Municipal Property Corporation - Regular Meeting

And now call I'd like to call the Superstition Vista's Community Facility District number two special meeting of 04/21/2026 to order and ask everyone to continue putting their cell phones on silent. Roll call.

Chairperson Wilson?

Here.

Vice chairperson Schroeder?

Yes.

Board member Cross? Here. Board member Heck?

Here.

Board member Johnson?

Here.

Board member Soller? Here. Board member Nesser is excused, so you have a quorum, your honor, with six.

Okay. Consideration approval of minutes of the special meeting of 02/17/2026. Do I have a motion? Mr. Chair? Yes. So moved. Seconded. Do I have a second?

Second.

Okay. Roll call.

Board Member Johnson?

Here.

Board Member Cross? Yes. Board Member Heck?

Yes.

Board Member Soller?

Yes.

Vice chairperson Schroeder? Yes. Chairperson Wilson? Yes. Motion passes unanimously.

Presentation, discussion, consideration of resolution number SBCFD two two thousand twenty six dash zero zero five. Continuation, Zach.

Chairman, Board, Zach Saikes, special counsel to the district. As always, this will sound eerily familiar to what we just talked about. But in case a resident of District 2 logs in and only looks at this video, we want to make sure there's sufficient discussion. We've previously amended so when the district was formed, the city, the district, and the development group entered into a CFD development agreement that contained the rules of the road for how the district would operate, including a target tax rate and a limit of an assessment per lot and how infrastructure would be acquired and accepted between the city and the district, as well as indemnification provisions where the developer agreed to provide indemnification to the city and the district. In light of recent class action lawsuits, the county assessor has changed the way that it assesses property, which has resulted in a lower assessed valuation for new homes when they come on the property tax roll.

In response to this, the development group has asked for three changes to the CFD development agreement. First, to increase the general obligation debt service tax from 3.85 to $5 second, to increase the maximum assessment per lot from $5,000 to $12,500 and third, you'll recall between the agreement between D. R. Horton and Brookfield, Brookfield was responsible for building certain large infrastructure components as mandated by the state land department when they auctioned the property. That was referred to as the backbone infrastructure in the agreement between the state land department and D.

R. Horton as the winning bidder. And Brookfield has acquired some of those responsibilities from D. R. Horton.

Brookfield has requested that the ten year period to submit projects for the backbone infrastructure only be extended to fifteen years because of the significant size of those projects and because of the slower increase in the assessed valuation due to the county assessor changes. As always, this is a policy choice for the district board to consider. Happy to answer any questions. Maybe a few highlights, I'll just do them just in case, again, somebody watches only this video. This is a common request right now for CFDs because those sort of county changes happened all over the state.

And it is somewhat similar to what we saw following the adoption of Prop 117 in twenty fifteen-twenty sixteen that changed how property taxes are calculated. And at that time, same thing, the target tax rate was modified for many CFDs throughout the state. Happy to answer any questions. There are representatives from the Brookfield Development Group here this evening, to the extent you would like to ask them questions as well. Board?

Yes.

I forgot to ask this question on the first go round, but I can ask it now. Regarding both CFDs, how does this affect commercial property?

I'll defer to the development group for that.

Fight over the answer, Chairman,

members of the board, Eric Toone with Brookfield Residential. Address is 14648 North Scottsdale Road. So on commercial, we've actually removed all of the commercial property from the district so that they do not get taxed. That was out of a request, I wanna say, first amendment to the CFDDA, and that was in order to appease a commercial developer who realized when they calculated their tax rate that it would cost them too much to actually be able to develop the property, and so we had to make an exception. And so in that amendment, we actually opted to pick the major intersections, the corners at the major intersections, so Northeast Corner and Southeast Corner of Ironwood and Warner, as well as the Northeast Corner of Ray And Ironwood are no longer part of the district, and so they will not be assessed that tax.

Okay. Thank you.

Thank you.

Anyone else got questions? Okay. Seeing none for additional question. Do I have a motion?

Your honor. Yes. I move that resolution number SBC FD 22026Dash005, a resolution of the board of Superstition Vista's community facilities district number two, approving the third amendment to the amended and restated district development financial or financing participation waiver and inter government agreement related to the acquisition of infrastructure tax rates and assessments and approving and authorizing all actions in connection with such substitutions be approved.

Second. Moved and seconded. Roll call.

Board member Cross? Yes. Board member Suller? Yes. Board member Johnson?

No. Based on the high amount of the $12.05.

Vice chairperson Schroeder? Yes. Board member Heck?

Yes.

Chairperson Wilson? Yes. Motion passes five to one.

Okay. I will close that meeting, and now I'll go on to the Apache Junction Water District.