Meeting Minutes 2021-04-14

PARKWAY UTILITY DISTRICT MINUTES OF BOARD REGULAR MEETING

APRIL 14, 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 April 14, 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 for Parkway Utility District (“PUD”) were present, thus constituting a quorum. Also attending all or parts of the meeting were; Ms. Mary Lutz 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; Ms. Kaci Schlachter and Mr. Jeffery Bishop, Mr. Bradley Jenkins, and Mr. Erich Peterson 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. Josh Maas with M. Marlon Ivy & Associates (“MMIA”), operators for the District; Mr. Jamal Singleton with Direct Waste Solutions; Captain Ganey of Harris County Precinct 3 Constable’s Office; and Mr. Reginald Wilson and Ms. Meghan Koett of Norton Rose Fulbright US LLP (“NRF”), attorneys for the District.

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. There were no public comments.

2. Minutes of previous meeting(s). Minutes of the special meeting of March 8, 2021 and of the regular meeting of March 10, 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.

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 11.49 tons which equates to 2.8 tons per week over four service recycling days in March.

Director Balderas reported on a trash pick-up incident in Dawson Hill. Mr. Singleton stated he will look in to the situation and report back.

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 a home in Crystal Cove. He stated there is a manhole in the backyard that needs to be accessed due to a sewer problem. Mr. Syzek stated will share with Harris County Nuisance Abatement to reach out to the property owner.

Mr. Syzek reported on an emergency sanitary collection main repair due to a collapsed sinkhole. Mr. Maas discussed bypassing sewer lines and removing a tree on the property in the amount of $1400.00. Mr. Maas stated the total estimated cost of repair is $40,000 to $50,000.

Mr. Syzek reported on the nutria damage in Sunrise Pines. He stated that additional nutria will need to be trapped and there is damage around the drainage pipe due to burrowing.

Mr. Syzek reported that due to the recent freeze, there has been damage to landscaping around the building. He stated that plants will need to be trimmed and restored.

Mr. Syzek reported that the trails have been heavily used over the past year and bare spots are requiring granite restoration.

Mr. Syzek reviewed an article regarding the current drought conditions.

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 March 2021 which was previously distributed, a copy of which is attached as Exhibit “D.” He stated that there was not a lot of action for the month of March.

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 March, a copy of which is attached as Exhibit “E.” Ms. Yanez reported that 95.88% of the District’s 2020 taxes have been collected as of March 31, 2021.

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

Ms. Yanez reviewed the delinquent tax role.

Ms. Yanez presented and reviewed two PNI waivers for delinquent properties for Board consideration. Ms. Yanez stated the District does not usually waive because of property tax code. Discussion ensued. Mr. Yanez stated a standard letter will be sent that references the property code.

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 Tax Assessor and Collector’s Report, and to not waive PNI on the two delinquent accounts.

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

Ms. Lutz reported that payment was stopped on two checks.

Ms. Lutz reported on capital projects fund disbursements.

Mr. Lutz reviewed the schedule of investments through current day.

Ms. Lutz reported that the next debt service payment is September 1, 2021.

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

Ms. Lutz reviewed the budget comparison through March. She stated there is a surplus of $843,900.00.

Ms. Lutz reported on the Water surface facility with Greenwood and reviewed Parkway Utility District’s portion.

Ms. Lutz reviewed the Joint Water Plant Facilities budget with the Board.

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 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 “G.”

Mr. Maas reported Parkway currently has 2439 active connections.

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

Mr. Maas reviewed the production and sales report and stated the District has 104.68% accountability. Mr. Maas stated it was a slower read process than normal which contributed to accountability being over 100%.

Mr. Maas reported the District is in a new permit cycle for the well.

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

Mr. Maas stated there were no violations at the wastewater treatment plant and all repairs due to the freeze storm have been repaired.

Mr. Maas reported on Sewer repair asking for Board approval to remove the tree in the amount of $1400 at the site.

