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HomeMy WebLinkAboutOrd 925-2021 Accepting & Approving a Service and Assessment Plan & Assessment Roll for The Sherley Tract PID #2 RECORDEDCERTIFICATE FOR ORDINANCE THE STATE OF TEXAS COLLIN COUNTY CITY OF ANNA We, the undersigned officers of the City of Anna, Texas (the "City"), hereby certify as follows: 1. The City Council (the "Council") of the City convened in a regular meeting on July 27, 2021, at the regular designated meeting place, and the roll was called of the duly constituted officers and members of the Council, to wit: Nate Pike, Mayor Kevin Toten Lee Miller, Mayor Pro -Tern Danny Ussery Josh Vollmer, Deputy Mayor Pro -Tern Randy Atchley Stan Carver Jim Proce, City Manager Carrie L. Land, City Secretary and all of said persons were present, thus constituting a quorum. Whereupon, among other business the following was transacted at said meeting: a written Ordinance entitled AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ANNA, TEXAS ACCEPTING AND APPROVING A SERVICE AND ASSESSMENT PLAN AND ASSESSMENT ROLLS FOR THE SHERLEY TRACT PUBLIC IMPROVEMENT DISTRICT NO. 2; MAKING A FINDING OF SPECIAL BENEFIT TO THE PROPERTY IN THE DISTRICT; LEVYING SPECIAL ASSESSMENTS AGAINST PROPERTY WITHIN THE DISTRICT AND ESTABLISHING A LIEN ON SUCH PROPERTY; PROVIDING FOR THE METHOD OF ASSESSMENT AND THE PAYMENT OF THE ASSESSMENTS IN ACCORDANCE WITH CHAPTER 372, TEXAS LOCAL GOVERNMENT CODE, AS AMENDED, PROVIDING PENALTIES AND INTEREST ON DELINQUENT ASSESSMENTS, PROVIDING FOR SEVERABILITY, AND PROVIDING AN EFFECTIVE DATE. was duly introduced for the consideration of the Council. It was then duly moved and seconded that said Ordinance be passed; and, after due discussion, said motion, carrying with it the passage of said Ordinance, prevailed and carried, with all members of the Council shown present above voting "Aye," except as noted below: NAYS: 0 ABSTENTIONS: 0 2. A true, full, and correct copy of the aforesaid Ordinance passed at the meeting described in the above and foregoing paragraph is attached to and follows this Certificate; said Ordinance has been duly recorded in the Council's minutes of said meeting; the above and foregoing paragraph is a true, full, and correct excerpt from the Council's minutes of said meeting pertaining to the passage of said Ordinance; the persons named in the above and foregoing paragraph are the duly chosen, qualified, and acting officers and members of the Council as indicated therein; that each of the officers and members of the Council was duly and sufficiently notified officially and personally, in advance, of the time, place, and purpose of the aforesaid meeting, and that said Ordinance would be introduced and considered for passage at said meeting, and each of said officers and members consented, in advance, to the holding of said meeting for such purpose; and that said meeting was open to the public, and public notice of the time, place, and purpose of said meeting was given all as required by the Texas Government Code, Chapter 551. 3. The Council has approved and hereby approves the Ordinance; and the Mayor and City Secretary hereby declare that their signing of this Certificate shall constitute the signing of the attached and following copy of said Ordinance for all purposes. SIGNED AND SEALED ON JULY 27, 2021 �, aAAt.-L, 6)f. Carrie L. Land, City Secretary \taus s ss i u i i i rlf�j��� (City Seal) P* Nate Pike, Mayor 20210811001619580 08/11/2021 10:31:02 AM OR 11105 CITY OF ANNA ORDINANCE NO. 925-2021 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ANNA, TEXAS ACCEPTING AND APPROVING A SERVICE AND ASSESSMENT PLAN AND ASSESSMENT ROLLS FOR THE SHERLEY TRACT PUBLIC IMPROVEMENT DISTRICT NO. 2; MAKING A FINDING OF SPECIAL BENEFIT TO THE PROPERTY IN THE DISTRICT; LEVYING SPECIAL ASSESSMENTS AGAINST PROPERTY WITHIN THE DISTRICT AND ESTABLISHING A LIEN ON SUCH PROPERTY; PROVIDING FOR THE METHOD OF ASSESSMENT AND THE PAYMENT OF THE ASSESSMENTS IN ACCORDANCE WITH CHAPTER 372, TEXAS LOCAL GOVERNMENT CODE, AS AMENDED, PROVIDING PENALTIES AND INTEREST ON DELINQUENT ASSESSMENTS, PROVIDING FOR SEVERABILITY, AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the. governing body (the "City Council") of the _City of Anna, Texas (the "City") is authorized by the Public Improvement District Assessment Act, Chapter 372, Texas Local Government Code, as amended (the "PID Act") to create public improvement districts within the City and the extraterritorial jurisdiction ("ETY ); and WHEREAS, on October 20, 2020, a petition (the "Petition") was submitted and filed with the City Secretary (the "City Secretary") of the City meeting the requirements of the PID Act requesting the creation of a public improvement district within the ETJ of the City ; 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 District (defined below), as determined by the then current ad valorem tax rolls of Collin Central Appraisal District and the signatures of the property owners who own taxable real property that constitutes more than fifty percent of the area of all taxable property within the District that is liable for assessment; and WHEREAS, the City accepted the Petition and called a public hearing to consider the creation of the District and directed the City Secretary to publish and mail notice of such hearing as required by the PID Act; and WHEREAS, on December 8, 2020, after due notice, the City Council held a public hearing in the manner required by law on the advisability of the public improvements 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. 20-12-839 (the "Authorization Resolution") adopted by a majority of the members of the City Council, authorized and created the Sherley Tract Public Improvement District No. 2 (the "District") in accordance with its finding as to the advisability of the Authorized Improvements; and WHEREAS, the City published the Authorization Resolution as required by law; and WHEREAS, 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; and WHEREAS, on May 25, 2021, the City Council adopted a resolution determining total costs of certain authorized public improvements, approving a preliminary service and assessment plan, including proposed assessment rolls, and directing the publication and mailing of notice of a public hearing (the "Assessment Hearing") to consider an ordinance levying assessments on property within the District (the "Assessments"); and WHEREAS, the City Secretary filed the proposed Assessment Rolls (defined below) and made the same available for public inspection; and WHEREAS, the City Secretary, pursuant to Section 372.016(c) of the PID Act, mailed the notice of the Assessment Hearing to the last known address of the owners of the property liable for the Assessments; and WHEREAS, the City Secretary, pursuant to Section 372.016(b) of the PID Act, published notice of the Assessment Hearing on May 25, 2021 in the Herald-Democral, a newspaper of general circulation in the City and ETJ of the City; and WHEREAS, the City Council opened the Assessment Hearing on June 22, 2021 and continued said hearing until July 27, 2021; and WHEREAS, the City Council convened the Assessment Hearing on July 27, 2021, at which all persons who appeared, or requested to appear, in person or by their attorney, were given the opportunity to contend for or contest the Assessment Rolls, and the proposed Assessments, and to offer testimony pertinent to any issue presented on the amount of the Assessments, the allocation of the Actual Costs of the authorized public improvements to be undertaken for the benefit of property within the District (the "Authorized Improvements"), 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, the owners of 100% of the property subject to the proposed assessment within the District (the "Landowners") had actual knowledge of the Assessment Hearing to be held on July 27, 2021, and support the creation of the District and the levy of assessments against the property in accordance with the Service and Assessment Plan to finance the Authorized Improvements for benefit of the property within the District; and WHEREAS, the City Council finds and determines that the Assessment Rolls and the Sherley Tract Public Improvement District No. 2 Service and Assessment Plan, dated July 27, 2021 (the "Service and Assessment Plan"), attached as Exhibit A and incorporated as a part of this Ordinance for all purposes, should be approved and that the Assessments should be levied as provided in this Ordinance and the Service and Assessment Plan, including the Assessment Rolls attached thereto as Exhibit E-1 and F-1 (the "Assessment Rolls"); and 2 WHEREAS, the City Council further finds that there were no objections or evidence submitted to the City Secretary in opposition to the Service and Assessment Plan, the allocation of the Actual Costs of the Authorized Improvements as described in the Service and Assessment Plan, the Assessment Rolls, and the levy of the Assessments; and WHEREAS, at the Assessment Hearing, the Landowners, or their representatives, who are the persons to be assessed pursuant to this Ordinance, appeared in support of the levy of the Assessments against their property located within the District; and WHEREAS, the City Council closed the hearing, and, after considering 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 PID Act; and NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ANNA, TEXAS: Section 1. Terms. Terms not otherwise defined herein are defined in the Service and Assessment Plan. Section 2. Findings. The City Council hereby finds, determines, and ordains, as follows: (a) The recitals set forth in the WHEREAS clauses of this Ordinance are true and correct and are hereby incorporated by reference and made a part of this Ordinance for all purposes as if the same were restated in full in this Section and constitute findings of the City Council acting in its discretionary, legislative capacity; (b) All actions of the City in connection with the creation and establishment of the District and the approval of this Ordinance: (i) have been taken and performed in compliance with the PID Act and all other applicable laws, policies, and procedures; (ii) have been taken and performed in a regular, proper and valid manners; and (iii) are approved and ratified; (c) The apportionment of the Actual Costs of the Authorized Improvements, including specifically the Improvement Area #1 Improvements and the Major Improvements (as reflected in the Service and Assessment Plan, and the Annual Collection Costs pursuant to the Service and Assessment Plan) is fair and reasonable, reflects an accurate presentation of the special benefit each assessed Parcel will receive from the construction of the Authorized Improvements identified in the Service and Assessment Plan, and is hereby approved; 3 (d) The Service and Assessment Plan covers a period of at least five years and defines the annual indebtedness and projected costs for the Authorized Improvements; (e) The Service and Assessment Plan apportions the Actual Cost(s) of the Authorized Improvements to be assessed against the property in the District and such apportionment is made on the basis of special benefits accruing to the property because of the Authorized Improvements; (f) All of the Improvement Area #1 Assessed Property being assessed in the amounts shown on the Improvement Area #1 Assessment Roll will be benefited by the Improvement Area #1 Projects proposed to be constructed as described in the Service and Assessment Plan, and each assessed Parcel of Improvement Area #1 Assessed Property will receive special benefits equal to or greater than the total amount assessed for the Improvement Area #1 Projects; (g) All of the Major Improvement Area Assessed Property being assessed in the amounts shown on the Major Improvement Area Assessment Roll will be benefited by the Major Improvement Area Projects proposed to be constructed as described in the Service and Assessment Plan, and each. assessed Parcel of Major Improvement Area Assessed Property will receive special benefits equal to or greater than the total amount assessed for the Major Improvement Area Projects; (h) The method of apportionment of the Actual Costs of the Authorized Improvements and Annual Collection Costs set forth in the Service and Assessment Plan results in imposing equal shares of the Actual Costs of the Authorized Improvements and Annual Collection Costs on property similarly benefited, and results in a reasonable classification and formula for the apportionment of the Actual Costs; (i) The Service and Assessment Plan has been prepared on behalf of, presented to, and reviewed by the City Council and should be approved as the service plan and assessment plan for the District for all purposes as described in Sections 372.013 and 372.014 of the PID Act; 0) The Assessment Rolls should be approved as the Assessment Rolls for the District; (k) The provisions of the Service and Assessment Plan relating to due and delinquency dates for the Assessments, interest on Annual Installments, interest and penalties on delinquent Assessments and delinquent Annual Installments, and procedures in connection with the imposition and collection of Assessments should be approved and will expedite collection of the Assessments in a timely manner in order to provide the services and improvements needed and required for the area within the District; and (1) A written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public for the time required by law H preceding this meeting, as required by the Open Meetings Act, Chapter 551, Texas Government Code, as amended, and this meeting has been open to the public as required by law at all times during which this Ordinance and the subject matter hereof has been discussed, considered, and formally acted upon. Section 3. Service and Assessment Plan. The Service and Assessment Plan is hereby accepted and approved pursuant to Sections 372.013 and 372.014 of the PID Act as the service plan and the assessment plan relating to the Authorized Improvements for the District. The Service and Assessment Plan shall be updated by the City Council no less frequently than annually as required by the PID Act and more frequently as may be required by the Service and Assessment Plan including upon the issuance of PID Bonds. Section 4. Assessment Rolls. The Assessment Rolls are hereby accepted and approved pursuant to Section 372.016 of the PID Act as the Assessment Rolls of the District for all purposes. Section 5. Levy and Payment .of Assessments for .Costs of the Authorized Improvements. (a) The City Council hereby levies the Assessments on each Parcel of property (excluding Non-Benefitted Property) located within the District, as shown and described in the Service and Assessment Plan and the Assessment Rolls, in the respective amounts shown in the Service and Assessment Plan as a special assessment as set forth in the Assessment Rolls. (b) The levy of the Assessments shall be effective on the date of execution of this Ordinance levying Assessments and strictly in accordance with the terms of the Service and Assessment Plan and the PID Act. (c) The collection of the Assessments shall be as described in the Service and Assessment Plan and the PID Act. (d) Each Assessment may be prepaid in whole or in part at any time without penalty or may be paid in Annual Installments pursuant to the terms of the Service and Assessment Plan. (e) Each Assessment shall bear interest at the rate or rates specified in the Service and Assessment Plan. (f) Each Annual Installment shall be collected each year in the manner set forth in the Service and Assessment Plan. (g) The Annual Collection Costs for Assessed Property shall be calculated pursuant to the terms of the Service and Assessment Plan. 5 Section 6. Method of Assessment. The method of apportioning the Actual Costs of the Authorized Improvements and Annual Collection Costs are set forth in the Service and Assessment Plan. Section 7. Penalties and Interest on Delinquent Assessments. Delinquent Assessments shall be subject to the penalties, interest, procedures, and foreclosure sales set forth in the Service and Assessment Plan and as allowed by law. Section 8. Prepayments of Assessments. As provided in the Service and Assessment Plan, the owner of any Assessed Property may prepay the Assessments levied by this Ordinance. Section 9. Lien Priority. The City Council and the Landowners intend for the obligations, covenants and burdens on the Assessed Property, including without limitation such Landowners' obligations related to payment of the Assessments and the Annual Installments thereof, to constitute covenants that shall run with the land. The Assessments and the Annual Installments thereof which are levied hereby shall be binding upon the assessed parties, as the owners of Assessed Property, and their respective transferees, legal representatives, heirs, devisees, successors and assigns, regardless of whether such owners are named, 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. Assessments shall have lien priority as specified in the Service and Assessment Plan and the PID Act. Section 10. Applicability of Tax Code. To the extent not inconsistent with this Ordinance, and not inconsistent with the PID Act or the other laws governing public improvement districts, the provisions of the Texas Tax Code, as amended, shall be applicable to the imposition and collection of Assessments by the City. Section 11. Filing in Land Records. The City Secretary is directed to cause a copy of this Ordinance, including the Service and Assessment Plan and/or the Assessment Roll, to be recorded in the real property records of Collin County, Texas. The City Secretary is further directed to similarly file each Annual Service Plan Update approved by the City Council. Section 12. Severability. If any provision, section, subsection, sentence, clause, or phrase of this Ordinance, 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 Ordinance or the application to other persons or sets of circumstances shall not be affected thereby, it being the 0 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 or any other portion hereof, and all provisions of this ordinance are declared to be severable for that purpose. Section 13. Effective Date, This Ordinance shall take effect, and the levy of the Assessments, and the provisions and terms of the Service and Assessment Plan shall be and become effective upon passage and execution hereof. (Execution page follows.) 7 PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF ANNA, TEXAS, THIS 271h DAY OF JULY, 2021. ATTEST: Nate Pike, Mayor Carrie L. Land, City Secretary STATE OF TEXAS COUNTY OF COLLIN This instrument was acknowledged before me on the,:Q'Aday of , 2021 by Nate Pike, the Mayor, and Carrie L. Land, the City Secretary, of the City 6f Anna, Texas on behalf of said City. ''`tip` 12936•�� • h Q I "o e, Not4y Public, State of Texas S-1 EXHIBIT A Service and Assessment Plan EN Sherley Tract Public Improvement District No. 2 SERVICE AND ASSESSMENT PLAN JULY 27, 2021 TABLE OF CONTENTS Tableof Contents.......................................................................................................................... 2 Introduction..................................................................................................................................4 SectionI: Definitions..................................................................................................................... 5 SectionII: The District.................................................................................................................13 Section III: Authorized Improvements and Bond Issuance Costs.................................................13 SectionIV: Service Plan...............................................................................................................16 Section V: Assessment Plan.........................................................................................................16 Section VI: Terms of the Assessments......................................................................................... 21 Section VII: Assessment Roll....................................................................................................... 28 Section VIII: Additional Provisions............................................................................................... 