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HomeMy WebLinkAboutRes 2020-07-763 Hurricane Creek PID Annual Service PlanCITY OF A M N A RESOLUTION NO. .LL —�O7 f1(P A RESOLUTION OF THE CITY OF ANNA APPROVING THE 2020 ANNUAL SERVICE PLAN UPDATE AND ASSESSMENT ROLL FOR PUBLIC IMPROVEMENTS FOR THE HURRICANE CREEK PUBLIC IMPROVEMENT DISTRICT IN ACCORDANCE WITH CHAPTER 372, TEXAS LOCAL GOVERNMENT CODE, AS AMENDED; MAKING VARIOUS FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City of Anna, Texas (the "City") received a petition meeting the requirements of Section 372.005 of the Chapter 372, Texas Local Government Code, as amended, (the "PID Act") requesting the creation of a public improvement district over a portion of the area of the City to be known as the Hurricane Creek Public Improvement District the "District"); and WHEREAS, the petition contained the signatures of the owners of taxable property representing more than fifty percent of the appraised value of taxable real property liable for assessment within the boundaries of the proposed PID, as determined by the then current ad valorem tax rolls of the Denton Central Appraisal District and the signatures of property owners who own taxable real property that constitutes more than fifty percent of the area of all taxable property that is liable for assessment by the City; and WHEREAS, on November 13, 2018, after due notice, the City Council of the City (the "City Council") held the public hearing in the manner required by law on the advisability of the improvement projects and services described in the petition as required by Section 372.009 of the PID Act and made the findings required by Section 372.009(b) of the PID Act and, by Resolution No. 201841-506 (the "Creation Resolution") adopted by a majority of the members of the City Council, authorized the creation of the District in accordance with its finding as to the advisability of the improvement projects and services; and WHEREAS, following the adoption of the Creation Resolution, the City published notice of its authorization of the District in a newspaper of general circulation in the City; and WHEREAS, no written protests of the District from any owners of record of property within the District were filed with the City Secretary within 20 days after the date of publication of such notice; and WHEREAS, on February 12, 2019, the City Council approved a resolution that made findings and determinations relating to the Costs of certain Authorized Improvements, received and accepted a preliminary service and assessment plan and proposed assessment roll, called a public hearing for March 12, 2019, and directed City staff to (i) file said proposed assessment roll with the City Secretary and to make it available for public inspection as required by Section 372.016(b) of the PID Act, and (ii) publish such notice as required by Section 372.016(b) of the PID Act relating to the March 12, 2019 hearing; and Page 33 of 150 WHEREAS, the City, pursuant to Section 372.016(b) of the PID Act, published notice of a public hearing in a newspaper of general circulation in the City to consider the proposed "Assessment Roll" and the "Service and Assessment Plan" and the levy of the "Assessments" on property in the District; and WHEREAS, the City, pursuant to Section 372.016(c) of the PID Act, mailed notice of the public hearing to consider the proposed Assessment Roll and the Service and Assessment Plan and the levy of Assessments on property in the District to the last known address of the owners of the property liable for the Assessments; and WHEREAS, the City Council convened the public hearing on March 12, 2019, at which time, all persons who appeared, or requested to appear, in person or by their attorney, were given the opportunity to contend for or contest the Service and Assessment Plan, the Assessment Roll, and the Assessments, and to offer testimony pertinent to any issue presented on the amount of the Assessments, the allocation of Costs, the purposes of the Assessments, the special benefits of the Assessments, and the penalties and interest on Annual Installments and on delinquent Annual Installments of the Assessments; and WHEREAS, at the March 12, 2019 public hearing referenced above, there were no written objections or evidence submitted to the City Secretary in opposition to the Service and Assessment Plan, the allocation of Costs, the Assessment Roll, or the levy of the Assessments; and WHEREAS, the City Council closed the public hearing and, after considering all written