HomeMy WebLinkAboutOrdinance - 2022-O0043 - Northwest Passage PID 2022 Amended And Restated Service And Assessment Plan - 03/22/2022First Reading
March 22, 2022
Item No. 8.12
Second Reading
April 12, 2022
Item No. 7.20
ORDINANCE NO. 2022-00043
THE FIRST AMENDED ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF LUBBOCK ADOPTING THE NORTHWEST PASSAGE PUBLIC
IMPROVEMENT DISTRICT (THE "DISTRICT") 2022 AMENDED AND
RESTATED SERVICE AND ASSESSMENT PLAN; REVIEWING
CLASSIFICATIONS FOR THE METHODS OF ASSESSING SPECIAL BENEFITS
FOR THE SERVICES AND IMPROVEMENTS OF PROPERTY IN THE
NORTHWEST PASSAGE PUBLIC IMPROVEMENT DISTRICT; APPROVING,
ADOPTING AND FILING WITH THE CITY SECRETARY THE UPDATED
ASSESSMENT ROLL; CLOSING THE HEARING AND LEVYING 2022
ASSESSMENTS FOR THE COST OF CERTAIN SERVICES AND
IMPROVEMENTS TO BE PROVIDED IN THE DISTRICT DURING FY 2022-23;
FIXING CHARGES AND LIENS AGAINST THE PROPERTY IN THE DISTRICT
AND AGAINST THE OWNERS THEREOF; AND PROVIDING FOR THE
COLLECTION OF THE ASSESSMENT.
WHEREAS, on September 14, 2021, after notice and a public hearing in the manner
required by law, the City Council of the City of Lubbock, Texas (the "City") approved a
resolution authorizing the creation of the Northwest Passage Public Improvement District
(the "District"); and
WHEREAS, on October 26, 2021, after notice and a public hearing conducted in the
manner required by law, the City Council adopted Ordinance No. 2021-00152 (the
"Assessment Ordinance") approving a Service and Assessment Plan (the "Plan") and
Assessment Roll (the "Roll") and the levy of assessments on property in the District.; and
WHEREAS, it is necessary to amend and restate the 2022 Service and Assessment Plan
adopted on October 26, 2021 for the issuance of bonds and update of the Assessment Roll.
The 2022 Amended and Restated Service and Assessment Plan for the District is attached
hereto as "Exhibit A" and incorporated herein; and
WHEREAS, at its regularly scheduled meeting on March 22, 2022, the City Council held
a public hearing to allow interested persons to speak for or against the Amended and
Restated Plan.
WHEREAS, the City Council now desires to amend the Assessment Ordinance and
approve and adopt the 2022 Amended and Restated Service and Assessment Plan and the
updated Roll for the District in conformity with the requirements of the Act.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF LUBBOCK, TEXAS:
SECTION 1: THAT the findings and determinations set forth in the preambles are hereby
incorporated by reference for all purposes.
SECTION 2: THAT the 2022 Amended and Restated Service and Assessment Plan and
updated Assessment Roll attached hereto as "Exhibit A" are hereby approved and adopted.
SECTION 3: THAT the City Council, after review of the Plan, approves the method of
assessing special benefits of services and improvements set forth in the Plan. Terms
relating to property taxes in this ordinance shall be used as defined in Section 1.04 of the
Texas Property Tax Code. In accordance with the Plan, each property owner in the
District identified for assessments in 2022 receives the same amount of service for the
assessment provided. The proposed method of assessment, which specifies included or
excluded classes of assessable property, is based on the net taxable value of the real
property and real property improvements as determined by the Lubbock Central
Appraisal District in accordance with Chapter 25 of the Texas Property Tax Code. Public
rights -of -way are exempt from assessment.
SECTION 4: THAT the City Council hereby approves, adopts and files with the City
Secretary the Roll. The Roll states an estimate of the assessment against each parcel of
land in the District, as determined by the method of assessment set forth in the Plan and
this Ordinance. The City Secretary shall file the Roll in the official City records. The
Roll shall be subject to public inspection.
SECTION 5: THAT the City Council finds that the notice of the City Council's
intention to consider the proposed assessments at a public hearing on March 22, 2022 at
5:00 p.m. in the City Council Chamber, 1314 Avenue K, Lubbock, Texas was published
in the official newspaper of the City of Lubbock, Texas before the 10`h day before the
date of the hearing. The notice stated: (1) the date, time and place of the hearing; (2) the
general nature of the services and improvements; (3) the cost of the services and
improvements; (4) the boundaries of the District; and, (5) that written or oral objections
will be considered at the hearing.
SECTION 6: THAT the City Council finds that City staff mailed to the owners of
property liable for assessment notice of the hearing as the ownership appears on the City
tax roll. The notice contained the information required by the Act. The notice was mailed
before the 10`h day before the date of the hearing to the last known address of the property
owner on the City tax roll. The failure of the property owner to receive notice does not
invalidate the proceeding.
SECTION 7: THAT the City Council finds that the assessments should be made and
levied against the respective parcels of property within the District and against the owners
thereof, and are substantially in proportion to the benefits to the respective parcels of
property by means of the services and improvements in the District for which such
assessments are levied, and further finds that in each case the property assessed is
specially benefited by means of the said services and improvements of the District, and
further finds that the apportionment of costs of the services and improvements is in
accordance with the law in force in this City and the State and in the proceedings of the
city heretofore had with reference to the formation of the District and the imposition of
assessments for said services and improvements are in all respects valid and regular.
SECTION 8: THAT there shall be and is hereby levied and assessed against the parcels
of property within the District, and against the real and true owners thereof (whether such
owners be correctly named or not), the sums of money calculated by applying the
assessment rate to the final 2022 city net taxable value in the manner described in the
assessment attached hereto in Exhibits B and C shown opposite the description of the
respective parcels of property, and the several amounts assessed against the same, and
the owners thereof.
SECTION 9: THAT the several sums above mentioned and assessed against the said
parcels of property and the owners thereof, and interest thereon at the rate per annum
established in Section 9 together with reasonable attorney's fees and costs of collection,
if incurred, are hereby declared to be and are made a first and prior lien against the
property assessed, superior to all other liens and claims except liens and claims for ad
valorem taxes and is a personal liability of and charge against the owners of the property
regardless of whether the owners are named. The lien shall attach on January 1 of each
year to the property to secure the payment of all assessments, penalties, and interest
ultimately imposed for the year on the property, whether or not the assessments are
imposed in the year the lien attaches and shall be effective until the assessment is paid.
The lien is perfected on attachment and perfection requires no further action by the
governing body.
SECTION 10: THAT the assessments levied herein shall be due and payable in full on
receipt of the assessment bill and are delinquent if not paid by January 31, 2023 except
as provided in Sections 31.02(b), 31.03, and 31.04 of the Texas Property Tax Code. A
delinquent assessment incurs a penalty of six percent of the amount of the assessment for
the first calendar month it is delinquent plus one percent for each additional month or
portion of a month the assessment remains unpaid prior to July 1 of the year in which it
becomes delinquent. However, an assessment delinquent on July 1 incurs a total penalty
of twelve percent of the amount of the delinquent assessment without regard to the
number of months the assessment has been delinquent. A delinquent assessment
continues to incur the penalty provided by this section as long as the assessment remains
unpaid, regardless of whether a judgment for the delinquent assessment has been
rendered. That if default be made in the payment of any of the said sums hereby assessed
against said property owners and their property, collection thereof, including costs and
attorney's fees, shall be enforced by the governing body in the same manner that an ad
valorem tax lien against real property may be enforced by the governing body under
Chapters 31, 32, and 33 of the Texas Property Tax Code. The owner of the assessed
property may pay at any time the entire assessment on any lot or parcel, along with any
interest and penalty that has accrued on the assessment.
SECTION 11: THAT all assessments levied are a personal liability and charge against
the real and true owners of the premises described, notwithstanding such owners may not
be named, or may be incorrectly named.
SECTION 12: THAT the assessments herein levied are made and levied under and by
virtue of the terms powers and provisions of the Act, as amended.
SECTION 13: THAT the City may contract with the Lubbock Central Appraisal District
and any competent attorney to collect the assessments and to represent the District to
enforce the collection of delinquent assessments. The attorney's compensation shall be
set in the contract, but the total amount of compensation provided may not exceed twenty
percent (20%) of the amount of delinquent assessment, penalty, and interest collected, as
required in Section 6.03 of the Texas Property Tax Code.
SECTION 14: THAT this Ordinance shall take effect upon passage and execution hereof.
AND IT IS SO ORDERED.
