MINUTES OF MEETING OF BOARD OF DIRECTORS PARKWAY UTILITY DISTRICT
DECEMBER 11, 2024
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. 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 were present, thus constituting a quorum. Also attending all or parts of the meeting were: Ms. Renee Butler 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 of Quiddity, engineer for the District; Mr. Gary Syzek of Systems Project Management, General Manager for the District; Mr. Josh Maas with M. Marlon Ivy & Associates (“MMIA”), operator for the District; Ms. Karen Sears of Storm Water Solutions (“SWS”); Mr. Charles Graham, Jr. and Ms. Jessica Leung of Norton Rose Fulbright US LLP (“NRF”), attorneys for the District; Captain Ganey of Harris County Precinct 3 Constable’s Office (“Constable”); Mr. Ken Farrar of Best Trash (“Best Trash”); and Mr. Joel Castro, Ms. Lilly Tobias, Mr. Murtava Khan, and Mr. Ray Mudafr of Global New Millennium, developer within 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. The President called the meeting to order and proceeded with the meeting business.
1. Public Comments (2 minutes each). The President recognized Mr. Khan, who reviewed the gas station and Tidwell Road extension projects. He stated that Global New Millennium is awaiting Harris County’s approval for the plans so they can record the plats and receive water and sewer services. Mr. Bishop reiterated that water and sewer services will not be provided unless a property is platted according to the Texas Water Codes and the District’s Rate Order, and the District’s approval is not required for power connection. Discussion ensued. The President urged the developers to communicate with the Board via the engineer to avoid confusions.
2. Approve the minutes of the meeting on November 13, 2024. Minutes of the regular meeting of November 13, 2024 were previously distributed to the Board and were presented for consideration and approval. Upon motion by Director 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 Best Trash. President McNeil recognized Mr. Farrar, who stated that there were no customer issues reported for the month of November.
Director Simpson stated that garbage collection trucks were speeding within the neighborhood which poses safety issues. Mr. Farrar stated that it is not an acceptable behavior and he will to bring it up to the management team for further investigation.
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 “B.”
Mr. Syzek reported on the Greens Bayou Coalition Partnership with HGAC and TCEQ, stating that the upcoming Greens Bayou Coalition Partnership kickoff event will take place on Thursday, December 12, 2024, at 5:00 pm. Directors McNeil and Simpson inquired about Zoom option for the meeting. Mr. Syzek stated that he will forward the link to the Directors.
Mr. Syzek reported on additional trail signage, stating that the new signages will state that all dogs need to be leashed at all times. Discussion ensued regarding the District and Harris County’s maintenance responsibilities for the trails along detention ponds within the District. The Board agreed for the engineer and the attorney to research on any related agreements.
Mr. Syzek reported on the Global New Millennium Construction Status. Extensive discussion ensued regarding the developer’s request for conditional utility services approval. Upon motion by Director Pogue, seconded by Director Everhart, after full discussion and the question being put to the Board, the Board voted unanimously to approve a conditional utility services commitment for the Global New Millennium projects.
Mr. Syzek reported on Sunrise Pines Pond Vandalism. Mr. Graham stated that he will include all supporting documents with the demand letter. Discussion ensued regarding the extent of the damages.
Mr. Syzek discussed Sunrise Trail irrigation options. He recommended planting trees and installing shelters so the trails can be utilized during the long summer months. The Board agreed for the General Manager and the operator to research on irrigation costs.
Mr. Syzek reported on the Tidwell Basin and Hidden Meadow Pond Improvements.
Mr. Syzek discussed City of Houston water bill spike due to the switch to smart meters.
5. Report by Harris County Precinct Three Constable, including community Crime Watch, and action relating to Security. Cpt. Ganey reviewed the security report for the month of November.
Cpt. Ganey reported that an offense of a Class C Misdemeanor may be subject to a fine up to $500. He stated that he will also research within the Texas Water Codes and other laws and regulations regarding any monetary compensation the District may be able to recover.
Cpt. Ganey stated that the Constables have observed an increase of complaints related to ATV and are doing everything to combat the issues.
Cpt. Ganey reported various incidents within the past month.
Cpt. Ganey reported that there are three black vehicles for tracking purposes and will be deployed within the District.
Cpt. Ganey stated that he is working on an information flyer and he will research on the laws and codes to be referenced.
6. Tax Assessor and Collector’s Report, status of delinquent tax accounts, and payment of bills. Ms. Gideon presented to and reviewed with the Board the Tax Assessor-Collector’s Report for November, a copy of which is attached as Exhibit “C.” Ms. Gideon reported that 3.18% of the District’s 2024 taxes have been collected as of November 30, 2024.
Ms. Gideon presented eight checks and one wire to the Board for review and approval.
Ms. Gideon reviewed the delinquent tax report.
Ms. Gideon reported on the delinquent account that Director McNeil inquired about at the last meeting, stating that the account owner has set up a payment plan with the delinquent tax attorney and has made their first payment.
Upon motion by Director Simpson, seconded by Director Woods, 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. Hernandez reviewed the Bookkeeper’s Report and quarterly investment report, copies of which are attached as Exhibit “D.”