and documentary evidence presented at the public hearing, including all written comments and statements filed with the City, at a meeting held on March 12, 2019 approved and accepted the Service and Assessment Plan in conformity with the requirements of the PID Act and adopted the Assessment Ordinance, which Assessment Ordinance approved the Assessment Roll and levied the Assessments; and WHEREAS, pursuant to Section 371.013, the Service and Assessment Plan must cover a period of at least five years and must also define the annual indebtedness and projected costs for improvements and such Service and Assessment Plan must be reviewed and updated annually for the purpose of determining the annual budget for improvements; and WHEREAS, the City requires that an update to the Service and Assessment Plan and the Assessment Roll for the District for 2020 (the "Annual Service Plan Update") be prepared, setting forth the annual budget for improvements and the Annual Installment for assessed properties in the District, and the City now desires to approve such Annual Service Plan Update. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ANNA, TEXAS, THAT: Section 1. Findings. The findings and determinations set fort h in the preambles hereto are hereby incorporated by reference for all purposes. Page 34 of 150 Section 2. Terms. Terms not otherwise defined herein are defined in the Service and Assessment Plan dated March 12, 2019. Section 3. Approval of Uj1date. The Annual Service all Update for the District for 2020, attached hereto as Exhibit A, is hereby approved and accepted by the City Council. Section 4. Severability. If any provision, section, subsection, sentence ,clause or phrase of this resolution, or the application of same to any person or set of circumstances is for any reason held to be unconstitutional, void or invalid, the validity of the remaining portions of this resolution or the application to other persons or sets of circumstances shall not be affect thereby, it being the intent of the City Council that no portion hereof, or provision or regulation contained herein shall become inoperative or fail by reason of any unconstitutionality, voidness or invalidity of any other portion here, and all provisions of this resolution are declared to be severable for that purpose. Section 5. Effective Date. This resolution shall take effect from and after its final date of passage, and it is accordingly so ordered. PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF ANNA, TEXAS, THIS 14th DAY OF JULY 2020. APPROVED: Nate Pike, Mayor ATTEST: Carrie L. Smith, City Secretary Page 35 of 150 Ex11111311 a 2020 Annual Service all Update [Remainder of page iiztentionally left blanle.J Page 36 of 150 . ,.� � �. •,. JULY 28, 2020 ,� �c��-�a� - 2� 3 Page 37 of 150 Capitalized terms used j Annual Service Plan Update shall have the meanings set forth in the original Service and Assessment Plan (the "SAP"). The District was created pursuant to the PID Act by Resolution No. 2018-11-506 on November 13, 2018 by the City Council to finance certain Authorized Improvements for the benefit of the property in the District. On March 12, 2019, the City Council approved an Ordinance which approved the SAP for the District and levied Assessments to finance the Authorized Improvements to be constructed for the benefit of the Assessed Property within the District. The SAP also set forth the costs of the Authorized Improvements, the indebtedness to be incurred for such Authorized Improvements, and the manner of assessing the property in the District for the costs of such Authorized Improvements based on the benefit provided to the Assessed Property. Pursuant to the PID Act, the SAP must be reviewed and updated annually. This document is the 2020 Annual Service Plan Update. This 2020 Annual Service Plan Update also updates the Assessment Roll for 2020. HURRICANE CREEK PID - 2020 ANNUAL SERVICE PLAN UPDATE 1 Page 38 of 150 INTRODUCTION Capitalized terms used j Annual Service Plan Update shall have the meanings set forth in the original Service and Assessment Plan (the "SAP"). The District was created pursuant to the PID Act by Resolution No. 2018-11-506 on November 13, 2018 by the City Council to finance certain Authorized Improvements for the benefit of the property in the District. On March 12, 2019, the City Council approved an Ordinance which approved the SAP for the District and levied Assessments to finance the Authorized Improvements to be constructed for the benefit of the Assessed Property within the District. The