Passed by the City Council on first reading on
March 22, 2022
Passed by the City Council on second reading on April 12, 2022
DANIEL M. POPE, MAYOR
ATTEST:
1� , A'
Retie a Garza, City Secr ar
APPROVED AS TO CONTENT:
//2N L K= =
D. Blu Ko telich, Chief Financial Officer
APPROVED AS TO FORM:
*11iLeisuire, Assistant City Attorney
Ord. Northwest Passage PID A&R SAP 2022
March 22, 2022
Northwest Passage
Public Improvement District
2022 AMENDED & RESTATED SERVICE AND ASSESSMENT PLAN UPDATED FOR THE
ISSUANCE OF BONDS
MARCH 22, 2022
of
Lubbock
TEXAS
TABLE OF CONTENTS
Tableof Contents.......................................................................................................................................... 1
Introduction.................................................................................................................................................. 2
SectionI: Definitions..................................................................................................................................... 3
SectionII: The District................................................................................................................................... 7
Section III: Authorized Improvements..............................................................................................................7
SectionIV: Service Plan.........................................................................................................................................8
SectionV: Assessment Plan..................................................................................................................................
8
Section VI: Terms of the Assessments................................................................................................................10
SectionVII: Assessment Roll...............................................................................................................................13
Sect ion Vill: Additional Provisions.....................................................................................................................13
Listof Exhibits.............................................................................................................................................
15
Exhibit A - District Legal Description..................................................................................................................16
Exhibit B - District Boundary Map..............................................................................................................
24
Exhibit C- Authorized Improvements.............................................................................................................25
Exhibit D - Service Plan - Five Year Plan............................................................................................................ 26
Exhibit E - Service Plan - Sources and Uses....................................................................................................... 27
ExhibitF -Assessment Roll.................................................................................................................................. 28
ExhibitG - Annual Installments.....................................................................................................................29
Exhibit H - Maximum Assessment per Lot Type................................................................................................ 30
Exhibit I -Allocation of Public Improvement Costs by Section...................................................................
31
Exhibit J - Estimated Bond Debt Service Schedule.............................................................................................
32
Northwest Passage PID SAP 1
INTRODUCTION
Capitalized terms used in this 2022 Amended and Restated Service and Assessment Plan (this "2022 A&R SAP")
shall have the meanings given to them in Section I unless otherwise defined in this 2022 A&R SAP or unless the
context in which a term is used clearly requires a different meaning. Unless otherwise defined, a reference to
a "Section" or an "Exhibit" shall be a reference to a Section of this 2022 A&R SAP or an Exhibit attached to and
made a part of this 2022 A&R SAP for all purposes.
On September 14, 2021 the City passed and approved Resolution No. 2021-RO363 authorizing the creation
of the District in accordance with the PID Act, which authorization was effective on the date it was
approved as required by the PID Act. The purpose of the District is to finance the Actual Costs of the
Authorized Improvements for the benefit of property within the District. The District contains
approximately 992.06 acres within the corporate limits of the City, as described legally by metes and
bounds on Exhibit A and as depicted by the map on Exhibit B.
On November 1, 2021 the City passed and approved by Ordinance No. 2021-00152 accepting and
approving a service and assessment plan (the "2022 SAP") and Assessment Roll for the District. The 2022
SAP levied Assessments against the Assessed Property within the District and established a lien on such
Assessed Property.
The PID Act requires a service plan covering a period of at least five years and defining the annual
indebtedness and projected cost of the Authorized Improvements. The Service Plan is contained in Section
IV.
The PID Act requires that the Service Plan include an assessment plan that assesses the Actual Costs of
the Authorized Improvements against Assessed Property within the District based on the special benefits
conferred on such property by the Authorized Improvements. The Assessment Plan is contained in Section
V.
The PID Act requires an Assessment Roll that states the Assessment against each Parcel determined by
the method chosen by the City. The Assessment against each Assessed Property must be sufficient to pay
the share of the Actual Costs apportioned to the Assessed Property and cannot exceed the special benefit
conferred on the Assessed Property by the Authorized Improvements. The Assessment Roll is contained
in Exhibit F.
Pursuant to the PID Act, the 2022 SAP must be reviewed and updated annually. This document is amending
and restating the 2022 SAP. This 2022 A&R SAP updates the Assessment Roll for 2022 to reflect the issuance of
Bonds.
Northwest Passage PID SAP 2
SECTION I: DEFINITIONS
"2022 SAP" means that service and assessment plan passed and approved on November 1, 2021 by the City
pursuant to Ordinance No. 2021- 00152 that levied Assessments against the Assessed Property within the
District and established a lien on such Assessed Property.
"2022 AM SAP" means this 2022 Amended and Restated Service and Assessment Plan which is the
update to the 2022 SAP and the update relating to the Bonds, as it may be modified, amended,
supplemented, and updated from time to time.
"Actual Costs" means, with respect to the Authorized Improvements, (a) the costs incurred by or on behalf
of Owner for the design, planning, acquisition, installation, construction and/or implementation of such
Authorized Improvement, (b) the costs incurred in preparing the construction plans for such Authorized
Improvement, (c) the fees paid for obtaining permits, licenses or other governmental approvals for such
Authorized Improvement, (d) the costs incurred by or on behalf of the Owner for external professional
costs, such as engineering, geotechnical, surveying, land planning, architectural landscapers, appraisals,
legal, accounting and similar professional services, (e) taxes (property and franchise) related to the
Authorized Improvements that benefit the properties within the boundaries of the District, (f) all labor,
bonds and materials, including equipment and fixtures, incurred by contractors, builders and materialmen
in connection with the acquisition, construction or implementation of the Authorized Improvement, and
(f) all related permitting, zoning and public approval expenses, architectural, engineering, legal and
consulting fees, financing charges, taxes, governmental fees and charges, insurance premiums, and
miscellaneous expenses plus interest, if any, calculated from the respective dates of the expenditures until
the date of reimbursement therefore.
"Additional Interest" means the amount collected by application of the Additional Interest Rate.
"Additional Interest Rate" means the 0.25% additional interest charged on the Assessments securing
Bonds pursuant to Section 372.018 of the PID Act.
"Administrator" means the City or the person or independent firm designated by the City who shall have
the responsibility provided in this 2022 A&R SAP, the Indenture, or any other agreement or document
approved by the City related to the duties and responsibility of the administration of the District.
"Annual Collection Costs" mean the actual or budgeted costs and expenses related to the creation and
operation of the District, and the construction, operation, and maintenance of the Authorized
Improvements, including, but not limited to, costs and expenses for: (1) the Administrator and City staff;
(2) legal counsel, engineers, accountants, financial advisors, and other consultants engaged by the City; (3)
Northwest Passage PID SAP 3
calculating, collecting, and maintaining records with respect to Assessments and Annual Installments; (4)
preparing and maintaining records with respect to Assessment Rolls and Annual Service Plan Updates; (5)
paying, and redeeming Bonds; (6) investing or depositing Assessments and Annual Installments; (7) complying
with this 2022 AM SAP and the PID Act with respect to the administration of the District, including continuing
disclosure requirements; and (8) the paying agent/registrar and Trustee in connection with Bonds, including
their respective legal counsel. Annual Collection Costs collected but not expended in any year shall be carried
forward and applied to reduce Annual Collection Costs for subsequent years.
"Annual Installment" means the annual installment payment of an Assessment as calculated by the
Administrator and approved by the City Council, which includes: (1) principal; (2) interest; (3) Annual Collection
Costs; and (4) Additional Interest.
"Annual Service Plan Update" means an update to the 2022 SAP prepared no less frequently than annually by
the Administrator and approved by the City Council.
"Assessed Property" means any Parcel within the District that benefits from the Authorized Improvements and
on which an Assessment is levied as shown on the Assessment Roll and which includes any and all Parcels
within the District other than Non-Benefitted Property.
"Assessment" means an assessment levied against a Parcel and imposed pursuant to an Assessment Ordinance
and the provisions herein, as shown on the Assessment Roll, subject to reallocation upon the subdivision of
such Parcel or reduction according to the provisions herein and in the PID Act.
"Assessment Ordinance" means Ordinance No. 2021-00152 adopted by the City Council on November 1, 2021
in accordance with the PID Act that approved the 2022 SAP and levied an Assessment on Assessed Property
within the District.
"Assessment Plan" means the methodology employed to assess the Actual Costs of the Authorized
Improvements against Assessed Property within the District based on the special benefits conferred on such
property by the Authorized Improvements, more specifically described in Section V.
"Assessment Roll" means the assessment roll for the Assessed Property within the District and included in this
2022 AM SAP as Exhibit F, as updated, modified, or amended from time to time in accordance with the
procedures set forth herein and in the PID Act, including updates prepared in connection with the issuance of
Bonds or in connection with any Annual Service Plan Update.
"Authorized Improvements" mean improvements authorized by Section 372.003 of the PID Act, including
Public Improvements and District Formation and Bond Issuance Costs.
"City" means the City of Lubbock, Texas.
"City Council" means the governing body of the City.
"County" means Lubbock County, Texas.
