18-01622K MEETING

NOTICE OF PUBLIC HEARINGS TO CONSIDER THE IMPOSITION OF SPECIAL ASSESSMENTS
PURSUANT TO SECTIONS 170.07 AND 197.3632, FLORIDA STATUTES, BY THE
SOLTERRA RESORT COMMUNITY DEVELOPMENT DISTRICT

NOTICE OF SPECIAL MEETING OF THE
SOLTERRA RESORT COMMUNITY DEVELOPMENT DISTRICT
In accordance with Chapters 170, 190 and 197, Florida Statutes, the Solterra Resort Community Development District's (“District”) Board of Supervisors (“Board”) hereby provides notice of the following public hearings and public meeting:
NOTICE OF PUBLIC HEARINGS
DATE: September 27, 2018
TIME: 10:00 a.m.
LOCATION: Solterra Resort Amenity Center
5200 Solterra Boulevard
Davenport, Florida 33837
The purpose of the public hearings announced above is to consider the imposition of special assessments and adoption of assessment rolls to secure proposed bonds (“2018 Bonds”) on benefited lands within the District, and, to provide for the levy, collection and enforcement of the assessments. The proposed bonds secured by the special assessments are intended to finance all or a portion of the “2018 Project,” which is described further herein. The special assessments (“2018 Debt Assessments”) are proposed to be levied as one or more assessment liens and are to be allocated to the lands within the District as described in more detail herein. At the conclusion of the public hearings, the Board will, by resolution, levy and impose assessments as finally approved by the Board. A special meeting of the District will also be held where the Board may consider any other business that may properly come before it.
IF YOU ARE AN EXISTING HOMEOWNER WITHIN THE DISTRICT, THE LEVY AND IMPOSITION OF THE PROPOSED 2018 DEBT ASSESSMENTS, AS DESCRIBED HEREIN, WILL NOT CHANGE THE TOTAL AMOUNT OF ANNUAL DEBT SERVICE ASSESSMENTS THAT YOU ARE CURRENTLY PAYING. INSTEAD, THE DEVELOPER WILL MAKE A CONTRIBUTION OF INFRASTRUCTURE TO OFF-SET THE 2018 DEBT ASSESSMENTS FOR YOUR PROPERTY.
Background
By way of background, the District is a local unit of special-purpose government organized and existing under and pursuant to Chapter 190, Florida Statutes, as amended. The District is authorized by Chapter 190, Florida Statutes, to finance, fund, plan, establish, acquire, install, equip, operate, extend, construct, or reconstruct roadways, stormwater management, water and sewer utilities, landscape, irrigation, lighting, recreation, and other infrastructure projects, and services necessitated by the development of, and serving lands within, the District.
The District is comprised of approximately 637 acres of land located entirely within Polk County, Florida, and specifically, south of Ronald Reagan Parkway, and east of I-4. A graphic depiction of the District is shown below. All lands within the District are expected to be benefited from the 2018 Project in accordance with the reports identified herein. Further, a description of the property to be assessed and the amount to be assessed to each piece or parcel of property may be ascertained at the “District's Office” located at c/o District Manager, c/o DPFG Management and Consulting, LLC, 250 International Parkway, Suite 280, Lake Mary, Florida 32746, (321) 263-0132 x4205. Also, a copy of the agendas and other documents referenced herein may be obtained from the District Office.
2007, 2013 and 2014 Projects
As noted above, the District has already undertaken a capital improvement plan that has benefitted all lands within the District and that includes a variety of improvements, including, but not limited to, stormwater management, water and sewer utilities, roadways, amenity improvements, and other infrastructure improvements. Specifically, and on or around March 1, 2007, the District issued its Oakmont Grove Community Development District, Special Assessment Revenue Bonds, Series 2007A, in the amount of $7,095,000 and Oakmont Grove Community Development District, Special Assessment Revenue Bonds, Series 2007B, in the amount of $7,095,000 (together, “2007 Bonds”) to finance a portion of what was known as the District's “2007 Project.” Concurrent with the issuance of the 2007 Bonds, the District levied special assessments on certain lands within the District to fund the debt service on the 2007 Bonds. While the 2007 Project was partially completed, Oakmont Grove Venture, LLC, the former project developer (“Former Developer”), failed to pay such debt service special assessments, resulting in an event of default, and ultimately the foreclosure of the Former Developer's lands within the District and retirement of the 2007 Bonds in September of 2012.
After the economy had recovered, and on around April 23, 2013, the District issued its Oakmont Grove Community Development District, Taxable Special Assessment Bonds, Series 2013, in the amount of $5,420,000 (“2013 Bonds”) to finance a portion of the District's “2013 Project.” To secure the repayment of the 2013 Bonds, and pursuant to Resolutions 2013-11 and 2013-14, the District simultaneously levied debt service special assessments (“2013 Debt Assessments”), which pursuant to the District's assessment methodology, were initially levied on Phase 1 lands and were to be spread to Phase 2 lands as certain development conditions occurred. (Note that on July 9, 2013, the Polk County Board of County Commissioners adopted Ordinance No. 13-030 and thereby changed the District's name to the “Solterra Resort Community Development District,” effective July 15, 2013.)
After the District completed the 2013 Project, and on December 22, 2014, the District issued its Special Assessment Bonds, Series 2014, in the amount of $3,830,000 (“2014 Bonds”) to finance a portion of the District's “2014 Project” as well as certain costs from the 2013 Project. Importantly, the Report of the District Engineer, dated December 3, 2014, provided that “all of these improvements [from the 2007 Project and 2013 Project and 2014 Project] are interconnected, and function as a single system serving the entire community within the District.” To secure the repayment of the 2014 Bonds, and pursuant to Resolutions 2015-01 and 2015-07, the District simultaneously levied debt service special assessments (“2014 Debt Assessments”) pursuant to the District's assessment methodology - specifically the First Supplemental Master Assessment Methodology Report, dated August 21, 2014 (revised October 6, 2014), and the Supplemental Assessment Methodology Report, dated December 18, 2014 (together, “2014 Assessment Report”). Pursuant to the 2014 Assessment Report, the 2014 Debt Assessments were initially levied on Phase 2 lands on a per acre basis, and then were to be assigned to platted units within Phase 2 up to certain assessment caps and with the expectation that the 2014 Debt Assessments would be fully absorbed by the units planned in Phase 2-1 and 2A. When certain development conditions were met, such 2014 Debt Assessments were to be spread in part across Phase 1 lands. The 2014 Assessment Report also contemplated that as future bonds were issued, the debt assessments securing such future bonds would be allocated in a manner similar to the 2014 Debt Assessments - first to the remaining unplatted lands in Phase 2, then to platted lots in Phases 2B through 2E, and then, as certain development conditions were met, such debt assessments would be spread across the lots in Phases 1, 2-1 and 2A.
2018 Project
The District now desires to undertake, install, plan, establish, construct or reconstruct, enlarge or extend, equip, acquire, operate, and/or maintain the remaining infrastructure improvements (“2018 Project”) for the District's overall capital improvement plan - namely, an expansion of the District's amenity facilities, as well as the remaining improvements for Phase 2A-2, and Phases 2B through 2E, as set forth in the Report of the District Engineer, dated August 23, 2018 (“2018 Engineer's Report”). Further, the District intends to pay all or a portion of the cost of the 2018 Project by the issuance of bonds secured by special assessments levied pursuant to Chapter 190, Florida Statutes (“2018 Debt Assessments”), all as set forth in the Special Assessment Allocation Report, dated August 23, 2018 (“2018 Assessment Report”). As contemplated by the 2018 Assessment Report, the 2018 Debt Assessments are intended to be levied in a manner consistent with the District's previously levied 2013 Debt Assessments and 2014 Debt Assessments - namely, the 2018 Debt Assessments would first be allocated to the remaining unplatted lands in Phase 2, then to platted lots in Phases 2B through 2E, and then, as certain development conditions are met, such 2018 Debt Assessments would be spread across the lots in Phases 1, 2-1 and 2A. Note that the imposition of the 2018 Debt Assessments would slightly increase - by 2.5% - the overall debt assessment amounts for the new lots in Phases 2A-2, and 2B through 2E, above the amounts established for the other lots within the District. While the 2018 Debt Assessments are subject to reallocation to Phases 1, 2-1 and 2A as certain development conditions are met, in no event will any homeowner pay more than 30 yearly installments of debt assessments for the 2013 Project, 2014 Project and 2018 Project.
Schedule of Assessments
The following shows the 2018 Debt Assessments, as levied against platted units (provided however that the 2013 Debt Assessments and 2014 Debt Assessments will ultimately be spread across all units as described in more detail in the 2018 Assessment Report):

