Title
An ordinance approving and authorizing the issuance and sale of the City of Mesquite, Texas, Special Assessment Revenue Bonds, Series 2025 (Solterra Public Improvement District Improvement Area C-4 Project), approving and authorizing an Indenture of Trust, a Bond Purchase Agreement, Limited Offering Memorandum, a Continuing Disclosure Agreement, and other agreements and documents in connection therewith, making findings with respect to the issuance of such bonds, and providing an effective date.
Body
On April 5, 2021, the City Council adopted Resolution No. 15-2021 creating the Solterra Public Improvement District (PID) to finance certain authorized public improvements that confer a special benefit to property located within the 1,424.398-acre single-family residential district. Per the PID Petition, the maximum aggregate principal amount of PID bonds to be issued is $295 million, and the Development Agreement, as amended, caps the total developer reimbursement of PID bond proceeds, TIRZ revenues and assessments at $297,560,206.
On July 17, 2023, the City issued PID bonds for the first phases of the development in Improvement Areas A-1 ($33,425,000), C-1 ($7,000,000), and C-2 ($3,525,000), and the City issued bonds for Improvement Area C-3 ($5,435,000) on October 7, 2024.
This bond sale is in the approximate par amount of $14,043,000.00 (subject to pricing) to reimburse the Developer costs of authorized public improvements in Improvement Area C-4 (see attached location map). A Reimbursement Agreement for Area C-4 was approved by the Council on October 20, 2025, which caps the total reimbursement of net bond proceeds and assessment revenue for Improvement Area C-4 in an amount not to exceed $14,043,000.00. After the Series 2025 bonds are issued for Area C-4 and Areas A-2 - A-4, there will be $198,895,000 remaining in bonding capacity for the remaining undeveloped areas of the Solterra development.
PID bonds will never constitute an indebtedness or ge...
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