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056 of 2003 - Railyard SID. Q 99-11 0 03-1 ASSESSMENT ORDINANCE NO. 56 AN ASSESSMENT ORDINANCE CONFIRMING THE ASSESSMENT ROLLS AND LEVYING AN ASSESSMENT AGAINST CERTAIN PROPERTIES IN SALT LAKE CITY, UTAH RAILYARD SPECIAL IMPROVEMENT DISTRICT ("THE DISTRICT"), FOR THE PURPOSE OF PAYING THE COSTS OF IMPROVEMENTS ON CERTAIN STREETS AND PUBLIC RIGHTS OF WAY IN SALT LAKE CITY, UTAH, AND COMPLETING ANY MISCELLANEOUS WORK NECESSARY TO COMPLETE THE IMPROVEMENTS IN A PROPER AND WORKMANLIKE MANNER; ESTABLISHING THE METHOD AND RATE OF ASSESSMENTS; PROVIDING FOR THE PREPAYMENT OF ASSESSMENTS, DETERMINING THE INTEREST PAYABLE ON ALL UNPAID ASSESSMENTS; ESTABLISHING A DEBT SERVICE RESERVE FUND; PROVIDING FOR CERTAIN REMEDIES UPON DEFAULT IN THE PAYMENT OF ASSESSMENTS; ESTABLISHING THE EFFECTIVE DATE OF THIS ASSESSMENT ORDINANCE; AND RELATED MATTERS. BE IT ORDAINED by the City Council of Salt Lake City, Utah, (the "City") as follows: Section 1. Determination of Costs; Definition of Terms. All costs of acquisition and construction of the completed Improvements within the District generally described in Exhibit "B" attached hereto (the "Improvements") have been determined including overhead costs and costs of funding a reserve fund. The City has prepared an assessment list in which said total costs have been assessed to the properties within the District benefited by said Improvements. All capitalized terms that are used but not defined herein shall have the same meanings as set forth in the Indenture as hereinafter defined. Section 2. Approval of Assessment List; Findings. The City hereby confirms the assessment list for the District, a copy of which is attached hereto as Exhibit "C" and incorporated herein by reference (the "Assessment List"), and hereby finds and confirms that the Assessment List is just and equitable; that in the aggregate the property to be assessed within the District will be benefited in an amount not less than the total assessment to be levied against said property; and that each separate parcel of property listed in the Assessment Allocation Schedule described in Section 5 herein will not bear more than its proportionate share of the cost of the Improvements as set forth in said Assessment Allocation Schedule. Pursuant to an Acknowledgment Waiver and Consent dated as of August 1, 2003, between the property owner of the property to be assessed and the City (the "Acknowledgment Waiver and Consent") the property owner has, among other things, acknowledged and agreed that in the aggregate the property described in the Assessment List has been benefited by the Improvements in an amount not less than the total assessment to be levied against said property, that it is fair and equitable to assess all property benefited by means of a single assessment to be levied against all of said property as further described herein, and that each separate parcel of UT_DOCS_A#1130220 v7 3 8/12/2003 property listed in the Assessment Allocation Schedule will not bear more than its proportionate share of the total assessment as set forth in said Assessment Allocation Schedule. Section 3. Levy of Assessments. The City does hereby levy an assessment to be assessed upon the real property identified in the Assessment List. The assessments levied upon said property therein described shall be in the amount set forth in the Assessment List. The assessment is hereby levied and assessed upon all of the real property described in the Assessment List according to the extent it is specially benefited by the Improvements acquired or constructed within the District. Section 4. Cost of Improvements; Amount of Total Assessments. The total cost of the Improvements in the District, including overhead costs and the costs of funding a reserve fund is $19,147,223, of which $1,547,223 has been paid by the current property owner with respect to those properties within the District that will be benefited but not assessed (the "Nonassessed Properties"). The amount to be assessed against property affected or benefited by the Improvements in the District is $17,600,000 which amount does not exceed in the aggregate the sum of: (a) the total contract price or prices for the Improvements, including the costs of engineering, designing, and inspection; (b) the reasonable