28 Exhibits........................................................................................................................................ 30 Appendices.................................................................................................................................31 Exhibit A-1— Map of the District................................................................................................. 32 Exhibit A-2 — Map of Improvement Area #1 and the Major Improvement Area .........................33 ExhibitB — Project Costs.............................................................................................................. 34 ExhibitC — Service Plan............................................................................................................... 35 Exhibit D — Sources and Uses of Funds........................................................................................ 36 Exhibit E-1— Improvement Area #1 Assessment Roll.................................................................. 37 Exhibit E-2 — Improvement Area #1 Annual Installments............................................................ 38 Exhibit F-1— Major Improvement Area Assessment Roll............................................................ 39 Exhibit F-2 — Major Improvement Area Annual Installments......................................................40 Exhibit G-1— Maps of Improvement Area #1 Improvements......................................................41 Exhibit G-2 — Maps of Major Improvements...............................................................................45 Exhibit H — Maximum Assessment and Tax Rate Equivalent.......................................................49 Exhibit I —TIRZ No. 3 Annual Credit Amount by Lot Type............................................................50 Exhibit J — Form of Notice of PID Assessment Termination.........................................................51 Exhibit K-1— Debt Service Schedule for the Improvement Area #1 Bonds..................................54 Exhibit K-2 — Debt Service Schedule for the Major Improvement Area Bonds ............................57 Exhibit K-3 — Annual Installment Schedule for the Improvement Area #1 Reimbursement Obligation...................................................................................................................................60 SHERLEY TRACT PID NO. 2 2 SERVICE AND ASSESSMENT PLAN Exhibit L-1— District Legal Description........................................................................................ 61 Exhibit L-2 — Improvement Area #1 Legal Description................................................................ 66 Exhibit L-3 — Major Improvement Area Legal Description........................................................... 73 Appendix A — Engineer's Report..................................................................................................84 SHERLEY TRACT PID NO. 2 3 SERVICE AND ASSESSMENT PLAN INTRODUCTION Capitalized terms used in this Service and Assessment Plan shall have the meanings given to them in Section I unless otherwise defined in this Service and Assessment Plan or unless the context in which a term is used clearly requires a different meaning. Unless otherwise defined, a reference to a "Section," an "Exhibit," or an "Appendix" shall be a reference to a Section of this Service and Assessment Plan or an Exhibit or Appendix attached to and made a part of this Service and Assessment Plan for all purposes. On December 8, 2020, the City Council passed and approved Resolution No. 2020-12-839 authorizing the establishment of Sherley Tract Public Improvement District No. 2 in accordance with Chapter 372, Texas Local Government Code, which authorization was effective upon publication as required by the PID Act. The purpose of the District is to finance the Actual Costs of Authorized Improvements that confer a special benefit on approximately 289.751 acres located within the extraterritorial jurisdiction of the City (which is anticipated to be annexed upon the levy of the Assessments), as described by the legal description on Exhibit L-1 and depicted on Exhibit A-1. The PID Act requires a service plan covering a period of at least five years and defining the annual indebtedness and projected cost of the Authorized Improvements. The Service Plan is contained in Section IV. The PID Act requires that the Service Plan include an Assessment Plan that assesses the Actual Costs of the Authorized Improvements against the Assessed Property within the District based on the special benefits conferred on such property by the Authorized Improvements. The Assessment Plan is contained in Section V. The PID Act requires an Assessment Roll that states the Assessment against each Parcel determined by the method chosen by the City Council. The Assessment against each Parcel of Assessed Property must be sufficient to pay the share of the Actual Costs of the Authorized Improvements apportioned to such Parcel and cannot exceed the special benefit conferred on the Parcel by such Authorized Improvements. The Assessment Roll for Improvement Area #1 is included as Exhibit E-1. The Assessment Roll for the Major Improvement Area is included as Exhibit F-1. SHERLEY TRACT PID NO. 2 4 SERVICE AND ASSESSMENT PLAN SECTION I: DEFINITIONS "Actual Costs" mean with respect to Authorized Improvements, the actual costs paid or incurred by or on behalf of the Owner, including : (1) the costs incurred by or on behalf of the Owner (either directly or through affiliates) for the design, planning, financing, administration/management, acquisition, installation, construction and/or implementation of such Authorized Improvements; (2) the fees paid for obtaining permits, licenses, or other governmental approvals for such Authorized Improvements; (3) the costs incurred by or on behalf of the Owner for external professional costs, such as engineering, geotechnical, surveying, land planning, architectural landscapers, appraisals, legal, accounting, and similar professional services; (4) all labor, bonds, and materials, including equipment and fixtures, by contractors, builders, and materialmen in connection with the acquisition, construction, or implementation of the Authorized Improvements; (5) all related permitting and public approval expenses, architectural, engineering, and consulting fees, and governmental fees and charges. "Additional Interest" means the amount collected by application of the Additional Interest Rate. "Additional Interest Rate" means the 0.50% additional interest rate that may be charged on Assessments securing PID Bonds pursuant to Section 372.018 of the PID Act. The Additional Interest Rate is not charged on the portion of the Improvement Area #1 Assessment securing the Improvement Area #1 Reimbursement Obligation. "Administrator" means the City or independent firm designated by the City who shall have the responsibilities provided in this Service and Assessment Plan, the Indenture, or any other agreement or document approved by the City related to the duties and responsibilities of the administration of the District. The initial Administrator is P3Works, LLC. "Annual Collection Costs" mean the actual or budgeted costs and expenses related to the operation of the District, including, but not limited to, costs and expenses for: (1) the Administrator; (2) City staff; (3) legal counsel, engineers, accountants, financial advisors, and other consultants engaged by the City; (4) calculating, collecting, and maintaining records with respect to Assessments and Annual Installments; (5) preparing and maintaining records with respect to Assessment Rolls and Annual Service Plan Updates; (6) paying and redeeming PID Bonds; (7) investing or depositing Assessments and Annual Installments; (8) complying with this Service and Assessment Plan and the PID Act with respect to the PID Bonds, including the City's continuing disclosure requirements; and (9) the paying agent/registrar and Trustee in connection with PID Bonds, including their respective legal counsel. Annual Collection Costs collected but not expended in any year shall be carried forward and applied to reduce Annual Collection Costs for subsequent years. SHERLEY TRACT PID NO. 2 S SERVICE AND ASSESSMENT PLAN "Annual Installment" means the annual installment payment of an Assessment as calculated by the Administrator and approved by the City Council, that includes: (1) principal; (2) interest; (3) Annual Collection Costs; and (4) Additional Interest, if applicable. "Annual Service Plan Update" means an update to this Service and Assessment Plan prepared no less frequently than annually by the Administrator and approved by the City Council. "Assessed Property" means any Parcel within the District against which an Assessment is levied. "Assessment" means an assessment levied against a Parcel within the District, other than Non- Benefitted Property, and imposed pursuant to an Assessment Ordinance and the provisions herein, as shown on an Assessment Roll, subject to reallocation upon the subdivision of such Parcel or reduction according to the provisions herein and in the PID Act. "Assessment Ordinance" means an ordinance adopted by the City Council in accordance with the PID Act that levies an Assessment on Assessed Property within the District, as shown on any Assessment Roll. "Assessment Plan" means the methodology employed to assess the Actual Costs of the Authorized Improvements against the Assessed Property within the District based on the special benefits conferred on such property by the Authorized Improvements, more specifically set forth and described in Section V. "Assessment Roll" means any assessment roll for the Assessed Property within the District, including the Major Improvement Area Assessment Roll and the Improvement Area #1 Assessment Roll, as 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 any Annual Service Plan Update. "Authorized Improvements" means (1) the improvements authorized by Section 372.003 of the PID Act, as depicted on Exhibit G-1 and Exhibit G-2 and described in Section III; (2) Bond Issuance Costs, and (3) District Formation Costs. "Bond Issuance Costs" means the costs associated with issuing PID Bonds, including but not limited to attorney fees, financial advisory fees, consultant fees, appraisal fees, printing costs, publication costs, capitalized interest, reserve fund requirements, underwriter's discount, fees charged by the Texas Attorney General, and any other cost or expense incurred by the City directly associated with the issuance of any series of PID Bonds. "City" means the City of Anna, Texas. "City Council" means the governing body of the City. "County" means Collin County, Texas. SHERLEY TRACT PID NO. 2 6 SERVICE AND ASSESSMENT PLAN "Delinquent Collection Costs" mean costs related to the foreclosure on Assessed Property and the costs of collection of delinquent Assessments, delinquent Annual Installments, or any other delinquent amounts due under this Service and Assessment Plan including penalties and reasonable attorney's fees actually paid, but excluding amounts representing interest and penalty interest. "Development Agreement" means the Sherley Tract Subdivision Improvement Agreement adopted by the City under Resolution No. 2020-06-733 as thereafter may have been amended. "District" means Sherley Tract Public Improvement District No. 2 containing approximately 289.751 acres located within the extraterritorial jurisdiction of the City, and more specifically described in Exhibit L-1 and depicted on Exhibit A-1. The District is anticipated to be annexed into the corporate limits of the City upon the levy of Assessments. "District Formation Costs" means the costs associated with forming the District, including but not limited to, attorney fees, and any other cost or expense incurred by the City directly associated with the establishment of the District. "Engineer's Report" means a report provided by a licensed professional engineer that describes the Authorized Improvements, including their costs, location, and benefit, and is attached hereto as Appendix A. "Estimated Buildout Value" means the estimated value of an Assessed Property with fully constructed buildings, as provided by the Owner and confirmed by the City Council, by considering such factors as density, lot size, proximity to amenities, view premiums, location, market conditions, historical sales, builder contracts, discussions with homebuilders, reports from third party consultants, or any other factors that, in the judgment of the City, may impact value. The Estimated Buildout Value for a Lot is shown on Exhibit H. "Improvement Area #1" means approximately 109.402 acres located within the District, more specifically described in Exhibit L-2 and depicted on Exhibit A-2. "Improvement Area #1 Annual Installment" means the Annual Installment of the Improvement Area #1 Assessment as calculated by the Administrator and approved by the City Council, that includes: (1) principal; (2) interest; (3) Annual Collection Costs; and (4) Additional Interest, if applicable, which amount may be reduced by the TIRZ No. 3 Annual Credit Amount. "Improvement Area #1 Assessed Property" means any Parcel within Improvement Area #1 against which an Improvement Area #1 Assessment is levied. "Improvement Area #1 Assessment" means an Assessment levied against a Parcel within Improvement Area #1 and imposed pursuant to an Assessment Ordinance and the provisions SHERLEY TRACT PID NO. 2 SERVICE AND ASSESSMENT PLAN herein, as shown on the Improvement Area #1 Assessment Roll, subject to reallocation upon the subdivision of such Parcel or reduction according to the provisions herein and in the PID Act. "Improvement Area #1 Assessment Roll" means the Assessment Roll for the Improvement Area #1 Assessed Property, as updated, modified or amended from time to time in accordance with the procedures set forth herein and in the PID Act, including any updates prepared in connection with the issuance of PID Bonds or any Annual Service Plan Updates. The Improvement Area #1 Assessment Roll is included in this Service and Assessment Plan as Exhibit E-1. "Improvement Area #1 Bonds" means those certain "City of Anna, Texas, Special Assessment Revenue Bonds, Series 2021 (Sherley Tract Public Improvement District No. 2 Improvement Area #1 Project)" that are secured by Improvement Area #1 Assessments. "Improvement Area #1 Improvements" means the Authorized Improvements which only benefit the Improvement Area #1 Assessed Property, as further described in Section III.B and depicted on Exhibit G-1. "Improvement Area #1 Initial Parcel" means all of the Improvement Area #1 Assessed Property against which the entire Improvement Area #1 Assessment is levied, as shown on the Improvement Area #1 Assessment Roll. "Improvement Area #1 Projects" means collectively: (1) the pro rata portion of the Major Improvement costs allocable to Improvement Area #1; (2) the Improvement Area #1 Improvement costs; (3) the Annual Collection Costs related to the Improvement Area #1 Bonds; and (4) Bond Issuance Costs associated with the issuance of the Improvement Area #1 Bonds. "Improvement Area #1 Reimbursement Agreement" means that certain "Sherley Tract Public Improvement District No. 2 Improvement Area #1 Reimbursement Agreement" effective July 27, 2021, entered into by and between the City and Owner, whereby all or a portion of the Actual Costs not paid to the Owner from Improvement Area #1 Bonds will be paid to the Owner from Improvement Area #1 Assessments to reimburse the Owner for Actual Costs paid by the Owner, plus interest, that are eligible to be paid with Improvement Area #1 Assessments. "Improvement Area #1 Reimbursement Obligation" means an amount not to exceed $4,157,016 secured by Improvement Area #1 Assessments to be paid to the Owner pursuant to the Improvement Area #1 Reimbursement Agreement. The Annual Installments for the Improvement Area #1 Reimbursement Obligation are shown on Exhibit L-2. "Indenture" means an Indenture of Trust entered into between the City and the Trustee in connection with the issuance of each series of PID Bonds, as amended from time to time, between the City and the Trustee setting forth terms and conditions related to a series of PID Bonds. SHERLEY TRACT PID NO. 2 SERVICE AND ASSESSMENT PLAN "Lot" means (1) for any portion of the District for which a final subdivision plat has been recorded in the Official Public Records of the County, a tract of land described by "lot" in such subdivision plat; and (2) for any portion of the District for which a subdivision plat has not been recorded in the Plat or Official Public Records of the County, a tract of land anticipated to be described as a "Lot" in a final recorded subdivision plat as shown on a concept plan or a preliminary plat. A "Lot" shall not include real property owned by a government entity, even if such property is designated as a separate described tract or lot on a recorded subdivision plat. "Lot Type" means a classification of final building Lots with similar characteristics (e.g. lot size, home product, buildout value, etc.), as determined by the Administrator and confirmed by the City Council. In the case of single-family residential Lots, the Lot Type shall be further defined by classifying the residential Lots by the Estimated Buildout Value of the Lot as shown on Exhibit H. "Lot Type 1" means a Lot in Improvement Area #1 marketed to homebuilders as a 40' Lot. "Lot Type 2" means a Lot in Improvement Area #1 marketed to homebuilders as a 50' Lot. "Lot Type 3" means a Lot in Improvement Area #1 marketed to homebuilders as a 60' Lot. "Lot Type 4" means a Lot in Improvement Area #1 marketed to homebuilders as a Townhome Lot. "Major Improvement Area" means approximately 180.349 acres located within the District, and more specifically described in Exhibit L-3 and depicted on Exhibit A-2. The Major Improvement Area includes all of the District save and except Improvement Area #1. "Major Improvement Area Annual Installment" means the Annual Installment of the Major Improvement Area Assessment as calculated by the Administrator and approved by the City Council that includes: (1) principal; (2) interest; (3) Annual Collection Costs; and (4) Additional Interest. "Major Improvement Area Assessed Property" means any Parcel within the Major Improvement Area against which a Major Improvement Area Assessment is levied. "Major Improvement Area Assessment" means an Assessment levied against the Major Improvement Area Assessed Property and imposed pursuant to an Assessment Ordinance and the provisions herein, as shown on the Major Improvement Area Assessment Roll, subject to reallocation upon the subdivision of such Parcel or reduction according to the provisions herein and in the PID Act. "Major Improvement Area Assessment Roll" means the Assessment Roll for the Major Improvement Area Assessed Property within the District, as updated, modified or amended from time to time in accordance with the procedures set forth herein and in the PID Act, including any SHERLEY TRACT PID NO. 2 9 SERVICE AND ASSESSMENT PLAN Annual Service Plan Updates. The Major Improvement Area Assessment Roll is included in this Service and Assessment Plan as Exhibit F-1. "Major Improvement Area Bonds" means those certain "City of Anna, Texas, Special Assessment Revenue Bonds, Series 2021 (Sherley Tract Public Improvement District No. 2 Major Improvement Area Project)." "Major Improvement Area Initial Parcel" means all of the Major Improvement Area Assessed Property against which the entire Major Improvement Area Assessment is levied as shown on Major Improvement Area Assessment Roll. "Major Improvement Area Projects" means collectively: (1) the pro rata portion of the Major Improvement costs allocable to the Major Improvement Area; (2) the Annual Collection Costs related to the Major Improvement Area Bonds; and (3) Bond Issuance Costs associated with the issuance of the Major Improvement Area Bonds. "Major Improvements" means those Authorized Improvements that confer special benefit to all the Assessed Property within the District, and as further described in Section III.B. and depicted on Exhibit G-2. "Maximum Assessment" means for each Lot, an Assessment equal to the lesser of (1) the amount calculated pursuant to Section VI.A, or (2) for each Lot Type, the amount shown on Exhibit H. The Maximum Assessment shall be