SAP also set forth the costs of the Authorized Improvements, the indebtedness to be incurred for such Authorized Improvements, and the manner of assessing the property in the District for the costs of such Authorized Improvements based on the benefit provided to the Assessed Property. Pursuant to the PID Act, the SAP must be reviewed and updated annually. This document is the 2020 Annual Service Plan Update. This 2020 Annual Service Plan Update also updates the Assessment Roll for 2020. HURRICANE CREEK PID - 2020 ANNUAL SERVICE PLAN UPDATE 1 Page 38 of 150 LISTED EVENTS' Improvement Area #1 The following Listed Events have occurred in Improvement Area #1: ■ On June 18, 2019, Megatel Homes, LLC, Megatel Homes II, LLC and Megatel Homes III, LLC (collectively, the "Megatel Homes Parties") filed a lawsuit in Dallas County Texas District Court against various funds and entities associated with and controlled by UDF, various affiliates of CADG owned and controlled by Mehrdad Moayedi (the "Centurion Megatel Defendants"), and various affiliates of Buffington Land Group, Ltd. (the "Buffington Megatel Defendants"). The Megatel Homes Lawsuit alleges that UDF, CADG (and the various Centurion Megatel Defendants) and the Buffington Megatel Defendants were in a de facto partnership under which UDF financed the purchase and development of land to be developed into finished lots by the Centurion Megatel Defendants and the Buffington Megatel Defendants, which finished lots would in turn be purchased from the Centurion Megatel Defendants and the Buffington Megatel Defendants by the Megatel Homes Parties with financing also provided by UDF. The Megatel Homes Lawsuit sets forth five causes of action against various Centurion Megatel Defendants including breach of fiduciary duties, conspiracy to breach fiduciary duties, breach of the duty of good faith and fair dealing, and two counts of breach of contract. Such causes of action are in part based on allegations bythe Megatel Parties that (i) various Centurion Megatel Defendants and UDF conspired to cut the Megatel Parties out of partnership projects so that such Centurion Megatel Defendants could liquidate them as unfinished lots to different homebuilders and thereby pay their debts to UDF and (ii) various Centurion Megatel Defendants and UDF pressured the Megatel Parties to release their rights to finished lots that the Megatel Parties were entitled to take down upon issuance of a notice of substantial completion, thereby causing substantial lost profits to the Megatel Parties. The Megatel Homes lawsuit seeks $100 million dollars in damages. ■ The Developer, and a Developer principal have entered into a Completion Agreement relating to the Improvement Area #1 Projects and certain private improvements to be constructed by the Developer in the Hurricane Creek Public Improvement District, which Completion Agreement has been filed in the County. i Per the Developer, Megatel filed a Notice of Nonsuit of the State Court Lawsuit without obtaining relief of any kind from the Centurion Megatel Defendants. The Centurion Megatel Defendants had moved for sanctions and intends to pursue a claim for the filing of a frivolous lawsuit. HURRICANE CREEK PID - 2020 ANNUAL SERVICE PLAN UPDATE 2 Page 39 of 150 Major Improvement Area The following Listed Events have occurred in the Major Improvement Area: ■ On June 18, 2019, Megatel Homes, LLC, Megatel Homes II, LLC and Megatel Homes III, LLC (collectively, the "Megatel Homes Parties") filed a lawsuit in Dallas County Texas District Court against various funds and entities associated with and controlled by UDF, various affiliates of CADG owned and controlled by Mehrdad Moayedi (the "Centurion Megatel Defendants"), and various affiliates of Buffington Land Group, Ltd. (the "Buffington Megatel Defendants"). The Megatel Homes Lawsuit alleges that UDF, CADG (and the various Centurion Megatel Defendants) and the Buffington Megatel Defendants were in a de facto partnership under which UDF financed the purchase and development of land to be developed into finished lots by the Centurion Megatel Defendants and the Buffington Megatel Defendants, which finished lots would in turn be purchased from the Centurion Megatel Defendants and the Buffington Megatel Defendants by the Megatel Homes Parties with financing also provided by UDF. The Megatel Homes Lawsuit sets forth five causes of action against various Centurion Megatel Defendants including breach of fiduciary duties, conspiracy to breach fiduciary duties, breach of the duty of good