HomeMy WebLinkAboutResolution 6031-12-2024A Resolution
No. 6031-12-2024
ACKNOWLEDGING AND APPROVING UPDATED ESTIMATED
AUTHORIZED IMPROVEMENT COSTS FOR THE FORT WORTH
PUBLIC IMPROVEMENT DISTRICT NO. 16 (WALSH RANCH/QUAIL
VALLEY); AND PROVIDING AN EFFECTIVE DATE
WHEREAS, the City of Port Worth, Texas (the "City") is authorized by Chapter 372,
Texas Local Government Code, as amended (the "PID Act"), to create public improvement
districts within the City's corporate Iimits and extraterritorial jurisdiction; and
WHEREAS, the PID Act authorizes the City to create a public improvement district to
undertake public improvement projects that confer a special benefit on the property within the
district and to pay for such public improvement projects by levying assessments against benefited
property within the district; and
WHEREAS, on August 30, 2016, the City Council approved Resolution No. 4671-08-
2016 that: (1) found and determined that the Petition Requesting the Establishment of Walsh Ranch
Quail Valley Public Improvement District (the "Creation Petition") requesting the creation of a
public improvement district to be known as the "Walsh Ranch/Quail Valley Public Improvement
District (the "District") had been examined, verified, and met the requirements of the PID Act and
accepted such Creation Petition for filing; (2) called a public hearing for September 20, 2016 (the
"Public Hearing") to take public testimony on the feasibility and advisability of creating the
District and the feasibility and advisability of the public improvement projects proposed by the
Creation Petition; and (3) authorized and directed notices of the Public Hearing be mailed and
published as required by the PID Act; and
WHEREAS, the Creation Petition contained, among other required items, a general
description and estimated costs of the public improvements (the "Authorized Improvements")
proposed to be undertaken and financed for the special benefit of the approximately 1,703.57 acres
(the "Property") within the District as required by the PID Act; and
WHEREAS, after publishing, mailing, and otherwise providing all notices required by the
PID Act and state Iaw, the City Council conducted the Public Hearing on the date and at the
location and time specified in such notices, at which Public Hearing the City Council took public
testimony on the feasibility and advisability of creating the District and the feasibility and
advisability of undertaking the public improvement projects proposed by the Creation Petition;
and
WHEREAS, on September 27, 2016, the City Council approved Resolution No. 4686-09-
2016 (the "Creation Authorization") authorizing the creation of the District covering the Property;
and
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WHEREAS, the Creation Authorization was published on October 7, 2016, in a newspaper
of general circulation as required by the PID Act at the time the Creation Authorization was
approved, whereupon the District authorization became effective; and
WHEREAS, the City has also filed the Creation Authorization as Instrument No.
201627203 in the real property records of Parker County, Texas, and as Instrument No.
D216284552, in the real property records of Tarrant County, Texas; and
WHEREAS, at the time the Creation Petition was submitted to the City for consideration,
the landowners and developer of the Property estimated in good faith the costs of the Authorized
Improvements to serve all of the Property within the District and to be financed using the District,
including issuance costs, to be FORTY-SEVEN MILLION DOLLARS ($47,000,000,000.00) and
estimated overall infrastructure costs for the entire District to be approximately ONE HUNDRED
EIGHTY-EIGHT MILLION DOLLARS ($188,000,000); and
WHEREAS, Section 2.5 of the Creation Authorization makes a finding that the estimated
costs of the Authorized Improvements, including issuance costs, are FORTY-SEVEN MILLION
DOLLARS ($47,000,000,000.00) based on the good -faith estimate provided in the Creation
Petition; and
WHEREAS, the Property is being developed in phases and the City has levied TWENTY-
TWO MILLION DOLLARS ($22,950,000) in special assessments ("Assessments") in accordance
with the PID Act against the first three "Improvement Areas" ("Improvement Areas #1-3"); and
WHEREAS, due to unforeseen and unprecedented increases in Iabor, material and
development costs in the last several years, the developer has spent over ONE HUNDRED FIFTY-
SEVEN MILLION DOLLARS ($157,000,000) on infrastructure and enhancements for the
development of Improvement Areas #1 — 3 and currently estimates total infrastructure costs of
more than THREE HUNDRED THIRTY-THREE MILLION DOLLARS ($333,000,000) for
development of all of the Property within the District; and
WHEREAS, the Public Finance Division of the Attorney General of Texas provided
guidance in its All Bond Counsel Letter dated March 27, 2024 (the "All Bond Counsel Letter")
recognizing that the good faith cost estimates provided at the time of creation of a public
improvement district may be materially exceeded as actual costs of authorized improvements are
determined as a project develops; and
WHEREAS, at the request of the developer of the Property and under the guidance of the
All Bond Counsel Letter, the City submitted a letter on October 11, 2024 to the Public Finance
Division of the Attorney General of Texas to preclear increasing the estimated costs of the
Authorized Improvements, inclusive of the Authorized Improvements already constructed for
Improvement Areas #1-3, to NINETY-TWO MILLION DOLLARS ($92,000,000); and
WHEREAS, the City received preclearance of the requested increase from the Public
Finance Division of the Attorney General of Texas on December 2, 2024; and
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NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
THE CITY OF FORT WORTH, TEXAS THAT:
SECTION 1. The findings and determinations set forth in the preambles above are hereby
incorporated by reference for all purposes as if set forth fully in this Section.
SECTION 2. Based on the preclearance received from the Public Finance Division of the
Office of Attorney General of Texas and the updated good faith estimates provided by the
developer of the Property within the District, the City Council hereby acknowledges and approves
the estimated total costs of NINETY-TWO MILLION DOLLARS ($92,000,000) for Authorized
Improvements and such other items identified in Section 2.4 of the Creation Authorization to be
undertaken for the special benefit of the assessed Property within the District, inclusive of the
Authorized Improvements benefitting Improvement Areas #1-3 for which Assessments have
already been levied.
SECTION 3. This Resolution is effective immediately upon adoption and approval.
Adopted this 1 Oth day of December 2024.
ATTEST:
By:
Jannette S. Goodall, City Secretary
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