Land Use Units for Phase 2 EAU Factor Target Level** Total 2018 Debt Assessments (par only; exclusive of interest, and collection costs) Target Level** Annual 2018 Debt Assessments
Townhome 120 0.55 $10,091 $694
SF 40' 119 1 $17,053 $1,173
SF 50' 267 1 $18,347 $1,262
SF 70' 50 1.15 $19,321 $1,329

*The annual amounts stated herein include estimated collection costs and early payment discounts.
**The target levels stated here are not in alignment with the EAU factors. The Developer will agree to “pay down” such 2018 Debt Assessments with infrastructure, to the levels stated herein, and in order for the 2018 Debt Assessments to be fairly and reasonably allocated.

The assessments may be prepaid in whole at any time, or in some instances in part, or may be paid in not more than thirty (30) annual installments subsequent to the issuance of debt to finance the improvements. These annual assessments will be collected on the County tax roll by the Tax Collector. Alternatively, the District may choose to directly collect and enforce these assessments.
The public hearings and meeting are open to the public and will be conducted in accordance with Florida law. The public hearings and meeting may be continued to a date, time, and place to be specified on the record. There may be occasions when staff or board members may participate by speaker telephone. Any person requiring special accommodations because of a disability or physical impairment should contact the District Office at least forty-eight (48) hours prior to the meeting. If you are hearing or speech impaired, please contact the Florida Relay Service by dialing 7-1-1, or 1-800-955-8771 (TTY) / 1-800-955-8770 (Voice), for aid in contacting the District Office.
Please note that all affected property owners have the right to appear and comment at the public hearings and meeting, and may also file written objections with the District Office within twenty (20) days of issuance of this notice. Each person who decides to appeal any decision made by the Board with respect to any matter considered at the public hearings or meeting is advised that person will need a record of proceedings and that accordingly, the person may need to ensure that a verbatim record of the proceedings is made, including the testimony and evidence upon which such appeal is to be based.
District Manager

August 31; September 7, 2018 18-01622K

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