72nd & Dodge
Who’s Involved and How are They Involved?
A five-member Board of Trustees governs the district (“SID”) . The board is responsible for the planning, construction and maintenance of public improvements, as well as the financial well-being of the SID. Depending on the phase of development the SID, the key participants have different levels of involvement.
Participants in the Evolution of an SID
- Create the vision for a new development
- Direct engineer on district design and plat
- Work with engineer to finalize costs and expenses
- Instruct attorney to purchase the land
- Make decisions with help of team of advisors on installation of improvements
- Award contracts
- Issue Warrants
- Levy special assessments
- Issue bonds to retire warrants
- Monitor financial status
- Work with engineer, attorney, and developer to determine feasibility of project
- Provide strategic advice
- Determines debt capacity
- Assist in negotiating terms of subdivision agreements and inter-local agreements
- Seek out and negotiate terms of underwriting agreement
- Provide annual budget cash flow analysis
- Assist with IRS and SEC compliance
- Design preliminary layout and plat
- Estimate preliminary costs
- Compile final cost estimates
- Prepare bid documents
- Receive competitive bids
- Recommend qualified contractor to board
- Monitor work of contractors
- Approve work as completed
- Recommend payment to contractors
- Compute special assessments
- Monitor condition of public improvements
During PHASE I of an SID the developer owns most of the parcels. For this reason, the developer usually controls the board of trustees.
Phase I: District Pre-formation & Pre-buildout
The SID enters into PHASE II as the commercial and residential developments near completion and most of the parcels are built, sold and occupied. At this time the board membership shifts to a community resident Board. The purpose of the board is to listen and respond to the concerns and suggestions of the tenants and residents.