P3Works will prepare an unbiased review of a proposed PID on behalf of the municipality, including a review of the estimated improvement costs, land use assumptions, financing assumptions, and compliance with Texas law.
Texas law requires the governing body of the municipality to prepare the service and assessment plan, assessment roll, and method of allocating assessments. However, these tasks are often performed by consultants retained by the developer. P3Works will prepare or conduct a third-party review of these documents and ensure they meet the municipality’s goals and objectives.
During a typical PID formation, hundreds of pages of supporting documents are produced. Contained within the bond documents are numerous municipal obligations relating to assessment billings and collections, bond fund administration, and reporting requirements. P3Works ensures the bond covenants are fully complied with by performing a full review of the bond transcript and preparing a PID administration manual specific to each PID.
Texas law requires the service and assessment plan to be updated annually. P3Works collects parcel information from County records to determine the assessment reallocation based on parcels combining/subdividing, and ensures compliance with bond covenants and the ability to meet debt service requirements. P3Works updates the service and assessment plan, including the cost estimates, parcel information, and assessment roll annually.
P3Works works with the County Tax Collector to have the PID assessments incorporated into the annual property tax bill. P3Works simplifies the enrollment of parcel levy data with the County Assessor by exporting data in county-specific data file formats. Once data files have been successfully submitted and accepted by the County Assessor, the status of the district is set to enrolled, preventing accidental changes to parcel data. In the event a County Tax Collector is unable to incorporate the assessment payment on the tax bill, P3Works coordinates with the bond trustee to set up a secure lockbox account and will bill property owners directly.
P3Works ensures the various bond accounts are properly administered, including replenishing the debt service reserve fund, delinquency reserve fund, and prepayment reserve fund when needed. P3Works works closely with the municipality’s financial advisor and trustee to ensure interest earnings, reserve fund credits, and prepayments are all accounted for properly.
In addition to auditing payment requests submitted by developers to ensure accurate accounting records, P3Works ensures the improvements are built as described in the Service and Assessment Plan and implements the cost overrun protocol described in the bond documents.