GRAPEVINE WASH LOCAL DISTRICT DESIGNATION RESOLUTION
Notice Tags
Resolutions
Notice Type(s)
Notice
Event Start Date & Time
July 2, 2024 05:36 PM
Description/Agenda
GRAPEVINE WASH ASSESSMENT AREA NO. 1
DESIGNATION RESOLUTION
DATED AS OF June 25, 2024
1
DESIGNATION RESOLUTION
WHEREAS, the Board of Trustees (the 'Board') of the Grapevine Wash Local District
(the 'District'), adopted Resolution No. 2024-__ on June 25, 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 Grapevine Wash Local 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 Special District Act, Title 17B, Chapter 1, including Part 14
of the Utah Code Annotated 1953, as amended (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, including the payment
of installments over a period of not to exceed 30 years, (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
'Grapevine Wash Assessment Area No. 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 within the 'Certificate of Project Engineer,' attached hereto as Exhibit D. The
District plans to finance the costs of publicly owned infrastructure, facilities or systems as part of
an approximately 345-acre residential and commercial development (the 'Development'). The
2
4866-3826-6553, v. 5
District plans to issue Limited Tax General Obligation Bonds (the 'Limited Tax Bonds') and
obtain other forms of financing to finance a portion of the improvements within the Development
and levy the assessments to finance the remainder of the Improvements within the Development.
The District may elect in the future to issue more Limited Tax Bonds and accordingly reduce the
assessments to finance the Improvements. The Improvements are more particularly described as
follows:
the acquisition, construction, and operation of parks or recreation facilities or
services; the acquisition, construction, and operation of a system, or one or more
components of a system, or one or more components of a system, for the collection, storage,
retention, control, conservation, treatment, supplying, distribution, or reclamation of water,
including storm, flood, sewage, irrigation, and culinary water the construction and
maintenance of rights-of-way, for curb, gutter, sidewalk, street, road, water, sewage, storm
drain, electricity, communications, and /or natural gas improvements within the District,
together with necessary facilities, appurtenances, and equipment, therefore.
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 (50) 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, costs of funding reserves, and debt issuance costs,
is estimated at $69,714,027 of which $55,333,000 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 a portion of 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 6.750% 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 the
reserve fund will be initially funded with proceeds of 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 residential areas and related properties (the 'Residential
Zone'), pursuant to an equivalent residential unit ('ERU') methodology (the 'ERU
Methodology') and (b) for the commercial areas and related properties (the 'Commercial Zone'
and together with the Residential Zone, each an 'Assessment Zone' and collectively, the
3
4866-3826-6553, v. 5
'Assessment Zones'), on a per acre methodology (the 'Acreage Methodology'), each as further
described below:
Residential Zone
Assessment Assessment Methodology Total ERUs Assessment Per ERU
$49,945,400 ERU Methodology 829.14 $60,237.76
Commercial Zone
Assessment Assessment Methodology Total Acres Assessment Per Acre
$5,387,600 Acreage Methodology 35.0 $153,931.43
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 Clerk/Secretary 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
4
4866-3826-6553, v. 5
completion of this Resolution, the Clerk/Secretary shall (i) record an original or certified copy of
this designation resolution with Washington County and (ii) where applicable, file with the
Washington County Recorder a notice of proposed assessment.
Section 12. If the Bonds have not been issued by September 30, 2024 (the 'Closing
Deadline'), the Board hereby instructs the District to record a notice within fourteen (14) days
following the Closing Deadline, releasing the properties to be assessed from the lien of the
assessments. Notwithstanding the foregoing, the Closing Deadline may be extended or waived by
written consent of the Owners.
S-1
DESIGNATION RESOLUTION
Dated as of June 25, 2024.
GRAPEVINE WASH LOCAL DISTRICT
By:
Chair, Board of Trustees
ATTEST:
By:
Clerk/Secretary
DocVerify ID: FFF1F834-66FE-43A5-B041-FBA8D66E9696
www.docverify.com
FFF1F834-66FE-43A5-B041-FBA8D66E9696 --- 2024/07/02 13:01:14 -7:00 --- Remote Notary
Page 6 of 80 6FBA8D66E9696
6A2664202C26
Signed on 2024/07/02 13:33:24 -7:00
Michael Jensen
S-2
DESIGNATION RESOLUTION
4866-3826-6553, v. 5
STATE OF UTAH )
: ss.
COUNTY OF WASHINGTON )
The foregoing instrument was acknowledged before me this _________________,
by Jon Richter, the Chair of the Board of Trustees of the Grapevine Wash Local District
(the 'District'), who represented and acknowledged that s/he signed the same for and on behalf
of the District.
NOTARY PUBLIC
STATE OF UTAH )
: ss.
COUNTY OF WASHINGTON )
The foregoing instrument was acknowledged before me this _________________,
by Michael Jensen, the Clerk/Secretary of the Grapevine Wash Local District (the
'District'), who represented and acknowledged that s/he signed the same for and on behalf of
the District.
NOTARY PUBLIC
DocVerify ID: FFF1F834-66FE-43A5-B041-FBA8D66E9696
www.docverify.com
FFF1F834-66FE-43A5-B041-FBA8D66E9696 --- 2024/07/02 13:01:14 -7:00 --- Remote Notary
Page 7 of 80 7FBA8D66E9696
Notarial act performed by audio-visual communication
07/02/2024
DocVerify
R A KILLPACK
NOTARY PUBLIC
STATE OF UTAH
Commission # 726900
My Comm Exp. Sep 26, 2026
Notary Stamp 2024/07/02 14:33:24 PST 577D0C8EB12F
577D0C8EB12F
Signed on 2024/07/02 13:33:24 -7:00
4866-3826
Notice of Special Accommodations (ADA)
In compliance with the Americans with Disabilities Act, individuals needing special accommodations (including auxiliary communicative aids and services) during this meeting should notify Brian Hickman at 435-632-8200.