Designation Resolution for Iron Horse Public Infrastructure District
Notice Tags
Resolutions
Notice Type(s)
Notice
Event Start Date & Time
May 2, 2024 02:55 PM
Description/Agenda
IRON HORSE PUBLIC INFRASTRUCTURE DISTRICT
IRON HORSE ASSESSMENT AREA #1
DESIGNATION RESOLUTION
DATED AS OF APRIL 24, 2024
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DESIGNATION RESOLUTION
WHEREAS, the Board of Trustees (the 'Board') of the Iron Horse Public Infrastructure
District (the 'District'), adopted Resolution No. 2024-08 on April 24, 2024, pursuant to which the
Board authorized and approved the form of this Designation Resolution; and
BE IT RESOLVED by the Board of Trustees of the Iron Horse Public Infrastructure
District, as follows:
Section 1. The Board hereby determines that it will be in the best interest of the District
to designate an area to finance the costs of publicly owned infrastructure, facilities or systems more
specifically described in Section 4 herein, along with other necessary miscellaneous
improvements, and to complete said improvements in a proper and workmanlike manner
(collectively, the 'Improvements'). The Board hereby determines that it is in the best interest of
the District to levy assessments against properties benefited by the Improvements to finance the
costs of said Improvements. The Board hereby finds that pursuant to the Act, the Improvements
constitute a publicly owned infrastructure, facility or system that (i) the District is authorized to
provide or (ii) is necessary or convenient to enable the District to provide a service that the District
is authorized to provide.
Section 2. Pursuant to the Assessment Area Act, Title 11, Chapter 42, Utah Code
Annotated 1953, as amended and the Public Infrastructure District Act, Title 17D, Chapter 4 of
the Utah Code (together, the 'Act'), the owners (the 'Owners') of all properties to be assessed
within the designated assessment area have voluntarily waived, among other things, all notice and
hearing requirements, the right to contest or protest, and the right to have a board of equalization
appointed as set forth in the Act, and have consented to (a) the levy of an assessment against their
property for the benefits to be received from the Improvements, (b) the designation of the
assessment area as herein described, (c) the financing of the Improvements by the District through
the issuance of assessment bonds, (d) the acquisition and/or construction of the Improvements, and
(e) the method and estimated amount of assessment as set forth herein in accordance with the
Acknowledgment, Waiver and Consent Agreement attached hereto as Exhibit A. The properties
to be assessed are identified by legal description in Exhibit B attached hereto.
Section 3. The District hereby designates an assessment area which shall be known as
the 'Iron Horse Assessment Area #1' (the 'Assessment Area'). A map and depiction of the
Assessment Area is attached hereto as Exhibit C. The District received an appraisal of the
unimproved property (from an appraiser who is a member of the Appraisal Institute) and addressed
to the District verifying that the market value of the property, after completion of the
Improvements, is at least three times the amount of the assessments proposed to be levied against
the unimproved property.
Section 4. The Improvements shall be generally located in and around the map and
depiction area attached hereto as Exhibit C. The District plans to finance the costs of publicly
owned infrastructure, facilities or systems as part of an approximately 1,377-acre residential and
commercial development (the 'Iron Horse Development'). The District plans to levy the
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assessments to finance the Improvements within the Iron Horse Development. The Improvements
are more particularly described as follows:
-Sewer mains, manholes and manhole linings, sewer cleanouts, and laterals
(various sizes).
-Water mains, valves, tees/crosses, bends, thrust bonds, fire hydrants, blow offs and
appurtenances (various sizes).
-Roads and roadway improvements including, but not limited to, curbs, gutters,
sidewalks, street signage, centerline monuments, conduit crossings, street striping,
streetlights, and mailboxes.
-Storm drainpipes, junction boxes, inlets, culverts, trash racks, riprap, and
geotextile fabric.
-Amenities, including parks, trails, and related improvements.
As further engineering, costs, efficiencies, or any other issues present themselves, the
District hereby reserves the right to approve reasonable changes to the allocation of expenditures
described above and the location and specifications of the Improvements (but not to the
Improvements) without obtaining the consent of the property owners within the Assessment Area.
