Meeting Minutes 2024-04-10

MINUTES OF MEETING OF BOARD OF DIRECTORS PARKWAY UTILITY DISTRICT
April 10, 2024

THE STATE OF TEXAS
COUNTY OF HARRIS
PARKWAY UTILITY DISTRICT

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The Board of Directors (the “Board’) of Parkway Utility District (the “District’) convened in a regular session. A roll call was taken of the persons present:

Brenda McNeil, President
Ron Everhart, Vice President
Gloria Woods, Secretary
Cody Pogue, Investment Officer
Shiwann Simpson, Assistant Secretary

All Directors for Parkway UD were present, thus constituting a quorum. Also attending all or parts of the meeting were: Ms. Leigh Vitals of McLennan & Associates, L.P. (“Bookkeeper” or “McLennan”), bookkeepers for the District; Ms. Rhonda Gideon of Assessments of the Southwest (“Tax Assessor-Collector” or “ASW), tax assessor and collector for the District; Mr. Jeffery Bishop and Mr. Drew Alford of Quiddity, engineers for the District; Mr. Gary Syzek of Systems Project Management, General Manager for the District; Mr. Josh Maas with M. Marlon Ivy & Associates (“MM/A”), operator for the District; Ms. Karen Sears of Storm Water Solutions; Mr. Reginald Wilson, Mr. Charles Graham, Ms. Madeline Lopez, and Ms. Jessica Leung of Norton Rose Fulbright US LLP (“NRF’), attorneys for the District; Mr. Jamal Singleton of Direct Waste Solutions; Captain Ganey of Harris County Precinct 3 Constable’s Office; Ms. Jennifer Day of McCall Gibson Swedlund Barfoot, PLLC, auditor for the District; and Mr. Eric Baderschert of Off Cinco, webmaster for the District.

In accordance with notice posted pursuant to law, copies of certificates of posting of which are attached hereto as Exhibit “A,” the following business was transacted:

Call to Order. Mr. Wilson called the meeting to order and proceeded with the meeting business.

1. Public Comments (2 minutes each). There were no public comments.

2. Approve the minutes of the meeting on March 13, 2024. Minutes of the regular meeting of March 13, 2024 were previously distributed to the Board and were presented for consideration and approval. Upon motion by Director Mr. Pogue, seconded by Director Woods, after full discussion and the question being put to the Board, the Board voted unanimously to approve the minutes.

3. Report from Direct Waste Solutions. Mr. Singleton presented and reviewed the report, a copy of which is attached hereto as Exhibit “B.”. He reported on garbage pick-up delays on April 9, 2024 due to street flooding.

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 hereto as Exhibit “C.”

Mr. Syzek provided an update regarding the ongoing area drainage improvements and native tree preservation.

Mr. Syzek reported Resilience Trail. He stated that he will conduct inspection walk-throughs a couple times a year.

Mr. Syzek provided an update regarding the joint wastewater plant contractor meeting.

Mr. Syzek presented and reviewed a letter from the White House National Security Council regarding a potential serious cyber attacked focused on public water system. He stated that the situation concerns the District because the District’s surface water needs are provided by the City of Houston.

Mr. Syzek provided an updated regarding the 2024 hurricane forecast. He stated that the season is anticipated to be worse than 2023.

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 February, a copy of which is attached hereto as Exhibit “D.”

Captain Ganey reported an increase in stolen vehicles cases targeting 1500 pick-up trucks in the months of January through March, 2024.

Captain Ganey provided an update on the shooting incidents surrounding the apartment. He states that the Constables are working with attorneys for Greenwood UD and the apartment on-site management on preventative measures.

Captain Ganey reported the Constable’s increase of flood rescue efforts by stationing additional standby personnel for timely rescue dispatch.

6. Discuss website needs, pricing for new District email accounts with Off Cinco, and take any necessary action.

Mr. Baderschert presented and reviewed proposed new email accounts rates, a copy of which is attached hereto as Exhibit “E.” The Board discussed various issues surrounding accessibility and storage.

Upon motion by Director Everhart, seconded by Director Pogue, after full discussion and the question being put to the Board, the Board voted unanimously to accept new District email accounts rates, subject to the Board’s approval of final quotation.

7. Approve Audit for Fiscal Year Ending December 31, 2023. Ms. Day presented and reviewed Board Representation letter and draft audit for fiscal year ending December 31, 2023, a copy of which is attached hereto as Exhibit “F.” Upon motion by Director Everhart, seconded by Director Pogue, after full discussion and the question being put to the Board, the Board voted unanimously to approve the Audit for Fiscal Year Ending December 31, 2023.

8. Authorize filing of Continuing Disclosure Report. Mr. Wilson stated that the Continuing Disclosure Report gets filed with the State and shows the financial status of the District.

Upon motion by Director Everhart, seconded by Director Woods, after full discussion and the question being put to the Board, the Board voted unanimously to authorize NRF to file on behalf of the District.

9. Tax Assessor and Collector’s Report, status of delinquent tax accounts, and payment of bills. Ms. Gideon presented and reviewed with the Board the Tax Assessor-Collector’s Report for March a copy of which is attached as Exhibit “G.” Ms. Gideon reported that 94.29% of the District’s 2023 taxes have been collected as of March 31, 2024.

