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R2009-054 - 2009-04-13RESOLUTION NO. R2009-54 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS, APPROVING THE ANNEXATION BY BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 26 OF APPROXIMATELY 4.115 ACRES OF LAND. WHEREAS, Brazoria County Municipal Utility District No. 26 (the "District") is located within the corporate limits of the City of Pearland, Texas ("City"); and WHEREAS, Section 54.016, V.T.C.A., Water Code, as amended, provides that no land within the corporate limits of a city or within the extraterritorial jurisdiction of a city, shall be included within a municipal utility district unless such city grants its written consent, by resolution or ordinance, to the inclusion of the land within the district; now, therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS: Section 1. All of the matters and facts set forth in the preamble hereof are true and correct. Section 2. The City Council of the City of Pearland, Texas, hereby specifically gives its written consent to the annexation of approximately 4.115 acres as described further in Exhibit "A" attached hereto, into the District. Section 4. This Resolution shall take effect immediately from and after its passage in accordance with the provisions of the Charter of the City of Pearland and it is accordingly so resolved. PASSED and APPROVED ON FIRST AND ONLY READING this the 13tH day of April, A. D., 2009. RESOLUTION NO. R2009-54 TOM REID MAYOR ATTEST: ~,~:~ ~,: ~. ~`::~~ Y NG L ---: :x _-: :~.= :v; ;~: SE ETARY t11~lHH~\1~„',a APPROVED AS TO FORM: ~~.- ~f . DARRIN M. COKER CITY ATTORNEY Exhibit "A" Resolution No. R2009-54 PETITION FOR CONSENT TO ANNEX LAND INTO BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT N0.26 THE STATE OF TEXAS § COUNTY OF BRAZORIA § TO THE HONORABLE MAYOR AND CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS: The undersigned, Brazoria County Municipal Utility District No. 26 (the "District"), and Boardwalk at the Spectrum, L.P., a Texas limited partnership (the "Petitioner") acting pursuant to the provisions of Chapter 49, Texas Water Code, particularly Section 49.302 of that Cade, together with all amendments and additions thereto, respectfully petition the City Council of the Pearland, Texas, (the "City"} for its written consent to the annexation by the District of the 4.115-acre tract of land described by metes and bounds in Exhibit A (the "Land"}, which is attached hereto and incorporated herein for all purposes. In support of this petition, the undersigned would show the Following: I. The District is a municipal utility district duly created under the laws of the State of Texas on March 18, 2002. The District is governed by the provisions of Chapters 49 and 54, Texas Water Code. II. The Petitioner holds fee simple title to the Land sought to be annexed to the District, as indicated by the certificate of ownership provided by the Brazoria County Appraisal District. The Petitioner represents that there are no Iienholders on the Land except Amegy Mortgage Company, L.L.C. dba iCap Realty Advisors of Texas. III. The Land is situated wholly within Brazoria County, Texas. All of the Land is within the corporate limits of the City AlI of the Land maybe properly be annexed into the District. IV. The general nature of the work to be done in the area sought to be annexed into the Distxict is the construction, acquisition, maintenance and operation of a waterworks and sanitary sewer system, a drainage and storm sewer system. 204552 V. There is, for the following reasons, a necessity for the above-described work. The Land proposed to be annexed into the District, which will be developed for commercial and/or residential purposes, is urban in nature, is within the growing environs of the City, is in close proximity to populous and developed sections of Brazoria County, and within the immediate future will experience a substantial and sustained residential and commercial growth. There is not now available within the area sought to be annexed to the District an adequate waterworks and sanitary sewer system nor an adequate drainage system, and it is not presently economically feasible for the area sought to be annexed to provide for such systems itself. Because the health and welfare of the present and future inhabitants of the Land and of lands adjacent thereto require the construction, acquisition, maintenance and operation of an