PARKWAY UTILITY DISTRICT MINUTES OF BOARD REGULAR MEETING
FEBRUARY 10, 2021
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 regular session, at 6:15 p.m. on February 10, 2021, 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; Ms. Diane Bailey of McLennan & Associates, L.P. (“Bookkeeper” or “McLennan”), bookkeeper for the District; Ms. Delia Yanez of Assessments of the Southwest (“Tax Assessor-Collector”), tax assessor and collector for the District; Mr. Bradley Jenkins and Ms. Katherine Vu of Jones|Carter (“JC”), engineers for the District; Mr. Gary Syzek of Systems Project Management, General Manager for the District; Ms. Karen Sears of Storm Water Solutions; Mr. Reginald Wilson and Ms. Meghan Koett of Norton Rose Fulbright US LLP (“NRF”), attorneys for the District; and Mr. Josh Maas and Mr. Mark Ivy with M. Marlon Ivy & Associates (“MMIA”), operators for the District. Mr. Jamal Singleton with Direct Waste Solutions; Mr. John Howell with The GMS Group, financial advisor for the District; and Captain Ganey of Harris County Precinct 3 Constable’s Office.
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. Howell stated that currently the District cannot sell any bonds without increasing the debt service tax rate. Mr. Howell also reviewed the current budget with the Board stating the District has the ability to use $200,000-$300,000 of the general fund to work on park projects.
Director Balderas discussed that parks require maintenance and it would not be a one-time cost.
Director Woods agreed with Director Balderas. Mr. Syzek spoke on potentially extending the current walking trail and what the maintenance cost is. He stated he will present more information at the next meeting.
2. Minutes of previous meeting(s). Minutes of the regular meeting of January 13, 2021, were previously distributed to the Board and were presented for consideration and approval. Upon motion by Director Rettig, seconded by Director Balderas, after full discussion and the question being put to the Board, the Board voted unanimously to approve the minutes of the regular meeting of January 13, 2021.
3. Report from Direct Waste Solutions. Mr. Singleton reviewed the Direct Waste Solutions Report which was previously distributed, a copy is attached as Exhibit “B.”
Mr. Singleton reported that recycling volume totaled 11.32 tons which equates to 2.2 tons per week over five service recycling days in January. He stated that recycling was high in the beginning of the month because people were still discarding items from the holidays.
Director Everhart stated that residents in Sunrise Pines have posted to the Nextdoor App issues regarding their trash bins. Mr. Singleton stated this issue has been addressed and handled and the resident will be receiving a new trash can.
4. Report from General Manager. President McNeil recognized Mr. Syzek, who reviewed and presented the District’s General Manager’s Report, a copy is attached as Exhibit “C” Mr. Syzek reported on Beltway 8 land clearing activity. He stated that this development is using private utilities and it does not look like structures are going to be built right away.
Mr. Syzek reported on possible water leaks in the District. He stated the possible leaks have been reported to MMIA. Mr. Maas stated he was unable to pinpoint an active leak but will continue to keep an eye on it. Mr. Jenkins suggested completing a chlorine test on the water.
Mr. Syzek reported on the Greens Bayou Coalition Resurrection. He stated they are holding a zoom meeting to get reacquainted and discuss potential projects in and around Parkway UD.
Mr. Syzek reported on the AWBD Parks Committee February Presentation.
Mr. Syzek reported on the walking trail mileage markers. He stated that MMIA has replaced the mileage markers that were weathered and faded. Mr. Syzek also provided an update on the sidewalks being installed.
Mr. Syzek reported the Parkway UD and Greenwood UD Joint WWTP inspection took place on February 4, 2021. He stated that structural work should begin late March or early April. Mr. Syzek also provided an update on the new detention pond.
Mr. Syzek reported on the Tidwell bridge construction stating it should be complete in 2022.
Mr. Syzek reported on the COVID-19 wastewater treatment plant sampling program. He stated that 28 of the 38 plants are showing a decline of the virus in the waste water stream.
5. Report by Harris County Precinct Three Constable, including community Crime Watch, and action relating to Security. Captain Ganey reviewed the Security report for the Month of January 2020 which was previously distributed, a copy of which is attached as Exhibit “D.”
Captain Ganey stated that overall there was a decrease in activity for the month of January.
Captain Ganey stated that a number of arrests have been made in the Beltway 8 Corridor due to gang related activity.
Director Balderas reported that residents are posting on the Nextdoor App regarding a group of young people stealing packages from doorsteps and breaking in to vehicles. Captain Ganey stated that these individuals have not been contacting law enforcement and if law enforcement is contacted he will be able to send a deputy out.
