Plan Updates based on actual costs. (d)Annual Installments are calculated using an average 5.07%Interest rata on the Major Improvement Bonds,an average 5.00%interest rate on the Roadway tmprovettrent Bonds,plusthe Additional Interest and estimated Administrative E)ensea. 2180.021\719 9 9.7 Appendix XII-C Western Improvement Area Updated S•Ysar Annual Costs and indebtedness-Major itn rovements and Roadway im vements Major Improve ent Bonds Roadway Im rovement Bonds Delinquency Projected Period Ending Principal Interest Principal Interest Administrative &Prepayment Capitalized Annual PID September 30 Payments Ex ense Payments Expense Expenses Reserve Interest Installments 2018 $0 $318,456 $0 $0 $10,318 $32,720 ($318,456) $43,038 2019 $0 $330,387 $0 $307,152 $79,203 $58,495 ($637,539) $137,698 2020 $0 $330,387 $0 $257,750 $80,787 $58,495 ($588,137) $139,282 2021 $247,626 $330,387 $195,000 $257,750 $82,403 $58,495 $0 $1,171,661 2022 $260,523 $318,005 $205,000 $248,000 $84,051 $56,282 $0 $1,171,861 2023 $273,420 $304,979 $220,000 $237,750 $85,732 $53,954 $0 $1,175,836 Total $781,568 $1,932,601 $620,000 1 $1,308,402 1 $422,495 $318,442 $1,544,131 $3,839,377 Note:The Projected Annual Costs and Indebtedness Installments are the expenditures associated with the formation of the PID,the costs of Issuance and repayment of the Major improvement and Roadway Improvements PID Bonds as well as the administration of the PID.The debt service amounts are based on an average 5.07%interest rate and a 20 year term forthe Major Improvement PID Bonds and an average 5.00%and a 19 year term for the Roadway Improvement PID Bonds.Administrative expenses are estimated to increase at a rate of 2.0%per year will be updated each ar as pan of the Annual Service Plan Updates. 2180.021\71999.7 Appendix A-2 Eastern Improvement Area Assessment Roll Exhibit A-2-A Eastern Improvement Area Updated Special Assessments-Major improvements Estimated Build Out I Major Improvement Tax Parcel ID Value a Special Assessment b 5700908,41295149 and 41291522 $ 1,235,340,000 $ 6,140,977 Total $ 1,235,340,000 $ 6,140,977 (a)Estimated build-out value is based on the estimated build out value shown in Table IV-D calculated using the current development plan attached as Appendix A-3 and is subject to change.The estimated build out value and updated development plans will be provided as part of the Annual Service Platt Update and are subject to change until the Maximum Special Assessment per Unit Is determined In accordance with Section WE of the SAP. (b)The Special Assessments are shown heroin collectively for all Parcels within the Eastern Improvement Area.Until such time that the Maximum Assessment per Unit Is determined based on the applicable development plan and the Major Improvement Special Assessments are reallocated to each Parcel,the Annual Installments due from each Parcel will be calculated as part of each annual service pian update based on updated development plan to be provided by the Developer.If the Developer Is unable to provide an updated development plan for each Parcel within the Eastern Improvement Area, the Administrator will use the current development plan shown in Appendix A-3 herein. 