adequate waterworks and sanitary sewer system and a drainage and storm sewer system, a public necessity exists for the annexation of the Land into the District, to provide for the purchase, construction, extension, improvement, maintenance and operation of such waterworks and sanitary sewer system and such drainage and storm sewer system, so as to promote the purity and sanitary condition of the State's waters and the public health and welfare of the community. VI. The Petitioner and the District agree and hereby covenant that if the requested consent to the annexation of the Land to the Districtrs given, the Petitioner and the District will adopt and abide by the conditions set forth in Exhibit B, attached hereto and incorporated herein for all purposes. WHEREFORE, the undersigned respectfully pray that this petition be heard and granted in all respects and that the City give its written consent to the annexation of the Land into the District. [EXECUTION PAGES FOLLOW] 204552 - 2 - RESPECTFULLY SUBMITTED this day of ~ ~~ , 2009. BRAZORIA COUNTY MUNICIPAL DISTRICT N0.26 ~`- ~~- By. Chris Jones " T'resident, Board of Directors ATTEST: By: Cara_l ~ n of Directors ~~ ~~ ~~ ~ n die. ~ _~:\\l THE STAT~Y~F` TEXAS § § COUNTY OF HARRIS § This instrument was acknowledged before me on this ~~day of Val l~R C.f-I 2009, by Chris Jones, as President, and ~-.ral~vtY~ P raC~~; as Secretary, of the Board Directors of Brazoria County Municipal Utility District No. 26 a political subdivision the State of Texas, on behalf of said political subdivision. t~': f±,e:, ~R .EAST ~'i ~'= MY COMMISSION EXPIRES ~r,~;l ~~ OcEober 26, 2009 Notary Public, State of Texas 2oassz - 3 - BOARDWALK AT THE SPECTRUM, L.P., a Texas limited partnership By: Boardwalk 288 GP, LLC, a Texas linnited liability company, its General Partner By: ~~ u~c. - Tra EIi e h Goswick Manager THE STATE OF TEXAS ~ COUNTY OF HARRIS § This instrument was acknowledged before me on this ~~ day of . e-/ , 2008, by Tracy Elizabeth Goswick, Manager of Boardwalk 288 GP, LLC, a Texas limited liability company, as General Partner of BOARDWALK AT THE SPECTRUM, L.P., a Texas limited partnership, on behalf of said limited liability company and said limited partnership. * ,F~fJntary pe~lic, state of 7exe~ ~; ~NO ~ kty Cornnmissiun Expires '' OFK-' O2`12'ZO11 Attachments: Exhibit A -Legal Description of the Land Exhibit B -- Conditions of City of Pearland n. Not .~ Publi ,State of Texas 2t~z ~xw~Bir a August 25, 2008 Job No. 1547.2610-iQ3 DESCRIPTION OF 4.115 ACRES PROPOSED ANNEXATION TRACT N0.1 BRAZORIA COUNTY MUNICIPAL UT{CITY DISTRICT N0.28 Being 4.115 acres of land Located in the James Hamilton Survey, Abstract 747, City of Pearland, Brazaria County, Texas, more particularly being out of the James Hamilton Survey Subdivision as evidenced by the instrument of record in Volume 83, Page 342 of the Harris County Deed Records (H.C.D.R.), and a portion that certain called 63.27 acre tract of land conveyed to Paul Fruge by instrument of record in Volume 533, Page 77 of the Brazoria County Deed Records (B.C.O.R}, said 4.115 acres being more particularly described by metes and bounds as follows (ail bearings referenced to the Texas State Plane Coorclinate System, South Central Zane. NAD 27); BEGINNING at a ill-inch iron rod found for the southeast corner of the herein described tract on the west right-of-way line of State Highway 288 (width varies) as described by the instruments of record in Volume 1046, Page 838 and Volume 1028, Page 631, B.C.D.R., and the common survey line between said James Hamilton Survey and the ,lames Crawley Survey, Abstract 174. of said Brazoria County,, also being the northeast corner. of a called 1.1433 acre tract conveyed ~to GCCLE-Shadow Creek, l.P. by instrument of record,in Fiie No. 2007005788 of the Brazorla County Official Records (B.C.O.R}, same being the northeast corner of a 60 foot Non-Exclusive Roadway Easement, as evidenced by the instrument of record as Exhibit "B" in Volume (87)444, Page 56, B.C.O.R.; Thence, South 87° 30' 07° West, along said common survey tine, passing the common survey line between said James Hamilton Survey and the Dupuy and Roberts Survey, Abstract 726, at approximately 353 feet, and continuing along the common survey line between said James Hamilton Survey and the Dupuy and Roberts Surveys of said Brazoria County, passing a 1-inch iron rod found for reference at 663.77 feet and continuing in