cost of utility services, maintenance, labor, materials or equipment supplied by the City, if any; (c) the property price, if any; (d) connection fees, if any; (e) overhead costs not to exceed fifteen percent (15%) of the sum of(a), (b), (c) and (d); and (f) an amount sufficient to fund a reserve fund. Section 5. Method and Rate. The total assessment for the District is levied as a single assessment against all of the property described in the assessment list to the extent said property is specially benefited by the Improvements. For purposes of releasing property from the lien of the assessment, however, the City has prepared, and does hereby approve, an Assessment Allocation Schedule attached hereto as Exhibit "D" (the "Assessment Allocation Schedule") wherein certain parcels of the assessed property have been assigned an assessment allocation amount (the "Allocated Principal Assessment Amount") which must be paid in full (less any principal assessment payments attributed to said parcel) together with any interest and Swap termination payments due in conjunction with the prepayment to release said parcel from the lien of the assessment as more particularly described in Section 9 herein. The Allocated Principal Assessment Amount assigned to each parcel is based on area (retail square footage and vacant land square footage) adjusted for undeveloped land which will not receive an immediate benefit from the Improvements and for proximity to the Improvements as calculated in the Assessment Allocation Schedule. Section 6. Payment of Assessments. Payments toward the cost of acquisition and construction of the Improvements in the amount of $1,547,223 have already been paid by the property owner with respect to the Nonassessed Properties. The property owner of the remaining benefited properties within the District, less the Nonassessed Properties, has, pursuant to the Acknowledgment Waiver and Consent, waived, among UT_DOCS_A#1130220 v7 4 8/12/2003 other things, a board of equalization hearing and the right to pay the assessments during a cash prepayment period. The remaining assessments shall be payable over a period of twenty (20) years in semi-annual principal payments beginning February 25, 2004, and on each February 25 and August 25 thereafter until paid in full, and monthly interest payments beginning September 25, 2003, and on the twenty-fifth day of each month thereafter until paid in full. The City hereby finds that the Improvements in the aggregate have a useful life of not less than twenty (20) years based upon a certificate prepared and submitted to the City by the City Engineer. Semi-annual principal assessment payments shall be due and payable in accordance with the Principal Assessment Payment Schedule attached hereto as Exhibit"E". Section 7. Interest Payable on Assessments. To permanently finance the costs of the Improvements, the City anticipates issuing its Adjustable Rate Demand Assessment Bonds (Gateway Project) Series 2003 (the "Bonds") under a Trust Indenture dated as of August 1, 2003 (the "Indenture"), by and between the City and U.S. Bank National Association, as trustee(the "Trustee"), which Bonds will be secured by a pledge of the assessments levied hereunder and other security described in the Indenture. The Bonds shall initially be issued as variable rate bonds bearing interest at a weekly rate, but may be converted to fixed rate Bonds as provided in the Indenture. The City anticipates arranging for an irrevocable direct pay letter of credit (the "Credit Facility") to secure payment of the Bonds when bearing a variable rate of interest against which may be drawn sufficient moneys to pay debt service on the Bonds as the same come due, and the purchase price of the Bonds delivered for purchase as provided in the Indenture. In addition, the City anticipates entering into an interest rate swap (the "Swap") pursuant to which the Swap Provider (the "Counterparty") will pay the City a variable rate approximately equal to the interest rate on the Bonds and the City will pay the Counterparty a fixed rate. The Trustee shall calculate the interest payable monthly on all unpaid assessments hereunder beginning August 15, 2003, and on the fifteenth day of each month thereafter until the assessments have been paid in full, which shall equal: (a) (i) if the Bonds are