faith and fair dealing, and two counts of breach of contract. Such causes of action are in part based on allegations by the Megatel Parties that (i) various Centurion Megatel Defendants and UDF conspired to cut the Megatel Parties out of partnership projects so that such Centurion Megatel Defendants could liquidate them as unfinished lots to different homebuilders and thereby pay their debts to UDF and (ii) various Centurion Megatel Defendants and UDF pressured the Megatel Parties to release their rights to finished lots that the Megatel Parties were entitled to take down upon issuance of a notice of substantial completion, thereby causing substantial lost profits to the Megatel Parties. The Megatel Homes lawsuit seeks $100 million dollars in damages. PARCEL_SUBDIVISION Improvement Area #1 No plats have been filed in Improvement Area #1. Major Improvement Area No plats have been filed in the Major Improvement Area. HURRICANE CREEK PID - 2020 ANNUAL SERVICE PLAN UPDATE K? Page 40 of 150 LOT & HOME SALES UPDATE Improvement Area #1 As of March 31, 2020, 215 Lots are planned, but not platted. There are no construction starts or home sales within Improvement Area #1. Major Improvement Area As of March 31, 2020, 439 Lots are planned, but not platted. There are no construction starts or home sales within the Major Improvement Area. OUTSTANDING ASSESSMENT Improvement Area #1 Improvement Area #1 has an outstanding Assessment of $7,375,000.00. Major Improvement Area The Major Improvement Area has an outstanding Assessment of $3,535,000.00. TIRZ NO. 2 ANNUAL CREDIT Improvement Area 44 1 The City Council, in accordance with the TIRZ No. 2 TIRZ Agreement, has agreed to use a portion oI TIRZ No. 2 TIRZ Revenues generated to reduce the Improvement Area #1 Annual Installment for all Improvement Area #1 Assessed Property so that the Improvement Area #1 Annual Installment minus the TIRZ No. 2 Annual Credit Amount for each Lot Type does not produce an equivalent tax rate which exceeds the competitive composite ad valorem equivalent tax rate taking into consideration the tax rates of all applicable taxing units and the equivalent tax rate of the Improvement Area #1 Annual Installments. The resulting Maximum TIRZ No. 2 Annual Credit Amount for each Lot Type is shown below. Improvement Area #1 Lot Type 1 $ 1,151 Lot Type 2 $ 1,316 HURRICANE CREEK PID - 2020 ANNUAL SERVICE PLAN UPDATE Page 41 of 150 The TIRZ No. 2 Revenues available to be applied to the Improvement Area #1 Annual Installment due January 31, 2021 is $0.00. Major Improvement Area Per the SAP, TIRZ No. 2 Revenues shall not be used to reduce the Major Improvement Area Annual Installment. ANNUAL INSTALLMENT DUE 1/31/2021 Improvement Area #1 ■ Principal and Interest —The total principal and interest required for the Annual Installment for Improvement Area #1 is $575,487.50. ■ Annual Collection Costs —The cost of administering the District and collecting the Annual Installments shall be paid for on a pro rata basis by each Parcel based on the amount of outstanding Assessment remaining on the Parcel. The total Annual Collection Costs budgeted for the Annual Installment for Improvement Area #1 is $46,102.20. ■ Additional Interest — Additional Interest is collected to fund the Additional Interest Reserve Account. The Additional Interest Reserve Requirement, as defined in the Improvement Area #1 Indenture, is equal to $405,625.00, and has not been met. As such, the Additional Interest Reserve Account will be funded with Additional Interest on the outstanding Assessment, resulting in an Additional Interest for Improvement Area #1 of $36,875.00. Principal $ 105,000.00 Interest $ 470,487.50 Annual Collection Costs $ 46,102.20 AdditionalInterest $ 36,875.00 TIRZ Annual Credit Amount $ - Total Annual Installment $ 6581464.70 See Exhibit B-1 for the debt service schedule for the Improvement Area #1 PID Bonds as shown in the official statement. aior Imorovement Area ■ Principal and Interest —The total principal and interest required for the Annual Installment for the Major Improvement Area is $234,600.00. HURRICANE CREEK PID - 2020 ANNUAL SERVICE PLAN UPDATE 5 Page 42 of 150 ■ Capitalized Interest—The total Capitalized Interest, credited against the interest required for the Annual Installment, is $156,400.00. ■ Annual Collection Costs—The cost of administering the District and collecting the Annual Installments shall be paid for on a pro rata basis by each Parcel based on the amount of outstanding Assessment remaining on the Parcel. The total Annual Collection