Northwest Passage PID SAP 4
"Delinquent Collection Costs" mean, for a Parcel, interest, penalties, and other costs and expenses authorized
by the PID Act that directly or indirectly relate to the collection of delinquent Assessments, delinquent Annual
Installments, or any other delinquent amounts due under this SAP, including costs and expenses to foreclose
liens.
"District" means the approximately 992.06 acres within the corporate limits of the City, as described legally by
metes and bounds on Exhibit A and as depicted by the map on Exhibit B.
"District Formation and Bond Issuance Costs" mean the costs associated with forming the District and issuing
Bonds, including but not limited to attorney fees, financial advisory fees, consultant fees, appraisal fees,
printing costs, publication costs, City costs, capitalized interest, reserve fund requirements, first year's Annual
Collection Costs, underwriter discount, fees charged by the Texas Attorney General, and any other cost or
expense directly associated with the establishment of the District and/or the issuance of Bonds.
"Estimated Buildout Value" means the estimated buildout value of an Assessed Property at the time
Assessments are levied, and shall be determined by the Administrator and confirmed by the City Council by
considering such factors as density, lot size, proximity to amenities, view premiums, location, market
conditions, historical sales, builder contracts, discussions with homebuilders, reports from third party
consultants, or any other information that may impact value.
"Indenture" means an Indenture of Trust entered into in connection with the issuance of Bonds, as amended
or supplemented from time to time, between the City and the Trustee setting forth terms and conditions
related to the Bonds.
"Landowner Agreement" means that certain Landowner Agreement between the City and Owner dated March
22, 2022.
"Lot" means (1) for any portion of the District for which a subdivision plat has been recorded in the official
public records of the County, a tract of land described as a "lot" in such subdivision plat, and (2) for any portion
of the District for which a subdivision plat has not been recorded in the official public records of the County, a
tract of land anticipated to be described as a "lot" in a final recorded subdivision plat as shown on a concept
plan or preliminary plat.
"Lot Type" All lot types at this time are the same with no classifications. Since the assessment is based on $0.15
per $100 valuation it will distribute the assessment fairly between the different sizes and types.
"Maximum Assessment" means the maximum assessment of $0.15 per $100 valuation for each of the lots.
"Non-Benefitted Property" means Parcels within the boundaries of the District that accrue no special benefit
from Authorized improvements as determined by the City Council.
"Owner" means the non -City parties to the Landowner Agreement
"Parcel(s)" means a property, within the boundaries of the District, identified by either a tax map identification
number assigned by the Lubbock Central Appraisal District for real property tax purposes, by metes and bounds
description, by lot and block number in a final subdivision plat recorded in the official public records of the
Northwest Passage PID SAP 5
County, or by any other means as determined by the City Council.
"PID Act" means Chapter 372, Texas Local Government Code, as amended.
"Bonds" mean those certain "City of Lubbock, Texas, Bonds (Northwest Passage Public Improvement District)",
and any other bonds issued in accordance with the PID Act, if applicable, that are secured by Assessments.
"Prepayment" means the payment of all or a portion of an Assessment before the due date thereof. Amounts
received at the time of a Prepayment which represent a payment of principal, interest, or penalties on a
delinquent installment of Assessment are not to be considered a Prepayment, but rather are to be treated as
a payment of the regularly scheduled Assessment.
"Prepayment Costs" mean interest, including Additional Interest, and Annual Collection Costs incurred up to
the date of Prepayment.
"Public Improvements" means those Authorized Improvements specifically described in Section III.A.
"Service Plan" covers a period of at least five years and defines the annual indebtedness and projected costs of
the Authorized Improvements, more specifically described in Section IV.
"Trustee" means the trustee (or successor trustee) under an Indenture.
Northwest Passage PID SAP 6
SECTION II: THE DISTRICT
The District includes approximately 992.06 acres within the corporate limits of the City, as described
legally by metes and bounds on Exhibit A and as depicted by the map on Exhibit B. Development of
the District is anticipated to include 4400 single-family homes.
SECTION III: AUTHORIZED IMPROVEMENTS
The City, based on information provided by the Owner and its engineer and review by the City staff,
determined that the Authorized Improvements confer a special benefit on the Assessed Property.
Public Improvements will be designed and constructed in accordance with City standards and will be
owned and operated by the City once accepted unless specifically stated below. The budget for the
Authorized Improvements, as well as the allocation of the Actual Costs of the Authorized
Improvements, is shown on Exhibit C.
A. Public Improvements
o Drainage
Improvements including earthen channels, swales, curb and drop inlets, RCP piping and boxes,
headwalls, concrete flumes, rock rip rap, concrete outfalls, and testing as well as all related
earthwork, excavation, and erosion control necessary to provide storm drainage for all Lots in the
District.
■ Soft Costs/Contingency/Project Management
Includes 23% soft costs, contingency and project management fee.
B. District Formation and Bond Issuance Costs
■ Debt Service Reserve Requirement
Equals the amount required to fund a reserve under the Indenture in connection with the issuance of
Bonds.
■ Capitalized Interest
Equals the amount of capitalized interest available for payment of interest on Bonds as reflected in
the Indenture.
■ Underwriter's Discount
Equals a percentage of the par amount of a particular series of Bonds and includes a fee for
underwriter's counsel.
Northwest Passage PID SAP 7
■ Cost of Issuance
Costs associated with issuing Bonds, including but not limited to attorney fees, financial advisory
fees, consultant fees, appraisal fees, printing costs, publication costs, City costs, fees charged by
the Texas Attorney General, and any other cost or expense directly associated with the issuance
of Bonds.
■ District Formation
Expenses directly associated with forming the District including 1st year Annual Collection Costs.
SECTION IV: SERVICE PLAN
The PID Act requires the Service Plan to cover a period of at least five years. The Service Plan is required
to define the projected costs and annual indebtedness for the Authorized Improvements undertaken
within the District during the five-year period. The Service Plan shall be updated in each Annual Service
Plan Update. Exhibit D summarizes the Service Plan for the District.
Exhibit E summarizes the sources and uses of funds required to construct certain Authorized
Improvements. Exhibit E will be updated to show the amount required to fund the required reserves and
issue the Bonds at the time the Bonds are issued. The sources and uses of funds shown on Exhibit E shall
be updated in each Annual Service Plan Update.
SECTION V: ASSESSMENT PLAN
The PID Act requires the City to apportion the Actual Costs of the Authorized Improvements to the
Assessed Property based on the special benefit received from the Authorized Improvements. The PID Act
provides that such costs may be apportioned: (1) equally per front foot or square foot; (2) according to
the value of property as determined by the City, with or without regard to improvements constructed on
the property; or (3) in any other manner approved by the City that results in imposing equal shares of such
costs on property similarly benefited. The PID Act further provides that the governing body may establish
by ordinance or order reasonable classifications and formulas for the apportionment of the cost between
the municipality and the area to be assessed and the methods of assessing the special benefits for various
classes of improvements.
This section of this 2022 A&R SAP describes the special benefit received by each Assessed Property within
the District as a result of the Authorized Improvements and provides the basis and justification for the
determination that this special benefit exceeds the amount of the Assessments levied on the Assessed
Property for such Authorized Improvements.
The determination by the City of the assessment methodologies set forth below is the result of the
Northwest Passage PID SAP 8
discretionary exercise by the City Council of its legislative authority and governmental powers and is
conclusive and binding on the Owner and all future owners and developers of the Assessed Property.
A. Assessment Methodology
The City Council, acting in its legislative capacity based on information provided by the Developer and
its engineer and reviewed by the City staff, has determined that the costs of the Authorized
Improvements shall be allocated to each Parcel based on the Estimated Buildout Value of each Parcel.
Upon subdivision of an Assessed Property, the Actual Costs of the Authorized Improvements shall be
reallocated based on Estimated Buildout Value but assessments will be based on actual taxable value as
further described in Section VI.
B. Assessments
Assessments will be levied on the Assessed Property according to the Assessment Roll, attached hereto
as Exhibit F. The projected Annual Installments are shown on Exhibit G, subject to revisions made during
any Annual Service Plan Update.
C. Findings of Special Benefit
The City Council, acting in its legislative capacity based on information provided by the Owner and its
engineer and reviewed by the City staff, has found and determined:
■ The costs of the Improvements equals $41,775,434 as shown on Exhibit C; and
■ The Assessed Property receives special benefit equal to or greater than the Improvements; and
■ The Assessed Property was allocated 100% of the Assessments levied for the Authorized
Improvements, which equals $14,732,013 (Principal and Interest only) as shown on Exhibit M; and
■ The special benefit ($41,775,434) received by the Assessed Property from the Improvements is
greater than the amount of Assessments ($14,732,013) levied on the Assessed Property for the
Improvements; and
■ At the time the City Council approved the Assessment Ordinance, the Owner owned 100% of the
Parcels. In the Landowner Agreement with the City, the Owner acknowledged that the Authorized
Improvements confer a special benefit on the Assessed Property and consented to the imposition of
the Assessments to pay for the Actual Costs associated therewith. The Owner ratified, confirmed,
accepted, agreed to, and approved (1) the determinations and findings by the City Council as to the
special benefits described herein and in the Assessment Ordinance, (2) the 2022 SAP and the
Assessment Ordinance, and (3) the levying of the Assessments on the Assessed Property.
