Res 2015-146/Trace PID Finance Agreement

Home Browse Search

Improvement PID Bonds The Major Public Improvements to be constructed and funded in connection with the Major Public Improvement PID Bonds are more particularly described on Exhibit "D" attached hereto. Additional Public Improvements No. 1 to be constructed and funded in connection with the Additional Improvement PID Bond No. 1 are more particularly described on Exhibit "F -1" attached hereto. The Additional Public Improvements No. 2 to be constructed and funded in connection with the Additional Improvement PID Bond No. 2 are more particularly described on Exhibit "F -2" attached hereto. Section 5.06. Phased Issuance of Debt As previously stated, the proposed bond issuance program is anticipated to entail a series of bond financings that will finance the Public Improvements required for the development of the Project. This financing will be undertaken in phases to coincide with the private investment and development of the Public Improvements. Following the issuance of the Major Public Improvement PID Bonds, Additional Improvement PID Bonds No. 1, and Additional PID Bonds No. 2 may be issued over the upcoming years as the subsequent phases of the Project are constructed. The purpose of this phased issuance of any Additional Improvement PID Bonds is to mirror the actual private development of the Public Improvements. The Additional Improvement PID Bonds to be issued are most prudently and efficiently utilized when directly coinciding with construction of public infrastructure needed for private development that is to occur once the infrastructure is completed; it is most effective to issue the Additional Improvement PID Bonds when the infrastructure is needed, not before. Furthermore, there is no economic advantage, and several disadvantages, to issuing debt and encumbering property within the District prior to the need for the Public Improvements. Section 5.07. Phased Assessments On the Effective Date, the Parties recognize that it is not possible to determine with sufficient certainty the amount of special benefit each Parcel within the District will receive from Public Improvements that are to be financed with the PID Bonds. Therefore, until the Service and Assessment Plan is approved, Parcels will not be assessed. Once the Service and Assessment Plan has been approved, the Parcels will only be assessed for the special benefits conferred upon the Parcel because of the Major Public Improvements and Parcels within Additional Improvement Area No. 1 will only be assessed for the special benefits conferred upon the Parcel because of Additional Public Improvements No. 1 (in addition to the Special Assessments previously levied for Major Public Improvements), and Parcels within Additional Improvement Area No. 2 will only be assessed for the special benefits conferred upon the Parcel because of Additional Public Improvements No. 2 (in addition to the Special Assessments previously levied for Major Public Improvements). It is hereby acknowledged and agreed that Additional Improvement PID Bonds may be covered under a new and separate Indenture; however all of the Special Assessments pledged for the payment of any future PID Bonds will have the same lien priority as the Special Assessments 15