MINUTES CYPRESS FOREST PUBLIC UTILITY DISTRICT. July 2, 2013
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1 MINUTES CYPRESS FOREST PUBLIC UTILITY DISTRICT July 2, 2013 The Board of Directors (the "Board") of Cypress Forest Public Utility District, Harris County, Texas (the "District"), met in regular session, open to the public, on the 2nd day of July, 2013, at the Cypress Forest Public Utility District Administrative Building, Champion Forest Drive, Spring, Texas 77379, inside the boundaries of the District, and the roll was called of the members of the Board: Greg DiCioccio Fred P. Jones Michael J. Lynch, Jr. Thomas J. Petrick David Normand President Vice President Secretary Assistant Secretary Assistant Vice President and all of the above were present, thus constituting a quorum. Also present for all or part of the meeting were the following: Alice Kanayan, resident of the District; Barb Smith of the Champion Maintenance Fund and resident of the District; Dennis Ivey, Wade Ivey, Jackson Hahn, and Charlie Hurd of Boy Scout Troop No and residents of the District; Matt Fuqua and Bob Zamorano of Champion Forest at Cypresswood GP, LLC; Kim Shelnutt of Myrtle Cruz, Inc.; Esther Flores of Tax Tech, Inc.; Salim Joubran and Nabil Joubran of Pepe Engineering, Ltd.; Andrew Phelps of Environmental Development Partners, LLC ("EDP"); Les Griffith of Champions Hydro-Lawn, Inc. ("CHL"); and Greer Pagan and Justine M. Cherne of Allen Boone Humphries Robinson LLP. Director DiCioccio called the meeting to order. PUBLIC COMMENTS Director DiCioccio called the meeting to order. There being no public comments, Director DiCioccio closed the meeting to public comment. CONSENT AGENDA: APPROVE MINUTES FINANCIAL AND BOOKKEEPING, INCLUDING PAYMENT OF BILLS TAX ASSESSMENT AND COLLECTION, INCLUDING PAYMENT OF BILLS ENGINEERING, INCLUDING LONG-TERM MAINTENANCE PLAN OPERATION OF DISTRICT FACILITIES The minutes of the June 11, 2013, regular meeting of the Board were previously DOC
2 distributed. Upon a motion made by Director Normand and seconded by Director Petrick, the Board voted unanimously to approve the items on the Consent Agenda, except for Director Lynch who was not present for the vote. Copies of the bookkeeper's report, the tax assessor/collector's report, the engineer's report, and the operator's report are attached. UTILITY COMMITMENT ALLOCATION REQUESTS Mr. Fuqua and Mr. Zamorano addressed the Board to discuss the proposed development of Cypresswood Town Center on an approximately nine-acre tract located at the intersection of Cypresswood Drive and Champion Forest Drive and responded to Board members' questions. A copy of a description of the proposed development and a rendering are attached. Mr. Zamorano requested an allocation of utilities in the amount of 180,960 gallons per day of water supply and 118,755 gallons per day of sewage treatment capacity to serve 426,242 square feet of condominium and retail facilities for the proposed project. A copy of the request is attached. Following review and discussion, Director Jones moved to authorize execution of a utility commitment letter to provide water and sewer treatment capacity to serve the proposed development as requested. Director Petrick seconded the motion, which was approved by unanimous vote following additional discussion. WATER WISE AGREEMENT The Board reviewed an Interlocal Agreement with the Harris-Galveston Subsidence District for sponsorship of students' participation in the Water Wise Program at Brill Elementary School. Following review and discussion, Director Lynch moved to authorize execution of the agreement and direct that the agreement be filed appropriately and maintained in the District's official records. Director Petrick seconded the motion, which was approved by unanimous vote. ADDITIONAL FINANCIAL AND BOOKKEEPING ACTION ITEMS Ms. Shelnutt reviewed two additional checks for payment of meeting expenses and reimbursement of expenses for the District's Administrative Building. Ms. Shelnutt stated that the additional checks will be included on next month's bookkeeper's report. Following review and discussion, Director Jones moved to approve the additional checks as presented. Director Lynch seconded the motion, which was approved by unanimous vote. ASSOCIAnON OF WATER BOARD DIRECTORS Directors DiCioccio and Lynch reported on conference sessions they attended during the Association of Water Board Directors (" AWBD") summer conference. Following discussion, Director Lynch moved to approve the reimbursement of eligible expenses for the summer conference and authorize the Directors to attend the AWBD's DOC -2-