calculated at the time a final plat is recorded. "Non-Benefitted Property" means Parcels within the boundaries of the District that accrue no special benefit from the Authorized Improvements as determined by the City Council. "Notice of Assessment Termination" means a document that shall be recorded in the Official Public Records of the County the termination of an Assessment, a form of which is attached as Exhibit J. "Owner" means MM Anna 325, LLC and any successors or assigns thereof that intends to develop the property in the District for the ultimate purpose of transferring title to such property to end users. "Parcel" or "Parcels" means a specific property within the District identified by either a tax parcel identification number assigned by the Collin Central Appraisal District for real property tax purposes, by legal description, or by lot and block number in a final subdivision plat recorded in the Plat or Official Public Records of the County, or by any other means determined by the City. "PID Act" means Chapter 372, Texas Local Government Code, as amended. "PID Bonds" means any bonds issued by the City in one or more series and secured in whole or in part by Assessments. SHERLEY TRACT PID NO. 2 SERVICE AND ASSESSMENT PLAN "Prepayment" means the payment of all or a portion of an Assessment before the due date of the final Annual Installment thereof. Amounts received at the time of a Prepayment which represent a payment of principal, interest, or penalties on a delinquent installment of an Assessment are not to be considered a Prepayment, but rather are to be treated as the payment of the regularly scheduled Annual Installment. "Prepayment Costs" means interest, including Additional Interest and Annual Collection Costs to the date of Prepayment. "Service and Assessment Plan" means this Sherley Tract Public Improvement District No. 2 Service and Assessment Plan as updated, amended, or supplemented from time to time. "Service Plan" covers a period of at least five years and defines the annual indebtedness and projected costs of the Authorized Improvements, more specifically described in Section IV. "TIRZ No. 3" means the Tax Increment Reinvestment Zone Number Three, City of Anna, Texas. "TIRZ No. 3 Agreement" means the Tax Increment Reinvestment Zone No. 3, effective as of July 27, 2021. "TIRZ No. 3 Annual Credit Amount" is defined in Section V.F, which amount shall not annually exceed the TIRZ No. 3 Maximum Annual Credit Amount, and which shall be transferred from the TIRZ No. 3 Fund to the applicable pledged revenue fund pursuant to the TIRZ No. 3 Agreement. "TIRZ No. 3 PID Account" means an account of the TIRZ No. 3 Fund where the TIRZ No. 3 Revenues are deposited. "TIRZ No. 3 Project Plan" means the Tax Increment Reinvestment Zone Number Three, City of Anna, Texas Project and Financing Plan, dated July 27, 2021. "TIRZ No. 3 Fund" means the tax increment fund created pursuant to the TIRZ No. 3 Ordinance where TIRZ No. 3 Revenues are deposited annually. "TIRZ No. 3 Maximum Annual Credit Amount" means for each Lot Type in Improvement Area #1, the amount of TIRZ No. 3 Revenues that results in an equivalent tax rate of $0.7786 per $100 of assessed value for such Lot Type taking into consideration the tax rates of all applicable overlapping taxing units at the time PID Bonds are sold for Improvement Area #1, and the equivalent tax rate of the Improvement Area #1 Annual Installment, based on assumed buildout at the time the City Council approves the Assessment Ordinance levying the Improvement Area #1 Assessments. The assumed buildout values per projected Lot Type within Improvement Area #1 are shown on Exhibit I. The target tax rate equivalent for Lots within Improvement Area #1 is $0.7786 per $100 of assessed value. Based on the pricing of the bonds, the tax rate equivalent is approximately $0.6984 per $100 of assessed value which is less than the target tax rate. SHERLEY TRACT PID NO. 2 SERVICE AND ASSESSMENT PLAN 11 Therefore, the TIRZ No. 3 Maximum Annual Credit Amount per Unit for Lots within Improvement Area #1 is calculated at $0.00. "TIRZ No. 3 Ordinance" means Ordinance No. -2021 adopted by the City Council approving the TIRZ No. 3 Project Plan and authorizing the use of TIRZ No. 3 Revenues for project costs under the Chapter 311, Texas Tax Code as amended, and related to certain public improvements as provided for in the TIRZ No. 3 Project Plan. "TIRZ No. 3 Revenues" mean, for each year, the amounts which are deposited in the TIRZ No. 3 Fund pursuant to the TIRZ No. 3 Ordinance, TIRZ No. 3 Project Plan, and TIRZ No. 3 Agreement. "Trustee" means the trustee or successor trustee under an Indenture. SHERLEY TRACT PID NO. 2 12 SERVICE AND ASSESSMENT PLAN SECTION II: THE DISTRICT The District includes approximately 289.751 contiguous acres located within the extraterritorial jurisdiction of the City, the boundaries of which are more particularly described by the legal description on Exhibit L-1 and depicted on Exhibit A-1. Development of the District is anticipated to include approximately 911 Lots developed with single-family homes. It is anticipated that the District will be annexed into the corporate limits of the City in accordance with Article IX of the Development Agreement. Improvement Area #1 includes approximately 109.402 contiguous acres located within the extraterritorial jurisdiction of the City, the boundaries of which are more particularly described by the legal description on Exhibit L-2 and depicted on ExhibitA-2. Development of Improvement Area #1 is anticipated to include approximately 499 Lots developed with single-family homes (69 single-family homes that are Lot Type 1, 340 single-family homes that are Lot Type 2, 18 single- family homes that are Lot Type 3, and 72 single-family homes that are Lot Type 4.) The Major Improvement Area includes approximately 180.349 contiguous acres located within the extraterritorial jurisdiction of the City, the boundaries of which are more particularly described by the legal description on Exhibit L-3 and depicted on Exhibit A-2. Development of the Major Improvement Area is anticipated to include approximately 412 Lots developed with single-family homes. SECTION III: AUTHORIZED IMPROVEMENTS AND BOND ISSUANCE COSTS The City, based on information provided by the Owner and its engineer and reviewed by the City staff and by third -party consultants retained by the City, has determined that the Authorized Improvements confer a special benefit on the Assessed Property. Authorized Improvements will be designed and constructed in accordance with the City's standards and specifications and will be owned and operated by the City. The budget for the Authorized Improvements is shown on Exhibit B-1. The allocation of the Authorized Improvements is shown on Exhibit B-2. A. Improvement Area #1 Improvements ■ Water Improvements including trench excavation and embedment, trench safety, PVC piping, manholes, service connections, testing, related earthwork, excavation, erosion control, and all necessary appurtenances required to provide water service to all Lots within Improvement Area #1. SHERLEY TRACT PID NO. 2 13 SERVICE AND ASSESSMENT PLAN ■ Sanitary Sewer Improvements including trench excavation and embedment, trench safety, PVC piping, ductile iron encasement, boring, manholes, service connections, testing, related earthwork, excavation, erosion control and all necessary appurtenances required to provide wastewater service to all Lots within Improvement Area #1. ■ Storm Drainage Improvements including earthen channels, swales, curb and drop inlets, RCP piping and boxes, headwalls, concrete flumes, rock rip rap, concrete outfalls, and testing as well as all related earthwork, excavation, erosion control and all necessary appurtenances required to provide storm drainage for all Lots within Improvement Area #1. ■ Street Improvements including subgrade stabilization, concrete and reinforcing steel for roadways, testing, and barrier -free ramps. All related earthwork, excavation, erosion control, retaining walls, intersections, and re -vegetation of all disturbed areas within the right-of-way are included. The street improvements will provide benefit to each Lot within Improvement Area #1. ■ Soft Costs Costs related to designing, constructing, and installing the Improvement Area #1 Improvements including land planning and design, City fees, engineering, soil testing, survey, construction management, contingency, District Formation Costs, legal costs, consultants, and costs associated with financing the Improvement Area #1 Improvements. B. Major Improvements Improvements including trench excavation and embedment, trench safety, PVC piping, manholes, service connections, testing, related earthwork, excavation, erosion control and all necessary appurtenances required to provide water service to all Lots within the District. ■ Sanitary Sewer Improvements including trench excavation and embedment, trench safety, PVC piping, ductile iron encasement, boring, manholes, service connections, testing, related earthwork, excavation, erosion control and all necessary appurtenances required to provide wastewater service to all Lots within the District. SHERLEY TRACT PID NO. 2 14 SERVICE AND ASSESSMENT PLAN ■ Storm Drainage Improvements including earthen channels, swales, curb and drop inlets, RCP piping and boxes, headwalls, concrete flumes, rock rip rap, concrete outfalls, and testing as well as all related earthwork, excavation, erosion control and all necessary appurtenances required to provide storm drainage for all Lots within the District. ■ Street Improvements including subgrade stabilization, concrete and reinforcing steel for roadways, testing, and barrier -free ramps. All related earthwork, excavation, erosion control, retaining walls, intersections, and re -vegetation of all disturbed areas within the right-of-way are included. The street improvements will provide benefit to each Lot within the District. (to be confirmed by the developer) ■ Soft Costs Costs related to designing, constructing, and installing the Major Improvements including land planning and design, City fees, engineering, soil testing, survey, construction management, contingency, District Formation Costs, legal fees, consultants, and costs associated with financing the Major Improvements. (to be confirmed by the developer) C. Bond Issuance Costs ■ Debt Service Reserve Fund Equals the amount to be deposited in a debt service reserve fund under an applicable Indenture in connection with the issuance of PID Bonds. ■ Capitalized Interest Equals the amount required to be deposited for the purpose of paying capitalized interest under an applicable Indenture in connection with the issuance of PID Bonds. ■ Underwriter's Discount Equals a percentage of the par amount of a particular series of PID Bonds related to the costs of underwriting such PID Bonds. ■ Underwriter's Counsel Equals a percentage of the par amount of a particular series of PID Bonds reserved for the underwriter's attorney fees. SHERLEY TRACT PID NO. 2 15 SERVICE AND ASSESSMENT PLAN ■ Cost of Issuance Includes costs of issuing a particular series of PID Bonds, including but not limited to issuer fees, attorney fees, financial advisory fees, consultant fees, appraisal fees, printing costs, publication costs, City costs, fees charged by the Texas Attorney General, and any other cost or expense directly associated with the issuance of PID Bonds. D. Other Costs ■ Deposit to Administrative Fund Equals the amount necessary to fund the first year's Annual Collection Costs for a particular series of PID Bonds. SECTION IV: SERVICE PLAN The PID Act requires the Service Plan to cover a period of at least five years. The Service Plan is required to define the annual projected costs and indebtedness for the Authorized Improvements undertaken within the District during the five-year period. The Service Plan must be reviewed and updated in each Annual Service Plan Update. Exhibit C summarizes the initial Service Plan for the District. Exhibit D summarizes the sources and uses of funds required to construct the Authorized Improvements. The sources and uses of funds shown on Exhibit D shall be updated in the Annual Service Plan Update. SECTION V: ASSESSMENT PLAN The PID Act allows the City Council to apportion the costs of the Authorized Improvements to the Assessed Property based on the special benefit received from the Authorized Improvements. The PID Act provides that such costs may be apportioned: (1) equally per front foot or square foot; (2) according to the value of property as determined by the City, with or without regard to improvements constructed on the property; or (3) in any other manner approved by the City that results in imposing equal shares of such costs on property similarly benefited. The PID Act further provides that the governing body may establish by ordinance or order reasonable classifications and formulas for the apportionment of the cost between the City and the area to be assessed and the methods of assessing the special benefits for various classes of improvements. This section of this Service and Assessment Plan describes the special benefit received by each Parcel within the District as a result of the Authorized Improvements and provides the basis and SHERLEY TRACT PID NO. 2 16 SERVICE AND ASSESSMENT PLAN justification for the determination that this special benefit equals or exceeds the amount of the Assessments to be levied on the Assessed Property for such Authorized Improvements. The determination by the City Council of the assessment methodologies set forth below is the result of the discretionary exercise by the City Council of its legislative authority and governmental powers and is conclusive and binding on the Owner and all future Owners and developers of the Assessed Property. A. Assessment Methodology The City Council, acting in its legislative capacity based on information provided by the Owner and its engineer and reviewed by the City staff and by third -party consultants retained by the City, has determined that the costs related to the Authorized Improvements shall be allocated as follows: ■ The costs of the Major Improvement Area Projects shall be allocated 100% to the Major Improvement Area Assessed Property based on the ratio of the Estimated Buildout Value of each Lot Type designated within the Major Improvement Area Assessed Property to the Estimated Buildout Value of all Major Improvement Area Assessed Property. The Major Improvement Area Initial Parcel is the only Parcel within the Major Improvement Area, and as such, the Major Improvement Area Initial Parcel is allocated 100% of the Major Improvement Area Projects. ■ The costs of the Improvement Area #1 Projects shall be allocated 100% to Improvement Area #1 Assessed Property based on the ratio of the Estimated Buildout Value of each Lot Type designated as Improvement Area #1 Assessed Property to the Estimated Buildout Value of all Improvement Area #1 Assessed Property. Currently, the Improvement Area #1 Initial Parcel is the only Parcel within Improvement Area #1, and as such, the Improvement Area #1 Initial Parcel is allocated 100% of the Improvement Area #1 Projects. B. Assessments The Improvement Area #1 Assessment will be levied on the Improvement Area #1 Initial Parcel in the amount shown on the Improvement Area #1 Assessment Roll, attached hereto as Exhibit E-1. The projected Improvement Area #1 Annual Installments are shown on Exhibit E-2. Upon division or subdivision of the Improvement Area #1 Initial Parcel, the Improvement Area #1 Assessment will be reallocated pursuant to Section VI. The Major Improvement Area Assessment will be levied on the Major Improvement Area Initial Parcel in the amount shown on the Major Improvement Area Assessment Roll, attached hereto as Exhibit F-1. The projected Major Improvement Area Annual Installments are shown on Exhibit SHERLEY TRACT PID NO. 2 17 SERVICE AND ASSESSMENT PLAN F-2. Upon division or subdivision of the Major Improvement Area Initial Parcel, the Major Improvement Area Assessment will be reallocated pursuant to Section VI. The Maximum Assessment for each Lot Type within Improvement Area #1 is shown on Exhibit H. In no case will the Assessment for Lots classified as Lot Type 1, Lot Type 2, Lot Type 3, and Lot Type 4 respectively, exceed the corresponding Maximum Assessment for each Lot classification. C. Findings of Special Benefit The City Council, acting in its legislative capacity based on information provided by the Owner and its engineer and reviewed by the City staff and by third -party consultants retained by the City, has found and determined: ■ Improvement Area #1 ■ The costs of the Improvement Area #1 Projects equal $13,536,546 as shown on Exhibit B-1; ■ The Improvement Area #1 Assessed Property receives special benefit from the Improvement Area #1 Projects equal to or greater than the Actual Cost of the Improvement Area #1 Projects; ■ The Improvement Area #1 Initial Parcel will be allocated 100% of the Improvement Area #1 Assessment levied for the Improvement Area #1 Projects, which equals $13,536,546 as shown on the Improvement Area #1 Assessment Roll attached hereto as Exhibit E-1; ■ The special benefit ( >_ $13,536,546) received by the Improvement Area #1 Initial Parcel from the Improvement Area #1 Projects is equal to or greater than the amount of the Improvement Area #1 Assessment ($13,536,546) levied on the Improvement Area #1 Initial Parcel for the Improvement Area #1 Projects; and ■ At the time the City Council approved the Service and Assessment Plan, the Owner owned 100% of the Improvement Area #1 Initial Parcel. The Owner acknowledged that the Improvement Area #1 Projects confer a special benefit on the Improvement Area #1 Initial Parcel and consented to the imposition of the Improvement Area #1 Assessment to pay for the Actual Costs associated therewith. The Owner ratified, confirmed, accepted, agreed to, and approved: (1) the determinations and findings by the City Council as to the special benefits described herein and the applicable Assessment Ordinance; (2) the Service and Assessment Plan and the applicable Assessment Ordinance; and (3) the levying of the Improvement Area #1 Assessment on the Improvement Area #1 Initial Parcel. SHERLEY TRACT PID NO. 2 18 SERVICE AND ASSESSMENT PLAN ■ Major Improvement Area ■ The costs of the Major Improvement Area Projects equal $3,069,081, as shown on Exhibit B-1; ■ The Major Improvement Area Assessed Property receives special benefit from the Major Improvement Area Projects equal to or greater than the Actual Cost of the Major Improvement Area Projects; ■ The Major Improvement Area Initial Parcel will be allocated 100% of the Major Improvement Area Assessment levied for the Major Improvement Area Projects, which equals $2,896,000 as shown on the Major Improvement Area Assessment Roll attached hereto as Exhibit F-1; ■ The special benefit (>_ $3,069,081) received by the Major Improvement Area Initial Parcel from the Major Improvement Area Projects is greater than or equal to the amount of the Major Improvement Area Assessment ($2,896,000) levied on the Major Improvement Area Initial Parcel for the Major Improvement Area Projects; and ■ At the time the City Council approved the Service and Assessment Plan, the Owner owned 100% of the Major Improvement Area Initial Parcel. The Owner acknowledged that the Major Improvement Area Projects confer a special benefit on the Major Improvement Area Initial Parcel and consented to the imposition of the Major Improvement Area Assessments to pay for the Actual Costs associated therewith. The Owner has ratified, confirmed, accepted, agreed to, and approved: (1) the determinations and findings by the City Council as to the special benefits described herein and the applicable Assessment Ordinance; (2) the Service and Assessment Plan and the applicable Assessment Ordinance; and (3) the levying of Major Improvement Area Assessment on the Major Improvement Area Initial Parcel. D. Annual Collection Costs The Annual Collection Costs shall be paid for annually by the owner of each Parcel pro rata based on the ratio of the amount of outstanding Assessment remaining on the Parcel to the total outstanding Assessment. The Annual Collection Costs shall be collected as part of and in the same manner as Annual Installments in the amounts shown on the Assessment Roll, which may be revised based on actual costs incurred in Annual Service Plan Updates. SHERLEY TRACT PID NO. 2 19 SERVICE AND ASSESSMENT PLAN E. Additional Interest The interest rate on Assessments securing PID Bonds may exceed the interest rate on the PID Bonds by the Additional Interest Rate. To the extent required by any Indenture, Additional Interest shall be collected as part of each Annual Installment and shall be deposited pursuant to the applicable Indenture. The interest on the Improvement Area #1 Assessment securing the Improvement Area #1 Reimbursement Obligation shall be collected at rates established under the Improvement Area #1 Reimbursement Agreement as part of the Improvement Area #1 Annual Installment pursuant to the Improvement Area #1 Reimbursement Agreement. F. TIRZ No. 3 Annual Credit Amount The City Council, in accordance with the TIRZ No. 3 Agreement, has agreed to use a portion of TIRZ No. 3 Revenues generated (the "TIRZ No. 3 Annual Credit Amount") from each Assessed Property to offset a portion of such property's Improvement Area #1 Assessment, as applicable. 