variable rate bonds, the amount of unpaid interest on the Bonds accrued as of the calculation date plus interest at the rate of 10% per annum for the remaining period from the calculation date to the next succeeding interest payment date, less all amounts on deposit with the Trustee in the Bond Fund and the Stabilization Account herein described which are available to pay interest on the Bonds or (ii) if the Bonds are fixed rate Bonds, an amount equal to one-sixth of the interest payable on the Bonds on the next interest payment date of the Bonds, less all amounts on deposit with the Trustee in the Bond Fund and the Stabilization Account which are available to pay interest on the Bonds; plus (b) the total monthly Transaction Costs as defined in the Indenture; plus (c) any other payment obligations of the City due under the Reimbursement Agreement as defined in the Indenture,plus UT_DOCS_A#1130220 v7 5 8/12/2003 (d) the amount necessary to replenish the Stabilization Account to the Stabilization Account Requirement herein described; plus (e) any estimated Swap payments, if any, payable to the swap counterparty, including any Swap termination fees; provided, however, that in no event shall the interest rate payable on outstanding assessments exceed ten percent(10%)per annum. The Trustee shall calculate the interest payable on the unpaid assessments and shall give immediate written notice to the property owners, the City and the Credit Facility Provider of the total monthly assessment payment which shall be due and payable on the next succeeding twenty-fifth day of the month. Section 8. Allocation of Assessment. In the event the property owner of a parcel now being assessed (the "Assessed Parcel") desires to allocate the assessment levied against the Assessed Parcel to one or more smaller parcels (each a "Development Parcel"), said owner may request that the City make such allocation upon compliance with the following: (a) The property owner shall submit to the City the legal description and tax identification number of the Development Parcel or Parcels, together with the Allocated Principal Assessment Amount assigned to said parcel in accordance with the Assessment Allocation Schedule. (b) Based upon the information provided in (a), the City shall adopt a supplemental assessment ordinance to allocate the assessment between the Development Parcel or Parcels and the remaining Assessed Parcel or Parcels, which supplemental assessment ordinance shall be filed of record in the office of the Salt Lake City Recorder. The total assessment assessed against the Development Parcel or Parcels and the remaining Assessed Parcel shall equal the original assessment assessed against the Assessed Parcel, less any regularly scheduled principal payments previously paid with respect to said Assessed Parcel. Section 9. Prepayments of Assessments. (A) To reduce the administrative costs of the District, the City hereby determines that in the event legal title to a portion of an assessed property is transferred to another person or entity, the seller of said assessed property shall be required to prepay in full the assessment applicable to said property prior to the transfer of legal title. The prepayment_price shall be determined as follows: (i) The property owner shall submit to the City the legal description and tax identification number of said parcel, together with the Allocated Principal Assessment Amount assigned to said parcel in accordance with the Assessment Allocation Schedule. The prepayment price for the parcel shall equal 115% of the difference between the UT_DOCS_A#1130220 v7 6 8/12/2003 Allocated Principal Assessment Amount and any regularly scheduled principal payments previously paid with respect to said parcel,plus (ii) (1) an additional amount equal to the interest which would accrue on the prepaid principal assessment to the next succeeding date on which interest is payable on any Bonds; (2) such additional amount as the Trustee on behalf of the City shall determine is necessary to assure the availability of money to pay interest on the Bonds corresponding to the prepaid principal assessment as interest becomes due and payable; (3) any premiums which may be charged and become payable on the Bonds corresponding to the prepaid principal assessment which may be called on a redemption