all 779.85 feet to a point for the southwest comer of the herein described tract at the centerline of Clear Creek and the common county line Of said Brazoria County and Harris County, Texas; Page 1 of 3 itir~ask~~suavEn~s~m2a~mn~o~nn~wocaw_~i~ Tr°ai a~,"e~.c~ 4.115 acres August 25, 200a Job No.1547-2fi10-103 Thence, along said centerline and said common county tine, the following thirteen (13) courses: 1. North 45° 10' 41" East, 54.73 feet to a point for comer; 2. North 27° 39' 44° East, 52.32 feet to a point for corner; 3. North 17° 43' 27" East, 39,54 feet-to a point for comer; 4. North 42° 19' 09° East, 67.83 feet to a point for comer; 5. North 59° 53' 41" East, 96.52 feet to a point for comer; 6. North 63° 1$' 27° East, 1p3.94 feet to a point for corner, 7. North 74° 47' A3° East, 53.18 feet to a point for corner; 8. North 61 ° 49' 06" East, 59.46 feet to a point for corner; 9. North B5° 17' 10" East, 52.62 feet to a point for comer; 10. South 79° 37' 22° East, 36.06 feet to a point for corner; 11. South 86° 39' S1° East, 53.54 feet to a point for comer; 12. South 85° 52' 24" East, 124.37 feet to a point for comer; 13. North 78° 54' 43° East, 100.24 feet to a point for the northeast corner of the herein described tract on the aforementioned west right-of-way line of State Highway 288; Page 2 of 3 I.iRojdsktl4URVBYgS°71281010~O:i 71h amexl0ocs~4_1158o Trad7 annex.doe 4•.115 acres August 25, 2008 Job Na.1547-261Q-103 Thence, South U2° 53' S6° East, along said west line, 281.29 feet to the POINT OF BEGINNING and containing 4.115 acres of land. °This document was prepared under 22 TAC § 663.21, does not refiiect the results of an on the ground survey, and is not to be used to convey or establish, interests in real property except those rights and interests implied or established by the creation ar reconfiguration of the boundary of the political subdivision for which it was prepared" ,,..:.. Page 3 of 3 LJA Engineering & Sunrey'ing, Inc eu+~mtti~um~n~senzsirr+o~oa~+nennwnooc~.x ~s~~_sreati s,nex.aa g ~ Zs. 200 ~s EXHIBIT "B" (a) The City of Pearland, Texas (the "City"}, by execution of its City Manager, and the developer on behalf of the District have entered into and executed a utility agreement that specifies the terms and conditions for providing water and sewage treatment services to the District (the "Utility Agreement"). The District shall assume ali the rights, obligations, and interests of the developers under the Utility Agreement, as set forth therein. (b) The District may issue bonds, including refunding bonds, for any purposes authorized by Iaw, including but not limited to, purchasing, refinancing, designing and constructing, or otherwise acquiring waterworks systems, sanitary sewer systems, storm sewer systems, and drainage facilities, or parts of such systems or facilities, and to make any and all necessary purchases, constructions, improvements, extensions, additions, and repairs thereto, and to purchase or acquire all necessary land, right-of-way, easements, sites, equipment, buildings, plants, structures, and facilities therefor, and to operate and maintain same, and to sell water, sanitary sewer, and other services within or without the boundaries of the District. Such bonds must provide that the District reserves the right to redeem said bonds on any date subsequent to the fifteenth (15th) anniversary of the date of issuance (or any earlier date at the discretion of the District) without premium, and none of such bonds, other than refunding bonds, will be sold for less than 95% of par; provided that the net effective interest rate on bonds so sold, taking into account any discount or premium as well as the interest rate borne by such bonds, will not exceed two percent (2°~) above the highest avexage interest rate reported by the Daily Bond BuXer in its weekly "20 Bond Index" during the one-month period next preceding the date of the sale of such bonds. The resolution authorizing the issuance of the District's bonds will contain a provision that the pledge of any revenues from the operation of the District's water and sewer and/or drainage system to the payment of the District's bonds will terminate when and if the City annexes the District, takes over the assets of the District, and assumes all of the obligations of the District. (c) Before the commencement of any construction within the District, its directors, officers, or developers and landowners will submit