General Information

Government Type

Municipality

Entity

Lehi

Public Body

City Council

Notice Information

Add Notice to Calendar

Notice Title

Notice of Public Hearing and Bonds to be Issued

Notice Tags

Bonds

Notice Type(s)

Notice, Hearing

Event Start Date & Time

April 8, 2025 07:00 PM

Description/Agenda

NOTICE OF PUBLIC HEARING AND BONDS TO BE ISSUED NOTICE IS HEREBY GIVEN pursuant to the provisions of the Local Government Bonding Act, Title 11, Chapter 14, Utah Code Annotated 1953, as amended (the 'Act'), that on March 18, 2025, the City Council (the 'Council') of Lehi City, Utah (the 'Issuer'), adopted a resolution (the 'Resolution') in which it authorized the issuance of the Issuer's Franchise and Sales Tax Revenue Bonds, Series 2025 (the 'Series 2025 Bonds') (to be issued in one or more series and with such other series or title designation(s) as may be determined by the Issuer), and called a public hearing to receive input from the public with respect to (a) the issuance of the Series 2025 Bonds under the Act and (b) any potential economic impact that the Series 2025 Project (defined below) to be financed with the proceeds of the Series 2025 Bonds issued under the Act may have on the private sector. PURPOSE, TIME, PLACE AND LOCATION OF PUBLIC HEARING The Issuer shall hold a public hearing on April 8, 2025, at the hour of 7:00 pm. at 153 North 100 East, Lehi City, Utah. The purpose of the hearing is to receive input from the public with respect to (a) the issuance of the Series 2025 Bonds under the Act and (b) any potential economic impact that the Series 2025 Project to be financed with the proceeds of that portion of the Series 2025 Bonds issued under the Act may have on the private sector. All members of the public are invited to attend and participate. PURPOSE FOR ISSUING THE SERIES 2025 BONDS The Series 2025 Bonds will be issued for the purpose of (a) financing all or a portion of a fiber telecommunications system (the 'System') and any related improvements (the 'Series 2025 Project'); (b) funding any debt service reserve funds, as necessary; (c) paying any capitalized interest; and (d) paying costs of issuance of the Series 2025 Bonds. PARAMETERS OF THE SERIES 2025 BONDS The Issuer intends to issue the Series 2025 Bonds in the aggregate principal amount of not more than twenty million dollars ($20,000,000), to mature in not more than thirty (30) years from their date or dates, to be sold at a price not less than ninety-seven percent (97%) of the total principal amount thereof, and to bear interest at a rate or rates not to exceed six (6%) per annum. The Series 2025 Bonds are to be issued and sold by the Issuer pursuant to the Resolution, including as part of said Resolution, a General Indenture of Trust dated March 1, 2021 (the 'General Indenture'), and a Second Supplemental Indenture (the 'Supplemental Indenture' and together with the General Indenture, the 'Indenture'), which were before the Council in substantially final form at the time of the adoption of the Resolution and said Indenture is to be executed by the Issuer in such form and with such changes thereto as shall be approved by the Issuer; provided that the principal amount, interest rate or rates, maturity, and discount of the Series 2025 Bonds will not exceed the maximums set forth above. The Issuer reserves the right to not issue the Series 2025 Bonds for any reason and at any time up to the issuance of the Series 2025 Bonds. REVENUES PROPOSED TO BE PLEDGED The Issuer proposes to pledge all or any portion of the (a) Municipal Energy Sales and Use Tax revenues received by the Issuer pursuant to Title 10, Chapter 1, Part 3, Utah Code Annotated 1953, as amended, (the 'Energy Sales and Use Tax Revenues'), and (b) net network revenues from fees charged to users of the System pledged by the Issuer to the trustee pursuant to a Net Network Revenue Pledge Agreement (the 'Net Network Revenues'). The Issuer further proposes to pledge a portion of its local sales and use tax revenues received by it pursuant to the Local Sales and Use Tax Act, Title 59, Chapter 12, Part 2 of the Utah Code Annotated 1953, as amended, of up to 50% of the aggregate annual debt service on the Series 2025 Bonds pursuant to a Sales Tax Pledge Agreement between the Issuer and trustee dated April 1, 2025 (the 'Local Sales and Use Tax Revenues') a General Sales Tax Indenture dated December 1, 2003 (the 'General Sales Tax Indenture'), a Supplemental Sales Tax Indenture dated April 1, 2025 (the 'Supplemental Sales Tax Indenture' and together with the General Sales Tax Indenture, the 'Sales Tax Indenture')(The Energy Sales and Use Tax Revenues, the Net Network Revenues, and the Local Sales and Use Tax Revenues shall hereafter collectively be referred to as (the 'Pledged Revenues')). OUTSTANDING BONDS SECURED BY PLEDGED REVENUES The Issuer currently has $72,570,000 of bonds outstanding secured by the Pledged Revenues. OTHER OUTSTANDING BONDS OF THE ISSUER Additional information regarding the Issuer's outstanding bonds may be found in the Issuer's financial report (the 'Financial Report') at: https://reporting.auditor.utah.gov/SearchReport. For additional information, including any information more recent than as of the date of the Financial Report, please contact Dean Lundell, Finance Director at (385) 201-2289. TOTAL ESTIMATED COST OF BONDS Based on the Issuer's current plan of finance and a current estimate of interest rates, the total principal and interest cost of the Series 2025 Bonds to be issued under the Act to finance the Series 2025 Project, if held until maturity, is [$31,462,000]. A copy of the Resolution, Indenture and the Sales Tax Indenture are on file in the office of the Lehi City Recorder, 153 North 100 East, Lehi City, Utah where they may be examined during regular business hours of the City Recorder from 7:00 a.m. to 6:00 p.m. Monday through Thursday, for a period of at least thirty (30) days from and after the date of publication of this notice. NOTICE IS FURTHER GIVEN that a period of thirty (30) days from and after the date of the publication of this notice is provided by law during which any person in interest shall have the right to contest the legality of the Resolution, the Indenture or Sales Tax Indenture, or the Series 2025 Bonds, or any provision made for the security and payment of the Series 2025 Bonds, and that after such time, no one shall have any cause of action to contest the regularity, formality, or legality thereof for any cause whatsoever. DATED this March 18, 2025. /s/ Teisha Wilson City Recorder

Notice of Special Accommodations (ADA)

In compliance with the Americans with Disabilities Act, persons in need of special accommodations should contact the City Recorder at 768-7100 ext. 2254.

Notice of Electronic or Telephone Participation

N/A

Meeting Information

Meeting Location

153 N 100 E
Lehi, UT 84043
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Contact Name

Teisha Wilson

Contact Email

twilson@lehi-ut.gov

Contact Phone

(385)201-2269

Notice Posting Details

Notice Posted On

March 24, 2025 03:09 PM

Notice Last Edited On

March 24, 2025 03:09 PM

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