1. The Improvement Area #1 Annual Installment for an Assessed Property shall receive a TIRZ No. 3 Annual Credit Amount equal to the TIRZ No. 3 Revenue generated by the Assessed Property for the previous Tax Year (e.g. TIRZ No. 3 Revenue collected from the Assessed Property for Tax Year 2021 shall be applied as the TIRZ No. 3 Annual Credit Amount applicable to the Assessed Property's Improvement Area #1 Annual Installment to be collected in Tax Year 2022), but in no event shall the TIRZ No. 3 Annual Credit Amount exceed the TIRZ No. 3 Maximum Annual Credit Amount shown in Section V.F.2 as calculated on Exhibit I for each Assessed Property. 2. The TIRZ No. 3 Maximum Annual Credit Amount available to reduce the principal and interest of the Improvement Area #1 Annual Installment for an Assessed Property is calculated for each Lot Type, as shown on Exhibit I. The TIRZ No. 3 Maximum Annual Credit Amount is calculated so that the average Improvement Area #1 Annual Installment minus the TIRZ No. 3 Maximum Annual Credit Amount for each Lot Type does not produce an equivalent tax rate for such Lot Type which exceeds the competitive, composite equivalent ad valorem tax rate ($3.09 per $100 of assessed value) taking into consideration the 2020 tax rates of all applicable overlapping taxing units and the equivalent tax rate of the Improvement Area #1 Annual Installments based on assumed buildout values at the time Assessment Ordinance is approved. The resulting maximum TIRZ No. 3 Annual Credit Amount for each Lot Type is shown below: Lot Type 1: $0.00 ii. Lot Type 2: $0.00 SHERLEY TRACT PID NO. 2 20 SERVICE AND ASSESSMENT PLAN iii. Lot Type 3: $0.00 iv. Lot Type 4: $0.00 The target tax rate equivalent for Lots within Improvement Area #1 is $0.7786 per $100 of assessed value. Based on the pricing of the bonds, the tax rate equivalent is approximately per $100 of assessed value which is less than the target tax rate. Therefore, the TIRZ No. 3 Maximum Annual Credit Amount per Unit for Lots within Improvement Area #1 is calculated at $0.00. 3. After the TIRZ No. 3 Annual Credit Amount is applied to provide a credit towards the principal and interest portion of the Improvement Area #1 Annual Installment for the Assessed Property in Improvement Area #1, any excess TIRZ No. 3 Revenues available from the TIRZ No. 3 PID Account shall be held in a segregated account by the City and shall be used in accordance with the TIRZ No. 3 Final Plan and the TIRZ No. 3 Agreement. SECTION VI: TERMS OF THE ASSESSMENTS A. Reallocation of Assessments 1. Upon Division Prior to Recording of Subdivision Plat Upon the division of any Assessed Property (without the recording of subdivision plat), the Administrator shall reallocate the Assessment for the Assessed Property prior to the division among the newly divided Assessed Properties according to the following formula: A=Bx(C=D) Where the terms have the following meanings: A = the Assessment for the newly divided Assessed Property B = the Assessment for the Assessed Property prior to division C = the Estimated Buildout Value of the newly divided Assessed Property D = the sum of the Estimated Buildout Value for all of the newly divided Assessed Properties The calculation of the Assessment of an Assessed Property shall be performed by the Administrator and shall be based on the Estimated Buildout Value of that Assessed Property, relying on information from homebuilders, market studies, appraisals, Official Public Records of the County, and any other relevant information regarding the Assessed Property, as provided by the Owner. The Estimated Buildout Value for Lot Type 1, Lot Type 2, Lot Type 3, and Lot Type 4 are shown on Exhibit H and will not changes in future E SHERLEY TRACT PID NO. 2 21 SERVICE AND ASSESSMENT PLAN Annual Service Plan Updates. The calculation as confirmed by the City Council shall be conclusive. The sum of the Assessments for all newly divided Assessed Properties shall equal the Assessment for the Assessed Property prior to subdivision. The calculation shall be made separately for each newly divided Assessed Property. The reallocation of an Assessment for an Assessed Property that is a homestead under Texas law may not exceed the Assessment prior to the reallocation. Any reallocation pursuant to this section shall be reflected in the next Annual Service Plan Update and approved by the City Council. 2. Upon Subdivision by a Recorded Subdivision Plat Upon the subdivision of any Assessed Property based on a recorded subdivision plat, the Administrator shall reallocate the Assessment for the Assessed Property prior to the subdivision among the new subdivided Lots based on Estimated Buildout Value according to the following formula: A = [B x (C - WYE Where the terms have the following meanings: A = the Assessment for the newly subdivided Lot B = the Assessment for the Parcel prior to subdivision C = the sum of the Estimated Buildout Value of all newly subdivided Lots with same Lot Type D = the sum of the Estimated Buildout Value for all of the newly subdivided Lots excluding Non-Benefitted Property E= the number of newly subdivided Lots with same Lot Type Prior to the recording of a subdivision plat, the Owner shall provide the City an Estimated Buildout Value for each Lot to be create after recording the subdivision plat as of the date of the subdivision plat is anticipated to be recorded. The calculation of the Assessment for a Lot shall be performed by the Administrator and confirmed by the City Council based on Estimated Buildout Value information provided by the Owner, homebuilders, third party consultants, and/or the Official Public Records of the County regarding the Lot. The Estimated Buildout Value for Lot Type 1, Lot Type 2, Lot Type 3, and Lot Type 4 are shown on Exhibit H and will not changes in future Annual Service Plan Updates. The sum of the Assessments for all newly subdivided Lots shall not exceed the Assessment for the portion of the Assessed Property subdivided prior to subdivision. The calculation shall be made separately for each newly subdivided Assessed Property. The reallocation of an Assessment for an Assessed Property that is a homestead under Texas law may not SHERLEY TRACT PID NO. 2 22 SERVICE AND ASSESSMENT PLAN exceed the Assessment prior to the reallocation. Any reallocation pursuant to this section shall be reflected in the next Annual Service Plan Update and approved by the City Council. 3. Upon Consolidation If two or more Lots or Parcels are consolidated into a single Parcel or Lot, the Administrator shall allocate the Assessments against the Lots or Parcels before the consolidation to the consolidated Lot or Parcel, which allocation shall be reflected in the next Annual Service Plan Update and approved by the City Council. The Assessment for any resulting Lot may not exceed the Maximum Assessment for the applicable Lot Type and compliance may require a mandatory Prepayment of Assessments pursuant to Section VI.C. B. Mandatory Prepayment of Assessments If an Assessed Property or a portion thereof is conveyed to a party that is exempt from payment of the Assessment under applicable law, or the owner causes a Lot, Parcel or portion thereof to become Non-Benefitted Property, the owner of such Lot, Parcel or portion there of shall pay to the City the full amount of the Assessment, plus all Prepayment Costs and Delinquent Collection Costs for such Assessed Property, prior to any such conveyance or act. Following payment of the foregoing costs in full, the City shall provide the owner with a recordable "Notice of PID Assessment Termination," a form of which is attached hereto as Exhibit J. C. True -Up of Assessments if Maximum Assessment Exceeded at Plat Prior to the City approving a final subdivision plat, the Administrator will certify that such plat will not result in the Assessment per Lot for any Lot Type to exceed the Maximum Assessment. If the Administrator determines that the resulting Assessment per Lot for any Lot Type will exceed the Maximum Assessment for that Lot Type, then (1) the Assessment applicable to each Lot Type shall each be reduced to the Maximum Assessment, and (2) the person or entity filing the plat shall pay to the City the amount the Assessment was reduced, plus Prepayment Costs and Delinquent Collection Costs, if any, prior to the City approving the final plat. The City's approval of a plat without payment of such amounts does not eliminate the obligation of the person or entity filing the plat to pay such amounts. D. Reduction of Assessments If as a result of cost savings or the failure to construct all or a portion of an Authorized Improvement, the Actual Costs of completed Authorized Improvements are less than the Assessments, (i) in the event PID Bonds are not issued, the City Council shall reduce each Assessment on a pro rata basis such that the sum of the resulting reduced Assessments for all SHERLEY TRACT PID NO. 2 23 SERVICE AND ASSESSMENT PLAN Assessed Property equals the reduced Actual Costs that were expended, or (ii) in the event that PID Bonds are issued, the Trustee shall apply amounts on deposit in the applicable account of the Project Fund, relating to the PID Bonds, that are not expected to be used for purposes of the Project Fund to redeem outstanding PID Bonds, unless otherwise directed by the applicable Indenture, and the TIRZ No. 3 Annual Credit Amount will be reduced in the same proportion as the Assessments. Excess PID Bond proceeds shall be applied to redeem outstanding PID Bonds. The Assessments shall not, however, be reduced to an amount less than the amount required to pay all debt service requirements on all outstanding PID Bonds. The Administrator shall update (and submit to the City Council for review and approval as part of the next Annual Service Plan Update) the Assessment Roll and corresponding Annual Installments to reflect the reduced Assessments. E. Prepayment of Assessments The owner of any Assessed Property may pay, at any time, all or any part of an Assessment in accordance with the PID Act. Prepayment Costs, if any, may be paid from a reserve established under the applicable Indenture. If an Annual Installment has been billed, or the Annual Service Plan Update has been approved by City Council prior to the Prepayment, the Annual Installment shall be due and payable and shall be credited against the Prepayment. If an Assessment on as Assessed Property is prepaid in full, with Prepayment Costs, (1) the Administrator shall cause the Assessment to be reduced to zero on said Assessed Property and the Assessment Roll to be revised accordingly; (2) the Administrator shall prepare the revised Assessment Roll and submit such revised Assessment Roll to the City Council for review and approval as part of the next Annual Service Plan Update; (3) the obligation to pay the Assessment and corresponding Annual Installments shall terminate with respect to said Assessed Property; and (4) the City shall provide the owner with a recordable "Notice of PID Assessment Termination." If an Assessment on an Assessed Property is prepaid in part, with Prepayment Costs: (1) the Administrator shall cause the Assessment to be reduced on said Assessed Property and the Assessment Roll revised accordingly; (2) the Administrator shall prepare the revised Assessment Roll and submit to the City Council for review and approval as part of the next Annual Service Plan Update; and (3) the obligation to pay the Assessment will be reduced to the extent of the Prepayment made. For purposes of Prepayments, the Improvement Area #1 Reimbursement Obligation is and will remain subordinated to (i) the Improvement Area #1 Bonds and (ii) any additional PID Bonds secured by a parity lien on the Improvement Area #1 Assessments issued to refinance all or a portion of the Improvement Area #1 Reimbursement Obligation. For purposes of Prepayments, SHERLEY TRACT PID NO. 2 24 SERVICE AND ASSESSMENT PLAN additional PID Bonds issued to refinance all or a portion of the Improvement Area #1 Reimbursement Obligation will be on parity with the Improvement Area #1 Bonds. F. Payment of Assessment in Annual Installments Assessments that are not paid in full shall be due and payable in Annual Installments. Exhibit E-2 shows the estimated Improvement Area #1 Annual Installments, and Exhibit F-2 shows the estimated Major Improvement Area Annual Installments. Annual Installments are subject to adjustment in each Annual Service Plan Update. Prior to the recording of a final subdivision plat, if any Parcel shown on the Assessment Roll is assigned multiple tax parcel identification numbers for billing and collection purposes, the Annual Installment shall be allocated pro rata based on the acreage of the property not including any Non-Benefitted Property or non -assessed property, as shown by the Collin Central Appraisal District for each tax parcel identification number. The Administrator shall prepare and submit to the City Council for its review and approval an Annual Service Plan Update to allow for the billing and collection of Annual Installments. Each Annual Service Plan Update shall include updated Assessment Rolls and updated calculations of Annual Installments. The Annual Collection Costs for a given Assessment shall be paid by the owner of each Parcel pro rata based on the ratio of the amount of outstanding Assessment remaining on the Parcel to the total outstanding Assessment. Annual Installments shall be reduced by any credits applied under an applicable Indenture, such as capitalized interest, interest earnings on account balances, and any other funds available to the Trustee for such purposes. Annual Installments shall be collected by the City 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 and in the same manner as ad valorem taxes due and owing to the City. The City Council may provide for other means of collecting Annual Installments. Assessments shall have the lien priority specified in the PID Act. Sales of the Assessed Property for nonpayment of Annual Installments shall be subject to the lien for the remaining unpaid Annual Installments against the Assessed Property, and the Assessed Property may again be sold at a judicial foreclosure sale if the purchaser fails to timely pay any of the remaining unpaid Annual Installments as they become due and payable. The City reserves the right to refund PID Bonds in accordance with applicable law, including the PID Act. In the event of a refunding, the Administrator shall recalculate the Annual Installments so that total Annual Installments will be sufficient to pay the refunding bonds, and the refunding bonds shall constitute "PID Bonds." SHERLEY TRACT PID NO. 2 25 SERVICE AND ASSESSMENT PLAN Each Annual Installment of an Assessment, including interest on the unpaid principal of the Assessment, shall be updated annually. Each Annual Installment shall be due when billed and shall be delinquent if not paid prior to February 1 of the following year. The initial Annual Installments shall be due when billed and shall be delinquent if not paid prior to February 1, 2022. Failure of an owner of an Assessed Property to receive an invoice for an Annual Installment on the property tax bill shall not relieve said owner of the responsibility for payment of the Assessment. Assessments, or Annual Installments thereof, that are delinquent shall incur Delinquent Collection Costs. The City may provide for other means of collecting the Annual Installments to the extent permitted by the PID Act, or other applicable law. G. Allocating Improvement Area #1 Annual Installments Any amounts collected from the Improvement Area #1 Annual Installments paid by the owner of Improvement Area #1 Assessed Property shall be allocated, first on a pro rata basis to amounts due for the Improvement Area #1 Bonds including any amounts due for Additional Interest and Annual Collection Costs, and second to amounts due the Improvement Area #1 Reimbursement Obligation. For example, if the owner of a Parcel owes an Improvement Area #1 Annual Installment of $1,000, of which $500 is due for the Improvement Area #1 Bonds and $500 is due for the Improvement Area #1 Reimbursement Obligation, then: ■ If a partial Annual Installment of $250 is made, $250 shall be credited to the payment of Improvement Area #1 Bonds and $0 shall be credited to the Improvement Area #1 Reimbursement Obligation. ■ If a partial Annual Installment of $500 is made, $500 shall be credited to the payment of Improvement Area #1 Bonds and $0 shall be credited to the Improvement Area #1 Reimbursement Obligation. ■ If a partial Annual Installment of $750 is made, $500 shall be credited to the payment of Improvement Area #1 Bonds, and $250 shall be credited to the Improvement Area #1 Reimbursement Obligation. With regard to the payment of Annual Installments, the Improvement Area #1 Reimbursement Obligation will remain subordinated to (i) the Improvement Area #1 Bonds and (ii) any additional PID Bonds secured by a parity lien on the Improvement Area #1 Assessments issued to refinance all or a portion of the Improvement Area #1 Reimbursement Obligation. With regard to the payment of Annual Installments, additional PID Bonds issued to refinance all or a portion of the Improvement Area #1 Reimbursement Obligation will be on parity with the Improvement Area #1 Bonds. SHERLEY TRACT PID NO. 2 26 SERVICE AND ASSESSMENT PLAN H. Prepayment as a Result of an Eminent Domain Proceeding or Taking Subject to applicable law, if any portion of any Parcel of Assessed Property is taken from an 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 of the Remaining Property 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 Assessment applicable to the Remaining Property after any required Prepayment as set forth below. Notwithstanding the foregoing, if the Assessment that remains due on the Remaining Property exceeds the applicable Maximum Assessment, the owner of the Remaining Property will be required to make a Prepayment in an amount necessary to ensure that the Assessment against the Remaining Property does not exceed such Maximum Assessment, in which case the Assessment applicable to the Remaining Property will be reduced by the amount of the partial Prepayment. If the City receives all or a portion of the eminent domain proceeds (or payment made in an agreed sale in lieu of condemnation), such amount shall be credited against the amount of prepayment, with any remainder credited against the assessment on the Remainder Property. In all instances the Assessment remaining on the Remaining Property shall not exceed the applicable Maximum Assessment. 