Ms. Gideon presented 13 checks and 2 wires to the Board for review and approval.

Ms. Gideon reviewed the delinquent tax report.

Upon motion by Director Woods, seconded by Director Pogue, 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 and to authorize the termination of delinquent accounts.

10. Bookkeeper’s Report, Investment Report, payment of bills, and take any necessary action. Ms. Vitals reviewed the Bookkeeper’s Report and quarterly investment report, copies of which are attached as Exhibit “H.”

Ms. Vitals reviewed the various fund balances.

Ms. Vitals presented checks and deposit refunds for Board approval.

Ms. Vitals reviewed the schedule of investments through current day.

Ms. Vitals reviewed the Investment report for March with the Board.

Ms. Vitals reviewed budget information and the budget comparison through March.

Upon motion by Director Woods, seconded by Director Pgoue, after a full discussion and the question being put to the Board, the Board voted unanimously to approve the bookkeeper’s report.

11. 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 “I.”

Mr. Maas reported Parkway currently has 2339 active connections.

Mr. Maas reviewed the bill and collections report for February through March with the Board.

Mr. Maas reviewed the production and sales report and stated the District has 104.56% accountability.

Mr. Maas reviewed historical data over a 4 month average.

Mr. Maas reported that the District’s groundwater permit review is due for the new cycle

Mr. Maas stated there was one excursion at the wastewater treatment plant.

Mr. Maas reviewed a list of collection accounts and requested the Board’s authorization to send 33 accounts to collections.

Upon motion by Director Everhart , seconded by Director Woods, after full discussion and the question being put to the Board, the Board voted unanimously to accept the Operator’s Report and to approve sending the 33 accounts to collection as presented.

12. Receive and approve Engineer’s Report, including approval of pay estimates and authorize action relating to plans and projects, including conveyances of real property and/or District facilities. Mr. Bishop presented to and reviewed with the Board the Engineer’s Report, a copy of which is attached as Exhibit “J.”

Mr. Bishop provided an update regarding the water well no. 1 re-work stating the contractor, C&C Water is awaiting the delivery of the required equipment to seal off the source of sand production, and the current schedule is to have the well back online in June.

Mr. Bishop reported on Sunrise Plastic Enterprise stating Quiddity is waiting on the submittal of documents to finalize annexation application and documents.

Mr. Bishop reported on the Global New Millenium Development, stating plans are pending approval from TxDOT and Harris County to install water taps.

Mr. Bishop provided updates on the Global New Millenium lift station and force main. Mr. Wilson stated that NRF will obtain Director McNeil’s signature and record the corrected warranty deed and access easement.

Mr. Bishop stated there is nothing new to report on Hornberger Tracts this month.

Mr. Bishop reported on the Sierra Ranch and Stonefield Terrace Section 3 Drainage Improvement Project, stating that Harris County is working to acquire the land from the HOA an plans to being construction in August 2024.

Mr. Bishop reported on the Tidwell Road Basin and Storm Sewer Improvement Project, stating that Harris County continues with excavation of the detention pond, cutting backslop swales, and installation of water and storm piping.

Mr. Bishop reported on Parkway Forest Storm Sewer and 9122-00-00 Channel Improvements Project, stating that Harris County advised the real estate acquisitions south of Parkway UD are still in progress.

Mr. Bishop stated Quiddity compiled the initial lead service line inventory and expect to finalize all necessary documents and submit to TCEQ this month, ahead of the October deadline.

Mr. Bishop reported on Water Plant No. 2, stating the design is underway.

Mr. Bishop reported on Lift Station No. 1 Rehabilitation, stating the design is underway.

Mr. Bishop reported on the Surface Water Transfer Facility Expansion, and recommended payment of the District’s pro-rate share of pay application no. 2. Upon motion by Director Everhart , seconded by Director Pogue, after full discussion and the question being put to the Board, the Board voted unanimously to authorize payment of pay application no. 2.

Mr. Bishop provided an update regarding the Wastewater Treatment Plant Expansion project and recommended payment of the District’s pro-rate share of pay application no. 35. Upon motion by Director Everhart , seconded by Director Pogue, after full discussion and the question being put to the Board, the Board voted unanimously to authorize payment of pay application no. 35.

Upon motion by Director Woods, seconded by Director Pogue, after full discussion and the question being put to the Board, the Board voted unanimously to approve the Engineer’s Report.
13. Report from Storm Water Solutions, and take any necessary action. Ms. Sears reviewed a report from Storm Water Solutions, a copy of which is attached hereto as Exhibit “K.” Ms. Sears reviewed photographs of the various ponds throughout the District and discussed services completed and upcoming services needed.

14. Mr. Harold Dutton, Texas House of Representatives representing District 142 introduced himself. He addressed the District’s current flooding issues. He also presented and reviewed a notice regarding the Common Market Texas, a copy of which is attached hereto as Exhibit “L.”

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 May 8, 2024.

President, Board of Directors
ATTEST:

Secretary, Board of Directors

(DISTRICT SEAL)