date in order to utilize the assessments paid in advance and (4) any termination fees or penalties payable by the City under the Swap, less Swap termination fees payable to the City under the Swap. The Trustee, on behalf of the City, shall calculate and deliver written notice of the total prepayment price to the property owner upon the property owner's written request. (B) Upon payment of the prepayment price of a parcel of property in accordance with this Section 9, the City shall file a release of lien with the Salt Lake County Recorder releasing the lien of assessment on said parcel. (C) The remaining assessed property of a property owner who makes a prepayment as described in(A)(i) above shall be given a credit for the 15% excess prepayment amount paid by said property owner such that the assessment of said remaining assessed property shall be reduced by such 15% principal prepayment amount. Section 10. Default in Payment of Assessment. If a default occurs in the payment of any installment of principal or interest on the assessment, when due, the Trustee, on behalf of the City, shall immediately give written notice of such default to the City and the Credit Facility provider, should the Credit Facility then be in effect, and shall accelerate payment of the total unpaid balance of the assessment and declare the whole of the unpaid principal and interest to be immediately due and payable and subject to collection as provided herein. Interest shall accrue and be paid on all accelerated amounts and shall accrue from the date of acceleration at the same rate or rates of interest as are applied to delinquent real property taxes for the year in which the assessment payment became delinquent (the "Delinquent Rate"). In addition to interest charges at the Delinquent Rate, costs of collection, as approved by the City Treasurer on behalf of the City and the Trustee, including, without limitation, Transaction Costs as defined in the Indenture, attorneys' fees, trustee's fees and court costs, incurred by the City and the Trustee or required by law shall be charged and paid on all amounts declared to be accelerated and immediately due and payable. The Trustee, on behalf of the City, shall then give immediate notice in writing of the default to the owner of the property in default, as shown by the last available equalized assessment rolls of Salt Lake County. Notice shall be effective upon deposit of UT_DOCS_A#1130220 v7 7 8/12/2003 the notice in the U.S. mail, postage prepaid, and addressed to the owner as shown on the last equalized assessment rolls of Salt Lake County. The notice shall provide for a period of thirty (30) days in which the owner shall pay the installments then due and owing, after which, if the amounts have not been paid in full, and the Credit Facility has,not been reinstated in accordance with the terms thereof, the Trustee, at the direction of the City, shall immediately initiate a sale of the property as provided in Title 59, Chapter 2, Part 13, Utah Code Annotated 1953, as amended or a summary sale pursuant to Section 17A- 3-324(2) and related pertinent provisions of the Act, in the manner provided for actions to foreclose mortgages or trust deeds. The City hereby designates the Trustee to carry out such foreclosure, and the Trustee shall be deemed to have a power of sale and all other rights, power and authority necessary to legally and lawfully foreclose the lien for delinquent assessments. If for any reason, the Trustee cannot perform the powers and responsibilities herein provided, it may appoint, with the consent of the City, a qualified trustee to serve as trustee. If at the sale no person or entity shall bid and pay the City the amount due on the assessment plus interest and costs, including Transaction Costs, the property shall be deemed sold to the City for these amounts. The City shall be permitted to bid at the sale. So long as the City retains ownership of the property, it shall pay all delinquent assessment installments and all assessment installments that become due, including the interest on them. So long as a Credit Facility is in effect, the City may at its discretion, elect to transfer ownership of the property to the Credit Facility provider in full satisfaction of all outstanding assessment obligations hereunder and any payment obligations of