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 (provided that this $100 Assessment does not exceed the Maximum Assessment on the Remaining Property). If the Administrator determines that the $100 Assessment reallocated to the Remaining Property would exceed the Maximum Assessment, as applicable, on the Remaining Property by $10, then the owner shall be required SHERLEY TRACT PID NO. 2 27 SERVICE AND ASSESSMENT PLAN to pay $10 as a Prepayment of the Assessment against the Remaining Property and the Assessment on the Remaining Property shall be adjusted to be $90. Notwithstanding the previous paragraphs in this subsection, if the owner of the Taken Property 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 to the applicable Maximum Assessment on the Remaining Property to support the Estimated Buildout Value requirement. Said 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 never be reduced to an amount less than the amount required to pay all outstanding debt service requirements on all outstanding PID Bonds. SECTION VII: ASSESSMENT ROLL The Improvement Area #1 Assessment Roll is attached as Exhibit E-1. The Administrator shall prepare and submit to the City Council for review and approval proposed revisions to the Improvement Area #1 Assessment Roll and Improvement Area #1 Annual Installments for each Parcel as part of each Annual Service Plan Update. The Major Improvement Area Assessment Roll is attached as Exhibit F-1. The Administrator shall prepare and submit to the City Council for review and approval proposed revisions to the Major Improvement Area Assessment Roll and Major Improvement Area Annual Installments for each Parcel as part of each Annual Service Plan Update. SECTION VIII: ADDITIONAL PROVISIONS A. Calculation Errors If the owner of a Parcel claims that an error has been made in any calculation required by this Service and Assessment Plan, including, but not limited to, any calculation made as part of any Annual Service Plan Update, said owner's sole and exclusive remedy shall be to submit a written notice of error to the Administrator by December 1st of the year following City Council's approval of the calculation. Otherwise, said owner shall be deemed to have unconditionally approved and accepted the calculation. The Administrator shall provide a written response to the City Council and the owner not later than 30 days of such receipt of a written notice of error by the SHERLEY TRACT PID NO. 2 SERVICE AND ASSESSMENT PLAN Administrator. The City Council shall consider the owner's notice of error and the Administrator's response at a public meeting, and not later than 30 days after closing such meeting, the City Council shall make a final determination as to whether an error has been made. If the City Council determines that an error has been made, the City Council take such corrective action as is authorized by the PID Act, this Service and Assessment Plan, the applicable Assessment Ordinance, the applicable Indenture, or as otherwise authorized by the discretionary power of the City Council. The determination by the City Council as to whether an error has been made, and any corrective action taken by the City Council, shall be final and binding on the owner and the Administrator. B. Amendments Amendments to this Service and Assessment Plan must be made by the City Council in accordance with the PID Act. To the extent permitted by the PID Act, this Service and Assessment Plan may be amended without notice to owners of the Assessed Property: (1) to correct mistakes and clerical errors; (2) to clarify ambiguities; and (3) to provide procedures to collect Assessments, Annual Installments, and other charges imposed by this Service and Assessment Plan. C. Administration and Interpretation The Administrator shall: (1) perform the obligations of the Administrator as set forth in this Service and Assessment Plan; (2) administer the District for and on behalf of and at the direction of the City Council; and (3) interpret the provisions of this Service and Assessment Plan. Interpretations of this Service and Assessment Plan by the Administrator shall be in writing and shall be appealable to the City Council by owners of Assessed Property adversely affected by the interpretation. Appeals shall be decided by the City Council after holding a public meeting at which all interested parties have an opportunity to be heard. Decisions by the City Council shall be final and binding on the owners of Assessed Property and developers and their successors and assigns. D. Severability If any provision of this Service and Assessment Plan is determined by a governmental agency or court to be unenforceable, the unenforceable provision shall be deleted and, to the maximum extent possible, shall be rewritten to be enforceable. Every effort shall be made to enforce the remaining provisions. SHERLEY TRACT PID NO. 2 29 SERVICE AND ASSESSMENT PLAN EXHIBITS The following Exhibits are attached to and made a part of this Service and Assessment Plan for all purposes: Exhibit A-1 Map of the District Exhibit A-2 Map of Improvement Area #1 and the Major Improvement Area Exhibit B Project Costs Exhibit C Service Plan Exhibit D Sources and Uses of Funds Exhibit E-1 Improvement Area #1 Assessment Roll Exhibit E-2 Improvement Area #1 Annual Installments Exhibit F-1 Major Improvement Area Assessment Roll Exhibit F-2 Major Improvement Area Annual Installments Exhibit G-1 Maps of Improvement Area #1 Improvements Exhibit G-2 Maps of Major Improvements Exhibit H Maximum Assessment and Tax Rate Equivalent Exhibit I TIRZ No. 3 Annual Credit Amount by Lot Type Exhibit J Form of Notice of PID Assessment Termination Exhibit K-1 Debt Service Schedules for Improvement Area #1 Bonds Exhibit K-2 Debt Service Schedule for Major Improvement Area Bonds Exhibit L-1 District Legal Description Exhibit L-2 Improvement Area #1 Legal Description Exhibit L-3 Major Improvement Area Legal Description SHERLEY TRACT PID NO. 2 30 SERVICE AND ASSESSMENT PLAN APPENDICES The following Appendices are attached to and made a part of this Service and Assessment Plan for all purposes: Appendix A Engineer's Report SHERLEY TRACT PID NO. 2 31 SERVICE AND ASSESSMENT PLAN EXHIBIT A-1- MAP OF THE DISTRICT — — — -- —LAGC$ DF HURRICANE CRECK NDRiH TABIILATIOd - ' - — - LOT ... ... ' r . •.- PAD SIiE LET COUNT - - f/ PHASE 40's 50's 60's 7580's Sr' TH 0 eoxnv L, / -' O svx nu nzo xL J PHASE 1 69 2Q3 72 ssalnuums zl !J PHASE 3 PHASE 1A 137 1B 0 �xlu 33 PHASE2 72 4 63xlzs PHASE 3 52 55 26 27 113 TOTAL ill PHASE 1A _ L tY-FAMILY COMMERC+A! PHASE 2 PHASE 2 -- - PHASE 1 PHASE 3 f -. PHASE 1 -- - -- 75 PELOTON VILLAGES OF HURRICANE CREEK NORTH _ IIIII L'�'Mu SO��iiOnS ANNA, TEXAS #INlCXZog7 SHERLEY TRACT PID NO. 2 32 SERVICE AND ASSESSMENT PLAN EXHIBIT A-2 - MAP OF IMPROVEMENT AREA #1 AND THE MAJOR IMPROVEMENT AREA OVERVIEW MAP: SHERLEY PUBLIC IMPROVEMENT DISTRICT A IV 1 In equals 0.1 Miles 0 0.25 0.5 17-1 Public Improvement District Major Improvemerd Area ImprovementArea #1 SHERLEY TRACT PID NO. 2 33 SERVICE AND ASSESSMENT PLAN TP8 Improvement Area #1 Improvements Water Sanitary Sewer Storm Drainage Street Soft CostsZ Contingency Major Improvements' Water Sanitary Sewer Storm Drainage Street Soft CostsZ Contingency Private Costs Earthwork Retaining Walls Screen Walls and Entry Monument Landscaping and Irrigation MiscellaneoUSZ Bond Issuance Costs Debt Service Reserve Fund Capitalized Interest Underwriter's Discount Underwriter's Counsel Cost of Issuance Other Costs Deposit to Administrative Fund Total Notes: EXHIBIT B - PROJECT COSTS $ 1,130,975 $ 100.00% $ 1,130,975 0.00% $ 1,515,886 100.00% 1,515,886 0.00% 928,453 100.00% 928,453 0.00% 4,120,809 100.00% 4,120,809 0.00% 1,431,205 100.00% 1,431,205 0.00% 188,896 100.00% 188,896 0.00% $ 9,316,223 $ $ 9,316,223 $ $ 621,765 $ 50.96% $ 316,872 49.04% $ 304,893 281,025 50.96% 143,220 49.04% 137,805 653,700 50.96% 333,147 49.04% 320,553 1,673,701 50.96% 852,974 49.04% 820,727 1,264,720 50.96% 644,544 49.04% 620,176 113,172 50.96% 57,676 49.04% 55,496 $ 4,608,083 $ $ 2,348,433 $ 2,259,650 $ 586,134 $ 586,134 803,340 803,340 486,550 486,550 807,180 807,180 281,895 281,895 $ 2,965,099 $ 2,965,099 $ 773,690 $ 705,464 245,920 122,960 763,286 $ 2,611,321 $ 70,000 $ $ $ 70,000 $ $ 19,570,726 $ 2,965,099 0.00% $ 0.00% $ 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% $ 575,460 $ 198,230 409,547 295,917 188,000 57,920 94,000 28,960 $ 35,000 $ 35,000 $ 13,536,546 $ 35,000 $ 35,000 $ 3,069,081 'The Major Improvements are allocated between Improvement Area #1 and the Major Improvement Area based on the ratio of Estimated Buildout Value of each area to the Estimated Buildout Value of the District. The Estimated Buildout Value of Improvement Area #1 is $131,748,000, the Estimated Buildout Value of the District is $258,515,250, so Improvement Area #1 is allocated 50.96% of the Major Improvements (131,748,000/258,515,250 = 50.96%). The Estimated Buildout Value of the Major Improvement Area is $126,767,250, the Estimated Buildout Value of the District is $258,515,250, so the Major Improvement Area is allocated 49.04% of the Major Improvements (126,767,250/258,515,250 = 49.04%). Z Miscellaneous costs include entitlements, development agreement, district creation, engineering & surveying, SWPPP, preliminary platting fee, final platting fee, maintenance bond, engineering review fee, inspection fee, and geotechnical testing. SHERLEY TRACT PID NO. 2 SERVICE AND ASSESSMENT PLAN 34 Improvement Area #1 Bonds Principal Interest Capitalized Interest Additional Interest Improvement Area #1 Reimbursement Obligation Principal Interest Annual Collection Costs Total Improvement Area #1 Annual Installment Principal Interest Capitalized Interest EXHIBIT C - SERVICE PLAN $ - $ 179,000 $ 185,000 $ 191,000 $ 197,000 409,547 379,015 373,198 367,185 360,978 (409,547) - - - - 47,000 47,000 46,105 45,180 44,225 (1) $ 47,000 $ 605,015 $ 604,303 $ 603,365 $ 602,203 $ - $ 57 $ 61 $ 65 $ 7,537 279,767 279,763 279,759 272,288 (2) $ - $ 279,824 $ 279,824 $ 279,824 $ 279,824 (3) $ 35,000 $ 35,700 $ 36,414 $ 37,142 $ 37,885 (4) = (1) + (2) + (3) $ 82,000 $ 920,539 $ 920,541 $ 920,332 $ 919,912 (1) $ Additional Interest (2) $ Annual Collection Costs (3) $ Total Major Improvement Area Annual Installment (4) = (1) + (2) + (3) $ SHERLEY TRACT PID NO. 2 SERVICE AND ASSESSMENT PLAN - $ - $ 56,000 $ 58,000 $ 61,000 153,687 142,230 142,230 139,710 137,100 (153,687) (142,230) - - - - $ - $ 198,230 $ 197,710 $ 198,100 14,480 $ 14,480 $ 14,480 $ 14,200 $ 13,910 35,000 $ 35,700 $ 36,414 $ 37,142 $ 37,885 49,480 $ 50,180 $ 249,124 $ 249,052 $ 249,895 35 EXHIBIT D - SOURCES AND USES OF FUNDS Improvement Area #1 Bond Improvement Area #1 Bond Original Issue Discount Major Improvement Area Bond Improvement Area #1 Reimbursement Obligation Owner Contribution' Developer Contribution - Private Costsz Total Sources Improvement Area #1 Improvements Major Improvements Private Costs3 District Formation and Bond Issuance Costs Debt Service Reserve Fund Capitalized Interest Underwriter's Discount Underwriter's Counsel Costs of Issuance Deposit to Administrative Fund Total Uses Notes: 9,400,000 (20,470) 4,157,016 1,511,113 $ 15,047,659 2,896,000 173,081 1,453,985 $ 4,523,067 $ 9,316,223 $ - 2,348,433 2,259,650 1,511,113 1,453,985 $ 13,175,770 $ 3,713,636 $ 575,460 $ 198,230 409,547 295,917 188,000 57,920 94,000 28,960 569,883 193,404 $ 1,836,890 $ 774,431 $ 35,000 $ 35,000 $ 15,047,659 $ 4,523,067 ' Not to be reimbursed to the Owner through proceeds from the Assessments. To be funded privately. z Not PID eligible. To be privately funded by Owner. 3 Allocated between Improvement Area #1 and the Major Improvement Area based on Estimated Buildout Value. SHERLEY TRACT PID NO. 2 36 SERVICE AND ASSESSMENT PLAN 1W Outstanding Assessmen 1 Lot Type Improvement Area #1 Improvement Area #1 Annual Installment Due ert Bonds Reimbursement Obligation 1/31/2022 1007216,2797551, Improvement Area 9,400,000.00 1 • 82,000.00 2797548, and 2138032 I Total I S 9.400.000.00 S 4.157.015.95 1 S 82.000.00 1 Notes: 1 The Improvement Area #1 Initial Parcel consists of property tax IDs 1007216, 2797551, 2797548, and 2138032. The Annual Installment Due 1/31/2022 will be allocated between the tax Parcels within the Improvement Area #1 Initial Parcel based on acreage. SHERLEY TRACT PID NO. 2 37 SERVICE AND ASSESSMENT PLAN EXHIBIT E-2 - IMPROVEMENT AREA #1 ANNUAL INSTALLMENTS Installment Due Principal Interest' Additional Interest Capitalized Debt Service Principal IntereSt2 Annual Collection Total Installment 1/31 2022 $ - $ 409,547 $ 47,000 Interest Reserve $ (409,547) $ Release $ $ - Costs $ 35,000 Due $ 82,000 2023 $ 179,000 $ 379,015 $ 47,000 $ $ $ 57 $ 279,767 $ 35,700 $ 920,539 2024 $ 185,000 $ 373,198 $ 46,105 $ $ $ 61 $ 279,763 $ 36,414 $ 920,541 2025 $ 191,000 $ 367,185 $ 45,180 $ $ $ 65 $ 279,759 $ 37,142 $ 920,332 2026 $ 197,000 $ 360,978 $ 44,225 $ $ $ 7,537 $ 272,288 $ 37,885 $ 919,912 2027 $ 204,000 $ 354,575 $ 43,240 $ $ $ 93,106 $ 186,718 $ 38,643 $ 920,282 2028 $ 212,000 $ 346,925 $ 42,220 $ $ $ 97,296 $ 182,529 $ 39,416 $ 920,385 2029 $ 220,000 $ 338,975 $ 41,160 $ $ $ 101,674 $ 178,150 $ 40,204 $ 920,163 2030 $ 228,000 $ 330,725 $ 40,060 $ $ $ 106,250 $ 173,575 $ 41,008 $ 919,618 2031 $ 237,000 $ 322,175 $ 38,920 $ $ $ 111,031 $ 168,794 $ 41,828 $ 919,748 2032 $ 247,000 $ 313,288 $ 37,735 $ $ $ 116,027 $ 163,797 $ 42,665 $ 920,512 2033 $ 257,000 $ 303,408 $ 36,500 $ $ $ 121,248 $ 158,576 $ 43,518 $ 920,250 2034 $ 268,000 $ 293,128 $ 35,215 $ $ $ 126,705 $ 153,120 $ 44,388 $ 920,555 2035 $ 279,000 $ 282,408 $ 33,875 $ $ $ 132,406 $ 147,418 $ 45,276 $ 920,383 2036 $ 290,000 $ 271,248 $ 32,480 $ $ $ 138,365 $ 141,460 $ 46,182 $ 919,734 2037 $ 302,000 $ 259,648 $ 31,030 $ $ $ 144,591 $ 135,233 $ 47,105 $ 919,607 2038 $ 315,000 $ 247,568 $ 29,520 $ $ $ 151,098 $ 128,727 $ 48,047 $ 919,959 2039 $ 328,000 $ 234,968 $ 27,945 $ $ $ 157,897 $ 121,927 $ 49,008 $ 919,745 2040 $ 342,000 $ 221,848 $ 26,305 $ $ $ 165,002 $ 114,822 $ 49,989 $ 919,966 2041 $ 356,000 $ 208,168 $ 24,595 $ $ $ 172,427 $ 107,397 $ 50,988 $ 919,575 2042 $ 372,000 $ 193,928 $ 22,815 $ $ $ 180,187 $ 99,638 $ 52,008 $ 920,575 2043 $ 388,000 $ 178,118 $ 20,955 $ $ $ 188,295 $ 91,529 $ 53,048 $ 919,945 2044 $ 405,000 $ 161,628 $ 19,015 $ $ $ 196,768 $ 83,056 $ 54,109 $ 919,576 2045 $ 424,000 $ 144,415 $ 16,990 $ $ $ 205,623 $ 74,201 $ 55,191 $ 920,421 2046 $ 443,000 $ 126,395 $ 14,870 $ $ $ 214,876 $ 64,948 $ 56,295 $ 920,385 2047 $ 463,000 $ 107,568 $ 12,655 $ $ $ 224,545 $ 55,279 $ 57,421 $ 920,468 2048 $ 483,000 $ 87,890 $ 10,340 $ $ $ 234,650 $ 45,174 $ 58,570 $ 919,624 2049 $ 505,000 $ 67,363 $ 7,925 $ $ $ 245,209 $ 34,615 $ 59,741 $ 919,853 2050 $ 528,000 $ 45,900 $ 5,400 $ $ $ 256,244 $ 23,581 $ 60,936 $ 920,060 2051 $ 552,000 $ 23,460 $ 2,760 $ $ (575,460)1 $ 267,775 $ 12,050 $ 62,155 $ 344,739 Total $ 9,400,000 $ 7,355,634 $ 884,035 $ (409,547) $ (575,460)1 $ 4,157,016 $ 3,957,893 $ 1,419,883 $ 26,189,454 Interest on the Improvement Area #1 Bonds is calculated at 3.250%, 3.750%, 4.000%, and 4.250% rate for term bonds due 2026, 2031, 2041, and 2051 respectively. 2 Interest on the Improvement Area #1 Reimbursement Obligation is calculated at a 6.730% interest rate from 9/15/2022 to 8/16/2026, and 4.500%thereafter. Note: The figures shown above are estimates only and subject to change in Annual Service Plan Updates. Changes in Collection Costs, reserve fund requirements, interest earnings, or other available offsets could increase or decrease the amounts shown. SHERLEY TRACT PID NO. 2 38 SERVICE AND ASSESSMENT PLAN EXHIBIT F-1- MAJOR IMPROVEMENT AREA ASSESSMENT ROLL Notes: 1 The Major Improvement Area Initial Parcel consists of property tax IDs 1007216, 2797551, 2797552, 2797418, 2797548, and 2138032. The Annual Installment Due 1/31/2022 will be allocated between the tax Parcels within the Major Improvement Area Initial Parcel based on acreage. SHERLEY TRACT PID NO. 2 39 SERVICE AND ASSESSMENT PLAN EXHIBIT F-2 - MAJOR IMPROVEMENT AREA ANNUAL INSTALLMENTS 2022 $ $ 153,687 $ 14,480 $ (153,687) $ $ 35,000 $ 49,480 2023 $ $ 142,230 $ 14,480 $ (142,230) $ $ 35,700 $ 50,180 2024 $ 56,000 $ 142,230 $ 14,480 $ $ $ 36,414 $ 249,124 2025 $ 58,000 $ 139,710 $ 14,200 $ $ $ 37,142 $ 249,052 2026 $ 61,000 $ 137,100 $ 13,910 $ $ $ 37,885 $ 249,895 2027 $ 63,000 $ 134,355 $ 13,605 $ $ $ 38,643 $ 249,603 2028 $ 65,000 $ 131,520 $ 13,290 $ $ $ 39,416 $ 249,226 2029 $ 68,000 $ 128,595 $ 12,965 $ $ $ 40,204 $ 249,764 2030 $ 70,000 $ 125,535 $ 12,625 $ $ $ 41,008 $ 249,168 2031 $ 73,000 $ 122,385 $ 12,275 $ $ $ 41,828 $ 249,488 2032 $ 76,000 $ 119,100 $ 11,910 $ $ $ 42,665 $ 249,675 2033 $ 79,000 $ 115,300 $ 11,530 $ $ $ 43,518 $ 249,348 2034 $ 83,000 $ 111,350 $ 11,135 $ $ $ 44,388 $ 249,873 2035 $ 86,000 $ 107,200 $ 10,720 $ $ $ 45,276 $ 249,196 2036 $ 90,000 $ 102,900 $ 10,290 $ $ $ 46,182 $ 249,372 2037 $ 94,000 $ 98,400 $ 9,840 $ $ $ 47,105 $ 249,345 2038 $ 98,000 $ 93,700 $ 9,370 $ $ $ 48,047 $ 249,117 2039 $ 103,000 $ 88,800 $ 8,880 $ $ $ 49,008 $ 249,688 2040 $ 107,000 $ 83,650 $ 8,365 $ $ $ 49,989 $ 249,004 2041 $ 112,000 $ 78,300 $ 7,830 $ $ $ 50,988 $ 249,118 2042 $ 117,000 $ 72,700 $ 7,270 $ $ $ 52,008 $ 248,978 2043 $ 123,000 $ 66,850 $ 6,685 $ $ $ 53,048 $ 249,583 2044 $ 129,000 $ 60,700 $ 6,070 $ $ $ 54,109 $ 249,879 2045 $ 135,000 $ 54,250 $ 5,425 $ $ $ 55,191 $ 249,866 2046 $ 141,000 $ 47,500 $ 4,750 $ $ $ 56,295 $ 249,545 2047 $ 147,000 $ 40,450 $ 4,045 $ $ $ 57,421 $ 248,916 2048 $ 154,000 $ 33,100 $ 3,310 $ $ $ 58,570 $ 248,980 2049 $ 162,000 $ 25,400 $ 2,540 $ $ $ 59,741 $ 249,681 2050 $ 169,000 $ 17,300 $ 1,730 $ $ $ 60,936 $ 248,966 2051 $ 177,000 $ 8,850 $ 885 $ $ (198,230) $ 62,155 $ 50,660 Total $ 2,896,000 $ 2,783,147 $ 278,890 $ (295,917) $ (198,230) $ 1,419,883 $ 6,883,773 Interest is calculated at a 4.500% rate for term bonds due 2031, and at a 5.000% rate for term bonds due 2051. Note: The figures shown above are estimates only and subject to change in Annual Service Plan Updates. Changes in Collection Costs, reserve fund requirements, interest earnings, or other available offsets could increase or decrease the amounts shown. SHERLEY TRACT PID NO. 2 40 SERVICE AND ASSESSMENT PLAN 31123 EXHIBIT G7-B P E Lora N IMPROVEMENT AREA#1 STREETS �I� LAND SOLUTIONS SHERLEY TRACT PI❑ #Z s 1123 EXHIBIT G1—C sxi P E LOT4 N IMPROVEMENT AREA #1 SANITARY SEWER �� j LAND SOLUTIONS SHERLEY TRACT PI❑ #2 -� i 1993 EXHIBIT G1-D i;'il P E LOTO N IMPROVEMENT AREA #1 STORM DRAIN FiLAND SOLUTIONS SHERLEY TRACT PIQ #2 MAY17,2021 EXHIBITG1-E P E L�Ta N IMPROVEMENT AREA #1 WATER DISTRIBUTION0) j LAND SOLUTIONS SHERLEY TRACT PID #2 MAY 17,2021 EXHIBIT G-2 - MAPS OF MAJOR IMPROVEMENTS SHERLEY TRACT PID NO. 2 45 SERVICE AND ASSESSMENT PLAN SHERLEY TRACT PID NO. 2 46 SERVICE AND ASSESSMENT PLAN SHERLEY TRACT PID NO. 2 47 SERVICE AND ASSESSMENT PLAN SHERLEY TRACT PID NO. 2 48 SERVICE AND ASSESSMENT PLAN EXHIBIT H - MAXIMUM ASSESSMENT AND TAX RATE EQUIVALENT Notes: 1 Source: Owner SHERLEY TRACT PID NO. 2 49 SERVICE AND ASSESSMENT PLAN EXHIBIT I - TIRZ NO. 3 ANNUAL CREDIT AMOUNT BY LOT TYPE Notes: 1 Including the following taxing jurisdictions: The City of Anna ($0.5830); Collin County ($0.1725); CCC College ($.0812); and Anna ISD ($1.4746). Z The target tax rate equivalent for Lots within Improvement Area #1 is $0.7786 per $100 of assessed value. Based on the preliminary pricing of the bonds, the tax rate equivalent is approximately $0.6984 per $100 of assessed value which is less than the target tax rate. Therefore, the TIRZ No. 3 Maximum Annual Credit Amount per Unit for Lots within Improvement Area #1 is calculated at $0.00. SHERLEY TRACT PID NO. 2 50 SERVICE AND ASSESSMENT PLAN EXHIBIT J —FORM OF NOTICE OF PID ASSESSMENT TERMINATION P3Works, LLC 9284 Huntington Square, Suite 100 North Richland Hills, TX 76182 [Date] Collin County Clerk's Office Honorable [County Clerk] Collin County Administration Building 2300 Bloomdale Rd, Suite 2106 McKinney, TX 75071 Re: City of Anna Lien Release documents for filing Dear Ms./Mr. [County Clerk] 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 to my attention: City of Anna Attn: City Secretary 101 S Powell Pkwy Anna, TX 75409 Please contact me if you have any questions or need additional information. Sincerely, [Signature] P3Works, LLC (817)393-0353 Admin@P3-Works.com www.P3-Works.com SHERLEY TRACT PID NO. 2 SERVICE AND ASSESSMENT PLAN 51 v AFTER RECORDING RETURN TO: [City Secretary Name] 101 S Powell Pkwy Anna, TX 75409 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. FULL RELEASE OF PUBLIC IMPROVEMENT DISTRICT LIEN STATE OF TEXAS § § KNOW ALL MEN BY THESE PRESENTS: COUNTY OF COLLIN § 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, a Texas home rule municipality (the "City"). RECITALS WHEREAS, the governing body (hereinafter referred to as the "City Council") of the City, Texas 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 the extraterritorial jurisdiction of the City; and WHEREAS, on December 8, 2020 the City Council of the City approved Resolution No. 2020-12-839 creating the Sherley Tract Public Improvement District No. 2 (the "District"); and WHEREAS, the District consists of approximately 289.751 contiguous acres within the extraterritorial jurisdiction of the City; and WHEREAS, on , the City Council, approved Ordinance No. , (hereinafter referred to as the "Assessment Ordinance") approving a service and assessment plan and assessment roll for the real property located with the District, the Assessment Ordinance being recorded on , as Instrument No. in the Official Public Records of Collin County, TX; and WHEREAS, the Assessment Ordinance imposed an assessment in the amount of [amount] (hereinafter referred to as the "Lien Amount") and further imposed a lien to secure the payment of the Lien Amount (the "Lien") against the following property located within the District, to wit: SHERLEY TRACT PID NO. 2 52 SERVICE AND ASSESSMENT PLAN and [legal description], an addition to the City of [City], [County], Texas, according to the map or plat thereof recorded as Instrument No. in the Map Records of Collin County, Texas (the "Property"); WHEREAS, the Lien Amount has been paid in full. RELEASE NOW THEREFORE, for and in consideration of the full payment of the Lien Amount, the City/County hereby releases and discharges, and by these presents does hereby release and discharge, the Lien to the extent that is affects and encumbers the Property. EXECUTED to be EFFECTIVE this the day of , 20 CITY OF ANNA, TEXAS, A Texas home rule municipality, By: [Manager Name], City Manager ATTEST: [Secretary Name], City Secretary STATE OF TEXAS COUNTY OF COLLIN This instrument was acknowledged before me on the day of , 20_, by [City Manager], City Manager for the City of Anna, Texas, a Texas home rule municipality, on behalf of said municipality. Notary Public, State of Texas SHERLEY TRACT PID NO. 2 53 SERVICE AND ASSESSMENT PLAN EXHIBIT K-1- DEBT SERVICE SCHEDULE FOR THE IMPROVEMENT AREA #1 BONDS HilltopWurities APWhmFmWW0xnPmw BOND DEBT ='w'ICE City of A—: Texas Special A5se=wdReLwm Band;, Serves 2021 Sbeday Tract Pubhe Impixnmmmt Dubie No. 2 (ImprotimrntArea ikl Project) Callable am 9!1512031 Underwriter FMSbonds, Inc. ***FINAL NUMBERS*** Dated Date O811G12021 D,!In-ervDate MA&2021 Fend 4 nru i ELdine 131=ipal Coupon lit Debt Semce De'et Serzee 03.