to the City, or to its designated representative, all plans and specifications for the construction of water, sanitary sewer and drainage facilities to serve the Dishict and obtain the approval of such plans and specifications therefrom. AlI water wells, water meters, flushing valves, valves, pipes, and appurtenances thereto, installed or used within the District, will conform to the specifications of the City. All water service lines and sewer service lines, lift stations, and appurtenances thereto, installed or used within the District will comply with the City's standard plans and specifications as amended from time to time. Prior to the construction of such facilities within or by the District, the District or its engineer will give written notice by registered or certified mail to the City, stating the date that zo~552 such construction will be commenced. The construction of the District's water, sanitary sewer, and drainage facilities will be in accordance with the approved plans and specifications and with applicable standards and specifications of the City; and during the progress of the construction and installation of such facilities, the City may make periodic on-the-ground inspections. {d) Prior to the sale of any lot or parcel of Iand, the owner or the developex of the Iand included within the limits of the District will obtain the approval of the Planning and Zoning Commission of the City of a plat which will be duly recorded in the Official Records of Brazoria County, Texas, and otherwise comply with the rules and regulations of the Engineering Department and the Department of Public Works of the City of Pearland. 204552 - ~ - CERTIFICATE THE STATE OF TEXAS ~ COUNTY OF HARRIS ~ I, the undersigned Secretary of the Board of Directors of Brazoria County Municipal Utility District No. 26, do hereby certify that the attached and foregoing is a true and correct copy of the Petition For Consent To Annex Land Into Brazoria County Municipal Utility District No. 26 that was filed with the Board of Directors of the District on V~'1 ~2c-{-~- 3, , 2009. WITNESS MY HAND AND SEAL OF SAID DISTRICT this 6th day of January, 2009. BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT N0.2b ,`~ B : U 1~~~' Y -SST Secreta y, Board of Directors .n+~ ~/~ ~jJs ~~ ~ ~ °y~ ra .~, ~, ~~ ~ Y~v s w 'IL_ YJ~_.~~L City of Pearland In-City MUD Application Checklist BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 26 Date 5/3/09 Attach this sheet as a cover to the completed information and check each box. @Fully completed City of Pearland In-City MUD Data Form. @Existing Subdivisions Form. @Proposed Subdivisions Form. @Existing Non-Residential Businesses Form. la Proposed Non-Residential Businesses Form. 3Anticipated Future Annexations Form. @ Vicinity map of the entire City on a 24 x 36 sheet clearly showing location of the existing in-city MUD(if applicable)and the proposed annexation tract(s)—12 copies. Show the existing and proposed zoning(if different)for each existing MUD tract and each proposed tract to be annexed. @Detailed map of each tract(1"=200' scale)—12 copies,and an AutoCAD drawing file(.DWG)on CD or 3-1/2"floppy disk(Texas State Plane South Central NAD 83). @Fully completed and signed annexation petitions with metes and bounds boundary descriptions for all tracts—12 copies. Consent by the City of Pearland for in-city MUD creations and annexations into existing in- city MUDs is not final until the adoption on second reading of the creation/annexation ordinance. The annexation/creation ordinance will only be considered simultaneously with the first and second readings of the zoning ordinance,if required,for the property under consideration. The applicant is advised to examine the schedule requirements for the zoning process to ensure timely consideration of this application. Due to changes in market conditions and other variables,neither the MUD nor the developer(s)guarantee any of the projections or estimates provided in this Application. BOARDWALK AT THE SPECTRUM,L.P.,a Texas limited partnership By: Boardwalk 288 GP, LLC, a Texas limited liability company,its General Partner EL cao, Tr y Eli abeth Goswick,Mana er 225266 1 City of Pearland 1 In-City MUD Data Form MUD#BCMUD No.26 Date: February 6, 2009 Existing Proposed General Information MUD Tract(s) 1 Proposed Zoning Classification(also show on map) P.U.D. BP-288 2 Projected Date of Completion of All Homes/Businesses 2012 