Section 5. Pursuant to the Act, the Board has determined to levy assessments to pay
the cost of the Improvements. The assessments are assessed against properties in a manner that
reflects an equitable portion of the benefit of the Improvements as required by the Act (and in any
event the Owners have consented to such manner without reservation) and shall be payable in
annual installments as set forth in the Assessment Ordinance. The District has determined that the
reasonable useful life of the Improvements is at least fifty years and that it is in the District and
the Owners' best interest for certain property owner installments to be paid for over up to thirty
(30) years.
Section 6. The total acquisition and/or construction cost of the Improvements,
including estimated overhead costs, administrative costs, and debt issuance costs, is estimated at
$15,000,000, of which is anticipated to be paid by assessments to be levied against the properties
within the Assessment Area to be benefited by such Improvements, which benefits need not
actually increase the fair market value of the properties to be assessed. The District expects to
finance the cost of the Improvements by issuing assessment bonds (the 'Bonds'). The District
currently estimates selling the Bonds at a true interest cost interest rate of approximately 6.25%
per annum, maturing within thirty (30) years of their date of issuance. Inasmuch as bonds have
not been issued, the District notes that the interest rate and annual payment are only as estimated
and not a cap or maximum amount. It is anticipated that a reserve fund will not be funded in
connection with the Bonds. The estimated cost of Improvements to be assessed against the
benefited properties within the Assessment Area will initially be assessed as follows: (a) for the
platted lots properties (the 'Residential Zone'), pursuant to an equivalent residential unit ('ERU')
methodology (the 'ERU Methodology') and (b) for the vacant lot properties (the 'Excess Property
Zone'), on a per acre methodology (the 'Acreage Methodology'), each as further described below:
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Residential Zone
Assessment Assessment Methodology Total ERUs
Assessment
Per ERU
$8,700,000 ERU Methodology 397.8 $21,870.29
Excess Property Zone
Assessment Assessment Methodology Total Acres Assessment Per Acre
$6,300,000 Acreage Methodology 700 $9,000.00
Section 7. As set forth in the Assessment Ordinance, the assessment methodology
may, under certain circumstances, be altered in the future.
Section 8. The Board intends to levy assessments as provided in the Act on all parcels
and lots of real property within the Assessment Area to be benefited by the Improvements, and the
Owners of which have executed the Acknowledgment, Waiver and Consent Agreement described
in Section 2 herein. The purpose of the assessment and levy is to finance the cost of the
Improvements, which the District will not assume or pay. The existing planning and zoning
conditions of the District shall govern the development in the Assessment Area.
The Owners have waived the right to prepay the assessment without interest within twentyfive
(25) days after the ordinance levying the assessments becomes effective. A property owner
may prepay the assessment as provided in the Assessment Ordinance. The assessments shall be
levied against properties in a manner that reflects an equitable portion of the benefit of the
Improvements as required by the Act, and in any case, the Owners have consented to such
methodology as provided in Section 11-42-409(5) of the Act. Other payment provisions and
enforcement remedies shall be in accordance with the Act.
A map of the Assessment Area and the location of the Improvements and other related
information are on file in the office of the Secretary/Clerk who will make such information
available to all interested persons.
Section 9. The District will collect the Assessments by directly billing each property
owner rather than inclusion on a property tax notice.
Section 10. A professional engineer has prepared a 'Certificate of Project Engineer,'
attached hereto as Exhibit D, which, among other things, identifies the Improvements to be
constructed and installed and is available upon request from the District. The findings and
determinations set forth in this Resolution are based, in part, upon said Certificate of Project
Engineer.
Section 11. The provisions of the Assessment Ordinance shall govern the levy, payment
and applicable provisions regarding the assessments notwithstanding anything contained herein to
the contrary. As required by Section 11-42-206(3) of the Act, within fifteen (15) days of the
completion of this Resolution, the Secretary/Clerk shall (i) record an original or certified copy of
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Notice of Special Accommodations (ADA)
The District complies with the Americans with Disabilities Act by providing accommodations and auxiliary communicative aids and services for all those in need of assistance. Persons requesting these accommodations for public meetings should call Jennifer Gowans at 435-628-3688 at least 24 hours before the meeting.
Notice of Electronic or Telephone Participation
Unless otherwise noted on the posted Agenda, meetings of the Board of Trustees will be held in person. For meetings held via videoconferencing or telephonic communication Trustees and other meeting participants and attendees will be able to participate remotely. Persons requesting video conference or telephonic accommodation for public meetings should call Jennifer Gowans at 435-628-3688 to make arrangements.