Director Rettig inquired about an uptick in gang activity involving graffiti. Captain Ganey stated that the graffiti on the walking trail was not gang related and that Parkway does not have a gang.
6. Tax Assessor and Collector’s Report, status of delinquent tax accounts, and payment of bills. Ms. Yanez presented to and reviewed with the Board the Tax Assessor-Collector’s Report for January, a copy of which is attached as Exhibit “E.” Ms. Yanez reported that 63.04% of the District’s 2020 taxes have been collected as of January 31, 2021.
Ms. Yanez presented 6 checks and 2 wires to the Board for review and approval.
Ms. Yanez reviewed the delinquent tax role.
Upon motion by Director Balderas, seconded by Director Rettig, after a full discussion and the question being put to the Board, the Board voted unanimously to approve the Tax Assessor and Collector’s Report.
7. Bookkeeper’s Report, Investment Report, payment of bills, and take any necessary action. Ms. Bailey reviewed the Bookkeeper’s Report and quarterly investment report, copies of which are attached as Exhibit “F.”
Ms. Bailey reported the District received a reimbursement from AWBD in the amount of $180.00.
Ms. Bailey reported that check 1860 was voided and replaced with 1861.
Ms. Bailey reported that checks 11118-11191 are for review and were written in prior months.
Ms. Bailey reported that check 11211 was to McDonald & Wessendorff for the insurance renewal.
Ms. Bailey reported that the next debt service payment is March 1, 2021.
Ms. Bailey reviewed the Investment report for January with the Board.
Ms. Bailey reviewed the budget comparison through January. She stated there is a surplus of $485,427.00.
Ms. Bailey reported on the Water surface facilitywith Greenwood and reviewed Parkway Utility District’s portion for November and December.
Ms. Bailey reviewed the Joint Water Plant Facilities budget with the Board.
Mr. Jenkins inquired about receiving Pay Estimate No. 4. Ms. Bailey will send a check to President McNeil for signatures in the amount of $30,377.25.
8. Approve amended general operating fund budget. This budget was amended and approved at the last meeting.
9. Operator’s Report from M. Marlon Ivy & Associates. Mr. Maas presented and reviewed with the board the Operator’s Report, a copy of which is attached hereto as Exhibit “G”.
Mr. Maas reported Parkway currently has 2439 active connections.
Mr. Maas reviewed the bill and collections report for December and January with the Board.
Mr. Maas reviewed the production and sales report and stated the District has 98.0% accountability.
Mr. Mass reviewed the historical data entry which shows a four month average.
Mr. Maas reported there are no permit violations at the Wastewater Treatment Plant.
Ms. Maas reviewed the surface water actual usage for the month of January.
Mr. Maas stated that MMIA is preparing all facilities for the cold weather approaching over the weekend.
Upon motion by Director Balderas, seconded by Director Woods, after a full discussion and the question being put to the Board, the Board voted unanimously to accept the Operator’s Report, to proceed with providing door hangers to promote communication between the resident and the operator.
10. Engineer’s Report, including review of Engineer’s projects, and capital repairs.
Mr. Jenkins presented to and reviewed with the Board the Engineer’s Report, a copy of which is attached as Exhibit “H.”
Mr. Jenkins reported on the sanitary sewer rehab stating that he is proceeding with the design.
Mr. Jenkins reported on the Lift station 2 project. He stated the City of Houston is requiring an access easement through the church parking lot. Mr. Jenkins he is still waiting on the executed access easement from Parkway Baptist Church. Upon motion by Director Rettig, seconded by Director Woods, after a full discussion and the question being put to the Board, the Board voted unanimously to authorize Jones|Carter to advertise for bids contingent upon receiving the executed access easement from Parkway Baptist Church.
Mr. Jenkins provided an update onGlobal New Millennium and the District’s involvement with the detention pond. He stated they are requesting adding a second detention pond in to the agreement for Harris County requires the ponds to be separate. Mr. Jenkins recommends tabling this discussion.
Mr. Jenkins reported that he is working to complete the request to rerate the waste water plant. He stated if approved, the District would be able to serve the undeveloped property outside the District’s boundaries. He stated the requests have been submitted to the TCEQ.
Mr. Jenkins reported on the potential purchase of the package plant design for the Wastewater Treatment Plant. He stated that he’s had continued discussion with Greenwood’s engineer and was told that Greenwood is not interested in selling the design of the package plant capacity.