2011 Existing Proposed Area MUD Tract(s) Total 3 Total Acreage 1701.011 4.115 1705.126 4 Currently Platted Residential Acreage(including road rights of way) 740.020 0.000 740.020 5 Currently Platted Commercial Acreage(including road rights of way) 94.300 0.000 94.300 6 , Currently Undeveloped Acreage 378.162 4.115 382.277 7 Projected Undeveloped Acreage to be Platted Residential 0.000 0.000 0.000 8 Projected Undeveloped Acreage to be Platted Commercial 378.162 1.870 380.032 9 Current and Projected Detention&Transmission Utility Easements(acres) _ 335.930 0.000 335.930 10 All Other Acreage(Landscaping Reserves,Parks,etc) 152.599 2.200 154.799 Note:Lines 7 and 8 should total to Line 6. Lines 4,5,6,9,and 10 should total to Line 3. Line 3 should equal the total acreage in the MUD or the Proposed Tracts. Existing Proposed Residential Lots MUD Tract(s) Total 11 Total Existing and Planned Residential Lots 2615 0 2615 12 Number of Currently Completed/Occupied Homes _ 2521 0 2521 13 Number of Currently Completed Lots 94 0 94 14 Number of Lots Under Construction 0 0 0 15 Number of Future Lots 0 0 0 Note:Lines 12,13,14,and 15 should total to Line 11 Existing Proposed Property Values MUD Tract(s) Total 16 Most Recent BCAD Valuation(Date:January 1,2008) $ 654,541,948 $ 38,500 $ 654,580,448 17 Projected Total Valuation at Build Out Date $ 988,443,900 $ 15,900,000 $ 1,004,343,900 18 Projected Residential Valuation at Build Out $ 716,008,600 $ - $ 716,008,600 19 Projected Commercial Valuation at Build Out $ 272,435,300 $ 15,900,000 $ 288,335,300 20 Estimated Average Home Value(Date:January 1, ) $ 215,119 N1A $ 215,119 21 Estimated Average Home Value-at Build Out $ 273,808 $ - $ 273,808 Note:Lines 18 and 19 should total to Line 17 Existing Proposed Property Tax Revenues MUD Tract(s) Total 22 Pre-Development General Fund Taxes @$.686/$100(Date Jan.1,2002) $ 20,787 $ 264 $ 21,051 23 Most Recent Year City Property Taxes @$.66/$100 $ 4,319,977 $ 251 $ 4,320,228 24 Projected City Property Taxes @$.66/$100 at Build Out $ 6,523,730 $ 103,763 $ 6,627,493 25 Most Recent Year MUD Rebate Amount $ 719,996 $ - $ 719,996 26 Projected MUD Rebate Amount at Build Out $ 1,087,288 $ 18,200 $ 1,105,488 Existing Proposed Calculations MUD Tract(s) Total 27 Approx.Net Density at Build Out-Homes/Acre(Line 11/(3-9)) 1.92 $ - $ 1.91 28 Net Annual Revenue to City-Current Estimate(Line 23-25-22) $ 3,579,194 $ (13) $ 3,579,181 29 Net Annual Revenue to City-Build Out Estimate(Line 24-26-22) $ 5,415,654 $ 85,299 $ 5,500,954 W:LAND11548100011MUD Data Form-Annexation VII 3/3/2009 City of Pearland In-City MUD Data Form MUD#BCMUD No. 26 Date: February 6,2009 Existing Subdivisions Within Existing MUD Projected Percent Subdivision Name Area(Acres) Lots Complete SF-1 11.98 43 100 SF-2 18.96 67 100 SF-3 21.99 69 100 SF-4 10.34 35 100 SF-5 18.78 54 100 SF-6 30.93 56 100 SF-7A 13.01 43 100 SF 7B 18.91 43 100 SF-8A 21.99 43 100 SF-8B 14.31 59 100 SF-9A 20.89 84 100 SF-9B 37.49 138 100 SF-10 21.44 84 100 SF-11 13.60 34 100 SF-12 25.65 80 100 SF-13 20.61 61 100 SF-14A 11.96 56 100 SF-14B 11.89 53 100 SF-15 21.25 85 100 SF-16A 18.81 92 100 SF-16B 15.17 67 100 SF-17 20.77 57 100 SF-18A 12.24 40 100 SF-18B 13.43 65 100 SF-19 21.76 99 100 SF-20A 25.76 62 100 SF-208 14.82 60 100 SF-21 15.98 58 100 SF-22 16.25 57 100 SF-23 29.78 103 100 SF-24A 25.30 98 100 SF-24B 13.80 47 100 SF-25 20.47 49 100 SF-26 31.72 156 100 SF-27 20.37 59 100 SF-28 14.96 61 100 SF-29 15.67 61 100 SF-30 26.98 137 100 W:LAND1154810001MUD Data Form-Annexation VII 3/3/2009 City of Pearland In-City MUD Data Form MUD#BCMUD No.26 Date: February 6,2009 Proposed Subdivisions Within Annexation Request Projected Percent Subdivision Name Area(Acres) Lots Complete W:LANDt1 5 48100 011MUD Data Form-Annexation VII 313/2009 City of Pearland In-City MUD Data Form MUD#BCMUD No.26 Date: February 6,2009 Existing Non-Residential Businesses Within Existing MUD Business Name Type of Business B.E.T.CLEANERS DRY CLEANERS BANK FINANCIAL C-18A COMMERCIAL-RETAIL,OFFICE,RESTAURANT C-18B COMMERCIAL-RETAIL,OFFICE,RESTAURANT C-19B COMMERCIAL-RETAIL,OFFICE,RESTAURANT C-20A COMMERCIAL-RETAIL,OFFICE,RESTAURANT C-20B COMMERCIAL-RETAIL,OFFICE,RESTAURANT C-21A COMMERCIAL-RETAIL,OFFICE,RESTAURANT C-21B COMMERCIAL-RETAIL,OFFICE,RESTAURANT C-3 COMMERCIAL-RETAIL,OFFICE,RESTAURANT C-4 COMMERCIAL-RETAIL,OFFICE,RESTAURANT C-5 COMMERCIAL-RETAIL,OFFICE,RESTAURANT C-6 COMMERCIAL-RETAIL,OFFICE,RESTAURANT CH-1 CHURCH CH-3 