2180,021\71999.7 Exhibit A-2-B Eastern Improvement Area Updated Annual Installments-Major improvements PID Bonds Delinquency Annual Net Debt Administrative & Capitalized Installment Year(a) Principal Interest(b) Service Expenses(c) Prepayment Interest (d) 9/30/2018 $ $ 298,842 $ 298,842 $ 9,682 $ 30,705 $ (298,842) $ 40,387 9/30/2019 $ $ 310,038 $ 310,038 $ 32,097 $ 30,705 $ (310,038) $ 62,802 9/30/2020 $ $ 310,038 $ 310,038 $ 32,739 $ 30,705 $ (310,038) $ 63,444 9/30/2021 $ 232,374 $ 310,038 $ 542,413 $ 33,394 $ 30,705 $ - $ 606,511 9/30/2022 $ 244,477 $ 298,420 $ 542,897 $ 34,061 $ 29,543 $ - $ 606,501 9/30/2023 $ 256,580 $ 286,196 $ 542,776 $ 34,742 $ 28,321 $ - $ 605,839 9/30/2024 $ 271,103 $ 273,367 $ 544,470 $ 35,438 $ 27,038 $ $ 606,945 9/30/2025 $ 285,627 $ 259,812 $ 545,438 $ 36,146 $ 25,682 $ $ 607,267 9/30/2026 $ 300,150 $ 245,530 $ 545,680 $ 36,869 $ 24,254 $ - $ 606,804 9/30/2027 $ 314,674 $ 230,523 $ 545,196 $ 37,606 $ 22,753 $ - $ 605,556 9/30/2028 $ 331,618 $ 214,789 $ 546,407 $ 38,358 $ 21,180 $ $ 605,945 9/30/2029 $ 348,562 $ 198,208 $ 546,770 $ 39,126 $ 19,522 $ $ 605,417 9/30/2030 $ 367,926 $ 180,780 $ 548,706 $ 39,908 $ 17,779 $ - $ 606,394 9/30/2031 $ 387,291 $ 162,384 $ 549,674 $ 40,706 $ 15,939 $ - $ 606,320 9/30/2032 $ 409,076 $ 143,019 $ 552,095 $ 41,521 $ 14,003 $ $ 607,619 9/30/2033 $ 428,440 $ 122,565 $ 551,006 $ 42,351 $ 11,958 $ $ 605,314 9/30/2034 $ 452,646 $ 100,608 $ 553,254 $ 43,198 $ 9,815 $ - $ 606,267 9/30/2035 $ 476,852 $ 77,410 $ 554,261 $ 44,062 $ 7,552 $ - $ 605,875 9/30/2036 $ 503,478 $ 52,971 $ 556,449 $ 44,943 $ 5,168 $ - $ 606,560 9/30/2037 $ 530,104 $ 27,168 $ 557,272 $ 45,842 $ 2,651 $ $ 605,764 Total 1 $ 6,140,977 1 $4,102,705 1 $ 10,243,682 $ 742,789 1 $ 405,9771 $ (918,919)1 $ 10,473,530 (a)The 9/30/xx dates represent the fiscal year end for the Bands. (b)Gross of Capitalized Interest including interest from bond closing through 9/1/2020 (c)Preliminary Estimate,Assumes 20%increase per year.The adrninistrative charges will be revised In Annual Service Plan Updates based on actual costs. (d)Annual Instalirrents are calculated assuming an average 5.070/6 interest rate on the Bonds plus the Additional Interest plus Administrative Expenses. 7 Appendix A-2-C Eastern Improvement Area Updated 5-Year Annual Costs and Indebtedness-Major Improvements Major Im rovement Bonds Delinquency Projected Period Ending Principal Interest Administrative&Prepayment Capitalized Annual PID September 30 Payments Expense Expenses Reserve Interest Installments 2018 $0 $298,842 $9,682 $30,705 ($298,842) $40,387 2019 $0 $310,038 $32,097 $30,705 ($310,038) $62,802 2020 $0 $310,038 $32,739 $30,705 ($310,038) $63,444 