`15'2022 220-039.26 '20,039.2b 09l1512022 189,507.54 189,507.50 04130{2022 404,546.76 O3l1512023 189,507.54 189,507.50 O4115f2023 179.HO 3.2500"; 189,5U7.54 368,507.50 ORIM12023 5AD15.OD O311512024 186,598.75 186,598.75 0911512024 185,000 3.2500,: 186,598.75 371,598.75 09130 2D24 5A197.50 O311512025 183:592.50 183,592.50 09115r2025 191,000 3.25CO3,: 183:592.50 374,592.50 091M0 X25 5AI85.OD 03l1512026 180:488.75 180,489.75 O411512026 197,000 3.2503,: 180,488.75 377,488.75 09tM12026 557,977.50 0311512027 177,287.50 177,287.50 0911512027 204,040 3_7503.: 177,287.54 381,287.50 WM12027 558,575.OD 03115{2028 173,462.54 173,462.50 09115l2D28 212,WO 3_750°: 173.462.50 385,462.50 WM12028 558,425.OD 0311512029 169.487.56 169,487.54) O9l1512029 220,000 3_750°.: 169.487.54 389,467.50 0413012029 558,975.00 031151200 165:362.50 165,362.50 O411512030 228,000 3.750°: 165:362.50 393,362.50 091MIM30 555,725.OD 0311512031 161-087.50 161,087.50 O911512031 237,000 3_7503,: 161,087.50 398,087.50 04130{2031 554,175.OD O3l1512032 156,643.75 156,643.75 09l1512032 247,000 4.000% 156,633.75 403,543.75 04130M2 560,287.50 O311512033 151,703.75 151,703.75 0911512033 257,000 4.0009/. 151,703.75 408,703.75 041302033 560,407.50 O311512034 146.563.75 146,563.75 09115M4 268.000 4_000°: 14b,563.75 414,563.75 091M0 X34 561,127.50 O311512035 141.203.75 141,203.75 Jig 27, 201-1 1024 m PrWamd by H tT Secudtles lnc. (eae) Page l SHERLEY TRACT PID NO. 2 54 SERVICE AND ASSESSMENT PLAN HilltopWurWes4* A HR.* Ha1J6* Ca..PaW BOND DEBT SEKLECE Giv of Brim, Texans Special Assf-- t Revenue 3Gn&. Series 2021 S6erley Tract RALe Imp u%mment District No. 2 (7mprm,,enm= Area i,'1 Praje¢t) Callable an 9.15!2D31 UnderseritPr. FbBboads, Inc. *"FINALNLll sss Period Ending Pr=*al Canpon Indered DebrSer6M2 Annmal Debt5eryme 09115f2035 279,WO 4_001Y,« 141�03.75 420,203.75 09lm?,203 5 561,407.50 03115f2U36 135,623.75 135,623.75 09115?X36 290,N O 4.0003: 135,623.75 425,623.75 Wm?,2 6 561,247.50 0311512YD37 129,823.75 129,823.75 09115M7 302,WD 4.00W# 129,823.75 431,823.75 wtm?207 561,647.50 03115?X38 123,783.75 123,783.75 09115?,2038 315,000 4.000% 123,783.75 438,783.75 0900f2D38 562,5b7.50 03115f2U39 117,483.75 117:483.75 09115f2039 328,000 4.00D°: 117,483.75 445,483.75 Wm?,209 562,967_50 03115?,2ym 110,923.75 11Q923.75 09115f2ym 342,HO 4.000°: 110,923.75 452,923.75 Vt30f2O4O 563,847.50 03115f2U41 104,083.75 104,083.75 09115{2U41 356,DD0 4_D00°: 104,093.75 460,083.75 09l3Uf2U41 564,167.50 03115f2U42 96,%3.75 96,963.75 09115f2UW 372,DD0 4.250°: 96.%3.75 468,963.75 09l3Ur2942 565,927.50 03115f2U43 89.058.75 89,058.75 09115f2U43 388,NO 4.250°: S9.058.75 477,058.75 09tM 2O43 566,11750 03115r.4m 80,813.75 80,813.75 09115r2D44 405,NO 4.250°: 80,81.3.75 485,813.75 09FM 2d44 566,627.50 03115f2U45 72207.50 72,207.50 09115f2U45 424,NO 4.25CP/o 72207.50 496,207.50 09l30?'2YD45 568,415.OD 03115f2046 63.197.50 63,197.5D 09115f204b 443,NO 4.250°: 63.197.50 506,197.50 W30f2046 569,395.00 03115f2W 53,783.75 53,783.75 09115?,2047 463,NO 4.250°« 53,783.75 516,783.75 09130f2D47 570,5b7.50 03115f2048 43,945.00 43,945.00 04115f2648 4S3,DD0 4.250°: 43.945.00 526,945.00 WM?'2048 570,M-OD 03ll5f2U49 33,681.25 33,681.25 09115f2U49 505,W) 4.250% 33,681.25 538,681.25 09tM 2D49 572,3fi2.50 Jut 27, 2021 10:24 on Prepared by Mtop SerariEes Inc. (am) SHERLEY TRACT PID NO. 2 SERVICE AND ASSESSMENT PLAN 55 Page 8 HfIIeapSecurities R* 0% whw Hra6"qL Co ..paq Period Ea>diiig BOND LI.BT SERVICE Citv of . Texas Special Asses=.mirRevenus Band, Series 2021 Sberley Tract Public Iu4xu%=eot Dukiet No. 2 (1mprm,Pn,a„ A1-ea 41 Praject) Callable M 9!1 Y2031 Umkrwri&r- FhEboods, IDc. *"FINALN Nfl3ERS*ss Annual Principal €-ups Lbuest DebtSemee DebtSenm2 03I15{20511 22,950.00 22,950.00 0W15r2050 528,000 4.25W* 22,950.04 550,950.00 0W30 2D50 573,900.00 0M1512051 11,730.00 11,730.00 04115{2051 552,000 4.25W* 11,730.00 563,730.01) 09f30 2D51 57%460.0D 9,400,OD0 7,355:634.26 16,755,634.2E 15,75%634.216 Id 27, 2021 10�!4 mn Prepmed by M�op Sennihes Inc. ;eea] Page 9 SHERLEY TRACT PID NO. 2 56 SERVICE AND ASSESSMENT PLAN EXHIBIT K-2 -DEBT SERVICE SCHEDULE FOR THE MAJOR IMPROVEMENT AREA BONDS Nilltop5ecurities A I IdItcp ikk&gs E9 PanY BOND DEBT Slalr E City of Anna, Texas Special Assessment F-mmume Bonds, Series 2021 Sherley Tract Public Imprcm went DLdnet No. 2 (Major lmpror m wArea Project) Callable an 9fl512031 linderwrner. FUSb Inds, Inc. s"FINAL NUMBERSmss Dated Date 08116C2021 Delivery Date 081162021 Penad Annual Ending Principal Coupon Lwtmast Debt Service Debt Senice 03115r2022 82,572.42 82;572.42 09A35 2022 71-115.00 71,115.00 09130{2022 153,687.42 03f15{2023 71-115.00 71,115.00 09f15{2023 71,115.00 71,115.00 0934l2023 142,230.00 03f15{2024 71,115.00 71,115.00 09A5l2024 56,000 4.500% 71,115.00 127,115.00 093&2024 198,23 0.00 03f15l2025 69,855.00 69,855.00 09A35 2025 58,000 4.500% 69,855.00 127,855.00 0913412025 197,710.00 03A35 2026 68,550.00 68;550.00 09f1512026 61,000 4.500% 68,550.00 129,550.00 0913OV2026 198,100. m 0315QC27 67,177.50 67;177.50 09T15J2027 63.000 4.500% 67,177.50 130,177.50 093412027 197355.00 03f15J2028 65,760.00 65.760.00 09f15{2028 65:000 4.500% 65,760.00 130,760.00 093412028 196,520.00 03f15{2029 64,297.50 64,297.50 09f1512029 68,000 4.500% 64�297.50 132,297.50 093&2029 196.595.00 03f1512030 62,767.50 62,767.50 09f15{2030 70,000 4.,500% 62,767.50 132,767.50 0930)2030 195,535.00 03A5{2031 61,192.50 61.192.50 09A5i2031 73:000 4.500% 61,192.50 134,192.50 0913OV2031 195,385.00 03f15i2032 5%550.00 59550.00 09A35 2032 76,000 5.000% 59,550.00 135,550.00 09130i2032 195;100.00 03f15J2033 57,650.00 57,650.00 09f15i2033 79:000 5.000% 57,650.00 136,650.00 0934J2033 194,300.00 03A5{2034 55.675.00 55,675.00 09A5Q034 83,000 5.000% 55,675.00 138,675.00 0913 W2034 194,350.00 03f1512035 53,600.00 53,600.00 7u12'• . 2 021 1010 am Prepared by Hilltop Sacra ties Inc. (eam) page 7 SHERLEY TRACT PID NO. 2 57 SERVICE AND ASSESSMENT PLAN Hilltvp5ecurikies tw n I iilgop F�ingy(q ".y BOND DEBT SEX ICE City of Anna, Twos Special Assessment Revenue Bonds, Series 2021 Sherley Tract Public Imprm anent District No. 2 (Major Improvement Area Project) Callable an 9f 1512031 Underwriter FMSbonds, Inc. ***FINAL NITUMERS* Period Annual Fmdir Principal Coupon Interest Debt Service Debt Sen-ice 09fl5f2035 8fi.440 5.000% 53,600.40 139.640.04 0930f2035 193,200.00 03A5f2036 51,450.40 51,450.00 09A5f2036 90.400 5.000% 51,450.40 141.450.00 0930f2036 I92,900.40 03A5f2037 49,2W-00 49200.00 09A5Q037 94.400 5.044afl 49,2W-00 143,200.00 09f3 0f203 7 192.444.00 03A5f2038 46,850.00 46,850.00 09A5f2038 98.400 5.000% 46,850.00 144,850.00 0930f203 8 191.744.00 03f15f2039 44,400.00 44,400.00 09f15f2039 103,000 5.000% 44,400.00 147,400.00 0930f203 9 191.844.00 03A5f2040 41,825.00 41,825.00 09A5f2040 107,000 5.000% 41,825.00 148,825.00 0930f2040 190.654.00 03A 5f2041 39,150.00 39,15 0.00 09A5f2041 112,000 5.000% 39,150.00 151.150.00 0930f2041 190,300.00 03A5f2042 36,350.00 36,350.04 09A5f2042 117,000 5.000% 36,350.00 153.150.00 0930f2042 189.744.00 03A5f2043 33,425.00 33,425.00 09A5f2043 123,000 5.000% 33,425.40 1515,425.00 09f3 0f2043 189.854.00 03A5f2044 30,350.40 30,350.00 09A5f2044 129,000 5.000% 30,350.00 159.150.00 093W2044 189.744.00 03A5f2045 27,125.00 27,125.00 09A5f2045 135,000 5.000% 27,125.00 162.125.00 09130f2045 189,250.00 03A5f2046 23,750.00 23,750.00 09A5f2046 141,000 5.000% 23,750.00 164,750.00 0930f2046 188,544.00 03A5f2047 20,225.00 20,225.00 09A5f2047 147,000 5.000% 20,225.00 167,225.00 0930f2047 187,450.00 03A 5Q048 16,5 50.00 145,55 0.00 09A5Q048 154,000 5.000% 16,550.00 170,550.00 0930f2048 187,100. 0C 03f [ 5Q049 12,700.40 12,700.00 09f[5Q049 162,000 5.000% 12,700.40 174,700.00 0930f2049 187.444.00 Jul 27, 2021 10.10 am Prepared by Hillto-p Securities Inc. (em) SHERLEY TRACT PID NO. 2 58 SERVICE AND ASSESSMENT PLAN Rage 8 Hilltopkcurikies 4a A Whop mkdinos Cn pmy BOND DEBT SERVICE City of Anna, Texas Special Assessment Revenue Bonds, Series 2021 Sherley Tract Public Imprm-ement District No. 2 (Major lmproveooen7 Area Project) Callable an 911512031 Underwriter FbLSbond4, Inc. * "FINAL NUMBERS* m m Period Annual Ending Principal Coupon Interest Debt Service Debt Service 03f15l2050 8,650.00 8.650.00 09A5f2050 169,000 5.000% 8,650.00 177,650.00 0W30f2050 186.300.00 03A5f2051 4,425.00 4,425.00 09A512051 177,000 5.000% 4,425.00 191.425.00 0W30f2051 185,850_00 2,89b.000 2,783,14'1.42 5,679,147.42 5,679,147.42 Jul 27, 2021 10.10 am Prepared by Hilltap Securities Inc. (eas) SHERLEY TRACT PID NO. 2 59 SERVICE AND ASSESSMENT PLAN page 9 EXHIBIT K-3 - ANNUAL INSTALLMENT SCHEDULE FOR THE IMPROVEMENT AREA #1 REIMBURSEMENT OBLIGATION ImprovementObligatio Installment Due Total Installment 1/31 Principal Interest' Due 2022 $ - $ - $ - 2023 $ 57 $ 279,767 $ 279,824 2024 $ 61 $ 279,763 $ 279,824 2025 $ 65 $ 279,759 $ 279,824 2026 $ 7,537 $ 272,288 $ 279,824 2027 $ 93,106 $ 186,718 $ 279,824 2028 $ 97,296 $ 182,529 $ 279,824 2029 $ 101,674 $ 178,150 $ 279,824 2030 $ 106,250 $ 173,575 $ 279,824 2031 $ 111,031 $ 168,794 $ 279,824 2032 $ 116,027 $ 163,797 $ 279,824 2033 $ 121,248 $ 158,576 $ 279,824 2034 $ 126,705 $ 153,120 $ 279,824 2035 $ 132,406 $ 147,418 $ 279,824 2036 $ 138,365 $ 141,460 $ 279,824 2037 $ 144,591 $ 135,233 $ 279,824 2038 $ 151,098 $ 128,727 $ 279,824 2039 $ 157,897 $ 121,927 $ 279,824 2040 $ 165,002 $ 114,822 $ 279,824 2041 $ 172,427 $ 107,397 $ 279,824 2042 $ 180,187 $ 99,638 $ 279,824 2043 $ 188,295 $ 91,529 $ 279,824 2044 $ 196,768 $ 83,056 $ 279,824 2045 $ 205,623 $ 74,201 $ 279,824 2046 $ 214,876 $ 64,948 $ 279,824 2047 $ 224,545 $ 55,279 $ 279,824 2048 $ 234,650 $ 45,174 $ 279,824 2049 $ 245,209 $ 34,615 $ 279,824 2050 $ 256,244 $ 23,581 $ 279,824 2051 $ 267,775 $ 12,050 $ 279,824 Total $ 4,157,016 $ 3,957,893 $ 8,114,909 ' Interest on the Improvement Area #1 Reimbursement Obligation is calculated at a 6.730% interest rate from 9/15/2022 to 8/16/2026, and 4.500% thereafter. Note: The figures shown above are estimates only and subject to change in Annual Service Plan Updates. Changes in Collection Costs, reserve fund requirements, interest earnings, or other available offsets could increase or decrease the amounts shown. SHERLEY TRACT PID NO. 2 60 SERVICE AND ASSESSMENT PLAN EXHIBIT L-1- DISTRICT LEGAL DESCRIPTION LEGAL. DESCRIPTIC>N OF B01-73- MS Tract I — Boundaiw of 0.833 Acres BEING that certain tract of land situated in the W. Rattan Siwvey, Abstr=Ntuuber 752, Collin County - Texas, being a portion of that Tract of laud described in deed to BFB ANA 40 Acres-. LLC recorded in lasnumeat Number 201904120W3908DD of the Official Public Records of Collin County- Texas (O.P.ILC.C.T.) and being more particuLuly described by metes and bounds as follow= Y BEGINNING at a 5f8 inch iron rod cap stamped "Pelotaf" found for the soutliwest corner of smdBFB ANA 40 Ages Tract, the southeast coiner of that certain tract of land described m deed as Tract 1 to MM Anna 325, LLC: recorded in Insftwnent Number 70190411000396110 and being in the north line of that certain tract of land described in deed to One Anna Two, LTD. recorded in Instrucient Nmmbef 2OW(P—D10001516DO of said O-P.R-C-C.T- THENCE N 05° 15' 18" F_ 533-77 feet to a 1`8 inch iron rod cap stamped "Pelotori -set and the beginning of a curare to the le$; THENCE ,pith said crntre to the left_ ha -,ma an arc distance of 3D. 78 feet, though a central angle ofO1' 50' 13", having a radius of 960.00 feet, the long chord 1xhich beats S 13 ° 29 OW E, 30.78 feet to a 5.1 inch imn rod cap stamped "Peloton" set; THENCE S 143 23' D7' E. 12D.30 feet to a 518 inch iron rod cap stamped "Pelubm7 set and the beE+uning of a =T to the right; THENC.'E with said cmrle to the right, haying an arc distance of 1D1.47 feet, through a central angle of 12' 30' 04", ha--ing a radius of465-07 feet, the long chord i;tdch bears S 08' 14" 28" E, 101.27 feet to a 5,'8 inch iron rod cap stamped `Telabon" set; THENC.'E S 01 ° 59' 25" E. 283.25 feet to a 518 inch iron rod cap stamped ` pe1=f -' set; THENCE S 89° 04' 42" W. 110.31 feet to the POINT OF BEGINNING and containing D.833 acres or 36,303 square feet ruore or less. Tract II — Boundary- of 288.918 Acres BEING that certain tract of land situated in the J. Kin€ade Survey, Abstract Number 504, the J. Boyle Sure-ey, Abstract Number 105, the J. Roberts Survey, Abstract Number 760, the J. E1let Sunrey, Abstract Number 296, and the W. Rattan Sun-ey, Abstract Number 752, Collin County, Texas_ being all of that land described m deed to NM Anna 325, LLC Tract 1 recorded in lnsrnnnent Number 2019D4110DD396110 of the Offfeial Public Records of Collin County. Texas (O.P.R-C-C.T.) and being more pmtxularly des gibed by metes and bounds as follow: BEGINNING at a 1?2 inch iron rod found for the most southerly line of said MM Anna 325, LLC: Tract 1 and being m the north line of that tract ofland descn'6ed in deed to CA Hurricane Creek, LLC Tract 2 recorded in Tnstt-lnjent NtuAbet- 2015D529D00D63102D of said O-P.R-C-C-T-; THENCE N OD' 42' 127 W, 232-26 feet to a 1 r'2 inch iron rod found-, THENCE S 88° 18' 507 W, 793.96 feet to a 3r'8 inch iron rod found for the south line of said Nffl Anna 325, LLC Tract 1 andbeing m the northers# coiner said CriiI]f.` Hurricane Creek-LLC (Tract 1); THENC.'E along the connnnn line between said NM Anna 325, LLC Tract 1 and said CHID{' Humcane Creek LLC (Tract 1) the following bearings and distances: S 89D 05' 29" W,1757.67 feet to a 5/8 inch iron rod found: S 88D 18' 31" W, 742-94 feet to a 1/2 inch iron rod foetid SHERLEY TRACT PID NO. 2 61 SERVICE AND ASSESSMENT PLAN S 88D 59' 33" W, 427.29 feet to a 1?2 inch iron rod stm43ed "GEER 3288" found; T=C.'E departing said CADG Htu caw Cre&. LLC Tract 1 alone; the con=cu line bemem said hfhi Anna 325, LLC Tract 1 and that tract of land descnbed m deed to Blue Spruce LP. recorded in Tnstn, meni Number 199405-6000793830 of the G.P.R C.C.T. the fallrm,ing bearings and distances: N 61 ° 49' 20" H 2O5.61 feet, N 19" 24' 1T' E 181.13 feet; N 38D 49' 43" E 172.63 feet, N 2O° 25' 25" E 121.13 feet, N 49° 53' 58" E. 215.37 feet, N 04" 32' 42" E. 69.40 feet, THENCE N 3W 41' 24" V� 236.43 feet departing said Blue Spnice L.P. tract along the cornnivan line of said hfM Anna 325, LLC Tract 1 and that tract of land described m deed to Kimberly Pcnvell recorded iu Voliune 5820 Page 2130 of the 0. P.RC.C:_T.; Thence contiunkg along said MM Aura 325, LLC Tract 1 and said Kimberiy Powell tract the folio%{ping bearings and distances: N 21 ° 14' 27" W, 129.45 feet-, N 11° 58' 09" W,106.-5 feet; N 09° 26' 49" W,132.42 feet, N 17° 32' 12" W,108.70 feet, THENCE N 03° 35' 2 F E, 118.10 feet departing said Kimberly Powell tract along the commom line of said IL,l Anna 325, LLC Tract 1 and that tract of land described in deed to Hann &m and Jawt Smith recorded in Iustnuuent Number 19920612OW392310 of the G.P.RC.C_T.- Thenc-e contimung along said MMAnna 325, LLC Tract 1 and said Kimberly Pow ell tract the follola= bearings and distances: N 16" 24' 3T' E. 135.67 feet, N 06" 20' 5T' E 127_72 feet; N I8D 30' 44" H 70.24 feet, N 1O° 53' 53" E 77.78 feet; N 19D 15' 05" H 240.38 feet, THENCE departing said Harrison and Janet Smith tract along the common line of said al Aim 3 25_ LLC Tract 1 and that tract of land described in deed to Dasara, LLC recorded iu Instrument Number 2015012300007?570 of the G.P.P C_C_T_ the following beaeaugs and distances: N 59" 1"' U' E. 231.35 feet, SHERLEY TRACT PID NO. 2 62 SERVICE AND ASSESSMENT PLAN N 39" 06' 49" E. 113.71 feet, N 1 S" 28' 3D" E. 79.37 feet, N 45" 2D' 55" E 13D.09 feet; N 24" 01' 1 D" E. 163.50 feet, N 29" 16' 45" E. 139.03 feet; N 07" 19' 23" W,145.57 feet, N 22" 22' 4T' E. 72.91 feet, N 66" 09' 44" E 68.86 feet; N 49" 46' 52" E. 125.19 feet, N 25" 25' 25" E. 1 D5.50 feet; N 41" 12' 53" E. 2D4.93 feet, N 44" 25' 31" E 122.72 feet; N 4Oa 33' 22" E 129.29 feet; N 01" 34' 54" E. 1 D5.14 feet, THENCE N 30° 43' 16" E, 12.80 Beet departing said Dasara LLC tract across the cornnwn line of said MM Anna 325_ LLC Tract 1 and that tract of laud de -scribed in deed to Donna Peeler recorded in Volume 4972 Page 5535 of the 0.P.RC.0 -T.; THENCE departing said Doma Peeler tract alorug the con=n lire cf said hihf Aura 325, LLC Tract 1 and that tract a f Land described in deed to Risland.ianraa LLC recorded it Insttmmeat Niunber 20180625OOD783630 -of the G.P.RC-C.T. the folkm ng bearings and distances: N 88" 46' 52" )� 274.5 6 feet to a 112 inch iron" stamped "GE _ found; N 89" 03' 01" E 938.03 feet to a 112 inch iron "!,tamped "GEER-- found; THENCE departiva. said Rislaud brawn LLC tract alma the comingan Hine of said NM Aqua 325, LLC Tract 1 and that tract cThmd described is deed to Hurricane Creek Estates (Ltnracorded) the follow* bearivas and distances: S 02D 31' OT' E. 45.18 feet to a U2 inch iron rod found: S O " 43' 55" E. 239.02 feet to a 1 {2 inch ircm rod found; S 0011 54' 34" E. 240_99 feet to a 519 inch iron rod found; S O0° 35' 3D" E. 240_11 feet to a 112 inch ironrod stamped "GEER" farads S OO° 4-6' 25" E. 193.73 feet to a 112 inch iron rod stamped "GE.ER" farad; S OO° 41' 51" E. 15937 feet to a 12 inch iron stsmged "GEER°' found; SHERLEY TRACT PID NO. 2 63 SERVICE AND ASSESSMENT PLAN S 02" 15' SD" W,136.17 feet, S 00" 41' 12" E_ 97.40 feet-, S UO° 41' 12" E_ 20.O5 feet, N 43° 06' 55" H 28.85 feet N 36" 57' 5T' E 59.11 few S 81° 37' OD" E. 7635 few N 64° 47' 48" E 51.43 fe S 23° 02' 34" F: 61.07 fete N 53° 19' OT' E 4-5.87 few S 82D 24' 22" E_ 2536 feet: S 39D 57' 49" E 56.11 feet: S 48D 02' 59" E_ 22.02 feet: THENCE depastiup said Hu=ane Creek Estates tract along the co=m 1i m of said MM Anna 325, LLC Tract 1 and that tract ofland described in plat to Urban Crossing B1cr-k B tract recorded in Instnnneodt Tiamber 2013-568 of the Flat Records. Collin County, Texas (P.RC.C-T.) the follm iug beatings and distances: S 02° 04' 2D" E. 28.82 feet to a 1/2 inch iron rod stamped --G.NL GEER found; S UO° 05' 05" E. 119.18 feet to a 12 inch iron rod stamped "G-NL GET,R" found; S 89D 47' 13" R 602.59 feet to a 12 inch iron rod found; N 89" 59' OD" E 933.16 feet to a 112 inch iron tad st nuped " CORWW_ found_ N 88D 55' 42" E 491.23 feet, THENCE S 04° 03' 227 E, 703. feet departing said Urban O os&* Bloch B tract along the c onunnn Liebe of said MM Anna 325_ LI.0 Tract 1 and that tact of laird dewdbed in deed to Sheikh Alain tract recorded in Vc ulne 433 5 Page 955 of the 0. P.R-C.C_T. to a 51 inch iram rod staniped --PE LOTON" found; THENCE departiaa' said