the City to the Credit Facility provider under the Reimbursement Agreement. The remedies provided herein for the collection of assessments and the enforcement of liens shall be deemed and construed to be cumulative and the use of any one method or means or remedy of collection or enforcement available at law or in equity shall not deprive the City or the Trustee on behalf of the City, of the use of any other method or means. The amounts of accrued interest and all costs of collection, including Transaction Costs, trustee's fees, attorneys' fees and costs, shall be added to the amount of the assessment up to, and including, the date of foreclosure sale. Section 11. Remedy of Default. If prior to the final date upon which payment may be legally made under a final sale or foreclosure of property to collect delinquent assessment installments, the property owner pays the full amount of all unpaid installments of principal and interest which are past due and delinquent with interest on such installments at the rate or rates set forth in Section 10 herein to the payment date, plus all Transaction Costs, trustee's fees, attorneys' fees and other costs of collection, the assessment of said owner shall be restored and the default removed, and thereafter the owner shall have the right to make the payments in installments as if the default had not occurred. Any payment made to cure a default shall be applied, first, to the payment of trustee's fees, attorneys' fees and other costs incurred as a result of such default; second, to interest charged on past due installments, as set forth above; third, to the interest portion of all past due assessments; and last, to the principal portion of all past due assessments. UT_DOCS_A#1130220 v7 8 8/12/2003 • Section 12. Lien of Assessment. An assessment or any part or installment of it, any interest accruing and the penalties, trustee's fees, attorneys' fees and other costs of collection shall constitute a lien against the property upon which the assessment is levied on the effective date of this Assessment Ordinance. As provided in Section 17A-3-323 of the Act, said lien shall be superior to the lien of any trust deed, mortgage, mechanic's or materialman's lien or other encumbrance and shall be equal to and on a parity with the lien for general property taxes and the lien of any other assessments on the property. The lien shall continue until the assessment and any interest, penalties and costs on it are paid, notwithstanding any sale of the property for or on account of a delinquent general property tax, special tax or other assessment or the issuance of tax deed, an assignment of interest by the governing entity or a sheriff's certificate of sale or deed. Section 13. Reserve Fund. The City does hereby establish a reserve fund (the "Reserve Fund") in lieu of funding a special improvement guaranty fund, as additional security for payment of the Bonds. The Reserve Fund shall consist of a debt service reserve account (the "Debt Service Reserve Account") and a stabilization account (the "Stabilization Account"). The Debt Service Reserve Account shall be initially funded from proceeds of the Bonds in an amount equal to $1,320,000 (the"Debt Service Reserve Requirement"). The Stabilization Account shall be initially funded from proceeds of the Bonds in an amount equal to $120,000 (the "Stabilization Account Requirement"). The cost of initially funding the Reserve Fund is included in the assessments of the property owners. The moneys on deposit in the Debt Service Reserve Account and the Stabilization Account shall, upon the final payment of the Bonds, be applied to the final assessment payment obligation of the assessed properties. If the amounts on deposit in the Debt Service Reserve Account and the Stabilization Account exceed the final assessment obligation, any excess amounts shall be paid by the Trustee, at the written direction of the City, to the owners whose properties were subject to the final assessment payment obligation, as the return of an excess assessment payment. In the event insufficient assessments are collected by the City to make the debt service payments on the Bonds, or to reimburse the Credit Facility provider, the Trustee shall draw on the Debt Service Reserve Account as provided in the Indenture to make up such deficiency. In the