Costs budgeted for the Annual Installment for the Major Improvement Area is $22,097.80. ■ Additional Interest — Additional Interest is collected to fund the Additional Interest Reserve Account, The Additional Interest Reserve Requirement, as defined in the Major Improvement Area Indenture, is equal to $194,425.00, and has not been met. As such, the Additional Interest Reserve Account will be funded with Additional Interest on the outstanding Assessment, resulting in an Additional Interest for the Major Improvement Area of $17,675.00. Principal $ - Interest $ 234,600.00 Capitalized Interest $ (156,400.00) Annual Collection Costs $ 22,097.80 AdditionalInterest $ 17,675.00 Total Annual Installment $ 1171972.80 See Exhibit B-2 for the debt service schedule for the Major Improvement Area PID Bonds as shown in the official statement. PREPAYMENT OF ASSESSMENT IN FULL Improvement Area #1 No full prepayments have occurred within Improvement Area #1. Major Improvement Area No full prepayments have occurred within the Major Improvement Area. See Exhibit C for the template of the Notice of Termination of Assessment. HURRICANE CREEK PID - 2020 ANNUAL SERVICE PLAN UPDATE 6 Page 43 of 150 PARTIAL PREPAYMENT OF ASSESSMENTS Improvement Area #1 No partial prepayments have occurred within the Improvement Area #1. Major Improvement Area No partial prepayments have occurred within the Major Improvement Area. BOND FUND P3Worl<s has reviewed the following bond accounts related to the District as of March 31, 2020 and each account contains the amount shown below: Improvement Area #1 Account: 3/31/2020 Balance Pledged Revenue Fund $11.57 Bond Pledged Revenue Account Bond $0.00 Fund Capitalized Interest Account Principal and Interest Account Project Fund Improvement Area #1 Bond Improvement Account Cost of Issuance Account Developer Improvement Account Reserve Fund Reserve Account Delinquency and Prepayment Reserve Account Redemption Fund Rebate Fund Administrative Fund HURRICANE CREEK PID - 2020 ANNUAL SERVICE PLAN UPDATE $ 244, 504.31 $4,169.62 $4,035,552.83 $9,916.24 $1,025,613.82 $590,915.59 $36,886.54 $0.00 $0.00 $25,037.52 7 Page 44 of 150 Malor Improvement Area Account: 3/31/2020 Balance Pledged Revenue Fund $5.55 Bond Pledged Revenue Account $0.00 Bond Fund Capitalized Interest Account Principal and Interest Account Project Fund Major Improvement Bond Improvement Account Cost of Issuance Account Reserve Fund Reserve Account Delinquency and Prepayment Reserve Account Redemption Fund Rebate Fund Administrative Fund Developer Property Tax Fund BUDGET FOR CONSTRUCTION OF AUTHORIZED IMPROVEMENTS $280,810.18 $2,073.61 $1,481,285.20 $7,537.46 $293,868.90 $17,680.53 $0.00 $0.00 $39,201.31 $5,080.26 Per the Quarterly Report for Improvement Area #1 dated March 31, 2020, the Authorized Improvements are currently under construction and projected to be completed in the fourth quarter of 2020. The budget for the Authorized Improvements remains unchanged. See below for a table depicting the budgets of Improvement Area #1 Projects, and Actual Costs spent to date. Authorized Improvements Street Water Sanitary Sewer Developer District Formation Expenses Geotechnical testing, SWPPP, Flood Study Storm Drainage Street Lights/Hike &Bike Trail Engineering Notes: $ 2,766,012 $ 290,832 11% $ 826,874 $ 81,391 10% $ 919,336 $ 4151380 45% $ 188,224 $ 1607853 85% $ 41,311 $ 81487 21% $ 5701170 $ 47,445 8% $ 408,270 $ 0% $ 754,360 $ 5131823 68% $ 61474,557 $ 1,5181211 23% 1) Per the Quarterly Report for Improvement Area #1 dated March 31, 2020. HURRICANE CREEK PID -2020 ANNUAL SERVICE PLAN UPDATE �3 Page 45 of 150 Major Improvement Area Per the Quarterly Report for the Major Improvement Area dated March 31, 2020, the Authorized Improvements are currently under construction and projected to be completed in the fourth quarter of 2020. The budget for the Authorized Improvements remains unchanged. See below for a table depicting the budgets of the Major Improvement Area Projects, and Actual Costs spent to date. Authorized Improvements Street Water Sanitary Sewer Developer District Formation Expenses Geotechnical testing, SWPPP, Flood Study Storm Drainage Street Lights/Hike & Bike Trail Engineering Notes: $ $ 2,4081 193,828 $ $ 631,238 $ $ 409,126 $ $ 89,795 $ $ 5731125.00 $ 576,512.50 $ 574,325.00 $ 46,102.20 $ 47,024.24 $ 47,964.73 $ 239,893 $ 235 $ 131,521 99,508 218,598 349,628 5,623 158,519 963,397 1) Pert Quarterly Report far the Major Improvement Area dated March 31, 2020. SERVICE PLAN -FIVE YEAR BUDGET FORECAST 40 The Act requires the