PARKWAY UTILITY DISTRICT MINUTES OF BOARD SPECIAL MEETING
SEPTEMBER 30, 2020
THE STATE OF TEXAS §
COUNTY OF HARRIS §
PARKWAY UTILITY DISTRICT §
The Board of Directors (the “Board”) of Parkway Utility District (the “District”) convened in a special session, at 6:00 p.m. on September 30, 2020, via videoconference and teleconference pursuant to Section 551.125, Texas Gov’t Code as modified by the temporary suspension of certain provisions thereof pursuant to guidelines issued by the Texas Attorney General and approved by the Governor for use during the COVID-19 statewide disaster. A roll call was taken of the persons present:
Brenda McNeil, President
Alphonso (“Al”) Rettig, Vice President
Jennifer Balderas, Secretary
Ron Everhart, Assistant Secretary
Gloria Woods, Director
All members of the Board were present, thus constituting a quorum. Also attending all or parts of the meeting were Mr. Gary Syzek of Systems Project Management, General Manager for the District; Ms. Katherine Vu and Mr. Bradley Jenkins of Jones|Carter (“JC”), engineers for the District; Mr. Reginald Wilson and Ms. Meghan Koett of Norton Rose Fulbright US LLP (“NRF”), attorneys for the District; and Ms. Mary DuBois, with Acclaim Energy.
Pursuant to Section 551.054, Texas Gov’t Code, as modified by the temporary suspension of certain provisions thereof, notice of the meeting was posted on the District’s website within the time limits prescribed by law. A certificate of such posting is attached hereto as Exhibit A. The agenda packet was posted on the website as items became available incompliance with the guidelines issued by the Texas Attorney General.
Call to Order. Mr. Wilson called the meeting to order. He noted that the meeting was being held by teleconference in accordance with federal, state and county directives to slow the spread of COVID-19 by avoiding meetings that bring people together. He said the notice of the meeting included a toll-free dial-in number for members of the public to call so they can hear the meeting and address the Board. He noted that the meeting was being recorded and a recording would be available upon public request. Mr. Wilson then set out guidelines for the conduct of the meeting. He asked each speaker to identify themselves before speaking. He then proceeded with the meeting business:
1. Public Comments. Mr. Reginald recognized Ms. DuBois. Ms. DuBois stated that the District was able to come in below price and had slightly over 15% of savings.
2. Discuss District development strategy with Engineer and take necessary action. Mr. Wilson stated that the reasoning for this special meeting is to put together a plan moving forward when it comes to development within the District. He said that the Board wants to make sure everyone is on the same page and there no opportunities to turn developers away.
Director Everhart joined the call at this time.
Mr. Jenkins presented and reviewed with the Board a copy of the Engineer’s special meeting report, attached hereto as Exhibit “B”.
Mr. Jenkins reported on Greenwood Utility District agenda items that were not discussed during the Joint Meeting. Mr. Jenkins reviewed an email from Ron Anderson, engineer for Greenwood Utility District. He said that A&S was giving Greenwood Utility District an update on the package plant. He said they are not planning on moving forward with the package plant unless it’s needed, which is unlikely due to transferring flow to the Tidwell Plant. Mr. Jenkins also stated that Greenwood Utility is planning on annexing Red Hawk Tract.
President McNeil stated she wants clarity on the boundaries of Greenwood Utility District and Parkway Utility District. She stated she has been told by a previous engineer for the District that east of C. E. King should be Parkway territory.
Mr. Jenkins reviewed a map of the current boundaries between Greenwood Utility District and Parkway Utility District and where various tracts are located. He stated that tracts 9 through 16 plan to be annexed in to the District.
President McNeil inquired about information from the previous engineer and if Mr. Jenkins has had access to it. Mr. Jenkins stated that when Jones & Carter took over the District he asked for all district drawings, but did not receive anything regarding future potential tracts. Mr. Jenkins stated the most important information he received was the water, sewer, and drainage facility plans.
Mr. Jenkins said he received construction plans, but no paper files on District designs. Extensive discussion ensured regarding location of designs and plan from the previous engineer. Mr. Wilson stated that the previous attorney for the District sent over files to NRF and he will look in archives to see if any design plans were included.
Mr. Jenkins stated that Tidwell Lakes is planned to be annexed in to Greenwood Utility District.
Mr. Jenkins stated that once the District completes the expansion of the wastewater treatment plant, it can move forward with providing services to or annexing tracts 9 through 14 and 16.
Mr. Wilson stated that commitment letters typically have expiration dates related to water and sewer services. He said he will look in files for water and wastewater commitment letters to the Hornberger tracts.
Mr. Jenkins reviewed water capacity numbers with the Board. He said that based on the design flow of the plant, the existing development is at a higher capacity. Mr. Jenkins said that actual waste water flow per connection is 160 gallons per day, but he sets the design flow at 215 gallons to be safe and take in to consideration inflow and infiltration.
President McNeil inquired about the bounds of the District’s capacity and why the Rutherford apartments have been the only new build since Sunrise Pines. Mr. Wilson stated that the District no longer has the capacity to service Global New Millennium tracts because the Rutherford Apartments have taken up the remaining capacity.
President McNeil stated she wants to see the capacity numbers for Parkway Utility District and Greenwood Utility District prior to the expansions. Mr. Wilson stated he will search the files for the original wastewater treatment plant agreement, prior to any expansions.
Mr. Jenkins stated that if the District wants to annex the properties along the Beltway, it needs additional water plant facilities. He said that until the wastewater treatment plant expansion is finished, the District does not have sufficient wastewater capacity and water plant capacity.
Director Rettig expressed his frustrations.
Discussion ensued regarding potentially creating a package plant.
Mr. Jenkins: stated that a water plant analysis can be completed to determine if anything can be done at the existing water plant or if another water plant needs to be built on the East side of the Beltway. He said he can put together scenarios and costs and present to the Board. Extensive discussion ensued.
Mr. Syzek also inquired about the District’s capacity.
President McNeil inquired about the clearing on the East side of the Beltway and if Mr. Jenkins has received any calls. Mr. Jenkins stated he was called several months ago from the Harris County Toll Road Authority.
Mr. Jenkins stated that Greenwood Utility District is currently transferring 200,000 gallons a day to a ledge plant. Mr. Jenkins offered a suggestion of creating an agreement with Greenwood that if they are taking over the Tidwell Lakes plant, that Parkway Utility District could receive the 200,000 gallons of capacity and reimburse for the cost that has been spent to date on the wastewater treatment plant. He stated this could be a cost effective way to serve the property on the east side of the beltway. Discussion ensued.
President McNeil expressed wanting to do something to help the District. She said that there is a lot of development going on in the Parkway area, however the District is not generating funds off of it.
President McNeil inquired about help from the District’s attorney or engineer on working with Harris County Flood Control to alleviate the flooding in the District. Mr. Wilson said he has a meeting scheduled with another District and the Harris County Flood Control on October 8, 2020 and he will gain additional information on how they can work with the District and will report back to the Board.
President McNeil inquired about payment to the Engineer’s. She asked if the engineers would go out to more projects if they were paid in a lump sum rather than hourly. Mr. Jenkins stated that it is more cost effective for the District to pay hourly. He stated that at the next Board meeting he is putting together alternatives on how to oversee construction on the wastewater treatment plant.
THERE BEING NO FURTHER BUSINESS TO COME BEFORE THE BOARD, the meeting was adjourned.
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The foregoing minutes were passed and approved by the Board of Directors on October 14, 2020.
President, Board of Directors
ATTEST: Secretary, Board of Directors