Annual Collection Costs
The Annual Collection Costs shall be paid for on a pro rata basis by each Assessed Property based on
the amount of outstanding Assessment remaining on the Assessed Property. The Annual Collection
Costs shall be collected as part of and in the same manner as Annual Installments in the amounts
shown on the Assessment Roll, which may be revised based on Actual Costs incurred in Annual
Service Plan Updates.
Northwest Passage PID SAP 9
D. Additional Interest
The interest rate on Assessments levied on the Assessed Property may exceed the interest rate on
the Bonds by the Additional Interest Rate. Additional Interest shall be collected as part of each Annual
Installment and shall be deposited pursuant to the Indenture.
SECTION VI: TERMS OF THE ASSESSMENTS
A. Reallocation of Assessments
1. Upon Division Prior to Recording of Subdivision Plat or Upon Subdivision by a Recorded Subdivision
Plat
Upon the division of any Assessed Property (without the recording of subdivision plat), the
Administrator shall reallocate the Assessment for the Assessed Property prior to the division
among the newly divided Assessed Properties according to the following formula:
A=Bx(C=D)
Where the terms have the following meanings:
A = the Assessment for the newly divided Assessed Property
B = the Assessment for the Assessed Property prior to division
C = the Estimated Buildout Value of the newly divided Assessed Property
D = the sum of the Estimated Buildout Value for all the newly divided Assessed Properties
The sum of the Assessments for all newly divided Assessed Properties shall equal the Assessment for
the Assessed Property prior to subdivision. The calculation shall be made separately for each newly
divided Assessed Property. The reallocation of an Assessment for an Assessed Property that is a
homestead under Texas law may not exceed the Assessment prior to the reallocation. Any reallocation
pursuant to this section shall be reflected in the next Annual Service Plan Update and update to this
Service and approved by the City Council.
2. Upon Consolidation
If two or more Lots or Parcels are consolidated, the Administrator shall allocate the Assessments
against the Lots or Parcels before the consolidation to the consolidated Lot or Parcel, which allocation
shall be approved by the City Council in the next Annual Service Plan Update.
The Assessment for any resulting Lot will not exceed the Maximum Assessment, shown on Exhibit H, and
compliance may require a mandatory prepayment of Assessments pursuant to Section VI.B.
B. True -up of Assessments if Maximum Assessment Exceeded
If the subdivision of any Assessed Property by a final subdivision plat causes the Assessment per Lot for
any Lot Type to exceed the Maximum Assessment, the owner of Assessed Property requesting the
Northwest Passage PID SAP 10
subdivision must prepay the portion of the Assessment for each Assessed Property that exceeds the
Maximum Assessment in an amount sufficient to reduce the Assessment to the Maximum Assessment.
C. Mandatory Prepayment of Assessments
If Assessed Property is transferred to a person or entity that is exempt from payment of the Assessments,
the owner transferring the Assessed Property shall pay to the City or the Administrator on behalf of the
City the full amount of the outstanding Assessment, plus Prepayment Costs and Delinquent Collection
Costs, if any, for such Assessed Property, prior to the transfer. If the owner of the Assessed Property causes
the Assessed Property to become Non-Benefitted Property, the owner causing the change in status shall
pay the full amount of the outstanding Assessment, plus Prepayment Costs and Delinquent Collection
Costs, if any, prior to the change in status.
D. Reduction of Assessments
If as a result of cost savings or Authorized Improvements not being constructed, the Actual Costs of
completed Authorized Improvements are less than the Assessments, (i) in the event Bonds are not issued,
the City Council shall reduce each Assessment on a pro-rata basis such that the sum of the resulting
reduced Assessments for all Assessed Property equals the reduced Actual Costs, or (ii) in the event Bonds
are issued, the Trustee shall apply amounts on deposit in the applicable account of the Project Fund,
relating to the Bonds, that are not expected to be used for purposes of the Project Fund to redeem
outstanding Bonds, in accordance with the applicable Indenture.
The Assessments shall not, however, be reduced to an amount less than the outstanding Bonds.
The Administrator shall update (and submit to the City Council for review and approval as part of the next
Annual Service Plan Update) the Assessment Roll and corresponding Annual Installments, as shown on
Exhibits F, and G, to reflect the reduced Assessments.
E. Prepayment of Assessments
The owner of the Assessed Property may pay, at any time, all or any part of an Assessment in accordance
with the PID Act. Interest costs from the date of prepayment to the date of redemption of the applicable
Bonds, if any, may be paid from a reserve established under the applicable Indenture. If an Annual
Installment has been billed prior to the Prepayment, the Annual Installment shall be due and payable and
shall be credited against the Prepayment.
If an Assessment is pre -paid in full, with Prepayment Costs: (1) the Administrator shall cause the
Assessment to be reduced to zero and the Assessment Roll to be revised accordingly; (2) the Administrator
shall cause the revised Assessment Roll to be approved by the City Council as part of the next Annual
Service Plan Update; and (3) the obligation to pay the Assessment and corresponding Annual Installments
shall terminate.
If an Assessment is pre -paid in part, with Prepayment Costs: (1) the Administrator shall cause the
Assessment to be reduced and the Assessment Roll revised accordingly; (2) the Administrator shall cause
the revised Assessment Roll to be approved by the City Council as part of the next Annual Service Plan
Update; and (3) the obligation to pay the Assessment and corresponding Annual Installments shall be
reduced to the extent of the Prepayment made.
F. Prepayment as a result of Eminent Domain Proceeding or Taking
Northwest Passage PID SAP 11
If any portion of any Parcel of Assessed Property is taken from an owner as a result of eminent domain
proceedings or if a transfer of any portion of any Parcel of Assessed Property is made to an entity with the
authority to condemn all or a portion of the Assessed Property in lieu of or as a part of an eminent domain
proceeding (a 'Taking"), the portion of the Assessed Property that was taken or transferred (the "Taken
Property") shall be reclassified as Non-Benefitted Property.
For the Assessed Property that is subject to the Taking as described in the preceding paragraph, the
Assessment that was levied against the Assessed Property (when it was included in the Taken Property)
prior to the Taking shall remain in force against the remaining Assessed Property (the Assessed Property
less the Taken Property), (the "Remaining Property") following the reclassification of the Taken Property
as Non-Benefitted Property, subject to an adjustment of the Assessment applicable to the Remaining
Property after any required Prepayment as set forth below. The owner will remain liable to pay in Annual
Installments, or payable as otherwise provided by this Service and Assessment Plan, as updated, or the
PID Act, the Assessment that remains due on the Remaining Property, subject to an adjustment in the
Annual Installments applicable to the Remaining Property after any required Prepayment as set forth
below. Notwithstanding the foregoing, if the Assessment that remains due on the Remaining Property
exceeds the Maximum Assessment, the owner will be required to make a Prepayment in an amount
necessary to ensure that the Assessment against the Remaining Property does not exceed the Maximum
Assessment, in which case the Assessment and Annual Installments applicable to the Remaining Property
will be reduced by the amount of the partial Prepayment. In all instances the Assessment remaining on
the Remaining Property shall not exceed the Maximum Assessment.
By way of illustration, if an owner owns 100 acres of Assessed Property subject to a $100 Assessment and
10 acres is taken through a Taking, the 10 acres of Taken Property shall be reclassified as Non-Benefitted
Property and the remaining 90 acres of Remaining Property shall be subject to the $100 Assessment,
(provided that this $100 Assessment does not exceed the Maximum Assessment on the Remaining
Property). If the Administrator determines that the $100 Assessment reallocated to the Remaining
Property would exceed the Maximum Assessment on the Remaining Property by $10, then the owner
shall be required to pay $10 as a Prepayment of the Assessment against the Remaining Property and the
Assessment on the Remaining Property shall be adjusted to be $90 and the Annual Installments adjusted
accordingly.
Notwithstanding the previous paragraphs in this subsection (F), the Assessments shall not, however, be
reduced to an amount less than the outstanding Bonds.
G. Payment of Assessment in Annual Installments
Assessments that are not paid in full shall be due and payable in Annual Installments. Exhibit G shows the
projected Annual Installments for the District. Annual Installments are subject to adjustment in each
Annual Service Plan Update.
The Administrator shall prepare and submit to the City Council for its review and approval an Annual
Service Plan Update to allow for the billing and collection of Annual Installments. Each Annual Service Plan
Update shall include updated Assessment Rolls and updated calculations of Annual Installments. Annual
Collection Costs shall be allocated pro rata among Assessed Properties for which the Assessments remain
unpaid in proportion to the amount of the Annual Installments for the Assessed Property. Annual
Installments shall be collected by the City in the same manner and at the same time as ad valorem taxes.
