NOTICE OF PUBLIC HEARING

AND BONDS TO BE ISSUED

PUBLIC NOTICE IS HEREBY GIVEN that on December 2, 2009, the Mayor and City Council of LaVerkin City (the "Issuer"), adopted a resolution (the "Resolution") declaring its intention to issue its Parity Water Revenue Bonds (the "Bonds") pursuant to the Utah Local Government Bonding Act, Title 11, Chapter 14, Utah Code Annotated 1953, as amended and to call a public hearing to receive input from the public with respect to the issuance of the Bonds.

TIME, PLACE AND LOCATION OF PUBLIC HEARING

The Issuer shall hold a public hearing on January 6, 2010, at the hour of 6:00 p.m.  The location of the public hearing is in the LaVerkin City Office, 111 South Main, LaVerkin, Utah.  The purpose of the meeting is to receive input from the public with respect to the issuance of the Bonds and any potential economic impact to the private sector from the construction of the Project to be funded by the Bonds.  All members of the public are invited to attend and participate.

PURPOSE FOR ISSUING BONDS

The Issuer intends to issue the Bonds for the purpose of (i) financing all or a  portion of the cost of  construction, operation and maintenance of the City's culinary water system,  including the replacement of transmission lines, together with all related work and improvements; and (ii) paying costs of issuing the Bonds.

PARAMETERS OF THE BONDS

The Issuer intends to issue the Bonds in the principal amount of not to exceed $950,000, to bear interest at a rate not to exceed 3.0% per annum, to mature in not to more than 25 years from their date or dates, and to be sold at a price not less than 100% of the total principal amount thereof, plus accrued interest to the date of delivery.  The Bonds will specify that any installment of principal and interest on the Bonds which shall not be paid when due shall bear interest at the rate of 18% per annum from the due date thereof until paid.

NOTICE IS FURTHER GIVEN that a period of 30 days from and after the last date of publication of this Notice is provided by law during which any person in interest shall have the right to contest the legality of the Resolution or the Bonds, or any provision made for the security and payment of the Bonds, and that after such time, no one shall have any cause of action to contest the regularity, formality or legality thereof for any cause whatsoever.

A copy of the Resolution is on file in the office of the City Recorder in LaVerkin, Utah, where it may be examined during regular business hours of the City Recorder from 9:00 a.m. to 5:00 p.m., Monday through Thursday and 9:00 a.m. to 3:00 p.m., Friday.

DATED this 2nd day of December, 2009.

/s/    June Jeffery, City Recorder