annual indebtedness and projected costs for the Authorized Improvements to be reviewed and updated in the Annual Service Plan Update, and the projection shall cover a period of not less than five years. Principal Interest Annual Collection Costs (1) (2) $ 105,000.00 Additionallnterest (3) $ 36,875.00 $ 361 $ 110,000.00 $ 115,000.00 $ 125,000.00 $ 130,000.00 470,487.50 464,450.00 458,125.00 451,512.50 444,325.00 $ 575,487.50 $ 574,450.00 $ 5731125.00 $ 576,512.50 $ 574,325.00 $ 46,102.20 $ 47,024.24 $ 47,964.73 $ 48,924.02 $ 49,902.50 Principal Interest Capitalized Interest Annual Collection Costs Additional Interest 234,600.00 234,600.00 231,300.00 227,700.00 65,000.00 224,100.00 (1) Total Annual Installment _ + (2)+(3) (4) (1) $ 78,200.00 350.00 $ 35,800.00 $ 35,225.00 $ 34,600.00 $ 287,700.00 $ 289,100.00 (2) $ 22,097.80 Total Annual Installment (5) = (1) + (2) + (3) + (4) $ 6581464.70 $ 657,824.24 $ 6561889.73 $ 660,661.52 $ 658,827.50 Principal Interest Capitalized Interest Annual Collection Costs Additional Interest 234,600.00 234,600.00 231,300.00 227,700.00 65,000.00 224,100.00 (1) Total Annual Installment _ + (2)+(3) (4) (1) $ 78,200.00 $ 289,600.00 $ 291,300.00 $ 287,700.00 $ 289,100.00 (2) $ 22,097.80 $ 221539.76 $ 221990.55 $ 23,450.36 $ 23,919.37 (3) $ 17,675.00 $ 17,675.00 $ 17,400.00 $ 17,100.00 $ 16,800.00 Page 46 of 150 $ 117,972.80 $ 329,814.76 $ 331,690.55 $ 328,250.36 $ 329,819.37 HURRICANE CREEK PID — 2020 ANNUAL SERVICE PLAN UPDATE 9 Page 46 of 150 EMINENT DOMAIN PREPAYMENT If any portion of any Parcel of Assessed Property is taken from Cl" owner as a result of eminent domain proceedings or if a transfer of any portion of any Parcel of Assessed Property is made to an entity with the authority to condemn all or a portion of the Assessed Property in lieu of or as a part of an eminent domain proceeding (a "Taking"), the portion of the Assessed Property that was taken or transferred (the "Taken Property") shall be reclassified as Non -Benefitted Property. For the Assessed Property that is subject to the Taking as described in the preceding paragraph, the Assessment that was levied against the Assessed Property (when it was included in the Taken Property) prior to the Taking shall remain in force against the remaining Assessed Property (the Assessed Property less the Taken Property), (the "Remaining Property") following the reclassification of the Taken Property as Non -Benefitted Property, subject to an adjustment of the Assessment applicable to the Remaining Property after any required Prepayment as set forth below. The owner will remain liable to pay in Annual Installments, or payable as otherwise provided by this Service and Assessment Plan, as updated, or the PID Act, the Assessment that remains due on the Remaining Property, subject to an adjustment in the Annual Installments applicable to the Remaining Property after any required Prepayment as set forth below. By way of illustration, if an owner owns 100 acres of Assessed Property subject to a $100 Assessment and 10 acres is taken through a Taking, the 10 acres of Taken Property shall be reclassified as Non -Benefitted Property and the remaining 90 acres of Remaining Property shall be subject to the $100 Assessment. Notwithstanding the previous paragraphs in this subsection, if the owner notifies the City and the Administrator that the Taking prevents the Remaining Property from being developed for any use which could support the estimated buildout value requirement, the owner shall, upon receipt of the compensation for the Taken Property, be required to prepay the amount of the Assessment required to buy down the outstanding Assessment on the Remaining Property to support the Estimated Buildout Value requirement. The owner will remain liable to pay the Annual Installments on both the Taken Property and the Remaining Property until such time that such Assessment has been prepaid in full. Notwithstanding the previous paragraphs in this subsection, the Assessments shall not, however, be reduced to an amount less than the outstanding PID Bonds. HURRICANE CREEK PID - 2020 ANNUAL SERVICE PLAN UPDATE 10 Page 47 of 150 ASSESSMENT ROLL The list of current Parcels within the District, the corresponding total Assessments, and current Annual Installment are shown on the Assessment Roll attached hereto as Exhibit A4 and Exhibit A-2 for Improvement Area #1 and the Major Improvement Area, respectively. The Parcels shown on the Assessment Rolls will receive the bills for the 2020 Annual Installments which will be delinquent if not