Annual Installments shall be subject to the penalties, procedures, and foreclosure sale in case of
Northwest Passage PID SAP 12
delinquencies as set forth in the PID Act and in the same manner as ad valorem taxes for the City. The
City Council may provide for other means of collecting Annual Installments. Assessments shall have
the lien priority specified in the PID Act.
Sales of the Assessed Property for nonpayment of Annual Installments shall be subject to the lien for
the remaining unpaid Annual Installments against the Assessed Property, and the Assessed Property
may again be sold at a judicial foreclosure sale if the purchaser fails to timely pay the Annual
Installments as they become due and payable.
The City reserves the right to refund Bonds in accordance with the PID Act. In the event of a refunding,
the Administrator shall recalculate the Annual Installments so that total Annual Installments will be
sufficient to pay the refunding bonds, and the refunding bonds shall constitute "Bonds."
Each Annual Installment of an Assessment, including interest on the unpaid principal of the
Assessment, shall be updated annually. Each Annual Installment shall be due when billed and shall
be delinquent if not paid prior to February 1 of the following year. Failure of an owner of Assessed
Property to receive an invoice for an Annual Installment on the property tax bill or otherwise shall
not relieve the owner of Assessed Property of the obligation to pay the Assessment. Assessments, or
Annual Installments thereof, that are delinquent shall incur Delinquent Collection Costs.
SECTION VII: ASSESSMENT ROLL
The Assessment Roll is attached as Exhibit F. The Administrator shall prepare and submit to the City
Council for review and approval, proposed revisions to the Assessment Roll and Annual Installments for
each Parcel within the Assessed Property as part of each Annual Service Plan Update.
SECTION Vill: ADDITIONAL PROVISIONS
A. Calculation Errors
If the owner of an Assessed Property claims that an error has been made in any calculation
required by this 2022 A&R SAP, including, but not limited to, any calculation made as part of any
Annual Service Plan Update, the sole and exclusive remedy of the owner of Assessed Property
shall be to submit a written notice of error to the Administrator by December of each year
following City Council approval of the calculation; otherwise, the owner shall be deemed to have
unconditionally approved and accepted the calculation. Upon receipt of a written notice of error
from an owner the Administrator shall provide a written response to the City Council and the
owner within 30 days of such referral. The City Council shall consider the owner's notice of error
and the Administrator's response at a public meeting, and within 30 days after adjourning such
meeting, the City Council shall make a final determination as to whether an error has been made. If the
Northwest Passage PID SAP 13
City Council determines that an error has been made, the City Council shall take such corrective action as
is authorized by the PID Act, this 2022 A&R SAP, the applicable Assessment Ordinance, or the applicable
Indenture, or is otherwise authorized by the discretionary power of the City Council. The determination
by the City Council as to whether an error has been made, and any corrective action taken by the City
Council, shall be final and binding on the owner and the Administrator.
B. Amendments
Amendments to this 2022 A&R SAP must be made by the City Council in accordance with the PID Act. To
the extent permitted by the PID Act, this 2022 A&R SAP may be amended without notice to
owners of the Assessed Property: (1) to correct mistakes and clerical errors; (2) to clarify
ambiguities; and (3) to provide procedures to collect Assessments, Annual Installments, and
other charges imposed by this 2022 A&R SAP.
C. Administration and Interpretation
The Administrator shall: (1) perform the obligations of the Administrator as set forth in this 2022 AM SAP;
(2) administer the District for and on behalf of and at the direction of the City Council; and (3)
interpret the provisions of this 2022 A&R SAP. Interpretations of this 2022 A&R SAP by the
Administrator shall be in writing and shall be appealable to the City Council by owners of
Assessed Property adversely affected by the interpretation.
Appeals shall be decided by the City Council after providing an opportunity for all interested
parties to be heard at a public meeting of the City Council. Decisions by the City Council shall be
final and binding on the owners and developers and their successors and assigns.
D. Severability
If any provision of this 2022 A&R SAP is determined by a governmental agency or court to be
unenforceable, the unenforceable provision shall be deleted and, to the maximum extent
possible, shall be rewritten to be enforceable. Every effort shall be made to enforce the
remaining provisions.
Northwest Passage PID SAP 14
LIST OF EXHIBITS
Exhibit A District Legal Description District
Exhibit B Boundary Map
Exhibit C Authorized Improvements
Exhibit D Service Plan - Five Year Plan
Exhibit E Service Plan - Sources and Uses
Exhibit F Assessment Roll
Exhibit G Estimated Annual Installments
Exhibit H Maximum Assessment per Lot Type
Exhibit I Estimated Allocation of Public Improvement Costs by Tract
Exhibit 1 Estimated Debt Service Schedule
Northwest Passage PID SAP 15
EXHIBIT A- DISTRICT LEGAL DESCRIPTION
Tract 1(Northwest Quadrant):
METES AND BOUNDS DESCRIPTION of a 476.102-acre tract located in Section 11, Block JS, Abstract 343,
Lubbock County, Texas, being a portion of that 727.417-acre tract described in Volume 10351, Page 176,
Official Public Records of Lubbock County, Texas (OPRLCT), said 476.102-acre tract being further described
as follows:
BEGINNING at a 1/2" iron rod with cap marked "HUGO REED & ASSOC" set in a West line of that 17.40-acre
street right-of-way dedication as described in County Clerk File Number (CCFN) 2012043729, OPRLCT,
having a grid coordinate of N-7289808.60, E-926282.74, Texas Coordinate System of 1983, North-Central
Zone, which point bears N. 88°14'14" W. a distance of 548.88 feet from a broken nail found at the common
comer of Sections 11, 6, and 5, all in Block JS, and Section 14, Block A, Lubbock County, Texas;
THENCE N. 88014'14" W, along the South line of said Section 11 and the North line of said Section 6, same
being a South line of said 727.417-acre tract a distance of 2580.70 feet to a 1/2" iron rod found at the
Southeast comer of that property conveyed to Elizabeth Montalvo in Volume 6202, Page 313, OPRLCT and
a comer of said 727.417-acre tract;
THENCE N. 01043'53" E., along a line of said 727.417-acre tract and an East line of said Montalvo property,
at 50.00 feet pass the North right-of-way line of Ursuline Street as described in Volume 1213, Page 346,
OPRLCT, continuing for a total distance of 625.08 feet to a metal fence post found at a comer of said
727.417-acre tract and the most Easterly Northeast comer of said Montalvo property;
THENCE N. 88°13'31" W., along a line of said 727.417-acre tract and a North line of said Montalvo property
a distance of 1204.98 feet to a metal fence post found at a comer of said 727.417-acre tract and an "ell"
comer of said Montalvo property;
THENCEN. 01047'44" E., along a line of said 727.417-acre tract and an East line of said Montalvo property
and the East lines of those tracts described in Volume 8455, Page 307, Volume 4150, Page 74, and Volume
4150, Page 76, OPRLCT, a distance of 2014.64 feet to a fence post found in the South line of that 14.809-
acre tract described in Volume 9594, Page 191, OPRLCT, at an "ell" comer of said 727.417-acre tract;
THENCE S. 88°14'37" E., along a line of said 727.417-acre tract and the South line of said 14.809- acre tract
a distance of 796.21 feet to a 1/2" iron rod with cap (Newton) found at a comer of said 727.417-acre tract
and the Southeast comer of said 14.809-acre tract;
THENCE N. 01°43'22" E., along a line of said 727.417-acre tract and the East line of said 14.809- acre tract
a distance of 369.94 feet to a 1/2" iron rod with cap (Newton) found at a comer of said 727.417-acre tract
and the Northeast comer of said 14.809-acre tract;
A-1
Northwest Passage PID SAP 16
THENCE N. 88°14'23" W., along a line of said 727.417-acre tract and the North line of said 14.809-acre tract,
at 1682.32 feet pass the East right-of-way line of Frankford Avenue (FM 2528) as described in Volume 1012,
Page 465, OPRLCT, continuing for a total distance of 1742.32 feet to a cotton spindle found in the West line
of said Section 11, at a comer of said 727.417-acre tract and the Northwest comer of said 14.809-acre tract;
THENCE N. 01044'18" E., along the West line of said Section 11 and a West line of said 727.417- acre
tract a distance of 2269.05 feet to a cotton spindle found at the Northwest comer of said Section 11
and the Northwest comer of said 727.417-acre tract;
THENCE S. 88005'04" E., along a North line of said 727.417-acre tract and the North line of said Section 11
a distance of 2080.26 feet to a 40-penny nail found at a comer of said 727.417-acre tract and the Northwest
comer of that 5-acre tract described in Volume 7040, Page 170, OPRLCT;
THENCE S. 01°55'34" W., along a line of said 727.417-acre tract and the West line of said 5-acre tract, at
50.00 feet pass the South right-of-way line of Kent Street as described in Volume 1012, Page 563, OPRLCT,
