The Reno City Council on Wednesday approved the creation of a new special assessment district (SAD) for the Quilici Ranch development. Vicki Van Buren, director of finance, presented a proposal for the formation of a SAD to finance water infrastructure for the development, which is being developed by Toll Brothers. The district will help cover the estimated $39.6 million cost of water infrastructure for the development.
The proposal includes the issuance of a $26 million bond, with costs shared by homeowners within the district. Homeowners will pay an annual assessment of about $1,400 for 30 years to repay the bond.
According to Van Buren, the system allows for lower infrastructure costs and provides developers like Toll Brothers flexibility to offer homes at more affordable prices.
The development, located in north Reno near Verdi, will include approximately 1,200 homes spread across multiple residential “villages,” parks, a school site and multifamily housing.
The project was approved by the council in December 2023, although the water infrastructure financing plan required additional work when it was approved.
Once completed, the water system and infrastructure will be owned by the Truckee Meadows Water Authority (TMWA).
Josh Hicks, representing Toll Brothers, said the infrastructure will also serve future developments in the area in addition to Quilici Ranch.
“This is part of TMWA’s regional planning for backbone infrastructure out here,” Hicks said. “As the first one out of the gate, Toll Brothers is responsible for building this, and other projects will be beneficiaries.”
Construction on the homes is expected to begin in 2025, with full build-out slated for 2031. Hicks said the SAD would ease the financial burden on both developers and the city.
The SAD will cover about $21.7 million of the estimated cost for the water infrastructure, with the remainder of the $39.6 million funded by neighboring developments, including Mortenson Ranch and BT South. Hicks said Toll Brothers will front the entire cost of the infrastructure and be reimbursed by other developments as they connect to the system.
Hicks noted that Toll Brothers is also required to pay fees for fire services and road improvements.
“This is a great tool to get publicly owned infrastructure built out in areas that need it,” Hicks said, adding that SADs have been successfully used across the state since 1989 for similar projects.
Council member Megan Ebert agreed, stating the SAD would be a good way to bring infrastructure to the area without overburdening the city or TMWA.
Council member Devon Reese said he lives in a SAD and believes it’s an effective way to ensure infrastructure is developed in underserved areas without straining the general fund.
“The timing of this project, with dirt already moving and infrastructure going in, makes it a solid investment for the future of our community,” Reese said.
Toll Brothers in October was fined by the Northern Nevada Public Health department for failing to control dust emissions in Verdi on Aug. 30. NNPH’s board approved fining Toll Brothers $500 for the dust.
The council voted to advance the project and passed a resolution to create the SAD, along with the associated development and financing agreement with Toll Brothers.