paid by January 31, 2021. HURRICANE CREEK PID - 2020 ANNUAL SERVICE PLAN UPDATE 11 Page 48 of 150 EXHIBIT A-1- IMPROVEMENT AREA #1 ASSESSMENT ROLL Notes; 1) For billing purposes, the outstanding Assessment and Annual Installments due January 31, 2021 are allocated pro rata to the Property IDs based on acreage. HURRICANE CREEK PID - 2020 ANNUAL SERVICE PLAN UPDATE 12 Page 49 of 150 EXHIBIT A-2 - MAJOR IMPROVEMENT AREA ASSESSMENT ROLL 1001356 Major Improvement Area Initial Parcel $ 439,117.92 $ 14,654.59 1007412 Major Improvement Area Initial Parcel $ 774,199.44 $ 25,837.19 2518072 Major Improvement Area Initial Parcel $ 654,853.93 $ 21,854.30 2719039 Major Improvement Area Initial Parcel $ 1,666,828.71 $ 55,626.72 Total $ 3,5351000.00 $ 117,972.80 Notes: 1) For billing purposes, the outstanding Assessment and Annual Installments due January 31, 2021 are allocated pro rata to the Property IDs based on acreage. 2) Net of Capitalized Interest. HURRICANE CREEK PID - 2020 ANNUAL SERVICE PLAN UPDATE 13 Page 50 of 150 EXHIBIT B-1- DEBT SERVICE SCHEDULE - IMPROVEMENT AREA #1 DEBT SER�'IGE REQl01RE)w1ENTS The following tabic sets forth die anticipated debt sen°ice r�quircmcnts for the Bonds: 1c°ear Ending (September 1) Principal Interest Total 2019 S 199,957.19 $199,957419 2020 470,497.50 470,487.50 2021 $ 105,000.00 4701497.50 575,497.50 2022 110,OD0.00 464,450.00 574,450.00 2023 115,000.00 459,15.00 573,125.00 2024 125,ODO.00 451,512.50 576,512.50 2025 130,0DO.OD 444,325.0[) 574.325.00 2026 135,0WOU 436,850.00 571,950.00 2027 145,OD0.00 429,097.50 574,097.50 2028 155,000.00 420,750.00 575,750.00 2029 165,000.00 411,937.50 576,837.50 2030 170,000.00 402,350.00 5720350.00 2031 185,000.00 391,300.00 576,300.00 2032 195,000.00 379275.0[) 574275.00 2033 210,ODD.OD 366,600.00 576,600.00 2034 220,000.00 352,950.00 572,950.00 2035 235,ODDDU 338,650.00 573,650.00 2036 250,000.01) 323375.0[) 573,35.00 2037 270,0D0.09 307,125.00 577,125.00 2038 285,000.01) 299,575.00 574,575.00 2039 305,060.00 271,050.00 576,050.00 2040 325,OWOD 251,225.00 576225.OU 2041 350,0DO.00 230,I00th[) 58%100400 2042 370,000.00 207350.00 577,350.00 2043 395,001).00 183300.00 578300.00 2044 425,000.00 157,625.OU 592,625.00 2045 450,MDD 130,0DD.O0 580,000.06 2046 485,000.00 100,750.00 585,750.00 2047 515,000.00 69225.00 5842225.00 2048 550.OD0.OU 35.750.00 585,750.00 Total SU7.i.006.00 S9A45.444.h9 516.820.444.69 HURRICANE CREEK PID - 2020 ANNUAL SERVICE PLAN UPDATE 14 Page 51 of 150 EXHIBIT 13-2 - DEBT SERVICE SCHEDULE - MAJOR IMPROVEMENT AREA DEBT SERVICE REQ1l1REhfENTS The following table sets forth the anticipated debt sen ice requirements for the. BflndsA Fear Ending (September 1) Principal Interest Total 2019 -- $ 99,705600 $ 99,705,00 2020 -- 234,600.00 234,600.00 2021 -- 234,600.00 234,600.00 2022 $ 55,000400 2349600.00 289,600.00 2023 60,000.00 231,300.00 291,300.00 2024 60,000.00 227,700.00 287,700.00 2025 65,000.00 224,100.00 289,100.00 2026 70,000.00 220,200.00 290200.00 2027 70,000.00 21600.00 286,000.00 2028 75,000.00 211,800.00 286,800400 2029 8000.00 207,300.00 287,300.00 2030 85,000.00 202,500.00 287,500400 2031 90,000.00 196,762.50 286,762.50 2032 95,000.00 190,6H7.50 285,687.50 2033 100,000.00 184,275.00 284275.00 2034 105,000.00 1775525.00 282,525.00 2035 115,000.00 170,437.50 285,437.50 2036 120,000400 162,675.00 282,675.00 2037 130,000.00 154,575.00 294,575.00 2039 140,000.00 145,800400 285,800.00 2039 150,000.00 136350.00 286,350400 2040 1551000.00 126,225.00 281,225.00 2041 1701000.00 115,762.50 285,762.50 2042 1801000.00 104287M 284287.50 2043 190,00(m)0 92,137.50 282337.50 2044 205,000.00 79,312.50 284,312.50 2045 220,000.00 65,475.00 285,475.00 2046 235,000.00 50,625.00 285,625.00 2047 250,000.00 34,762.50 284,762.50 2048 265,000.00 17,897.50 282,887.50 Total 53.435.000.110 54.749.467.50 Sll_2R4.467.50 HURRICANE CREEK PID - 2020 ANNUAL SERVICE PLAN UPDATE 15 Page 52 of 150 EXHIBIT C - NOTICE OF ASSESSMENT TERMINATION :W [Date] Collin County Clerk's Office Honorable [County Clerk Name] Collin County Administration Building 2300 Bloomdale Rd., Suite 2106 Mcl<inney, TX 75071 P3Works, LLC 9284 Huntington Square, Suite 100 North Richland Hills, TX 76182 Re: City of Anna Lien Release Documents for Filing Dear Ms./Mr. [County Clerl< Name], Enclosed is a lien release that the City of Anna is requesting to be filed in your office. Lien release for [insert legal description]. Recording Numbers: [Plat]. Please forward copies of the filed documents below: City of Anna Attn: [City Secretary] 111 N Powell Parkway P.O. Box 