continuing for a total distance of 926.74 feet to a 3/8" iron rod found at the Southwest comer of said 5-
acre tract and a comer of said 727.417-acre tract;
THENCE S. 88003'33" E., along a line of said 727.417-acre tract and the South line of said 5-acre tract
a distance of 234.68 feet to a 1/2" iron rod with cap (RPLS 4579) found at the Southeast comer of said
5-acre tract and a comer of said 727.417-acre tract;
THENCE N. 01056'30" E., along the East line of said 5-acre tract and a line of said 727.417-acre tract, at
876.85 feet pass the South right-of-way line of said Kent Street, continuing for a total distance of 926.85
feet to a 60-penny nail found in the North line of said Section 11 and a North line of said 727.417-acre tract
at the Northeast comer of said 5-acre tract;
THENCE S. 88°05'04" E., along the North line of said Section 11 and a North line of said 727.417- acre tract
a distance of 819.69 feet to a concrete nail found in the Southwesterly right-of-way line of U.S. Highway 84
(Clovis Road) at a comer of said 727.417-acre tract;
THENCE S. 01057'08" W., along said Southwesterly right-of-way line and a line of said 727.417- acre tract a
distance of 50.00 feet to a 1/2" iron rod with cap (Newton) found;
THENCE S. 77032'31" E., continuing along said right-of-way and a line of said 727.417-acre tract a distance
of 283.34 feet to a concrete right-of-way marker found;
THENCE S. 58°11'23" E., continuing along said right-of-way and a line of said 727.417-acre tract a
distance of 1353.47 feet to a 1/2" iron rod with cap marked "HUGO REED & ASSOC" found in the West
right-of-way line of Slide Road, same being the West line of said 17.40-acre tract;
THENCE Southeasterly, along said right-of-way line, along a curve to the left, said curve having a radius
of 1575.00 feet, a central angle of 61°23'03", a chord bearing of S. 00°16'32" E., a chord distance of
1607.84 feet to a 1/2" iron rod with cap marked "HUGO REED & ASSOC" found at a point of tangency;
A-2
Northwest Passage PID SAP 17
THENCE S. 30058'04" E., continuing along said right-of-way line a distance of 534.62 feet to a
112" iron rod found at a point of curvature;
THENCE Southeasterly, continuing along said right-of-way line, along a curve to the right, said curve having
a radius of1425.00 feet, a central angle of 32°18'04", a chord bearing of 5.14°49'02" E., a chord distance of
792.76 feet to a 1/2" iron rod with cap marked "HUGO REED & ASSOC" found at a point of tangency;
THENCE S. 01°20'00" W., continuing along said right-of-way line a distance of 1180.93 feet to a 1/2" iron
rod with cap marked "HUGO REED & ASSOC" found at a point of intersection;
THENCE S. 04*11 '44" W., continuing along said right-of-way line a distance of 200.25 feet to a
112" iron rod with cap marked "HUGO REED & ASSOC" found at a point of intersection;
THENCE S. 01°20'00" W., continuing along said right-of-way line a distance of 208.00 feet to a
112" iron rod found at a point of intersection;
THENCE S. 46°32'53" W., continuing along said right-of-way line a distance of 42.27 feet to a 112" iron rod
with cap marked "HUGO REED & ASSOC" found at a point of intersection in the North right-of-way line of
Ursuline Street;
THENCE N. 88°14'14" W., continuing along said right-of-way line a distance of 397.10 feet to a 1/2" iron
rod with cap marked "HUGO REED & ASSOC" set for a point of intersection;
THENCE S. 01045'46" W., continuing along said right-of-way line, at 5.00 feet pass the North right-of-way
line of Ursuline Street as described in Volume 1213, Page 346, OPRLCT, continuing for a total distance of
55.00 feet to the Point of Beginning.
Bearings relative to the Texas Coordinate System of 1983 (2011) Epoch 2010.0, North-Central Zone.
Distances and areas are surface, U.S. Survey Feet.
Tract 2 (Northeast Quadrant):
METES AND BOUNDS DESCRIPTION of a 230.125-acre tract located in Sections 11, Block JS, Abstract 343,
and Section 14, Block A, Abstracts 861 and 1332, Lubbock County, Texas, being a portion of that 727.417-
acre tract described in Volume 10351, Page 176, Official Public Records of Lubbock County, Texas
(OPRLCT), and a portion of that 286.14-acre tract described in Volume 10351, Page 183, OPRLCT, said
230.125-acre tract being further described as follows:
BEGINNING at a 1/2" iron rod with cap marked "HUGO REED & ASSOC" set in an East line of that 17.40-
acre street right-of-way dedication as described in County Clerk File Number (CCFN) 2012043729,
OPRLCT, having a grid coordinate of N-7289776.71, E-927306.98, Texas Coordinate System of 1983,
North-Central Zone, which point bears S. 88011'41" E. a distance of476.10 feet from a broken nail found
at the common corner of Sections 11, 6, and 5, all in BlockJS, and Section 14, Block A, Lubbock County,
Texas;
A-3
Northwest Passage PID SAP 18
THENCE N. 01048' 19" E., along an East line of said 17.40-acre tract, at 50.00 feet pass the North right-of-
way line of Ursuline Street as described in Volume 1213, Page 346, OPRLCT, continuing for a total distance
of 55.00 feet to a 112" iron rod with cap marked "HUGO REED & ASSOC" set for a corner of said 17.40-acre
tract in the North right-of-way line of Ursuline Street;
THENCE N. 85019'56" W., along said right-of-way line a distance of 200.25 feet to a 1/2" iron rod with
cap marked "HUGO REED & ASSOC" set for a point of intersection;
THENCE N. 88*11'41" W., continuing along said right-of-way line a distance of 208.00 feet to a 112" iron
rod with cap marked "HUGO REED & ASSOC" found at a point of intersection;
THENCE N. 43025'50" W., continuing along said right-of-way line a distance of 42.60 feet to a "crow's foot"
chiseled in concrete for a point of intersection in the East right-of-way line of Slide Road, same being the
East line of said 17.40-acre tract;
THENCE N. 01°20'00" E., along said right-of-way line a distance of 1580.17 feet to a 112" iron rod with cap
marked "HUGO REED & ASSOC" set for a point of curvature;
THENCE Northwesterly, continuing along said right-of-way line, along a curve to the left, said curve
having a radius of 1575.00 feet, a central angle of 32°18'04", a chord bearing of N. 14049'02" W., a
chord distance of 876.21 feet to a 112" iron rod with cap marked "HUGO REED
& ASSOC" found at a point of tangency;
THENCE N. 30058'04" W., continuing along said right-of-way line a distance of 534.62 feet to a 1/2"
iron rod with cap marked "HUGO REED & ASSOC" found at a point of curvature;
THENCE Northwesterly, continuing along said right-of-way line, along a curve to the right, said curve
having a radius of 1425.00 feet, a central angle of 44023'25", a chord bearing of N. 08°46'22" W., a
chord distance of 1076.62 feet to a 1/2" iron rod with cap marked "HUGO REED
& ASSOC" set for a point of intersection;
THENCE Northeasterly, continuing along said right-of-way line, along a curve to the right, said curve
having a radius of 1478.85 feet, a central angle of 06054'41", a chord bearing. of N. 20*13 '30" E., a
chord distance of 178.28 feet to a 112" iron rod with cap marked "HUGO REED
& ASSOC" found at a point of intersection;
THENCE Northeasterly, continuing along said right-of-way line, along a curve to the right, said curve
having a radius of 1415.00 feet, a central angle of 09038'59", a chord bearing of N. 25°26'03" E., a
chord distance of 238.03 feet to a 1/2" iron rod with cap marked "HUGO REED
& ASSOC" found in the Southwesterly right-of-way line of U.S. Highway 84 (Clovis Road), in a Northerly line
of said 727.417-acre tract;
THENCE S. 58011'34" E., along said Clovis Road right-of-way line and a Northerly line of said 727.417-acre
tract a distance of 644.87 feet to a 1/2" iron rod with cap marked "HUGO REED &
A-4
Northwest Passage PID SAP 19
ASSOC" found in the East line of said Section 11 and the West line of said Section 14, at a comer of said
727.417-acre tract
THENCE S. 01°45'00" W., along the East line of said Section 11 and the West line of said Section 14 and a
line of said 727.417-acre tract a distance of 1447.24 feet to a 112" iron rod with cap marked "HUGO REED
& ASSOC" set for a comer of said 727.417-acre tract;
THENCE S. 88°11'29" E., along a line of said 727.417-acre tract a distance of 1696.26 feet to a 5/8" iron rod
found at a comer of said 727.417-acre tract;
THENCE S. 01°50'26" W., along a line of said 727.417-acre tract a distance of 333.98 feet to a 112" iron pipe
found at a comer of said 727.417-acre tract;
THENCE S. 88°08'32" E., along a line of said 727.417-acre tract a distance of 311.55 feet to a chain -link
fence post found at a comer of said 727.417-acre tract;
THENCE S. 55°08'25" E., along a line of said 727.417-acre tract a distance of 3142.70 feet to a 112" iron rod
with cap marked "HUGO REED & ASSOC" found at the Northwest plat limits of Tract "A", LP&L Northwest
Substation Addition as recorded in CCFN 2008042914, OPRLCT;
THENCE S. 01048' 11" W., along said West plat limits, at 541.59 feet pass the North right-of-way line of
Ursuline Street as described in Volume 1213, Page 346, OPRLCT, continuing for a total distance of 591.59
feet to a 112" iron rod found in the South line of said Section 14 and the South line of said 727.417-acre
tract at the Southwest plat limits comer of said Tract "A" and the Southeast comer of this tract;
THENCE N. 88011'41" W., along the South line of said Section 14 and the South line of said 727.417-acre
tract a distance of 4164.33 feet to the Point of Beginning.