Discussed ensued regarding disconnects and late fees. Mr. Maas reported that as of today, 8 customers have received credits and that few people had high water bills.

Mr. Maas inquired if the Board would like to proceed with water termination and issuing fees for delinquent accounts. Mr. Wilson recommended suspending termination and fees and discuss at next month’s meeting. Discussion ensued.

Director Rettig stated he had turned off water at the building in preparation for the Freeze, but still had busted pipes. Mr. Maas stated that most line breaks were on the hot side. Discussion ensued.

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 accept the Operator’s Report, to suspend termination and fees until next month, and to authorize removal of the tree in the amount of $1400.

9. Engineer’s Report, including review of Engineer’s projects, and capital repairs. Mr. Bishop presented to and reviewed with the Board the Engineer’s Report, a copy of which is attached as Exhibit “H.”

Mr. Bishop reported on the sanitary sewer rehab stating that they are on schedule to request authorization to advertise at next month’s meeting.

Mr. Bishop reported on the Lift station 2 project. He stated plans have been resubmitted to Harris County for final approval.

Mr. Bishop stated there is nothing new to report regarding an update on Global New Millennium and the District’s involvement with the detention pond at this time.

Mr. Bishop reported that he is working to complete the request to rerate the waste water plant. He stated he has yet to receive comments from the TCEQ but anticipates a response in May.

Mr. Bishop discussed water and sanitary sewer service to undeveloped areas in the District. Discussion ensued regarding scheduling a special meeting to discuss further. The Board will be in special session on Monday, April 19, 2021 at 6:15 p.m.

Mr. Bishop stated he is proceeding with preparation of a risk assessment and emergency response plan and will meet the deadline of June 30, 2021.

Mr. Bishop stated he is coordinating with the flood control District to raise maintenance concern on Sierra Ranch and to improve drainage within the District.

Mr. Bishop reported on the surface water transfer facility stating he has reviewed the plans and bids will be received soon.

Mr. Bishop reported that construction is currently underway for the 16 in water line along Tidwell Road.

Mr. Bishop reported on the wastewater treatment plant clearing, grubbing and detention facility. He stated he recommends payment of pay estimate no. 6 in the amount of $117,175.05. 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 pay estimate no. 6.

Mr. Bishop reported on wastewater treatment plant expansion stating that construction is underway and before the end of the month digging for the new lift station will begin.

Mr. Bishop reported on the wastewater treatment plant outfall depression stating a pipe has collapsed. He stated that Harris County Flood Control is requiring a geotechnical report on soils surrounding the outfall. Mr. Bishop reviewed a proposal from Paradigm Consultants, Inc. in the amount of $9,400.00 for completing of the geotechnical report. 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 accept the proposal.

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 approve the Engineer’s Report.

10. 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 reviewed photos of the detention pond. She stated there is a continued need to trap nutria. Ms. Sears reviewed various ways to trap the nutria and repair the holes made by their burrowing. Discussion ensued. 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 proceed with repairing the holes by inserting foam.

11. Review Water Conservation Plan and Drought Contingency Plan. Mr. Wilson asked the District Operator for any recommendations regarding the conservation and drought contingency Mr. Maas stated he does not recommend any changes at this time.

12. Building Superintendent’s Report. Director Rettig provided updates on the building. He inquired about removing hot water lines to the building. President McNeil inquired about TCEQ requirements regarding hot water supply to the building. Mr. Wilson stated that the District could potentially be cited by Harris County for having operations without hot water. Discussion ensued regarding the need for hot water. Upon motion by Director McNeil, seconded by Director Woods, after a full discussion and the question being put to the Board, the Board voted unanimously to supply hot water to the District Building.

Discussion ensued regarding location of future meetings.

THERE BEING NO FURTHER BUSINESS TO COME BEFORE THE BOARD, the meeting was adjourned.

* * *

The foregoing minutes were passed and approved by the Board of Directors on May 12, 2021.

President, Board of Directors
ATTEST: Secretary, Board of Directors

(DISTRICT SEAL)