Sheikh Alarm tract along the con=n line of said MM Aaw 325, LLC Tract 1 and that tract of land described in deed to BF13 Aria 40 Acres. LLC tract recorded in Instnuneut Number 019041200039DSOO of the O.P.RC_C.T. the folkmng beariusEs and distances: S 88D 44' Ott" W, 6D.25 feet for the beginning of a curses to the rigbr. With said curve to the right, hieing an are distance of99.5 5 fret, through @ central angle -of D3 ° 42' 13", having a radius of L540.00 feet, and the long chord -which bears S 13' 52' 00" , 99.53 feet; S 15° 43' OT' W, 512.37 feet far the begilr,� of a cane to the left, SHERLEY TRACT PID NO. 2 64 SERVICE AND ASSESSMENT PLAN With said curve to the left, hinqng an arc distmee of 473.61 feet, through a cental &ogle of 28° 16' Or ha�,mg a radius of 960-00 feet- and the long chord -%iwl bean S 01' 35' 07' W, 468-82 feet THENCE S 05° 15' 18" W, 533.77 feet to the most scirtherly southeast corner of said MM Anm 325, LLC Tract 1 and the northeast comer of said CADS' Hiuncane Creek LLC Tract 2 to an irc u read found; THENCE S 89° 04' 4-2" W, 1,154.08 feet to the POINT OF BEGINNING and omtainiug288.918 acres or 12,585,251 square feet more or less - CONTAINING 299.751 acres more or less - "This dGcumunt was prepared imdu 22 TAG d63-21, does not reflect the results of an on the graand sun e}', and is oaf tD be used to- convey ar establish interests in rest property except those rights and interests implied or established by the aeatian of moonfigarabon of thebaundam• of the porai€a] subdh-j&bDnfor wWrh if was prepared." SHERLEY TRACT PID NO. 2 65 SERVICE AND ASSESSMENT PLAN EXHIBIT L-2 - IMPROVEMENT AREA #1 LEGAL DESCRIPTION TRACT 1 (65.070 ACRES) BEING THAT CERTAIN TRACT OF LAND SITUATED IN THE J. KINCADE SURVEY, ABSTRACT NUMBER 509, THE J. BOYLE SURVEY, ABSTRACT NUMBER 105, THE J. ROBERTS SURVEY, ABSTRACT NUMBER 760, THE J. ELLET SURVEY, ABSTRACT NUMBER 296, AND THE W. RATTAN SURVEY, ABSTRACT NUMBER 752, COLLIN COUNTY, TEXAS, BEING A PORTION OF THAT TRACT OF LAND DESCRIBED IN DEED TO MM ANNA 325, LLC TRACT 1 RECORDED IN INSTRUMENT NUMBER 20190411000386110 OF THE OFFICIAL PUBLIC RECORDS OF COLLIN COUNTY, TEXAS (O.P.R.C.C.T.) AND BEING MORE PARTICULARLY DESCRIBED BY METES AND BOUNDS AS FOLLOWS: BEGINNING ATTHE MOST SOUTHERLY SOUTHWEST CORNER OF SAID TRACT OF LAND TO MM ANNA 325, LLC BEING IN THE NORTH LINE OF THAT TRACT OF LAND DESCRIBED BY DEED TO CADG HURRICANE CREEK, LLC RECORDED IN INSTRUMENT NUMBER 201505290000631020 OF SAID O.P.R.C.C.T.; THENCE N 00° 42' 12" W, 287.34 FEET WITH THE COMMON LINE OF SAID CADG TRACT AND SAID MM ANNA 325 TRACT; N 89' 17' 48" E, 110.00 FEET; N 00' 42' 12" W, 31.43 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 302.23 FEET, THROUGH A CENTRAL ANGLE OF 32° 59' 01", HAVING A RADIUS OF 525.00 FEET, AND A LONG CHORD WHICH BEARS N 15° 47' 19" E, 298.07 FEET; N 32° 16' 49" E, 45.65 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 7.44 FEET, THROUGH A CENTRAL ANGLE OF 00° 30' 48", HAVING A RADIUS OF 830.00 FEET, AND A LONG CHORD WHICH BEARS N 57° 58' 35" W, 7.44 FEET; N 57° 43' 11" W, 162.85 FEET; S 32° 16' S0" W, 605.17 FEET; THENCE S 88' 18' S0" W, 111.81 FEET TO THE NORTH LINE OF SAID CADG TRACT; THENCE DEPARTING SAID NORTH LINE OVER AND ACROSS SAID MM ANNA 325 TRACT THE FOLLOWING BEARINGS AND DISTANCES: N 45° 08' S8" W, 366.07 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, AN ARC DISTANCE OF 520.46 FEET, THROUGH A CENTRAL ANGLE OF 22° 45' S0", HAVING A RADIUS OF 1309.97 FEET, AND A LONG CHORD WHICH BEARS N 40° 23' 55" E, 517.04 FEET; N 60° 58' S9" W, 120.00 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 923.67 FEET, THROUGH A CENTRAL ANGLE OF 44° 28' 21", HAVING A RADIUS OF 1190.00 FEET, AND A LONG CHORD WHICH BEARS S 51° 15' 12" W, 900.66 FEET; S 16° 30' 37" E, 120.00 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; SHERLEY TRACT PID NO. 2 66 SERVICE AND ASSESSMENT PLAN WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 27.21 FEET, THROUGH A CENTRAL ANGLE OF 01° 11' 24", HAVING A RADIUS OF 1310.00 FEET, AND A LONG CHORD WHICH BEARS S 74° 05' 05" W, 27.21 FEET; S 31° 32' 06" W, 43.31 FEET; S 12° 15' S2" E, 4.77 FEET TO THE NORTH LINE OF SAID CADG TRACT; THENCE S 89' 05' 29" W, 95.27 FEET; THENCE DEPARTING SAID NORTH LINE OVER AND ACROSS SAID TRACT OF LAND TO MM ANNA 325, LLC THE FOLLOWING BEARINGS AND DISTANCES: N 56° 03' 28" W, 23.94 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 27.22 FEET, THROUGH A CENTRAL ANGLE OF 01° 11' 26", HAVING A RADIUS OF 1310.00 FEET, AND A LONG CHORD WHICH BEARS S 81° 23' 55" W, 27.22 FEET TO A POINT OF INTERSECTION WITH A NON -TANGENTIAL LINE. N 08° 00' 22" W, 120.00 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 147.41 FEET, THROUGH A CENTRAL ANGLE OF 07° 05' S1", HAVING A RADIUS OF 1190.00 FEET, AND A LONG CHORD WHICH BEARS S 85° 32' 34" W, 147.31 FEET; S 89° 05' 29" W, 1,229.11 FEET; N 45° 54' 31" W, 42.43 FEET; N 00° 54' 31" W, 48.75 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 139.73 FEET, THROUGH A CENTRAL ANGLE OF 12° 07' 49", HAVING A RADIUS OF 660.00 FEET, AND A LONG CHORD WHICH BEARS N 05° 09' 24" E, 139.47 FEET; N 11° 13' 18" E, 45.96 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 101.09 FEET, THROUGH A CENTRAL ANGLE OF 07° 14' 23", HAVING A RADIUS OF 800.00 FEET, AND A LONG CHORD WHICH BEARS N 14° 50' 30" E, 101.02 FEET; N 20° 08' 12" E, 50.00 FEET; N 21° 08' 00" E, 138.53 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, AN ARC DISTANCE OF 304.73 FEET, THROUGH A CENTRAL ANGLE OF 27 42' S1", HAVING A RADIUS OF 630.00 FEET, AND A LONG CHORD WHICH BEARS N 07° 16' 34" E, 301.77 FEET; N 83° 25' 09" E, 130.00 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, AN ARC DISTANCE OF 32.75 FEET, THROUGH A CENTRAL ANGLE OF 02° 28' 08", HAVING A RADIUS OF 760.00 FEET, AND A LONG CHORD WHICH BEARS N 07° 48' S5" W, 32.75 FEET; N 80° 57' 01" E, 50.00 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; SHERLEY TRACT PID NO. 2 67 SERVICE AND ASSESSMENT PLAN WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 20.00 FEET, THROUGH A CENTRAL ANGLE OF 01° 24' 53", HAVING A RADIUS OF 810.00 FEET, AND A LONG CHORD WHICH BEARS S 08° 20' 32" E, 20.00 FEET; N 83° 35' 40" E, 67.70 FEET; S 87° 45' 57" E, 468.26 FEET; S 87° 55' 48" E, 10.60 FEET; N 01° 44' 03" E, 20.00 FEET; S 88° 15' 57" E, 50.00 FEET; S 01° 44' 03" W, 23.48 FEET; N 89° 15' 16" E, 160.00 FEET; N 84° 17' 59" E, 91.31 FEET; N 81° 10' 42" E, 54.72 FEET; N 75° 20' 06" E, 60.71 FEET; N 70° 47' 30" E, 41.34 FEET; N 66° 36' 18" E, 49.56 FEET; N 61° 16' 50" E, 59.24 FEET; N 56° 58' 45" E, 50.71 FEET; N 55° 47' 22" E, 49.81 FEET; N 58° 06' 52" E, 47.94 FEET; N 57° 16' 20" E, 66.93 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 32.90 FEET, THROUGH A CENTRAL ANGLE OF 01° 34' 15", HAVING A RADIUS OF 1200.00 FEET, AND A LONG CHORD WHICH BEARS N 28° 47' 28" W, 32.90 FEET TO A POINT OF INTERSECTION WITH A NON -TANGENTIAL LINE. N 61° 59' 39" E, 50.00 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, AN ARC DISTANCE OF 45.85 FEET, THROUGH A CENTRAL ANGLE OF 02° 17' 04", HAVING A RADIUS OF 1150.00 FEET, AND A LONG CHORD WHICH BEARS S 29° 08' 53" E, 45.85 FEET; N 59° 42' 35" E, 120.15 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, AN ARC DISTANCE OF 434.10 FEET, THROUGH A CENTRAL ANGLE OF 24° 08' 52", HAVING A RADIUS OF 1,030.00 FEET, AND A LONG CHORD WHICH BEARS S 42° 21' 09" E, 430.90 FEET; S 54° 25' 35" E, 89.54 FEET; N 24° 51' 49" E, 70.52 FEET; SHERLEY TRACT PID NO. 2 68 SERVICE AND ASSESSMENT PLAN S 64° 05' 47" E, 100.01 FEET; S 65° 13' 30" E, 75.00 FEET; N 69° 45' 54" E, 42.43 FEET; N 24° 45' 54" E, 22.77 FEET; S 65° 14' 06" E, 120.00 FEET; S 24° 45' 54" W, 23.65 FEET; S 19° 10' 53" E, 43.20 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 96.46 FEET, THROUGH A CENTRAL ANGLE OF 05° 31' 37", HAVING A RADIUS OF 1000.00 FEET, AND A LONG CHORD WHICH BEARS S 59° 58' 35" E, 96.43 FEET; N 24° 45' 54" E, 31.64 FEET; S 58° 13' 31" E, 50.38 FEET; S 24° 45' 54" W, 33.83 FEET; S 55° 20' 20" E, 104.47 FEET; S 57° 43' 11" E, 272.85 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, THROUGH 33° 03' 57", 444.37 FEET HAVING A RADIUS OF 770.00 FEET, AND A LONG CHORD WHICH BEARS S 74° 15' 09" E, 438.23 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 49.91 FEET, THROUGH A CENTRAL ANGLE OF 07° 37' 35", HAVING A RADIUS OF 375.00 FEET, AND A LONG CHORD WHICH BEARS N 07° 38' 20" E, 49.88 FEET; S 78° 32' 52" E, 50.00 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, THROUGH 06° 37' 24", 37.57 FEET HAVING A RADIUS OF 325.00 FEET, AND A LONG CHORD WHICH BEARS S 08° 08' 26" W, 37.55 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, AN ARC DISTANCE OF 71.20 FEET, THROUGH A CENTRAL ANGLE OF 05° 17' 53", HAVING A RADIUS OF 770.00 FEET, AND A LONG CHORD WHICH BEARS N 82° 48' 59" E, 71.18 FEET; N 80° 10' 03" E, 330.53 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 56.36 FEET, THROUGH A CENTRAL ANGLE OF 03° 06' 19", HAVING A RADIUS OF 1,040.00 FEET, AND A LONG CHORD WHICH BEARS N 04° 30' 13" W, 56.36 FEET TO A POINT OF INTERSECTION WITH A NON -TANGENTIAL LINE. N 87° 02' 56" E, 80.00 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; SHERLEY TRACT PID NO. 2 69 SERVICE AND ASSESSMENT PLAN WITH SAID CURVE TO THE LEFT, AN ARC DISTANCE OF 191.58 FEET, THROUGH A CENTRAL ANGLE OF 11° 26' 03", HAVING A RADIUS OF 960.00 FEET, AND A LONG CHORD WHICH BEARS S 08° 40' 05" E, 191.26 FEET; S 14° 23' 07" E, 121.17 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 100.60 FEET, THROUGH A CENTRAL ANGLE OF 12° 23' 42", HAVING A RADIUS OF 465.00 FEET, AND A LONG CHORD WHICH BEARS S 08° 11' 16" E, 100.40 FEET; S 01° 59' 25" E, 283.25 FEET; THENCE S 89' 04' 42" W, 1264.39 FEET TO THE POINT OF BEGINNING AND CONTAINING 2,834,457 SQUARE FEET OR 65.070 ACRES MORE OR LESS; TRACT 2 (44.332 ACRES) BEING THAT CERTAIN TRACT OF LAND SITUATED IN THE J. KINCADE SURVEY, ABSTRACT NUMBER 509, THE J. BOYLE SURVEY, ABSTRACT NUMBER 105, THE J. ROBERTS SURVEY, ABSTRACT NUMBER 760, THE J. ELLET SURVEY, ABSTRACT NUMBER 296, AND THE W. RATTAN SURVEY, ABSTRACT NUMBER 752, COLLIN COUNTY, TEXAS, BEING A PORTION OF THAT TRACT OF LAND DESCRIBED IN DEED TO MM ANNA 325, LLC TRACT 1 RECORDED IN INSTRUMENT NUMBER 20190411000386110 OF THE OFFICIAL PUBLIC RECORDS OF COLLIN COUNTY, TEXAS (O.P.R.C.C.T.) AND BEING MORE PARTICULARLY DESCRIBED BY METES AND BOUNDS AS FOLLOWS: BEGINNING ATTHE MOST SOUTHERLY SOUTHWEST CORNER IN PLAT TO URBAN CROSSING RECORDED IN INSTURMENT NUMBER 20131227010003710 OF THE PLAT RECORDS OF COLLIN COUNTY, TEXAS (P.R.C.C.T.) AND BEING IN THE NORTH LINE OF SAID MM ANNA 325 TRACT; THENCE FOLLOWING THE SOUTH LINE OF SAID URBAN CROSSING TRACT AND THE NORTH LINE OF SAID MM ANNA 325 TRACT THE FOLLOWING BEARINGS AND DISTANCES: S 89° 47' 13" E, 602.59 FEET; N 88° 59' 00" E, 461.54 FEET; THENCE DEPARTING SAID COMMON LINE OVER AND ACROSS SAID MM ANNA 325 TRACT THE FOLLOWING BEARINGS AND DISTANCES: S 01° 10' 22" E, 231.65 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, AN ARC DISTANCE OF 1,023.35 FEET, THROUGH A CENTRAL ANGLE OF 31° 31' 24", HAVING A RADIUS OF 1860.00 FEET, AND A LONG CHORD WHICH BEARS S 40° 31' 36" W, 1010.49 FEET; S 24° 45' S4" W, 220.34 FEET; S 24° 45' S4" W, 22.77 FEET; S 69° 45' S4" W, 42.43 FEET; N 65° 13' 30" W, 75.00 FEET; N 64° 05' 47" W, 100.01 FEET; SHERLEY TRACT PID NO. 2 70 SERVICE AND ASSESSMENT PLAN S 24° 51' 49" W, 70.52 FEET; N 54° 25' 35" W, 89.54 FEETTO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 434.10 FEET, THROUGH A CENTRAL ANGLE OF 24° 08' 52", HAVING A RADIUS OF 1030.00 FEET, AND A LONG CHORD WHICH BEARS N 42° 21' 09" W, 430.90 FEET; S 59° 42' 35" W, 120.15 FEET TO THE BEGINNING OF A CURVFE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 45.85 FEET, THROUGH A CENTRAL ANGLE OF 02° 17' 04", HAVING A RADIUS OF 1150.00 FEET, AND A LONG CHORD WHICH BEARS N 29° 08' 53" W, 45.85 FEET; S 61° 59' 39" W, 50.00 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, AN ARC DISTANCE OF 32.90 FEET, THROUGH A CENTRAL ANGLE OF 01° 34' 15", HAVING A RADIUS OF 1200.00 FEET, AND A LONG CHORD WHICH BEARS S 28° 47' 28" E, 32.90 FEET; S 57° 16' 20" W, 66.93 FEET; S 58° 06' 52" W, 47.94 FEET; S 55° 47' 22" W, 49.81 FEET; S 56° 58' 45" W, 50.71 FEET; S 61° 16' 50" W, 59.24 FEET; S 66° 36' 18" W, 49.56 FEET; S 70° 47' 30" W, 41.34 FEET; S 75° 20' 06" W, 60.71 FEET; S 81° 10' 42" W, 54.72 FEET; S 84° 17' 59" W, 91.31 FEET; S 89° 15' 16" W, 160.00 FEET; N 01° 44' 03" E, 23.48 FEET; N 01° 44' 03" E, 104.07 FEET; S 88° 15' 57" E, 10.50 FEET; N 01° 44' 03" E, 50.00 FEET; N 88° 15' 57" W, 109.33 FEET; N 01° 44' 03" E, 130.00 FEET; N 00° 53' 08" E, 401.03 FEET; N 68° 31' 37" E, 311.47 FEET; A SHERLEY TRACT PID NO. 2 71 SERVICE AND ASSESSMENT PLAN N 27° 44' 36" E, 271.58 FEET; N 78° 55' 21" E, 359.52 FEET; N 89° 19' 48" E, 60.00 FEET; N 89° 19' 48" E, 369.75 FEET TO THE WEST LINE OF SAID URBAN CROSSING; THENCE S 00° 05' 05" E, 5.70 FEET TO THE POINT OF BEGINNING AND CONTAINING 1,931,085 SQUARE FEET OR 44.332 ACRES MORE OR LESS SHERLEY TRACT PID NO. 2 72 SERVICE AND ASSESSMENT PLAN EXHIBIT L-3 - MAJOR IMPROVEMENT AREA LEGAL DESCRIPTION Tract I - Boundary- of 0.833 Acres BEING that ceitaiu tract of land situated in the W. Rattan Sung, Abstract Nimiber 752, C'.o1Lin Gutty, Texas; being a portion of that Tract of land described in deed to BFB ANA 4O Acres, LLC: recorded in Im,timuent Number 2-0190412000390900 of the Official Public Records of Collin county, Texas (O.P.RC.C_T.) and being more particularly described by metes and bounds as follows: BEGINNING at a 5I8 inch iron rod cap stamped "Pelo=7 found for the southn4mst car„er of said BFB ANA 40 Acres Tract_ the southeast corner of that certain tract of land described in deed as Tract 1 to M I Anna 325, LLC recorded in incuume„t Number 210190411000396110 and being in the north line of that oettain tract of laud described in deed to One Anna Two, LTD. recorded in Instrument Munber 2OD702DIO00 I 516DO of said O_P_RO_C:.T_ THENCE N O5° 15' 18" E. 533.77 beet to a 51 inch iron nod cap stamped--Pelotoif' set and the beginning of a antic- to the left THENC.'E with said curve to the left, has mE an ai�c distance of 3D.78 feet, through a central angle of010 50' 13', haking a radius of 960.00 feet, the long chord ,.vhich bears S 13' 28' WE, 30.78 feet to a 5l8 inch iron rod cap sty ed "Pelotas" set; THENCE S 14' 23' D7" E, 12D_30 feet to a 5.1 inch iron" cap stamped "Pelotoff' set and the be[.;mn ng of a =,e to the right; THENCE n th said curve to the right- having an air distance of 1 G1.47 feet, thn tigli a central angle of 12 30' 04", ha-�ing a radius of 465.07 feet, the long chord Atich bears.S 08° 14' }S" E. 101.27feet to a Si$ inch iron rod cap stamped "Pelaton" set; THENCE S 01" 59' 25" 1. 283.25 feet to a 518 inch iron rod cap stamped "Peloton _set: THENCE S 99" 04' 42" W, 110.31 feet to the POINT OF BEGINNING and containing 0.833 acres or 36,303 square feet more or less. Tract EI - Booudary of 2 88.918 acres BEING that certain tract of land situated in the J. Kiscade Stu-vey, Abstract Dumber 509, the d. Boyle Sure-ey_ Abstract Number 105, the J. Robem Sian e -, Abstract Number 760, the J. Ellet Stn-t�ey, Abstract Number 296. and the W. Rattan Stu--ey; Abstract Number 752, Collin County; Texas_ being all of that Land described in deed to MM Anna 325, LLC Tract 1 recorded in Instrmnemt Number 201904-110009611.0 of the Official Public Records of Co11i++ County, Texas (0_P.R C_C.T_) and being inoie particularly described by iuetes and bounds as fallow: BEGINNING at a 112 inch iron rod R and for the most southerly line of said NM Anna 325, LLC Tract 1 and being in the north line of that tract ofland de -scribed in deed to CADG H=caue Creep LLC Tract 2 recorded in Instrument Naunber 201505290000631020 & said O_P.R C;_C.T_: THENCE N OW 42' 127 W, 232.26 feet to a 1 2 inch iron rod found; THENCE S 88° 18' 50" W, 793.96 feet to a M inch iron rod found for thb- south line of said M Anna 325, LLC' Tract 1 and being in the northeast c€rrner said CADC- Humcane Ciee1z LLC (Tract 1); THENCE along the «•rnm:Lnn lim betn-een said hfhi Anna 325, LLC Tract 1 and said CADG Hurricane Creek LLC: (Tract 1) the following beanugs and distances: S 89" 05' 29" OP,1757.67 feet to a 5/8 inch iron rod faimd; S 88D 18' 31"W, 742_94 feet to a 112 inch iron rodfotmd; SHERLEY TRACT PID NO. 2 SERVICE AND ASSESSMENT PLAN 73 S 88° 59' 33" 04T, 427.29 feet to a 112 inch iron rod stamped "DEER 3288" found„ THENCE depaitiug said AD Hurricane Cree1L. LLB' Tract 1 along the c��rm line between said X04 Anms 325, LLC'Tract 1 and that tract of land described in deed to Blue Spruce LP. recorded in In L ,t Limber 19940R26000?9383D of the ORRC.C.T. the folknmmg bearings and distances: N 61 ° 49' 29" E 2D5.61 feet; N 19" 24' 1 T' E 181.73 feet; N 38° 49' 43" E 172.63 feet; N 20D 25' 25" E 121.13 feet, N 49D 53' 58" E 2153 7 feet, N 04D 32' 42" E. 69.40 feet, THENCE N 30-° 41' 24" W, 236.43 feet departigR said Blue Spruce L.P. tract along the common line of said h114inn Aa 325, LLC Tract 1 and that tract of land described in deed to Kimberly Poi{yell recoi ded in 17olume 5820 Page 2130 of the 0.P.RC.C-T.; Thence contiimiqe; al4mg said MM Anna 325, LLC Tract 1 and said Kunberiy Pascell tract the fallot-icing bearings and distances: N 21 ° 14' 27" W, 129.45 feer N 11° 58' 09" W,106.75 feet, N 09" 26' 49" W,132.42 feet; N 17" 32' 12" W,108.70 feet, THENCE N 03" 35' 2 F E, 11 R.10 feet departing said Kimberly Powell tract akqg. the common line of said hat Anna 325, LLC Tract 1 and that tract of land described in defied to Haai_san and Janet Su4- hrecorded is Imtiumert Number 1992061200039231D ofthez D.P.RC-C.T.; Thence contimung along said MMArm 325, LLC Tract 1 and said KimbeAv Powell tract the falla�� bearings and digs= N 16D 24' 3T' E 135.67 feet, N 06" 2D' 5T' E 127.72 feet; N IS- 3D' 44" E 7D_24 feed N 10a 53' 53" E 77.78 fee#; N 19D 15' 05" E 240.3 9 feet; THENCE departing said Hamson and Janet Smith tract along the conumn line of said h&1 Aura 325, LLC Tract 1 and that tract of land described in deed to Dasara_ LLC: recordediu Instrtunent Number 20150123000D77570 afthe D.P.RC -C'.T. the follovi�ng bearings and distances: N 59D 17' "' E 231.36 feet; SHERLEY TRACT PID NO. 2 74 SERVICE AND ASSESSMENT PLAN N 39D 06' 49" E 113.71 feet, N 1R° 28' 3D" E 79.37 feet; N 45° 2D' 55" H 13D.09 fleet, N 24" 01 ' 1 D" E 163.50 fleet, N 2.9D 16' 45" E 139.03 fleet, N 07D 19' 23" W,145.67 fleet, N 22D 22' 4T' E 72.91 feet; N 66D 09' 44" H 68.86 feet, N 49° 46' 52" E 125.19 fleet; N 25D 25' 25" E. 1 D5.50 fleet, N 41° 12' 53" E 2D4.93 fleet; N 44" 25' 31" E 122.72 fleet; N 40° 33' 22" E 129.29 feet, N Ol ° 34' 54" E 1 D5.14 fleet, THENCE N 3D° 43' W E, 12.80 feet departing said Dasara_ LLC tx-act across the common line of said MM Aiing 325_ LLC Tract 1 and that tract of Maud dewiibedin deed to Donna Peeler recorded in Volume 4972 Page 5535 of the 0.P.RC.C°_T., THENCE depaiting said Doi= Peeler tract aloig the wn=ii line of said hihi Aura 325_ LLC Tract 1 and that tract of load de scribed is deed to Risland Mantua LLC recorded in Instrument Nmuber 20180625ON783 630 of the D.P.RC_C.T. the fallowing bearings and distances: N SR° 46' 52" R. 274.56 feet to a 112 inch iron rod stained "GE _- found; N 89D 03' 0 1 " E 938.03 feet to a 112 inch ironrad stamped "GE _' fmind; THENCE departing' said RL and Mantua LLC tract along the cow line of said NM Anw 325, LLC Tract 1 and that tract of land des dbed in deed to Hurncane Creek Estates (Uj:r orde+d) the £olLowing bearings and distances: S 02D 31' 0T' E4 46- IS feet to a 1 r'2 inch iron rod found; S 00" 43' 55" && 239.62 fleet to a IQ inch iron rod found, S O0° 54' 34" E 240_99 fleet to a M inch iron rod found; S 00" 35' 3D" E. 240.11 fieet to a IQ inch ironrad stained "G=- f iumk. S O0° 46' 25" E. 193.73 feet to a 112 inch iron cad stamped "GE, _ found; S 00" 41' 51" E. 159.37 Let to a 1Q inch iron stamped "� £Quad; SHERLEY TRACT PID NO. 2 75 SERVICE AND ASSESSMENT PLAN S 02D 15' 50" W,136.1 + feet, S 00" 4 F 12" E_ 97_40 feet„ S OD° 41 ' 12" lw 20.05 feed N 43° 06' 55" E_ 28.85 few N 36° 57' 5T' E 59.11 feet, S 81 ° 37' 00" E. 76.35 feet, N 64' 47' 4-8" E 51.43 feet; S 23 ° 02' 34" E4 61.07 feet N 53° 19' OT' E_ 45.8� few S 82° 24' 22" F, 25.36 fe S 39° 57' 49" F, 56.11 fbfft S 48D 02' 59" E. 22.02 feet, THENCE departing said Hurricane Creek Estates tract along the common hue of said IvLM Anna 325, LLC Tract 1 and that tract of land described in plat to Urban Crossmg Block B