CHURCH CH-5 CHURCH CVS/PHARMACY PHARMACY FIRST COMMUNITY MORTGAGE MORTGAGE COMPANY IDEAL HAIR HAIR STYLIST KANDILAND DAYCARE KIDS-R-KIDS DAYCARE LIB LIBRARY MF-1 MULTI-FAMILY MF-2 MULTI-FAMILY MF-3 MULTI-FAMILY REC-1 RECRECATION CENTER REC-2 RECRECATION CENTER SCH-1 SCHOOL SCH-2 SCHOOL SCH-3 SCHOOL SCR VISITOR CENTER SALES OFFICE TH-1 TOWNHOMES TOTTENBERRY'S PRIVATE PRESCHOOL PRESCHOOL UT MEDICAL CENTER MEDICAL YMCA RECRECATION CENTER GULF COAST COMMERCIAL COMMERCIAL/RETAIL/RESTAURANT Crosswell Greenwood COMMERCIAL/RETAIL/RESTAURANT Annexation IV W:LAND11548100011MUD Data Form-Annexation VII 3/3/2009 City of Pearland In-City MUD Data Form MUD#BCMUD No.26 Date: February 6,2009 Proposed Non-Residential Businesses Within Annexation Request Business Name Type of Business Hotel 120 Room Hotel • W:LAND11548100011MUD Data Form-Annexation VII 3/3/2009 City of Pearland In-City MUD Data Form MUD#BCMUD No.26 Date: February 6,2009 Anticipated Future Annexation Requests Projected General Tract Description Area(Acres) Lots None at this time. W:LAND11 5 4 810 0 0 11MUD Data Form-Annexation VII 3/3/2009 • LJA Engineering & Surveying, Inc. LJA 2929 Briarpark Drive Phone 713.953.5200 Suite 600 Fax 713.953.5026 Houston,Texas 77042-3703 www.ljaengineering.com February 5, 2009 Board of Directors Brazoria County Municipal Utility District No. 26 c/o Allen Boone Humphries Robinson, LLP 3200 Southwest Freeway, Suite 2600 Houston,Texas 77027 Re: Feasibility for the 4.115 Acre Cullum Heard Tract Annexation Brazoria County Municipal Utility District No. 26 LJA Job No. 1547-2610 (12.11) Dear Directors: In conjunction with the subject 4.115 acre Cullum Heard Tract Annexation,we hereby submit the following assessment regarding the feasibility of this annexation: The District has authorized$108,300,000 in bonds to fund the development activities at an election held in May 2002. Since the bond election, the District has completed five bond issues in the amount of$60,955,000 leaving$47,345,000 in allocated funding. The estimated cost for completion of the Brazoria County Municipal Utility District No.26 facilities,including the 4.115 acre annexation, is less than the$47,345,000 allocated and unused bonding capacity. Attached is an exhibit showing the preliminary site plan and preliminary construction costs. In our opinion, it is feasible for the District to annex the 4.115 acre Cullum Heard Tract into the District. The development would provide increased value to the District and would not cause a need to increase the original authorized bond amount of$108,300,000. Sincerely, fl_ 9�..,� James D. Ross, P.E. Senior Project Manger J D R/ybz Attachment O:ILAND\1 5 4 711 5 47-26 1 01AnnexFeasibility4115Acre.doc ��� FEASIBILITY REPORT FOR THE ANNEXATION OF 4.115 ACRES FOR BRAZORIA COUNTY MUNICIPAL UTILITY DISTRICT NO. 26 February 5, 2009 LJA Job No. 1547-2610 (12.11) Prepared By: "4 LJA Engineering & Surveying, Inc. LJA Engineering &Surveying, Inc. 2929 Briarpark Drive, Suite 600 ..�%%OF%%%% Houston, Texas 77042 5C?:••• " ••:rs �•. �l> •. 71 Phone: 713.953.5200 *• I'‘ . Fax: 713.953.5026 • JAMES D.ROSS f, 0 • It esro • NAL EN 2�-5-10 Introduction This report is intended to review the amount of authorized, but unissued bonds for Brazoria County Municipal Utility District No. 26 (the "District") and additional bonds to be authorized for the annexation of 4.115 acres of land adjoining the District. The current District contains 1701.011 acres of land, designated for single-family and multi-family residential uses, commercial/retail, schools, detention lakes, parks and open space. The proposed uses for the 4.115 acres to be annexed include additional development of restaurants, a hotel, and a bank or office. A map showing the current District and the additional 4.115 acres to be annexed is attached as Exhibit A. Water This section describes the water distribution system necessary to serve the District at full development. Currently,there are approximately 2,558 equivalent single family connections (ESFC) within the District's boundary, but we project there will be 5,277 at build-out. If the District elects to annex an additional 4.115 acres, the total number of projected connections in the District will increase to approximately 5,340 ESFC. The planned water system is adequate to serve the existing District's needs, as well as the 4.115 acres for annexation. The District will be provided water by the City of Pearland by