event the amount on deposit in the Debt Service Reserve Account is less than the Debt Service Reserve Requirement, the City will replenish the Debt Service Reserve Account as provided in the Indenture. If the amount on deposit in the Debt Service Reserve Account exceeds the Debt Service Reserve Requirement, excess moneys shall be transferred by the Trustee first to the City to reimburse the City for any costs incurred by the City in administering the District and second to the Assessment Account within the Bond Fund established under the Indenture to be applied as a credit toward the next assessment payment obligation coming due. Moneys on deposit in the Stabilization Account shall be used to make up any deficiency in the Assessment Account, all as provided in the Indenture. The Stabilization Account shall thereafter be replenished from the next succeeding assessment payment received by the Trustee as provided in the Indenture. UT_DOCS_A#1130220 v7 9 8/12/2003 Section 14. Contestability. No assessment shall be declared void or set aside in whole or in part in consequence of any error or irregularity which does not go to the equity or justice of the assessment or proceeding. Any party who has not waived his objections to same as provided by statute may commence a civil action against the City to enjoin the levy or collection of the assessment or to set aside and declare unlawful this Assessment Ordinance. As provided by Section 17A-3-330 of the Act, such action must be commenced and summons must be served on the City not later than 30 days after the effective date of this Assessment Ordinance. This action shall be the exclusive remedy of any aggrieved party. No court shall entertain any complaint which the party was authorized to make by statute but did not timely make or any complaint that does not go to the equity or justice of the assessment or proceeding. After the expiration of the 30-day period provided in this section: (A) The Bonds to be issued with respect to the District and the assessments levied in the District shall become incontestable as to all persons who have not commenced the action provided for in this section; and (B) No suit to enjoin the issuance or payment of the Bonds, the levy, collection or enforcement of the assessment, or in any other manner attacking or questioning the legality of the Bonds or assessments may be instituted in this state, and no court shall have authority to inquire into these matters. Section 15. Notice to Property Owners. The Trustee, on behalf of the City, is hereby authorized and directed to give notice of assessment by mail to the property owners in the District. Said notice shall, among other things, state the amount of the assessment and the terms of payment. A copy of the form of notice of assessment is available for examination upon request at the office of the City Recorder. Section 16. All Necessary Action Approved. The officials of the City are hereby authorized and directed to take all action necessary and appropriate to effectuate the provisions of this Assessment Ordinance. Section 17. Repeal of Conflicting Provisions. All ordinances or parts thereof in conflict with this Assessment Ordinance are hereby repealed. Section 18. Publication of Ordinances. Immediately after its adoption, this Assessment Ordinance shall be signed by the Mayor and Deputy City Recorder and shall be recorded in the ordinance book kept for that purpose. This Assessment Ordinance shall be published once in the Deseret Morning News, a newspaper having general circulation within the boundaries of the City, and shall take effect immediately upon its passage and approval and publication as required by law. Section 19. Notice of Assessment Interest. The City Treasurer is hereby authorized and directed to file with the office of the Salt Lake County Recorder, a"notice of assessment interest" in substantially the form as attached hereto as Exhibit "F" for the UT_DOCS_A#1130220 v7 10 8/12/2003 • purpose of giving notice to any interested party of the lien of the assessment levied pursuant to this Assessment Ordinance on the properties described in the Assessment List. UT_DOCS_A#1130220 v7 11 8/12/2003 PASSED AND APPROVED by the City Council of Salt Lake City, Utah, this August 12, 2003. r air ATTEST: / CP014, ,44,1 _ .. ( ty R rder. Gl, ., Qrpool APPROVED AS TO FORM "I ]� ; Salt Lake City Attorney's Offtce 'i a. Date `l Z— 3 UT_DOCS_A#1130220 v7 12 8/12/2003 After the transaction of other business not pertinent to the foregoing matter, the meeting was on motion duly made, seconded and carried, adjourned. air ATT T: ,,.. Depu City ecorder • crrp ..