Local Building Authority for Zion Mountain Local Service District - Public Hearing
Notice Type(s)
Notice
Event Start Date & Time
June 16, 2025 05:00 PM
Event End Date & Time
June 16, 2025 05:30 PM
Description/Agenda
NOTICE OF PUBLIC HEARING AND BONDS TO BE ISSUED
PUBLIC NOTICE IS HEREBY GIVEN that pursuant to the Local Government Bonding Act, Title 11, Chapter 14, Utah Code Annotated 1953, as amended and the Local Building Authority Act, Title 17D, Chapter 2, Utah Code Annotated 1953, as amended (collectively, the 'Act'), on May 28, 2025, the Board of Trustees (the 'Governing Board') of the Local Building Authority of Zion Mountain Local Service District, Utah (the 'Authority') adopted a resolution (the 'Resolution') declaring its intention to issue its Lease Revenue Bonds, Series 2025 (to be issued in one or more series and with such other or further designation(s) as the Authority may determine) (the 'Bonds') and calling a public hearing to receive input from the public with respect to the issuance of the Bonds.
TIME, PLACE AND LOCATION OF PUBLIC HEARING
The Authority shall hold a public hearing on June 16, 2025, at the hour of 5:00pm. The location of the public hearing is 9065 West Highway 9, Mt. Carmel, Utah. The purpose of the hearing is to receive input from the public with respect to (i) the proposed issuance of the Bonds and (ii) any potential economic impact that the improvements, facility or property financed in whole or in part with the proceeds of the Bonds may have on the private sector. All members of the public are invited to attend and participate.
PURPOSE FOR ISSUING THE BONDS
The Bonds will be issued for the purpose of (a) financing a portion of the costs of the construction of a visitor center at the East entrance to Zion National Park and all related improvements (the 'Series 2025 Project') and (b) paying issuance expenses of the Bonds.
PARAMETERS OF THE BONDS
The Authority intends to issue the Bonds in the principal amount of not to exceed Six Million Five Hundred Thousand Dollars ($6,500,000), to bear interest at the rate or rates of not to exceed two and a half percent (2.50%) per annum, to mature in not more than thirty-two (32) years from their date or dates of issuance, and to be sold at a price not less than ninety-eight percent (98%) of the total principal amount thereof, plus accrued interest to the date of delivery.
The Bonds are to be issued and sold by the Authority pursuant to the Resolution, including as part of said Resolution, forms of a Master Resolution as supplemented by a Supplemental Master Resolution (together, the 'Master Resolution'), a Master Lease Agreement as amended and supplemented by a First Amendment to Master Lease Agreement (together, the 'Master Lease'), a Ground Lease Agreement as amended by an Amendment to Ground Lease Agreement (together, the 'Ground Lease') and certain Security Documents (the 'Security Documents'), which were before the Governing Board and attached to the Resolution at the time of the adoption of the Resolution and said Master Resolution, Master Lease, Ground Lease and Security Documents are to be executed by the Authority in such form and with such changes thereto as shall be approved by the Authority; provided that the principal amount, interest rates, maturity, and discount of the Bonds will not exceed the maximums set forth above.
Copies of the Resolution, Master Resolution, Master Lease, the Ground Lease, and Security Documents are on file in the office of the Zion Mountain Local Service District (the 'District') located at 9065 West Highway 9, Mt. Carmel, Utah, where they may be examined during regular business hours of the District from 8:00 a.m. to 5:00 p.m. Monday through Friday, for a period of at least thirty (30) days from and after the date of publication of this notice.
SECURITY FOR THE BONDS
This Bonds are to be issued under and secured by and entitled to the protection of the Master Resolution, pursuant to which all base rentals payable by the District under the Master Lease and, if paid by the District, the Purchase Option Price, are assigned to secure the payment of principal of, interest on, and premium, if any, on the Bonds. Additionally, a security interest in the Series 2025 Project shall be granted to the holders of the Bonds pursuant to the Master Lease, to further secure the Authority's obligations under the Master Resolution.
OUTSTANDING BONDS SECURED BY LEASE REVENUES
The Authority currently has $15,550,000 of bonds outstanding secured by lease revenues.
OTHER OUTSTANDING BONDS OF THE ISSUER
Information regarding the Authority's outstanding bonds may be found in the District's financial report (the 'Financial Report') at: https://reporting.auditor.utah.gov/searchreports/s/. For additional information, including any information more recent than as of the date of the Financial Report, please contact the Secretary-Treasurer of the Authority at (702) 870-1559.
TOTAL ESTIMATED COST
Based on the District's current Series 2025 Project plan of finance and a current estimate of interest rates, the total principal and interest cost of the Bonds if held until maturity is $8,590,200.
NOTICE IS HEREBY 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 (i) any person in interest shall have the right to contest the legality of the Master Resolution, Master Lease or Security Documents, or any provision made for the security and payment of the 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; and (ii) active voters (as defined in Section 20A-1-102 of the Utah Code) within the District may sign a written petition requesting an election to authorize the issuance of the Bonds. If written petitions which have been signed by at least twenty percent (20%) of the active voters of the District are filed with the Authority during said thirty (30) day period, the Authority shall be required to hold an election to obtain voter authorization prior to the issuance of the Bonds. If fewer than twenty percent (20%) of the active voters of the District file a written petition during said thirty (30) day period, the Authority may proceed to issue the Bonds without an election.
DATED this May 28, 2025.
/s/ Kevin McLaws
Secretary-Treasurer
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 Kevin McLaws (435)648-2555