connecting to an existing 16-inch water line at Broadway Street and by the City's water plant located approximately 1000 feet south of the intersection of F.M. 521 and Shadow Creek Parkway. The District's share of the capital costs will be paid through connection charges and fees paid to the City of Pearland. Wastewater The wastewater will be treated by the City of Pearland's Far Northwest Wastewater Treatment Plant. This facility currently has a capacity of 5,400 ESFC. The facility has sufficient capacity to serve all the current development within The District. Future expansions of the plant are anticipated to serve the remaining development within The District. Shadow Creek Ranch currently contributes approximately 5,258 ESFCs to the treatment plant (Brazoria — Fort Bend County Municipal Utility District No.1 currently contributes approximately 2,700 ESFCs to the facility for treatment and the District currently contributes approximately 2,558 ESFCs to the facility for treatment). The current District, at build out, will have a demand of 5,277 ESFC. The annexation will increase the demand to 5,340 ESFC. The District's share of the capital costs of the wastewater treatment plant will be paid through connection charges and fees paid to the City of Pearland. W.'AND1154810o01tAnnexation Report Page 1 of 2 Storm Sewer 1 Drainage The storm water runoff within the District and the annexation will be routed through a curb and gutter street system to collector lines that will outfall into detention lakes and ultimately into Clear Creek. The internal detention lakes will also provide storage of the coincidental storm runoff. The parcel proposed for annexation was not included in the master drainage plan for Shadow Creek Ranch. The storm water runoff for the parcel proposed for annexation will be collected through a series of area inlets that outfall into a proposed detention basin that will eventually outfall into Clear Creek. Neither the District nor the city will maintain the detention pond. The owner must arrange for its permanent maintenance. Analysis The District currently has authorization to issue $108,300,000 of bonds to finance development within the current District boundary. Of this $108,300,000, $47,345,000 remains to finance the future development of the District. Our analysis shows that the District has sufficient bonding capacity to annex the 4.115 acre tract. Table 1.1 summarizes the acreages for the current district boundary and the proposed annexation. Table 1.2 provides a summary of the bond issue requirement for the additional 4.115-acre annexation. TABLE 1.1 BOUNDARY ACREAGE EXISTING DISTRICT 1701.011 PROPOSED ANNEXATION 4.115 TOTAL 1705.126 Conclusion The District's current bonding capacity of$108,300,000 is adequate to annex the additional 4.115 acres and finance construction of the water, wastewater and drainage projects necessary to serve the remainder of the existing District. Should the District sell bonds at lower costs than projected, the District may also elect to annex additional lands beyond the 4.115 acres. These annexations will be subject to an analysis of their financial feasibility once the scope of such future annexations is determined. W:1L4NDt154810001WmexatJonReport Page 2 of 2 Table 1.2 BOND ISSUE REQUIREMENT FOR PROPOSED ANNEXATION COST SUMMARY Total Developer District Interest Developer Construction Costs Cost Share Share Years Rate Interest A. Developer Contribution Items 1 Brazorla County MUD#26 A Water Distribution System $ 1,050 $ - $ 1,050 2 6.00% $ 128 B Sanitary Sewer Collection System $ 1,015 $ - $ 1,015 2 6.00% $ 122 C Storm Sewer/Drainage System $ - $ - $ - 2 6.00% $ - D Clearing&Grubbing $ - $ - $ - 2 6.00% $ - 2 Contingency(1)(20%) $ 413 $ - $ 413 2 6.00% $ 50 3 Geotechnical and Construction Materials Testing $ 103 $ - $ 103 2 6.00% $ 12 4 Engineering(1,2) S 387 S - $ 367 2 6.0D% $ 46 • Sub Total Developer Contribution Items $ 2,988 $ - $ 2,988 B. District Items 5 Impact Fee(Based on Service Unit Factor x$2,672) A Single Family Residential $ - $ - $ - 2 6.00% $ - B Commercialtfi $ 288,813 $ - $ 288,813 2 6.00% $ 34,658 6 Land for Detention $ - $ - $ - 2 8.00% $ - Sub-Total District Items $ 288,813 $ - $ 288,813 TOTAL CONSTRUCTION COSTS $ 291,781 $ - $ 291,781 62.08%of BIR ESTIMATED INFLATION(10%) $ 29,178 Non-construction Costs A. Legal Fees(3%) S 14,100 B. Fiscal Agent Fees(2%) $ 9,400 C. Interest Costs 1. CapItalized Interest(1 yr.