„,: ...‘, : . . ‘,„ .,.. . : . t: `tilt i 1.1)RA'� / UT DOCS_A#1130220 v7 13 8/12/2003 • PRESENTATION TO THE MAYOR The foregoing ordinance was presented to the Mayor for his approval or disapproval on , 2003. hair MAYOR'S APPROVAL OR DISAPPROVAL The foregoing ordinance is hereby approved , 2003. Ross C. Anderson Mayor UT_DOCS_A#1130220 v7 14 8/12/2003 STATE OF UTAH ) . ss. COUNTY OF SALT LAKE ) I, Pam Johnson, the duly appointed and qualified Deputy City Recorder of Salt Lake City, Salt Lake County, Utah, do hereby certify that the above and foregoing is a full, true and correct copy of the record of proceedings had by the City Council of Salt Lake, Salt Lake County, Utah, at its meeting held on August 12, 2003, insofar as the same relates to or concerns Salt Lake City, Utah Railyard Special Improvement District as the same appears of record in my office. I further certify that the Ordinance levying the special assessments was recorded by me in the official records of Salt Lake City on S- 1Z. , 2003. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the corporate seal of Salt Lake City this $' 12. , 2003. �...0CIT e 4,ty C. Recorder .}.• •. ,,, sPiewt Ad l rPORt UT_DOCS_A#1130220 v7 . 15 8/12/2003 PROOF OF PUBLICATION Attached to this page is the Proof of Publication, indicating by the affidavit of the publisher that the said Ordinance levying the special assessments which was contained in the Ordinance adopted by the City Council on August 12, 2003, was published one time in the Deseret Morning News on August 26, 2003. UT_DOCS_A#1130220 v7 16 8/12/2003 EXHIBIT"A" CERTIFICATE OF COMPLIANCE WITH OPEN MEETING LAW I, Pam Johnson, the undersigned Deputy City Recorder of Salt Lake City, Salt Lake County, Utah (the "City"), do hereby certify, according to the records of the City in my official possession, and upon my own knowledge and belief, that in accordance with the requirements of Section 52-4-6(2), Utah Code Annotated 1953, as amended, I gave not less than twenty-four (24) hours public notice of the agenda, date, time and place of the August 12, 2003, public meeting held by the City as follows: (a) By causing a Notice, in the form attached hereto as Schedule"A", to be posted at the City's offices at 451 South State Street, Salt Lake City, Utah on August 8, 2003, at least twenty-four (24) hours prior to the convening of the meeting, said Notice having continuously remained so posted and available for public inspection until the completion of the meeting; and (b) By causing a copy of such Notice, in the form attached hereto as Schedule"A", to be delivered to the Deseret Morning News on August 8, 2003, at least twenty-four(24)hours prior to the convening of the meeting. IN WITNESS WHEREOF, I have hereunto subscribed my official signature this August 12, 2003. ,...tea...,,,* CIT "�'+ . ,� 5DrYit Y � '+, Depu y y Re rder L UT_DOCS_A#1130220 v7 A-1 8/12/2003 SCHEDULE"1" NOTICE OF MEETING UT_DOCS_A#1130220 v7 A-2 8/12/2003 EXHIBIT"B" DESCRIPTION OF IMPROVEMENTS The Improvements consist of various infrastructure improvements constructed and installed within the Gateway Project, including sidewalks, crosswalks, storm drainage systems, landscaping,beautification of recreation and public area facilities, curb and gutter, irrigation systems, utility lines,paving of roads and other miscellaneous work necessary to complete the aforementioned Improvements. UT_DOCS_A#1130220 v7 B-1 8/12/2003 EXHIBIT"C" ASSESSMENT LIST LEGAL DESCRIPTION AND TAX I.D. NUMBER BLOCK A 15-01-177-002 RETAIL UNIT 1, GATEWAY BLOCK A CONDO. 15-01-177-003 RETAIL UNIT 2, GATEWAY BLOCK A CONDO. 15-01-177-010 RETAIL UNIT 3, GATEWAY PLANETARIUM AMENDMENT TO GATEWAY BLOCK A, CONDOMINIUM. BLOCK B 15-01-131-001 RETAIL UNIT 1, GATEWAY BLOCK B CONDO. 15-01-131-002 RETAIL UNIT 2, GATEWAY BLOCK B CONDO. 