2021 $232,374 $310,038 $33,394 $30,705 $0 $606,511 2022 $244,477 $298,420 $34,061 $29,543 $0 $606,501 2023 $256,580 1 $286,196 $34,742 1 $28,321 1 $0 1 $605,839 Total $733,432 $1,813,572 1 $176,715 1 $180,683 1 ($918,919) 1 $1,985,483 Note:The Projected Annual Costs and Indebtedness Installments are the expenditures associated with the formation of the PID,the costs of issuance and repayment of the Major improvement PID Bonds as well as the administration of the PID.The debt service amounts are based on an average 5.07%interest rate and a 20 year term for the Major knprovement PID Bonds.Administrative expenses are estimated to increase at a rate of 2.01%per year will be updated each year as part of the Annual Service Plan Updates. 2180.021\71999.7 Appendix A-3 Updated Development Plan(as provided by the Developer) Western Improvement Arva Projected Build Out Value per Unit or SF $ 300,000 $ 127,100 $ 200 Total Projected New Parcel ID Old Parcel ID Single Family Units Multifamily Units Commercial SF Build Out Value 4103629 4103629 1,003 0 0 Total Build Out Value $ 300,900,000 $ $ - $ 300,900,000 6839851 6839851 391 960 366,949 Total Build Out Value $ 117,300,000 $ 122,016,000 $ 73,389,800 $ 312705,800 3779114 949 60 132,510 3958817 96 0 774,671 3710890 0 0 0 41017338 0 0 0 3710890" 41047362 32 0 0 3779122 0 0 0 4070585 0 1068 0 41291514 0 432 0 Subtotal 1,077 1,560 907,181 Total Build Out Value $ 323,100,000 $ 198,276,000 $ 181,436,200 $ 702,812,200 41524853 41524853 0 0 0 Grand Total 2,471 2,520 1,274,130 $ 1,316,418,000 ""A portion of Tax Parcel#03710890 is zoned"MU-2"High Intensity Mixed-Use allowing"higher density,mixed-use,pedestrian-oriented development for designated mixed-use growth centers and urban villages"including a variety of housing types among the planned commercial development. If the Developers plans change to include high-density multi-family housing,the total assessments will be re-allocated in an Annual Service Plan Update to include the additional high-density multi-family units which will result in a reduction of the total assessments for the units reflected above." Eastern Improvement Area Projected Build Out Value per Unit or SF $ 300,000 $ 127,100 $ 200 Total Projected New Parcel ID Old Parcel ID Single Family Units Multifamily Units Commercial SF I Build Out Value 5700908 5700908 304 0 145,362 Total Build Out Value $ 91,200,000 $ $ 29,072,400 $ 120,272,400 41291549 560 0 1,554,256 3983773 400 0 0 4009576 1,184 0 245,997 41295149 Subtotal 2,144 0 1,800,253 Total Build Out Value $ 643,200,000 $ $ "050,600 $ 1 003,250,600 41291522 4009576 0 0 559,085 Total Build Out Value $ $ 111,817,000 $ 111 817 60W 1 91999.7 Grand Total 2,448 0 2,504,700 $ 1,235,340,000 Appendix B Legal Description for Property within PID ROCK CREEK P.I.D. LEGAL DESCRIPTION TRACT 1 ALL THAT CERTAIN LOT, TRACT, OR PARCEL OF LAND, SITUATED IN A PORTION OF THE JUAN JOSE ALBIRADO SURVEY,ABSTRACT NO.4,THE