Discussion ensued regarding the facilities required to provide water and sewer service to commercial tracts along Beltway 8. Director Rettig and President McNeil expressed their frustrations.
Mr. Jenkins stated that in October 2018 the America’s Water Infrastructure Act was signed in to law. He said that this act requires public drinking water systems to develop a risk assessment and emergency response plan. Mr. Jenkins stated he reviewed a client memo that describes the line of work needing to be done to complete the work. Upon motion by Director Balderas, seconded by Director Everhart, after a full discussion and the question being put to the Board, the Board voted unanimously to authorize the engineer to proceed with preparation of the risk and resilience assessment for the District.
Mr. Jenkins reported on the joint facilities between Parkway Utility District and Greenwood Utility District.
Mr. Jenkins reported on the surface water transfer facilities. He stated that Greenwood has received comments from Harris County and are resubmitting the plans for approval.
Mr. Jenkins reported on the 16 inch water line along Tidwell Road. He stated he has received bids for the project. Mr. Jenkins stated that Reddico Construction Company was the second lowest bid at $320,659.25 with parkway’s share being $160,329.63. He said that this bid is substantially below budget and recommends the project be awarded to Reddico Construction Company.
Upon motion by Director Everhart, seconded by Director Balderas, after a full discussion and the question being put to the Board, the Board voted unanimously to (i) award bid to Reddico Construction Company; (ii) authorize execution of the contract subject to receipt of bonds and insurance and review by the attorneys for both boards; (iii) and authorize issuance of the notice to proceed.
Mr. Jenkins reported on the Wastewater Treatment Plant clearing, grubbing, and detention. He recommends payment of pay estimate no. 4 in the amount of $60,754 and payment of change order no. 2 in the amount of $25,000.00with the District’s portion being half of both. Director Rettig inquired about Mr. Jenkins reviewing the change order in person. Mr. Jenkins stated he will go out to the site to review the change order. Upon motion by Director Everhart, seconded by Director Balderas, after a full discussion and the question being put to the Board, the Board voted unanimously to authorize payment of pay estimate no. 2 and change order no. 4.
Mr. Jenkins reported that the construction contract has been signed for the Wastewater Treatment Plant expansion and a pre-construction meeting is scheduled for February 17th.
Mr. Jenkins reported that he is waiting on a response from Harris County Flood Control regarding the Wastewater Treatment Plant outfall depression.
Mr. Jenkins stated that the Wastewater Treatment Plant influent meters have been removed.
Mr. Jenkins reported on joint project construct phase services. He stated he has requested a copy of the construction schedule so that he may identify when it is recommended for the engineers to be on site. He stated that once the schedule is received he will present it to the Board.
Upon motion by Director Balderas, seconded by Director Woods, after a full discussion and the question being put to the Board, the Board voted unanimously to approve the Engineer’s Report.
11. Report from Storm Water Solutions, and take any necessary action. President McNeil recognized Ms. Sears, who reviewed a report from Storm Water Solutions, a copy of which is attached hereto as Exhibit “I”.
Ms. Sears reported on maintenance in the detention ponds.
Ms. Sears provided an update on the trees in the Sunrise Pines detention pond along the fence. She stated that the trees are along property lines, but she has not received complaints from residents. Ms. Sears stated she will provide a quote next month for trimming the trees compared to complete removal.
Ms. Sears provided an update on the graffiti removal. She stated it is potentially an ongoing issue. The original graffiti was painted over, but then graffiti appeared again and has since been repainted.
Ms. Sears discussed possibly recommending installation of french drains along the trails to drain the areas that hold water. She will ensure it is not an irrigation leak before moving forward with drains.
12. Consider Need for Insurance Proposals (Exp. 3/29/2021). Mr. Wilson presented and reviewed a copy of the insurance proposal, a copy of which is attached here to as Exhibit “J”.
Upon motion by Director Balderas, seconded by Director Woods, after a full discussion and the question being put to the Board, the Board voted unanimously to renew the insurance with McDonald & Wessendorff.
13. Resolution for Indemnification of Directors. Mr. Wilson presented and reviewed the Resolution for Indemnification of Directors, a copy of which is attached hereto as Exhibit “K”.
Upon motion by Director Rettig, seconded by Director Balderas, after a full discussion and the question being put to the Board, the Board voted unanimously to approve the resolution.
14. Building Superintendent’s Report. Discussion ensued regarding Director Rettig’s personal information on computers.
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 March 10, 2021.
President, Board of Directors
Secretary, Board of Directors