Bearings relative to the Texas Coordinate System of 1983 (2011) Epoch 2010.0, North-Central Zone.
Distances and areas are surface, U.S. Survey Feet.
Tract 3 (Southwest Quadrant, excluding portion in the North Pointe PID):
METES AND BOUNDS DESCRIPTION of a 318.340-acre being a portion of that 160.139-acre tract located in
Section 6, Block JS, Abstract 1492, Lubbock County, Texas, described in Volume 9785, Page 28, Official
Public Records of Lubbock County, Texas (OPRLCD, and a portion of that 153.864-acre tract located in
Section 6, Block JS, Lubbock County, Texas, Abstract 1516, described in County Clerk File Number (CCFN)
2006043021, and that tract located in said Section 6 described in Volume 10263, Page 222, OPRLCT, and a
portion of that 303.29-acre tract located in Section 5, Block JS, Lubbock County, Texas, Abstract 346,
described in Volume 10016, Page 135, OPRLCT, said 318.340-acre tract being further described as follows:
BEGINNING at a 112" iron rod with cap marked "HUGO REED & ASSOC" set for a point of intersection in
the South right-of-way line of Ursuline Street, same being a line of that 17.40-acre street right-of-way
dedication as described in CCFN 2012043729, OPRLCT, having a grid
A-5
Northwest Passage PID SAP 20
coordinate of N-7289731.09, E-926687.46, Texas Coordinate System of 1983, North-Central Zone, which
point bears N. 88014'14" W. a distance of 140.88 feet and S. 01°45'46" W. a distance of 65.00 feet from a
broken nail found at the common corner of Sections 11, 6, and 5, all in Block JS, and Section 14, Block A,
Lubbock County, Texas;
THENCE S. 43027'07" E., along a line of said 17.40-acre tract a distance of 42.59 feet to an "X" chiseled in
concrete set for a point of intersection in the West right-of-way line of Slide Road;
THENCE S. 01°20'00" W., along said West right-of-way line a distance of 574.41 feet to a 1/2" iron rod with
cap marked "HUGO REED & ASSOC" found at a point of curvature;
THENCE Southeasterly, continuing along said right-of-way line, along a curve to the left, said curve having
a radius of 1575.00 feet, a central angle of 30°31'25", a chord bearing of S. 13°55'42" E., a chord distance
of 829.17 feet to a 1/2" iron rod with cap marked "HUGO REED & ASSOC" set for a point of tangency;
THENCE S. 29°11'25" E., continuing along said right-of-way line a distance of 179.80 feet to a 1/2" iron rod
with cap marked "HUGO REED & ASSOC" set for a point of curvature;
THENCE Southeasterly, continuing along said right-of-way line, along a curve to the right, said curve having
a radius of 1425.00 feet, a central angle of 30"57'31", a chord bearing of S. 13°42'39" E., a chord distance
of 760.64 feet to a 1/2" iron rod found at a point of tangency;
THENCE S. 01°46'06" W., continuing along said right-of-way line a distance of 336.59 feet to a 1/2" iron rod
with cap marked "HUGO REED & ASSOC" set in the North line of a 20-foot alley dedicated by plat of Lots
535-707, North Pointe Addition to the City of Lubbock as recorded in CCFN 2006045605, OPRLCT;
THENCE N. 88°08'27" W., along the North line of said alley a distance of 228.93 feet to a 1/2" iron rod with
cap marked "HUGO REED & ASSOC" set for a point of intersection;
THENCE N. 43008'27" W., continuing along the North line of said alley a distance of 14.14 feet to a 1/2" iron
rod with cap marked "HUGO REED & ASSOC" set for a point of intersection;
THENCE N. 88°08'27" W., continuing along the North line of said alley a distance of 56.00 feet to a 1/2" iron
rod with cap marked "HUGO REED & ASSOC" set for a point of intersection;
THENCE S. 46051'33" W., continuing along the North line of said alley a distance of 14.14 feet to a 1/2" iron
rod with cap marked "HUGO REED & ASSOC" set for a point of intersection;
THENCE N. 88°08'27" W., continuing along the North line of said alley a distance of 110.10 feet to a 1/2"
iron rod with cap marked "HUGO REED & ASSOC" found at a point of intersection in the West line of said
Section 5 and the East line of said Section 6;
THENCE N. 88009'58" W., continuing along the North line of said alley a distance of 709.89 feet to a 1/2"
iron rod with cap marked "HUGO REED & ASSOC" set for a point of intersection;
A-6
Northwest Passage PID SAP 21
THENCE N. 43009'58" W., continuing along the North line of said alley a distance of 14.14 feet to a point of
intersection;
THENCE N. 88009'58" W., continuing along the North line of said alley a distance of 52.00 feet to a point of
intersection
THENCE S. 46°50'02" W., continuing along the North line of said alley a distance of 14.14 feet to a 1/2" iron
rod with cap marked "HUGO REED & ASSOC" set for a point of intersection;
THENCE N. 88009'58" W., continuing along said alley line a distance of 539.58 feet to a point of intersection
in the West plat limits of said North Pointe Addition and the East plat limits of Lots 191-290 and Tracts C
and D, Lynnwood Addition to the City of Lubbock as recorded in Volume 9847, Page 139, OPRLCT;
THENCE N. 01°36'04" E., along the East plat limits of said Lynnwood Addition a distance of
49.77 feet to a 1/2" iron rod with cap marked "HUGO REED & ASSOC" found in the South line of said
153.864-acre tract at the Northeast comer of the plat limits of said Lynnwood Addition;
THENCE N. 88°01'32" W., along the North plat limits of said Lynnwood Addition a distance of
1325.36 feet to a "MAG" nail with shiner (AMD) found at the Northwest comer of said plat limits, at the
Southwest comer of said 160.139-acre tract and the Southeast comer of said 153.864-acre tract;
THENCE N. 88005'46" W., along the South line of said 153.864-acre tract, at 1320.00 feet pass a 1/2" iron
rod found, continuing at 2130.37 feet pass the Northeast comer of Tract "A", Broadview Baptist Church
Addition as recorded in Volume 1685, Page 894, OPRLCT, continuing along the North line of said Tract "A"
for a total distance of 2579.92 feet to a 1/2" iron rod found in the East right-of-way line of Frankford Avenue
(FM 2528) at the Southwest comer of said 153.864-acre tract and the Southwest comer of this tract;
THENCE N. 01°56'10" E., along said East right-of-way line and the West line of said 153.864- acre tract
a distance of 2573.17 feet to a 1/2" iron rod found in the South right-of-way line of Ursuline Street as
described in CCFN 2011027661, OPRLCT, at the Northwest comer of this tract;
THENCE S. 88°14'14" E., along the South right-of-way line of said Ursuline Street, at 2285.20 feet pass the
West line of that tract described in Volume 10263, Page 222, at 2580.37 feet pass the East line of same
tract and the West line of said 160.319-acre tract, continuing for a total distance of 4671.95 feet to a 1/2"
iron rod with cap marked "HUGO REED & ASSOC" set for a point of intersection;
THENCE S. 85022'29" E., continuing along said right-of-way line a distance of 200.25 feet to a 1/2" iron rod
with cap marked "HUGO REED & ASSOC" set for a point of intersection;
THENCE S. 88014' 14" E., continuing along said right-of-way line a distance of 208.00 feet to the Point of
Beginning.
A-7
Northwest Passage PID SAP 22
SAVE & EXCEPT: Any portion of Tract 3 located in Section 5, Block JS, Lubbock County, Texas, Abstract 346,
described in Volume 10016, Page 135, OPRLCT that is also currently located in the North Pointe PID.