JOHN H.BOSTICK SURVEY,ABSTRACT NO. 195,THE J.W.HAYNES SURVEY, ABSTRACT NO. 787, THE J. W. MUHLINGHAUS SURVEY, ABSTRACT NO. 1157, THE B. F. PACE SURVEY,ABSTRACT NO. 1254,THE STEPHEN B.WILSON SURVEY,ABSTRACT NO. 1676,CITY OF FORT WORTH, TARRANT COUNTY,TEXAS,BEING ALL OF THAT CERTAIN CALLED 220.826 ACRE TRACT AND PART OF THAT CERTAIN CALLED 701.937 ACRE TRACT DESCRIBED IN A DEED TO WUSF 4 ROCK CREEK, LP RECORDED IN INSTRUMENT NO. D214146610 OF THE DEED RECORDS OF TARRANT COUNTY, TEXAS (DRTCT), AND SAID 842.756 ACRES BEING MORE COMPLETELY DESCRIBED AS TWO PARCELS AS FOLLOWS,TO-WIT: BEGINNING AT A I" IRON PIPE FOUND FOR THE NORTHEAST CORNER OF SAID 220.826 ACRE TRACT, THE SOUTHEAST CORNER OF A CALLED 0.629 ACRE TRACT DESCRIBED IN A DEED TO GABRIEL SOUTHWEST,LLC RECORDED IN INSTRUMENT NO.D217046244(DRTCT),AND THE WEST LINE OF A CALLED 157.060 ACRE TRACT DESCRIBED IN A DEED TO FORT WORTH AND CROWLEY PARTNERS, LTD. RECORDED IN INSTRUMENT NO. D207114613(DRTCT); THENCE SOUTH 01 DEG.09 MIN.30 SEC.EAST ALONG THE EAST LINE OF SAID 220.826 ACRE TRACT AND THE WEST LINE OF SAID 157.060 ACRE TRACT, A DISTANCE OF 1829.93 FEET TO A SPIKE FOUND WITH WASHER STAMPED"GORRONDONA"FOR THE MOST EASTERLY SOUTHEAST CORNER OF SAID 220.826 ACRE TRACT; THENCE SOUTH 89 DEG.07 MIN. 16 SEC.WEST DEPARTING THE WEST LINE OF SAID 157.060 ACRE TRACT AND CONTINUE ALONG A SOUTH LINE OF SAID 220.826 ACRE TRACT,A DISTANCE OF 63.96 FEET TO A 5/8"CAPPED IRON ROD FOUND STAMPED"BURY"; THENCE SOUTH 01 DEG.09 MIN.36 SEC.EAST ALONG A SOUTHERLY EAST LINE OF SAID 220.826 ACRE TRACT, A DISTANCE OF 129.34 FEET TO A 5/8"CAPPED IRON ROD FOUND STAMPED"BURY"; THENCE SOUTH 54 DEG. 54 MIN. 24 SEC. WEST ALONG A SOUTHEAST LINE OF SAID 220.826 ACRE TRACT,A DISTANCE OF 40.86 FEET TO A 5/8"IRON ROD FOUND FOR THE MOST SOUTHERLY SOUTHEAST CORNER OF SAID 220.826 ACRE TRACT AND BEING IN THE NORTH LINE OF A CALLED 13.703 ACRE TRACT DESCRIBED IN A DEED TO TEXAS ELECTRIC SERVICE COMPANY RECORDED IN VOLUME 3569,PAGE 410(DRTCT); THENCE SOUTH 87 DEG. 37 MIN. 52 SEC. WEST ALONG THE SOUTH LINE OF SAID 220.826 ACRE TRACT AND THE NORTH LINE OF SAID 13.703 ACRE TRACT,A DISTANCE OF 15.73 FEET TO A 5/8"IRON ROD FOUND; THENCE NORTH 89 DEG. 52 MIN. 56 SEC. WEST ALONG SAID NORTH AND SOUTH LINES, A DISTANCE OF 4860.60 FEET TO A P.K. NAIL FOUND WITH WASHER STAMPED "BURY" FOR THE SOUTHWEST CORNER OF SAID 220.826 ACRE TRACT AND THE NORTHWEST CORNER OF SAID 13.703 ACRE TRACT; THENCE NORTH 00 DEG. 42 MIN. 38 SEC. WEST ALONG THE WEST LINE OF SAID 220.826 ACRE TRACT, A DISTANCE OF 1894.07 FEET TO A 3/8"IRON ROD FOUND FOR THE NORTHWEST CORNER OF SAME; THENCE North 89 deg.07 min.20 sec.East along the North line of said 220.826 acre tract,a distance of 978.28 feet to a I"iron pipe found; THENCE North 89 deg.03 min.46 sec.East along said North line,a distance of 3979.93 feet to the POINT OF BEGINNING, containing 9,618,027 square feet or 220.800 acres of land,more or less. 89 2180.021\71999.7