15-01-131-003 RETAIL UNIT 3, GATEWAY BLOCK B CONDO. BLOCK Cl 15-01-185-001 RETAIL UNIT, GATEWAY BLOCK C-1 CONDO. BLOCK C2 15-01-130-001 RETAIL UNIT 1, GATEWAY BLOCK C-2 CONDO. BLOCK F 08-36-376-016 LOT 3, BOYER GATEWAY SUB. BLOCK F2 08-36-376-015 LOT 4, BOYER GATEWAY SUB. TOTAL ASSESSMENT ON ALL ABOVE-DESCRIBED PROPERTIES $17,600,000 UT_DOCS_A#1130220 v7 C-1 8/12/2003 EXHIBIT"D" ASSESSMENT ALLOCATION SCHEDULE UT_DOCS_A#1130220 v7 D-1 8/12/2003 The Boyer Company Gateway Tax Parcels Amount to Release Parcel# Assessment Block A Retail Unit 1 15-01-177-002 $1,030,097 Retail Unit 2 15-01-177-003 $1,943,836 Retail Unit 3 15-01-177-010 $1,954,563 Block B Retail Unit 1 15-01-131-001 $436,508 Retail Unit 2 15-01-131-002 $2,703,566 Retail Unit 3 15-01-131-003 $666,128 Block C1 Retail Unit 15-01-185-001 $2,610,589 Block C2 Retail Unit 1 15-01-130-001 $4,184,389 Block F Retail Space 08-36-376-016 $816,074 Block F2 Retail Space 08-36-376-015 $1,254,249 Total Assessment: $17,600,000 The following parcels are in the District but will prepay: Block A Retail Unit 4(Planetarium) 15-01-177-005 Office Unit 1 15-01-177-006 Block B Retail Unit 4(Children's Museum) 15-01-131-004 Office Unit 1 15-01-131-005 Office Unit 2 15-01-131-006 Lot 5 Vacant Ground 08-36-376-014 Lot 6 Vacant Ground 08-36-376-013 Lot 7 Vacant Ground 08-36-376-012 EXHIBIT"B" PRINCIPAL ASSESSMENT PAYMENT SCHEDULE Date Principal Payment 2/25/04 $250,000 8/25/04 250,000 2/25/05 275,000 8/25/05 275,000 2/25/06 275,000 8/25/06 300,000 2/25/07 300,000 8/25/07 300,000 2/25/08 325,000 8/25/08 325,000 2/25/09 325,000 8/25/09 350,000 2/25/10 350,000 8/25/10 350,000 2/25/11 375,000 8/25/11 375,000 2/25/12 375,000 8/25/12 400,000 2/25/13 400,000 8/25/13 425,000 2/25/14 425,000 8/25/14 450,000 2/25/15 450,000 8/25/15 450,000 2/25/16 475,000 8/25/16 475,000 2/25/17 500,000 8/25/17 500,000 2/25/18 525,000 8/25/18 550,000 2/25/19 550,000 8/25/19 575,000 2/25/20 575,000 8/25/20 600,000 2/25/21 600,000 8/25/21 625,000 2/25/22 650,000 8/25/22 650,000 2/25/23 675,000 8/25/23 700,000 UT_DOCS_A#1130220 v7 E-1 8/12/2003 EXHIBIT"F" NOTICE OF ASSESSMENT INTEREST When Recorded Return To: NOTICE OF ASSESSMENT INTEREST Parcel No. Notice is hereby given that Salt Lake City, a Utah municipal corporation, claims an interest in the property described on Exhibit 1 arising out of the requirements of Salt Lake City, Utah, Railyard Special Improvement District (the "District") and the terms and provisions of Assessment Ordinance of Salt Lake City, an ordinance levying an assessment against certain properties in the District. For information call the office of the City Treasurer of Salt Lake City(801-535-6411). Dated this day of , 2003. City Treasurer for Salt Lake City, a municipal corporation of the State of Utah STATE OF UTAH ) ss. COUNTY OF SALT LAKE ) On the of , 2003, personally appeared before me, who duly acknowledged to me that he executed the foregoing instrument on behalf of Salt Lake City in his capacity as Treasurer for Salt Lake City. My Commission Expires: Notary Public Residing at: • Salt Lake City, Utah August 12, 2003 A regular meeting of the City Council of Salt Lake City, Salt Lake County, Utah, was held on August 12, 2003, at the hour of 7:00 p.m. at the offices of the City Council at 451 South State Street, Salt Lake City, Utah, at which meeting there were present and answering to roll call the following members who constituted a quorum: Carlton Christensen Chair Jill Remington Love Vice Chair Nancy Saxton Councilmember Van Blair Turner Councilmember Eric Jergensen Councilmember David L. Buhler Councilmember Dale Lambert Councilmember Also present: Ross C. Anderson Mayor Edwin P. Rutan, II City Attorney Pam Johnson Deputy City Recorder Absent: /A 1t) After the meeting had been duly called to order and after other matters not pertinent to this resolution had been discussed, the Deputy City Recorder presented to the City Council a Certificate of Compliance With Open Meeting Law with respect to this August 12, 2003, meeting, a copy of which is attached hereto as Exhibit"A". The following assessment ordinance (the "Assessment Ordinance") was then introduced in writing, was fully discussed, and pursuant to motio duly made by Councilmember and seconded by Councilmember r was adopted by the follo ng vote: YEA: 116 I NAY: NW/ UT_DOCS_A#1130220 v7 8/12/2003 The Assessment Ordinance was then signed by the Mayor in open meeting and recorded by the Deputy City Recorder in the official records of Salt Lake City, Utah. The Assessment Ordinance is as follows: UT_DOCS_A#1130220 v7 2 8/12/2003