tract recorded in Lnstnuned Number 2013-568 &the Plat R,ecofds, Collin Cotmih, Texas (P.R.C.C_T.) the following bearings and distane-a S 02° 04' 20" P. 28_82 feet to a 1?2 inch iron rod stmwed -SGM GEER' found; S 00" 05' 05" E, 119.18 fieet to a 1 Q inch iron rod stamped "GM OEER°' found„ S 89D 47' 13" E. 602.59 fieet to a 12 inch ironrod found; N 89" 59' OO" E 933.16 feet to a 112 inch iron rod stamped "CCRWW_ found N 89D 55' 42" E 491.23 feet, THENCE S Off° 03' 22" E, 703.80 feet departing said Urban Crwsing Stock B trrct along tile con=n line of said NMf Anna 325_ LLC Tract 1 and that tract of laud desciibed in deed to Sheikh Al am tract recorded in Voli ne 4335 Page 955 of the Cl. P.RC.C_T_ to a Y8 inch iron rod staavped --PELOTON" found; THENCE depaitiug said Sheikh Alaan tract along the c inn line of said MM Anna 325, LLC' Tract 1 and that tract of land desc abed in deed to SFH Ana 40 AL-res, LLC tract recorded in Iustnunent Number 2019041200039OS00 of the O.P.R_C_C.T. the folknving bearings and distances: S 88° 44' 00" ❑J, 60.25 feet for the beginning of a cm-ve to the right - W ith said cwTe to the right, having an arc distance of99.55 feet_ thnaugh a central angle of 03 ° 42' 13", haying a radius of 1, 54-0.00 fieet_ and the long chord u ich bears S 13 ° 52' 00 RF, 99.53 fee-, S 15" 43' OT' 0 ,512.37 feet for the begiiH of a -e to the left„ SHERLEY TRACT PID NO. 2 76 SERVICE AND ASSESSMENT PLAN %Vith said cure to the left, ha LW an arc distance of 473.61 fleet_ through a central angle of 28' 16' W. having a radius of 960.00 feet, and the long chord which bears S 01' 35' 07� W, 469.82 feet THING S 05° 15' 18" W, 533.77 feet to the most soirthefly southea3t corner of said MM Anna 325, LLC Tract 1 and the northeast comer of said CADS' Hiuricane Creek LLC' Tract 2 to an iron rod found; THINCE S 99° 04' 427 AT, 1.154.08 feet to the POINT OF BEGINNING and contaiiaing,288.918 acres or 12,585,251 square feet more or less_ CONTAINING 289.751 acres mare cw less_ "This document was Prnpared imder 22 TAC 663.21, does not ref1aer the results of an au the pvand sur4 L�y, and is oar tD be used to- conre�! ar establish interests is reaL property exult those rights and inp:,ests implied OF established by the oueatiGn or rewnfiguradou of the boundaar of the political subdivision for which i s was prepared." Save and except: TRACT 1 (65.070 ACRES) BEING THAT CERTAIN TRACT OF LAND SITUATED IN THE J. KINCADE SURVEY, ABSTRACT NUMBER 509, THE J. BOYLE SURVEY, ABSTRACT NUMBER 105, THE J. ROBERTS SURVEY, ABSTRACT NUMBER 760, THE J. ELLET SURVEY, ABSTRACT NUMBER 296, AND THE W. RATTAN SURVEY, ABSTRACT NUMBER 752, COLLIN COUNTY, TEXAS, BEING A PORTION OF THAT TRACT OF LAND DESCRIBED IN DEED TO MM ANNA 325, LLC TRACT 1 RECORDED IN INSTRUMENT NUMBER 20190411000386110 OF THE OFFICIAL PUBLIC RECORDS OF COLLIN COUNTY, TEXAS (O.P.R.C.C.T.) AND BEING MORE PARTICULARLY DESCRIBED BY METES AND BOUNDS AS FOLLOWS: BEGINNING ATTHE MOST SOUTHERLY SOUTHWEST CORNER OF SAID TRACT OF LAND TO MM ANNA 325, LLC BEING IN THE NORTH LINE OF THAT TRACT OF LAND DESCRIBED BY DEED TO CADG HURRICANE CREEK, LLC RECORDED IN INSTRUMENT NUMBER 201505290000631020 OF SAID O.P.R.C.C.T.; THENCE N 00° 42' 12" W, 287.34 FEET WITH THE COMMON LINE OF SAID CADG TRACT AND SAID MM ANNA 325 TRACT; N 89' 17' 48" E, 110.00 FEET; N 00° 42' 12" W, 31.43 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 302.23 FEET, THROUGH A CENTRAL ANGLE OF 32° 59' 01", HAVING A RADIUS OF 525.00 FEET, AND A LONG CHORD WHICH BEARS N 15° 47' 19" E, 298.07 FEET; N 32° 1649" E, 45.65 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 7.44 FEET, THROUGH A CENTRAL ANGLE OF 00° 30' 48", HAVING A RADIUS OF 830.00 FEET, AND A LONG CHORD WHICH BEARS N 57° 58' 35" W, 7.44 FEET; N 57° 43' 11" W, 162.85 FEET; S 32° 16' 50" W, 605.17 FEET; THENCE S 88' 18' 50" W, 111.81 FEET TO THE NORTH LINE OF SAID CADG TRACT; SHERLEY TRACT PID NO. 2 77 SERVICE AND ASSESSMENT PLAN THENCE DEPARTING SAID NORTH LINE OVER AND ACROSS SAID MM ANNA 325 TRACT THE FOLLOWING BEARINGS AND DISTANCES: N 45° 08' 58" W, 366.07 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, AN ARC DISTANCE OF 520.46 FEET, THROUGH A CENTRAL ANGLE OF 22° 45' 50", HAVING A RADIUS OF 1309.97 FEET, AND A LONG CHORD WHICH BEARS N 40° 23' 55" E, 517.04 FEET; N 60° 58' 59" W, 120.00 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 923.67 FEET, THROUGH A CENTRAL ANGLE OF 44° 28' 21", HAVING A RADIUS OF 1190.00 FEET, AND A LONG CHORD WHICH BEARS S 51° 15' 12" W, 900.66 FEET; S 16° 30' 37" E, 120.00 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 27.21 FEET, THROUGH A CENTRAL ANGLE OF 01° 11' 24", HAVING A RADIUS OF 1310.00 FEET, AND A LONG CHORD WHICH BEARS S 74° 05' 05" W, 27.21 FEET; S 31° 32' 06" W, 43.31 FEET; S 12° 15' 52" E, 4.77 FEET TO THE NORTH LINE OF SAID CADG TRACT; THENCE S 89' 05' 29" W, 95.27 FEET; THENCE DEPARTING SAID NORTH LINE OVER AND ACROSS SAID TRACT OF LAND TO MM ANNA 325, LLC THE FOLLOWING BEARINGS AND DISTANCES: N 56° 03' 28" W, 23.94 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 27.22 FEET, THROUGH A CENTRAL ANGLE OF 01° 11' 26", HAVING A RADIUS OF 1310.00 FEET, AND A LONG CHORD WHICH BEARS S 81° 23' S5" W, 27.22 FEET TO A POINT OF INTERSECTION WITH A NON -TANGENTIAL LINE. N 08° 00' 22" W, 120.00 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 147.41 FEET, THROUGH A CENTRAL ANGLE OF 07° 05' 51", HAVING A RADIUS OF 1190.00 FEET, AND A LONG CHORD WHICH BEARS S 85° 32' 34" W, 147.31 FEET; S 89° 05' 29" W, 1,229.11 FEET; N 45° 54' 31" W, 42.43 FEET; N 00° 54' 31" W, 48.75 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 139.73 FEET, THROUGH A CENTRAL ANGLE OF 12° 07' 49", HAVING A RADIUS OF 660.00 FEET, AND A LONG CHORD WHICH BEARS N 05° 09' 24" E, 139.47 FEET; N 11° 13' 18" E, 45.96 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; SHERLEY TRACT PID NO. 2 78 SERVICE AND ASSESSMENT PLAN WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 101.09 FEET, THROUGH A CENTRAL ANGLE OF 07° 14' 23", HAVING A RADIUS OF 800.00 FEET, AND A LONG CHORD WHICH BEARS N 14° 50' 30" E, 101.02 FEET; N 20° 08' 12" E, 50.00 FEET; N 21° 08' 00" E, 138.53 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, AN ARC DISTANCE OF 304.73 FEET, THROUGH A CENTRAL ANGLE OF 27° 42' 51", HAVING A RADIUS OF 630.00 FEET, AND A LONG CHORD WHICH BEARS N 07° 16' 34" E, 301.77 FEET; N 83° 25' 09" E, 130.00 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, AN ARC DISTANCE OF 32.75 FEET, THROUGH A CENTRAL ANGLE OF 02° 28' 08", HAVING A RADIUS OF 760.00 FEET, AND A LONG CHORD WHICH BEARS N 07° 48' 55" W, 32.75 FEET; N 80° 57' 01" E, 50.00 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 20.00 FEET, THROUGH A CENTRAL ANGLE OF 01° 24' 53", HAVING A RADIUS OF 810.00 FEET, AND A LONG CHORD WHICH BEARS S 08° 20' 32" E, 20.00 FEET; N 83° 35' 40" E, 67.70 FEET; S 87° 45' 57" E, 468.26 FEET; S 87° 55' 48" E, 10.60 FEET; N 01° 44' 03" E, 20.00 FEET; S 88° 15' 57" E, 50.00 FEET; S 01° 44' 03" W, 23.48 FEET; N 89° 15' 16" E, 160.00 FEET; N 84° 17' 59" E, 91.31 FEET; N 81° 10' 42" E, 54.72 FEET; N 75° 20' 06" E, 60.71 FEET; N 70° 47' 30" E, 41.34 FEET; N 66° 36' 18" E, 49.56 FEET; N 61° 16' 50" E, 59.24 FEET; N 56° 58' 45" E, 50.71 FEET; N 55° 47' 22" E, 49.81 FEET; N 58° 06' 52" E, 47.94 FEET; N 57° 16' 20" E, 66.93 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; m SHERLEY TRACT PID NO. 2 79 SERVICE AND ASSESSMENT PLAN WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 32.90 FEET, THROUGH A CENTRAL ANGLE OF 01° 34' 15", HAVING A RADIUS OF 1200.00 FEET, AND A LONG CHORD WHICH BEARS N 28° 47' 28" W, 32.90 FEET TO A POINT OF INTERSECTION WITH A NON -TANGENTIAL LINE. N 61° 59' 39" E, 50.00 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, AN ARC DISTANCE OF 45.85 FEET, THROUGH A CENTRAL ANGLE OF 02° 17' 04", HAVING A RADIUS OF 1150.00 FEET, AND A LONG CHORD WHICH BEARS S 29° 08' 53" E, 45.85 FEET; N 59° 42' 35" E, 120.15 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, AN ARC DISTANCE OF 434.10 FEET, THROUGH A CENTRAL ANGLE OF 24° 08' 52", HAVING A RADIUS OF 1,030.00 FEET, AND A LONG CHORD WHICH BEARS S 42° 21' 09" E, 430.90 FEET; S 54° 25' 35" E, 89.54 FEET; N 24° 51' 49" E, 70.52 FEET; S 64° 05' 47" E, 100.01 FEET; S 65° 13' 30" E, 75.00 FEET; N 69° 45' 54" E, 42.43 FEET; N 24° 45' 54" E, 22.77 FEET; S 65° 14' 06" E, 120.00 FEET; S 24° 45' 54" W, 23.65 FEET; S 19° 10' 53" E, 43.20 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 96.46 FEET, THROUGH A CENTRAL ANGLE OF 05° 31' 37", HAVING A RADIUS OF 1000.00 FEET, AND A LONG CHORD WHICH BEARS S 59° 58' 35" E, 96.43 FEET; N 24° 45' 54" E, 31.64 FEET; S 58° 13' 31" E, 50.38 FEET; S 24° 45' 54" W, 33.83 FEET; S 55° 20' 20" E, 104.47 FEET; S 57° 43' 11" E, 272.85 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, THROUGH 33° 03' 57", 444.37 FEET HAVING A RADIUS OF 770.00 FEET, AND A LONG CHORD WHICH BEARS S 74' 15' 09" E, 438.23 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 49.91 FEET, THROUGH A CENTRAL ANGLE OF 07° 37' 35", HAVING A RADIUS OF 375.00 FEET, AND A LONG CHORD WHICH BEARS N 07° 38' 20" E, 49.88 FEET; S 78° 32' 52" E, 50.00 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; SHERLEY TRACT PID NO. 2 80 SERVICE AND ASSESSMENT PLAN WITH SAID CURVE TO THE LEFT, THROUGH 06° 37' 24", 37.57 FEET HAVING A RADIUS OF 325.00 FEET, AND A LONG CHORD WHICH BEARS S 08' 08' 26" W, 37.55 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, AN ARC DISTANCE OF 71.20 FEET, THROUGH A CENTRAL ANGLE OF 05° 17' 53", HAVING A RADIUS OF 770.00 FEET, AND A LONG CHORD WHICH BEARS N 82° 48' 59" E, 71.18 FEET; N 80° 10' 03" E, 330.53 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 56.36 FEET, THROUGH A CENTRAL ANGLE OF 03° 06' 19", HAVING A RADIUS OF 1,040.00 FEET, AND A LONG CHORD WHICH BEARS N 04° 30' 13" W, 56.36 FEET TO A POINT OF INTERSECTION WITH A NON -TANGENTIAL LINE. N 87° 02' 56" E, 80.00 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, AN ARC DISTANCE OF 191.58 FEET, THROUGH A CENTRAL ANGLE OF 11° 26' 03", HAVING A RADIUS OF 960.00 FEET, AND A LONG CHORD WHICH BEARS S 08° 40' 05" E, 191.26 FEET; S 14° 23' 07" E, 121.17 FEET TO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 100.60 FEET, THROUGH A CENTRAL ANGLE OF 12° 23' 42", HAVING A RADIUS OF 465.00 FEET, AND A LONG CHORD WHICH BEARS S 08° 11' 16" E, 100.40 FEET; S 01° 59' 25" E, 283.25 FEET; THENCE S 89° 04' 42" W, 1264.39 FEET TO THE POINT OF BEGINNING AND CONTAINING 2,834,457 SQUARE FEET OR 65.070 ACRES MORE OR LESS; TRACT 2 (44.332 ACRES) BEING THAT CERTAIN TRACT OF LAND SITUATED IN THE J. KINCADE SURVEY, ABSTRACT NUMBER 509, THE J. BOYLE SURVEY, ABSTRACT NUMBER 105, THE J. ROBERTS SURVEY, ABSTRACT NUMBER 760, THE J. ELLET SURVEY, ABSTRACT NUMBER 296, AND THE W. RATTAN SURVEY, ABSTRACT NUMBER 752, COLLIN COUNTY, TEXAS, BEING A PORTION OF THAT TRACT OF LAND DESCRIBED IN DEED TO MM ANNA 325, LLC TRACT 1 RECORDED IN INSTRUMENT NUMBER 20190411000386110 OF THE OFFICIAL PUBLIC RECORDS OF COLLIN COUNTY, TEXAS (O.P.R.C.C.T.) AND BEING MORE PARTICULARLY DESCRIBED BY METES AND BOUNDS AS FOLLOWS: BEGINNING AT THE MOST SOUTHERLY SOUTHWEST CORNER IN PLAT TO URBAN CROSSING RECORDED IN INSTURMENT NUMBER 20131227010003710 OF THE PLAT RECORDS OF COLLIN COUNTY, TEXAS (P.R.C.C.T.) AND BEING IN THE NORTH LINE OF SAID MM ANNA 325 TRACT; THENCE FOLLOWING THE SOUTH LINE OF SAID URBAN CROSSING TRACT AND THE NORTH LINE OF SAID MM ANNA 325 TRACT THE FOLLOWING BEARINGS AND DISTANCES: S 89° 47' 13" E, 602.59 FEET; N 88° 59' 00" E, 461.54 FEET; THENCE DEPARTING SAID COMMON LINE OVER AND ACROSS SAID MM ANNA 325 TRACT THE FOLLOWING BEARINGS AND DISTANCES: SHERLEY TRACT PID NO. 2 SERVICE AND ASSESSMENT PLAN S 01° 10' 22" E, 231.65 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, AN ARC DISTANCE OF 1,023.35 FEET, THROUGH A CENTRAL ANGLE OF 31° 31' 24", HAVING A RADIUS OF 1860.00 FEET, AND A LONG CHORD WHICH BEARS S 40° 31' 36" W, 1010.49 FEET; S 24° 45' 54" W, 220.34 FEET; S 24° 45' 54" W, 22.77 FEET; S 69° 45' 54" W, 42.43 FEET; N 65° 13' 30" W, 75.00 FEET; N 64° 05' 47" W, 100.01 FEET; S 24° 51' 49" W, 70.52 FEET; N 54° 25' 35" W, 89.54 FEETTO THE BEGINNING OF A CURVE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 434.10 FEET, THROUGH A CENTRAL ANGLE OF 24° 08' 52", HAVING A RADIUS OF 1030.00 FEET, AND A LONG CHORD WHICH BEARS N 42° 21' 09" W, 430.90 FEET; S 59° 42' 35" W, 120.15 FEET TO THE BEGINNING OF A CURVFE TO THE RIGHT; WITH SAID CURVE TO THE RIGHT, AN ARC DISTANCE OF 45.85 FEET, THROUGH A CENTRAL ANGLE OF 02° 17' 04", HAVING A RADIUS OF 1150.00 FEET, AND A LONG CHORD WHICH BEARS N 29° 08' 53" W, 45.85 FEET; S 61° 59' 39" W, 50.00 FEET TO THE BEGINNING OF A CURVE TO THE LEFT; WITH SAID CURVE TO THE LEFT, AN ARC DISTANCE OF 32.90 FEET, THROUGH A CENTRAL ANGLE OF 01° 34' 15", HAVING A RADIUS OF 1200.00 FEET, AND A LONG CHORD WHICH BEARS S 28° 47' 28" E, 32.90 FEET; S 57° 16' 20" W, 66.93 FEET; S 58° 06' 52" W, 47.94 FEET; S 55° 47' 22" W, 49.81 FEET; S 56° 58' 45" W, 50.71 FEET; S 61° 16' 50" W, 59.24 FEET; S 66° 36' 18" W, 49.56 FEET; S 70° 47' 30" W, 41.34 FEET; S 75° 20' 06" W, 60.71 FEET; S 81° 10' 42" W, 54.72 FEET; S 84° 17' 59" W, 91.31 FEET; S 89° 15' 16" W, 160.00 FEET; SHERLEY TRACT PID NO. 2 82 SERVICE AND ASSESSMENT PLAN N 01° 44' 03" E, 23.48 FEET; N 01° 44' 03" E, 104.07 FEET; S 88° 15' 57" E, 10.50 FEET; N 01° 44' 03" E, 50.00 FEET; N 88° 15' 57" W, 109.33 FEET; N 01° 44' 03" E, 130.00 FEET; N 00° 53' 08" E, 401.03 FEET; N 68° 31' 37" E, 311.47 FEET; N 27° 44' 36" E, 271.58 FEET; N 78° 55' 21" E, 359.52 FEET; N 89° 19' 48" E, 60.00 FEET; N 89° 19' 48" E, 369.75 FEET TO THE WEST LINE OF SAID URBAN CROSSING; THENCE S 00° 05' 05" E, 5.70 FEET TO THE POINT OF BEGINNING AND CONTAINING 1,931,085 SQUARE FEET OR 44.332 ACRES MORE OR LESS SHERLEY TRACT PID NO. 2 83 SERVICE AND ASSESSMENT PLAN APPENDIX A — ENGINEER'S REPORT [Remainder of page left intentionally blank.] SHERLEY TRACT PID NO. 2 84 SERVICE AND ASSESSMENT PLAN P E L O T O N F RISC OFFICE 1 1000 Frisco St. Suite 400 _ Frisco, Texas 75033 I I L A N D S O L U T I O N S 469.213.1800 TBPLS10194468 May 19, 2021 Engineer's Report Sherley Tract PID #2 The Villages of Hurricane Creek - North SW Corner of US 75 & Rosamond Parkway City of Anna/Anna ETJ Introduction: The Sherley Tract PID #2 (Villages of Hurricane Creek - North) is a mixed -use development consisting of approximately 911 single-family residential lots (992 total units), 530 multi -family units, 27.8 acres of commercial, and an estimated 38.8 acres of dedicated open space as depicted on Exhibit A. The parcel is located at the southwest corner of US Highway 75 and future Rosamond Parkway; it is directly north of the existing Hurricane Creek project. This Engineer's Report includes the documents requested by the City of Anna for the formation of the Public Improvement District (PID) and the issuance of bonds by the City. Bonds are anticipated to be used to finance public infrastructure projects vital for the development within the PID. Development Costs: An Engineer's Opinion of Probable Cost has been prepared for all on -site and off -site infrastructure (Exhibit B). Development Improvements: Development Improvements have been classified as Master Infrastructure, PID Improvements, and Private Costs. Master Improvements and PID Improvement items will be included in the PID. PID Improvements for Improvement Area # 1 (Phase 1 of the development) are shown on Exhibits C through G; Master Improvements are shown on Exhibits H through J. Development Schedule: Entitlements are in place for the project; Phase 1 construction plans are under review by the City. We anticipate starting construction of the utilities to serve IA # 1 in July 2021 with final acceptance in February 2022. ............................. MARC P. PAQUETTE 84936 , F01 S TEF;�.-" AAW FORT WORTH 1 FRISCO I AUSTIN 1 LAS VEGAS PELOTONLAND.COM _PELOTON EXHIBIT IMPROVEMENT AREA #1 CONCEPT PLAN I I LAND SOLUTIONS MAY17,2021 SHERLEY TRACT PID #2 911 TOTAL LOTS 201.9 SINGLE FAMILY ACRES (NET) OPINION OF PROBABLE COST SHERLEY TRACT PID #2 VILLAGES OF HURRICANE CREEK - NORTH City of Anna & Anna ETJ, Collin County, Texas CONSTRUCTION COSTS Prepared For: Date: File Name: Prepared by: Checked by: CEN 18001 MM Anna 325, LLC May 20, 2021 20210519 VHC-NORTH ENG REPORT OPC MPP/CJB MPP SUMMARY MI Costs PID Costs Private Costs Total Costs DESCRIPTION Phase 1 Future Total Phase 1 Future Total Phase 1 Future Total 1 - Earthwork 2 - Retaining Walls $102,967 $348,042 $451,009 $315,611 $469,391 $785,002 $586,134 $871,726 $1,457,861 $2,693,872 $0 $0 $0 $0 $0 $0 $803,340 $930,525 $1,733,865 $1,733,865 3 - Water $621,765 $1,194,893 $1,816,658 $1,130,975 $1,201,423 $2,332,398 $0 $0 $0 $4,149,055 4 - Sanitary Sewer $281,025 $220,025 $501,050 $1,515,886 $1,262,810 $2,778,696 $0 $0 $0 $3,279,746 5 - Storm $653,700 $1,427,130 $2,080,830 $928,453 $909,803 $1,838,255 $0 $0 $0 $3,919,085 6 - Paving $1,456,472 $3,105,773 $4,562,245 $3,802,998 $1,691,353 $5,494,351 $0 $0 $0 $10,056,596 7 - Street Lights & Signs $114,263 $129,350 $243,613 $2,200 $17,600 $19,800 $0 $0 $0 $263,413 8 - Screen Walls & Entry Monument $0 $0 $0 $0 $0 $0 $486,550 $818,500 $1,305,050 $1,305,050 9 - Landscaping & Irrigation $0 $0 $0 $0 $0 $0 $807,180 $103,400 $910,580 $910,580 10 - Amenities $0 $550,000 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 11 - District Formation $550,000 I $0 $0 $0 1 $550,000 TOTAL CONSTRUCTION COSTS $3,780,191 $6,425,213 $10,205,404 $7,696,122 $5,552,379 $13,248,501 1 $2,683,204 $2,724,151 $5,407,356 1 $28,861,261 MISCELLANEOUS COSTS DESCRIPTION QTY UNIT Phase 1 Future Total Phase 1 Future Total Phase 1 Future Total Total Costs Entitlements, Dev Agmt, District Creation 1 LOT $122,255 $100,940 $223,195 $0 $0 $0 $0 $0 $0 $223,195 Eng & Surveying (Ph. 1 is per contract) 1 LS $338,805 $767,311 $1,106,116 $842,985 $792,559 $1,635,544 $93,665 $103,868 $197,533 $2,939,192 LOMR (Assumes 2 required) 1 LS $0 $78,000 $78,000 $0 $0 $0 $0 $0 $0 $78,000 FEMA LOMR Fees (Assumes 2 required) 1 LS $0 $16,500 $16,500 $0 $0 $0 $0 $0 $0 $16,500 SWPPP (plan preparation & inspections) 1 LS $12,500 $9,000 $21,500 $9,500 $6,000 $15,500 $9,500 $6,000 $15,500 $52,500 Preliminary Platting Fee 1 LS $3,145 $2,385 $5,530 $0 $0 $0 $0 $0 $0 $5,530 Final Platting Fee 1 LS $3,145 $2,385 $5,530 $0 $0 $0 $0 $0 $0 $5,530 Maintenance Bond (2% of Pvg & Util Contracts) 2% % $54,880 $113,340 $168,220 $136,940 $101,310 $238,250 $0 $0 $0 $406,470 Engineering Review Fee 1 LS $5,000 $2,500 $7,500 $0 $0 $0 $0 $0 $0 $7,500 Inspection Fee 4% % $128,240 $239,770 $368,010 $300,270 $222,090 $522,360 $47,930 $96,250 $144,180 $1,034,550 Geotechnical Testing (10% of Earthwork) 10% % $46,750 $34,800 $81,550 $101,510 $46,940 $148,450 $30,660 $87,170 $117,830 $347,830 Cluster Mailboxes 1 LS $0 $0 $0 $0 $44,000 $44,000 $44,000 Landscape & Hardscape Plans 1 LS $0 $0 $40,000 $40,000 $0 $0 $40,000 Franchise Utilities - No cost for gas or electric install 1 LS $0 I $0 I $0 I $0 I $0 I $0 I $0 TOTAL MISC. COSTS $714,720 1 $1,366,931 $2,081,651 1 $1,431,205 1 $1,168,899 $2,600,104 1 $225,755 1 $293,288 $519,043 1 $5,200,797 SUMMARY Construction Costs $3,780,191 $6,425,213 $10,205,404 $7,696,122 $5,552,379 $13,248,501 $2,683,204 $2,724,151 $5,407,356 $28,861,261 Miscellaneous Costs $714,720 $1,366,931 $2,081,651 $1,431,205 $1,168,899 $2,600,104 $225,755 $293,288 $519,043 $5,200,797 3.5% % $157,322 $272,725 $430,047 $319,456 $235,245 $554,701 $101,814 $105,610 $207,424 $1,192,172 -Contingency NET PROJECT COSTS $4,652,230 $8,064,870 $12,717,100 $9,446,780 $6,956,520 $16,403,310 $3,010,770 $3,123,050 $6,133,820 $35,254,230 Per Acre: $174,612 Per Lot: $38,698 _ EXHIBIT c P E LOTO N IMPROVEMENT AREA #1 ON -SITE STREETS I I LAND SOLUTIONS MAY17,2021 SHERLEY TRACT PID #2 _PELOTON EXHIBIT D IMPROVEMENT AREA #1 ON SITE SANITARY SEWER I I LAND SOLUTIONS MAY17,2021 SHERLEY TRACT PID #2 _PELOTON EXHIBIT E IMPROVEMENT AREA #1 ON SITE STORM DRAIN I I LAND SOLUTIONS MAY17,2021 SHERLEY TRACT PID #2 _ P E LOTO N EXHIBIT F IMPROVEMENT AREA #1 ON SITE WATER DISTRIBUTION I I LAND SOLUTIONS MAY17,2021 SHERLEY TRACT PID #2 _ EXHIBIT G P E LOTO N MAJOR IMPROVEMENTS ROADWAY I I LAND SOLUTIONS MAY17,2021 SHERLEY TRACT PID #2 _PELOTON EXHIBIT H MAJOR IMPROVEMENTS SANITARY SEWER I I LAND SOLUTIONS MAY17,2021 SHERLEY TRACT PID #2 _ P E LOTO N EXHIBIT MAJOR IMPROVEMENTS STORM SEWER I I LAND SOLUTIONS MAY17,2021 SHERLEY TRACT PID #2 _ P E LOTO N EXHIBIT J MAJOR IMPROVEMENTS WATER I I LAND SOLUTIONS MAY17,2021 SHERLEY TRACT PID #2