776 Anna, TX 75409-0776 Please contact me if you have any questions or need additional information. Sincerely, [Signature] P3Works, LLC P: (817) 393-0353 admin@p3-works.com HURRICANE CREEK PID - 2020 ANNUAL SERVICE PLAN UPDATE 16 Page 53 of 150 AFTER RECORDING RETURN TO: [City Secretary Name] 111 N Powell Parkway P.O. Box 776 Anna, TX 75409-0776 NOTICE OF CONFIDENTIALITY RIGHTS: IF YOU ARE A NATURAL PERSON, YOU MAY REMOVE OR STRIKE ANY OR ALL OF THE FOLLOWING INFORMATION FROM ANY INSTRUMENT THAT TRANSFERS AN INTEREST IN REAL PROPERTY BEFORE IT IS FILED FOR RECORD IN THE PUBLIC RECORDS: YOUR SOCIAL SECURITY NUMBER OR YOUR DRIVER'S LICENSE NUMBER. STATE OF TEXAS FULL RELEASE OF PUBLIC IMPROVEMENT DISTRICT LIEN 0 KNOW ALL MEN BY THESE PRESENTS: § COUNTY OF COLLIN 0 THIS FULL RELEASE OF PUBLIC IMPROVEMENT DISTRICT LIEN (this "Full Release") is executed and delivered as of the Effective Date by the City of Anna, Texas. RECITALS WHEREAS, the governing body (hereinafter referred to as the "City Council") of the City of Anna, Texas (hereinafter referred to as the "City"), is authorized by Chapter 372, Texas Local Government Code, as amended (hereinafter referred to as the "Act"), to create public improvement districts within the corporate limits and extraterritorial jurisdiction of the City; and WHEREAS, on November 13, 2018, the City Council approved Resolution No. 2018-11- 5061 creating the Hurricane Creek Public Improvement District; and WHEREAS, the Hurricane Creek Public Improvement District consists of approximately 368.2 contiguous acres within the corporate limits of the City; and WHEREAS, on or about March 12, 2019, the City Council approved an Ordinance (hereinafter referred to as the "Assessment Ordinance") approving a service and assessment plan and assessment roll for the Property within the Hurricane Creek Public Improvement District; and HURRICANE CREEK PID - 2020 ANNUAL SERVICE PLAN UPDATE 17 Page 54 of 150 WHEREAS, the Assessment Ordinance imposed an assessment in the amount of [amount] (hereinafter referred to as the "Lien Amount") for the following property: [legal description], a subdivision in Collin County, Texas, according to the map or plat of record in Document/Instrument No. of the Plat Records of Collin County, Texas (hereinafter referred to as the "Property"); and WHEREAS, the property owners of the Property have paid unto the City the Lien Amount. RELEASE NOW THEREFORE, the City, the owner and holder of the Lien, Instrument No. in the Real Property Records of Collin County, Texas, in the amount of the Lien Amount against the Property releases and discharges, and by these presents does hereby release and discharge, the above-described Property from said lien held by the undersigned securing said indebtedness. EXECUTED to be EFFECTIVE this the ATTEST: [Secretary Name], City Secretary STATE OF TEXAS § COUNTY OF COLLIN § 20_ CITY OF ANNA, TEXAS, By: [Manager Name], City Manager This instrument was acknowledged before me on the day of , 20_, by [Manager Name], City Manager for the City of Anna, Texas, on behalf of said municipality. Notary Public, State of Texas �,l�II3L�IJ►1��I����ll_���33�1_Iil►1�LL��9 [�r�� �Pl��� Ff? Page 55 of 150 THE CITY OF manna Item No. 8.c. City Council Agenda Staff Report Meeting Date Staff Contact: 7/28/2020 Dana Thornhill AGENDA ITEM: Approve the Quarterly Investment Report for Quarter Ending June 30,2020 (Finance Director Dana Thornhill) SUMMARY: In accordance with the Public Funds Investment Act, the City of Anna is required to submit a quarterly report on the investment of all Public Funds held by the City. The report includes the following: • Review of the City's holdings • Comparison of book vs. market value • Allocation information • Other information related to the PFIA The City's portfolio as of quarter ending June 30, 2020 earned an average yield A 1.42% The total year to date interest earnings are $603,193. The Quarterly Investment Report for June 30, 2020 is attached for review. FINANCIAL IMPACT: None STRATEGIC CONNECTIONS: This item supports the City of Anna Strategic Plan, specifically advancing: Goal 4: High Performing, Professional City STAFF RECOMMENDATION: Approve the attached Quarterly Investment Report for the Quarter Ending June 30, 2020. Page 56 of 150 ATTACHMENTS: 1. Investment Report for Quarter Ending June 30, 2020 APPROVALS: Dana Thornhill, Finance Director Jim Proce, City Manager Created/Initiated - 7/23/2020 Final Approval - 7/24/2020 Page 57 of 150 L: �I L �1 i.. 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