@ 6.0%) S 28,200 2. Developer Interest(6.0%) $ 35,014 D. Bond Discount(3%) $ 14,100 E. TCEQ Bond Issue Fee(0.25%) $ 1,175 F. Attorney General Fee(0.10%) $ 470 G. Bond Applicaton Report Cost $ 15,000 N. Bond Issuance Administration Fees $ 31,583 TOTAL NON-CONSTRUCTION COSTS $ 149,042 31.71%of BIR TOTAL BOND ISSUE REQUIREMENT $ 470,000 TOTAL DEVELOPER INTEREST $ 35,014 Notes. 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M BRAZORIA COUNTY e ® +• CTIY O PEA L ND,TEXAS s �Ilq,llrrI EXHIBIT A 8 ;s =^_; WA Engineering&SurveYrJ,Inc.L� W -=ja�l„�/.nunlum 2929 BriarWrk Drl,e Mono 713.253.520D u I. Ld•- - Sul to 600 FaH 713.9 53.5026 ¢ I Houston, Text's 77092-9703 1, § 0 VItlafr M0, II0/110.1 lal 9r1.21:10 E,rm.,ao9• N • . .. 1::) . . . • . • • . . . . •. ... ...,. • • . • , . / ---57 ., ;,,, C.. F'� '• �A „... / ✓--: �'�,,�`•."_ram- ^'f +; °' _:r '':,old;. .t l yy h,!. ..v . 'w- ..-..'•'.wv�;z,,,.i p.s r am,.,.•.-�.. Lc..i.e...2..- r• Lr•'„''` - : } =�iia `., yy''` { - _v3k•• F•.�t" ,.:�.•t.. • L i, ; • ��• . i" rJ✓ 1 ti•Y _73„ _.{ - ,�, h a 0.! ,-• ..••• p ) a '-yti• , '`,I,:i:4' :' 'i is t" `� w�i� r 3'fr' �^'40 x ,sue .'� '� =••S'4.'' ".•;.r'':,. ..' ��. '..: ,{d• .tL ��<.,. [�,Y.�E pyry�• ' ��:v� ,..�.• :•�r.�.. ... °�• •: ::�. ,�'' F • d' .G.�•�ti::�"' lx••i ' r�3':�� t" -. •'�' ��r a.r��1�"'�''•+�.r•:.,ar� • •••I - T' .;d • iI' i;. •'�. .,.���•�.Y .r. " P , ;' � D ,tom s �-��'y f' v • p' �ir� `'. `. _ *1 4 `-. V t ,. 4;, /' • s�„k t 1' .Yet-ypi 7 ;•4 a+0,,y-,•::•,`n_t'? �. . ,,- e•, l7. rr�rppaaqq-- r �. 6l..,'fie • ;v• ..‹...;r;o:J yy '!u, r rp•(7.,1 . 4,,,, a �,1'"� i "4V: ?: .`` IC='i'? ;, r •• ,�•` �'"a ��e''' t T.i•s s[•. • 'f(�...m�.K'?�`'iar .`6,f�..�r..si u>.ticx._" .. .I `. ay' �i 1• r rF. y' 3...y,.,. 'fir (4nro ) •p', ""F 1'. .r •R• r P fit^c • `r 7 R'f.�`" _• _ �'• •i': .'L .!•` _ ��.j]�� �. s. j r 2 F,t. 7 .l. • a .�.. _ •s vt�ol /�� • • ,' - r • �( •• 7 f 'fit. i' + c. .yt� • "'1 ++4•':;'1.•}{ 4 l -,'1^». ). '•.� :�l� ��. {t F•'� T 3 .'s:' eiw•.. +.;a>i•'•.cEe4;f.•aF•ft-raG'°;r � 's 1,3 ' v '.s1 • • • fir, f'!y.i cx�` RATI VIANN &ASSOCIATES, L.P. Four Houston Center R.Craig Rathmann 1331 Lamar,Suite 1060 Managing Partner Houston,Texas 77010 (713) 751-1888 (713)751-1890 craig@rathmannassociates.com (713)751-1891 Fax March 2,2009 Board of Directors Brazoria County Municipal Utility District No.26 do Ms.Lynne Humphries Allen Boone Humphries Robinson LLP Phoenix Tower 3200 Southwest Freeway,Suite 2600 Houston,Texas 77027 Re: Brazoria County Municipal Utility District No.26 Economic Feasibility of the Annexation of 4.115 Acres (the"Tract") Directors: I have reviewed the Feasibility Report for the Annexation of 4.115 Acres for Brazoria County Municipal Utility District No. 26 dated February 5, 2009,prepared by LTA Engineering & Surveying, Inc. (the "Engineer"). According to the Engineer, the total Bond Issue Requirements ("BIR") required to cover the cost of the District's • acquisition or construction of the water,sewer and drainage facilities to serve the Tract and payment of related Impact Fees is$470,000.According to the Engineer,the projected valuation of Tract and above-ground improvements thereon is approximately$15,900,000 upon the completion of the construction of a 120-room hotel on the Tract. The District levied a debt service tax of$0.66 per$100 of Assessed Valuation in 2008. Following are calculations that relate to the foregoing assumptions and the proposed annexation. $470,000 Unlimited Tax Bonds 6.5% 20 maturities $42,656 Annual Debt Service Requirements $15,900.000($0.29)(0.95)=$43,805 $100 Given the foregoing assumptions, the projected debt service tax rate that is necessary to amortize the debt required to acquire or construct the District's facilities to serve the Tract and to pay related Impact Fees is $0.29 per $100 of Assessed Valuation(without Rebate),which is significantly less than the District's 2008 debt service levy of $0.66 per $100 of Assessed Valuation, Therefore, based upon the information that has been supplied to me with respect to the proposed annexation and the assumptions expressed herein, it is reasonable to conclude that the annexation of the Tract is feasible. Kindly contact the undersigned should you have any questions regarding this matter,or if I may be of any further assistance. • Sincerely, RATHMANN&ASSOCIATES,L.P. FINANCIAL VIS/�DISTRICT By: rian R. ig Ra Managing Partner • cc: Mr.James Ross LTA Engineering& Surveying,Inc.