Ms. Butler reviewed the various fund balances.
Ms. Hernandez presented checks and deposit refunds for Board approval.
Ms. Butler reviewed the schedule of investments through current day. She stated that the next bond payment is due in March.
Ms. Butler reviewed the Investment report for November with the Board.
Ms. Butler reviewed budget information and the budget comparison through November.
Ms. Butler presented to and reviewed draft #2 of the operating budget for fiscal year ending December 31, 2025. Discussion ensued regarding adjustments to the garbage/recycling budget to match the current CPI rates.
Discussion ensued regarding setting trail system maintenance budget in the amount of $40,000. The Board agreed to defer discussion regarding the trail system maintenance budget.
Upon motion by Director Simpson, seconded by Director Pogue, after a full discussion and the question being put to the Board, the Board voted unanimously to adopt the operating budget for fiscal year ending December 31, 2025, subject to adjustments to the garbage/recycling budget.
Upon motion by Director Woods, seconded by Director Everhart, after a full discussion and the question being put to the Board, the Board voted unanimously to approve the bookkeeper’s report.
8. 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 “E.”
Mr. Maas reported Parkway currently has 2,441 active connections.
Mr. Maas reviewed the bill and collections report for October 21, 2024 through November 22, 2024 with the Board.
Mr. Maas reviewed the production and sales report and stated the District has 91.13% accountability.
Mr. Maas reviewed historical data over a 4 month average.
Mr. Maas reported no excursions at the wastewater treatment plant.
Mr. Mass reported that the Board approved a valve survey in July and MMIA is reviewing the report and any necessary repairs. He stated that the next survey to perform will be the manhole survey that was also approved in July.
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 accept the Operator’s Report.
9. 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 “F.”
Mr. Bishop stated Sunrise Plastic Enterprise (“Sunrise”) is working to provide the necessary documentation to proceed with the annexation process and site plans to receive water services.
Extensive discussion ensued regarding creating a district to provide water services to Sunrise while the development is ongoing to avoid placing the financial burden onto the District’s residents.
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 the engineer to issue a Letter of Intent to Sunrise.
Mr. Bishop reported on the Sierra Ranch and Stonefield Terrace Section 3 Drainage Improvement Project, stating that the project includes adding inlets next to existing ones on Sierra Ranch streets, upsizing storm sewer lines, and acquiring the landscape reserve in the Villas subdivision to create a small detention pond, which the District will maintain. He stated that Harris County has acquired the land from the HOA and plans to begin construction this month, with a pre-construction walkthrough meeting held on December 5th.
Mr. Bishop reported on the Tidwell Road Basin and Storm Sewer Improvement Project, stating that Harris County continues to address the punch list and expects the project to be completed by the end of the year pending final inspection.
Mr. Bishop reported on Parkway Forest Storm Sewer and 9122-00-00 Channel Improvements Project, stating that the project bid results have been received by Harris County, and ECON Development, Inc. is the low bidder being recommended for the project. He stated that Parkway’s share of the utility relocations is approximately $40,000. He stated that the project is expected to begin early next year, with Parkway’s share of the utility relocations being requested following the Commissioner’s Court awarding the project on January 9th.
Mr. Bishop reported on Water Plant No. 2, stating that Quiddity is currently addressing external review comments. He stated that the engineering costs for the project have been funded with existing bond funds and the construction costs will be funded in a future bond issue as part of Bond Application Report No. 17.
Mr. Bishop reported on Lift Station No. 1 Rehabilitation, stating that Quiddity is proceeding with design phase services.
Mr. Bishop reported on the Surface Water Transfer Facility Expansion, stating that stating that Gemini Contracting Services, Inc. completed startups of the hydro-pneumatic tank and ground storage tank, but awaits components to the additional booster pump to complete its startup and finish the project. He stated that the parts have been ordered, but an estimated time of delivery has not been provided.
Mr. Bishop reported on the Wastewater Treatment Plant Expansion, stating that CSA Construction, Inc. completed the project and is working to have their final close out documents submitted.
He stated that he anticipates the Districts to issue final payment at the next meeting.
Upon motion by Director Simpson, seconded by Director Woods, after full discussion and the question being put to the Board, the Board voted unanimously to approve the Engineer’s Report.
10. Report on Eminent Domain annual filing. Mr. Graham requested for the Board authorization to completed the annual Eminent Domain filing on behalf 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 the attorney to complete the Eminent Domain annual filing with the Comptroller of Public Accounts.
11. 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 “G.” Ms. Sears reviewed photographs of the various ponds throughout the District and discussed services completed and upcoming services needed.
Ms. Sears reported on four washouts at the Sunrise Pines detention pond. The Board agreed for Ms. Sears to present proposals for concrete drainage installations at the next meeting.
Ms. Sears reviewed photographs of signages throughout the District and an aerial photograph indicating the locations of existing and proposed signages. The Board agreed to installing signages with the new rules and additional signages stating “No Motorized Vehicles.” Ms. Sears stated that she will present the proposals at the next meeting.
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 January 8, 2025.
President, Board of Directors
ATTEST:
Secretary, Board of Directors