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KOOTENAI-PONDERAY SEWER DISTRICT

| May 8, 2007 9:00 PM

Notice of Hearing on

Petitions for Annexation

Idaho Code 42-3218

Notice is hereby given that petitions for annexation of real property, signed by the owners of not less than sixty percent of the area in land within the territory to be annexed have been filed with the board. The prayer of the petitioners is for inclusion of their lands in the district. All of the land to be considered for annexation is located in Bonner County, Idaho, the Southeast Quarter of Section 3, Township 57N, Range 2W, East of the Creek, and is approximately 42.319 acres of land, further described as follows: Commencing at the Southeast corner of Section 3, Township 57 North, Range 2 West, Boise Meridian, Bonner County, Idaho, the True Point of Beginning. Thence North 2310 feet. Thence West approximately 891 feet to the Eastside thread of Sand Creek. Thence South along the meandering Eastside thread of Sand Creek to a point which is the intersection of the Eastside thread of Sand Creek and the north right-of-way line of Schweitzer Cut Off Road. Thence East approximately 1190 feet to the Point of Beginning. (A more detailed description of the lands to be included in this annexation is available at the District office at 511 Whiskey Jack Road).

Petitioner Acreage

E.G. Thompson

Family LLC 3.20

E.G. Thompson

Family LLC 3.57

E.G. Thompson

Family LLC 6.804

E.G. Thompson

Family LLC 2.71

E.G. Thompson

Family LLC 12.32

IFC Incorporated 5.663

IFC Incorporated 6.259

IFC Incorporated .829

All persons interested may appear at: Kootenai-Ponderay Sewer District office/meeting room at 511 Whiskey Jack Road, on the 14th day of May, 2007, at the hour of 6:00 o°Oclock PM, and show cause in writing, if any they should have, why the petition should not be granted. The failure of any person to show cause in writing shall be deemed as an assent on his part to the inclusion of such lands in the District.

DATED THIS 19th DAY OF April, 2007

/s/ James Osman,

Secretary, Board of Directors

Legal SNP# 8640

May 1, 8, 2007