Bearings relative to the Texas Coordinate System of 1983 (2011) Epoch 2010.0, North-Central Zone.
Distances and areas are surface, U.S. Survey Feet.
Tract 4 (Small strip adjoining Southwest Quadrant):
All of the portion of Tract 5 described in the Deed to Petitioner filed in CCFN 2021019386, OPRLCT not
currently located in the North Point PID (for further clarification, this tract is generally described as a strip
located north of, and adjacent to, the alley north of Marshall Avenue, adjacent to Tract 3 described above.)
Northwest Passage PID SAP 23
EXHIBIT B — BOUNDARY MAP
A - Northwest Passage Public Improvement District
1 II
Proposed Pm Boundary
Parcels
Lot -Bloch Unee
���OIC1�3Y4i�Y0iYw�srwOw��lt� YA�Y�1�W�✓trM-
�ti�w��YrW��OMr1y.�.�rw1AA��q�
W,3am
Lubbock
,,,„
Northwest Passage PID SAP 24
EXHIBIT C — AUTHORIZED IMPROVEMENTS
Public Improvements
Drainage (Includes Soft Costs,
Contingency and Project Management
40,825,434
40,825,434
District Formation and Bond Issuance Costs
_Debt Service Reserve Fund
-
Capitalized Interest
_ Underwriter Discount _
200,000
Cost of Issuance
250,000
450,000
Total
41,275,434
Footnotes:
[a] Costs allocated based on estimated buildout value, see Exhibit M for calculation of allocation percentages.
These are estimates only. They will change.
% Cost
9,985,000
9,985,000
200,000
250,000
450,000
25.28% 10.435.000
Northwest Passage PID SAP 25
EXHIBIT D - SERVICE PLAN - FIVE YEAR PLAN
Northwest Passage PID
Fiscal Year FY 2022-23 FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27
FY 2027-28
Annual Installments Due 1/31/2023 1/31/2024 1/31/2025 1/31/2026 1/31/2027
1/31/2028
Principal
$ -
-
-
-
-
365,000
Interest
-
-
-
-
-
368,965
Total Debt Service
-
-
-
-
-
733,965
Annual Collection Costs
8,647
20,000
20,400
20,808
21,224
21,649
Additional Reserve
-
232,385
513,997
804,152
956,521
379,553
Total Annual Installment
$ 8,647
252,385
534,397
824,960
977,745
1,135,166
Future years are estimates only.
Northwest Passage PID SAP 26
EXHIBIT E - SERVICE PLAN - SOURCES AND USES
SOURCES
Bond Par(b)
Premium
Owner Contribution (a)
TOTAL SOURCES
IMPROVEMENT
Improvement Project
Costs of Issuance
Underwriters Discount
Capitalized Interest_
.Reserve Fund
TOTAL USES
(a) Non -reimbursable to Owner
$ 10,435,000
30,840,434
$ 41,275,434
40,825,434
250,000
200,000
$ 41,275,434
(b) The Owner is only entitled to reimbursement for the Actual Costs of
the Authorized Improvements in an amount equal to $10,435,000
The above are estimates only.
SUMMERLYN WEST 2020 A&R SAP 27
EXHIBIT F -ASSESSMENT ROLL
Ref
ID No.
R342383
Value
3,289
Percent
0.1%
Principal
-
-
Annual
5
AdditionalTax
-
5
R343734
179,767
3.1%
-
-
270
-
270
R343735
1,126,310
19.5%
-
-
1,689
-
1,689
R63099
1,168,500
20.3%
-
-
1,753
-
1,753
R63214
1,273,930
22.1%
-
-
1,911
-
1,911
R66307
1,030,700
17.9%
-
-
1,546
-
1,546
R82421
211,744
3.7%
-
-
318
-
318
R82485
770,600
13.4%
-
-
1,156
-
1,156
5,764,840
100%
-
-
8,647
-
8,647
SUMMERLYN WEST 2020 AM SAP 28
EXHIBIT G - ANNUAL INSTALLMENTS
2022
-
-
8,647
-
8,647
2023
-
20,000
232,385
252,385
2024
-
20,400
513,997
534,397
2025
-
20,808
804,152
824,960
2026
-
21,224
956,521
977,745
2027
365,000
368,965
21,649
379,553
1,135,166
2028
380,000
355,966
22,082
500,627
1,258,674
2029
390,000
342,507
22,523
611,050
1,366,081
2030
410,000
328,572
22,974
632,125
1,393,671
2031
420,000
314,145
23,433
664,335
1,421,913
2032
435,000
299,208
23,902
682,112
1,440,222
2033
455,000
283,742
24,380
695,825
1,458,947
2034
470,000
267,730
24,867
715,446
1,478,044
2035
485,000
251,152
25,365
736,071
1,497,588
2036
505,000
233,987
25,872
752,735
1,517,594
2037
520,000
216,215
26,390
775,415
1,538,019
2038
540,000
197,815
26,917
794,208
1,558,941
2039
560,000
178,765
27,456
815,287
1,581,508
2040
580,000
159,041
28,005
141,544
908,589
2041
600,000
138,619
28,565
166,269
933,453
2042
620,000
117,475
29,136
(14,101)
752,511
2043
640,000
95,584
29,719
5,475
770,778
2044
665,000
72,919
30,313
21,594
789,826
2045
685,000
49,452
30,920
44,256
809,628
2046
710,000
25,156
31,538
63,586
830,279
10,435,000
4,297,013
617,084
11,690,467
27,039,565
[a] Interest is calculated at the rate of the Bonds.
[bl Annual Collection Costs estimated to escalate 2.00% annually.
Note: The figures shown above are estimates only and subject to change in Annual Service Plan Updates. Changes in Annual
Collection Costs, reserve fund requirements, interest earnings, or other available offsets could increase or decrease the amounts
shown.
NORTHWEST PASSAGE PID 2022A&R SAP 29
EXHIBIT H - MAXIMUM ASSESSMENT PER LOT TYPE
NORTHWEST PASSAGE A&R SAP 30
EXHIBIT I - ALLOCATION OF PUBLIC IMPROVEMENT COSTS
Residential
4,400
293,867 1,293,014,001
100.0% $
3,348.18 $
14,732,013.06
Tract 1
9
2,586,028
0.2%
1,473.20
29,464.03
Tract 2
466
137,059,484
10.6%
78,079.67
1,561,593.38
Tract 3
22
_
6,465,070
0.5%
3,683.00
73,660.07
Tract4
1,034
303,858,290
23.5%
173,101.15
3,462,023.07
Tract 5
1,087
319,374,458
24.71Y.
181,940.36
3,638,807.23
Tract 6
911
267,653,898
20.7%
152,476.34
3,049,526.70
Tract 7
189
55,599,602 ,
4.3%
31,673.83
633,476.56
Tract8
682
200,417,170 1
15.5%
114,173.10
2.283.462.02
* Assessment is $0.15 per $100valuation so each lot will have a different assessment based on value. The assessment rate could
be lowerin lateryears.
This is a projection and can change each yearwhen the Service and Assessment Plan is updated. The total estimated assessment
is based on 20years and an average amount for each lot. The actual will be different.
NORTHWEST PASSAGE ASR SAP 31
EXHIBIT J - BOND DEBT SERVICE SCHEDULE
TAX & WW SYSTEM SURPLUS REV CO BDS, Series 2027
Dated Date: TBD
S10,435,000.00
NORTHWEST PASSAGE PID
FISCAL
TOTAL
YEAR
PRINCIPAL
INTEREST
REQUIREMENTS
2027-28
365,000.00
368,964.54
733,964.54
2028-29
380,000.00
355,965.53
735,965.53
2029-30
390,000.00
342,506.89
732,506.89
2030-31
410,000.00
328,572.38
738,572.38
2031-32
420,000.00
314,145.17
734,145.17
2032-33
435,000.00
299,207.83
734,207.83
2033-34
455,000.00
283,742.34
738,742.34
2034-35
470,000.00
267,730.01
737,730.01
2035-36
485,000.00
251,151.51
736,151.51
2036-37
505,000.00
233,986.82
738,986.82
2037-38
520,000.00
216,215.22
736,215.22
2038-39
540,000.00
197,815.24
737,815.24
2039-40
560,000.00
178,764.67
738,764.67
2040-41
580,000.00
159,040.50
739,040.50
2041-42
600,000.00
138,618.92
738,618.92
2042-43
620,000.00
117,475.26
737,475.26
2043-44
640,000.00
95,584.00
735,594.00
2044-45
665,000.00
72,918.70
737,918.70
2045-46
685,000.00
49,451.99
734,451.99
2046-47
710,000.00
25,155.54
735,155.54
S 10,435,000.00 S
4,297,013.06
S 14,732,013.06
This is an estimated debt schedule only. It will change once debt has been issued.
NORTHWEST PASSAGE A&R SAP 32