3 winter conference. unanimous vote. Director Petrick seconded the motion, which was approved by REPORT REGARDING LEGISLATIVE MATTERS Mr. Pagan updated the Board on legislative matters. ADDITIONAL TAX ASSESSMENT COLLECTION ACTION ITEMS The Board discussed delinquent tax accounts and tax accounts in bankruptcy proceedings. Ms. Smith reported on actions undertaken by the Champion Forest Fund for vacant lot maintenance. HOMEOWNERS ASSOCIATION MATTERS Director Petrick reported on homeowners' association matters. DEVELOPMENT AND MAINTENANCE OF PARKS AND TRAILS Director Normand reported on matters related to the development and maintenance of parks and trails in Cypress Forest Park, including development of a master plan, and anticipated proposals for the installation of four to six park benches, maintenance and repair of the irrigation system, tree planting and irrigation per the Memorandum of Understanding with Trees for Houston, and the fabrication and installation of Park Rules signs. PROPOSED DEVELOPMENT PROJECT FOR THE RAVENEAUX COUNTRY CLUB TRACT, INCLUDING ACTIONS RELATED TO THE LEASE AGREEMENT The Board discussed maintenance of the Raveneaux Country Club lease tract, including removal of dead trees along the south trail of Cypress Forest Park. Director Normand stated that maintenance and removal of the trees will be discussed with management. ADDITIONAL ENGINEERING ACTION ITEMS Mr. Joubran reviewed additional engineering action items. He recommended approval of a utility capacity reservation request from Virginia's Cakes & More, LLC in the amount of 900 gallons per day of water supply and 600 gallons per day of sewage treatment capacity to serve a 2,613 square foot retail facility located at 8905 Louetta Road, Ste. D for bakery/cafe use. Following review and discussion, Director Normand moved to approve the utility capacity reservation request as recommended. Director Petrick seconded the motion, which was approved by unanimous vote. In response to Director Petrick's question, Mr. Pagan stated that an application will be submitted on behalf of the District for release of certain funds held in escrow DOC -3-
4 from the District's Series 2004 Bonds after the development of Cypresswood Town Center. FUNDING ALTERNATIVES FOR CAPITAL IMPROVEMENT PLAN PROJECTS The Board concurred to defer this item. RESOLUTION EXPRESSING INTENT TO REIMBURSE The Board concurred to defer this item. ADDITIONAL DISTRICT FACILITY OPERATIONS ACTION ITEMS Mr. Phelps discussed routine operating, maintenance, and repair matters, and reviewed water accountability for the District's water system. Mr. Phelps reviewed a proposal from Bella Terra Care, Inc. to install irrigation for the bushes to be planted at Herts Rd. in the amount of $1, He stated that EDP's charge for the installation is $1, Following review and discussion, Director Jones moved to approve the proposal. Director Petrick seconded the motion, which was approved by majority vote, with Director Lynch opposed. Mr. Phelps recommended that Source Point Solutions, LLC perform a televised cleaning and inspection of the inverted sanitary sewer siphon located along Cypresswood Drive and under Dry Gully in the amount of $7, He stated that the cost of the service is included in the current operator's budget. Discussion ensued regarding the District's Joint Trunk Sewer Line Agreement with Louetta North P.U.D. and Cy-Champ P.U.D. Following discussion, Director Normand moved to approve the televised cleaning and inspection of the inverted sanitary sewer siphon by Source Point Solutions, LLC. and authorize the District's bookkeeper to forward invoices to Louetta North P.U.D. and Cy-Champ P.U.D. for payment of their share of the cleaning and inspection costs per the Joint Trunk Sewer Line Agreement. Director Petrick seconded the motion, which was approved by unanimous vote. Mr. Phelps reported that a notice will be included in the District's utility bills regarding the possible effects of fire hydrant flow testing on water quality during September Discussion ensued regarding EDPs assistance to a resident during a recent sewer backup. Following review and discussion, additional facility operations action items. which was approved by unanimous vote. Director Lynch moved to approve the Director Normand seconded the motion, DOC -4-
5 CONDUCT HEARING ON TERMINATION OF WATER SERVICE The Board conducted a hearing on the termination of water service. Mr. Phelps reported that the customers included on the termination list attached to the operator's report will be given written notice 10 days prior to next month's meeting of the opportunity to appear before the Board of Directors to explain, contest, or declare why the utility service should not be terminated for reason of nonpayment. Following review and discussion, Director Lynch moved to authorize sending written notice to the customers included on the termination list in accordance with the District's Rate Order. Director Normand seconded the motion, which was approved by unanimous vote. MATTERS RELATED TO THE NORTH HARRIS COUNTY REGIONAL WATER AUTHORITY ("NHCRWA") Director DiCioccio reported on NHCRWA matters, including NHCRWA's potential rate increase and matters related to NHCRWA's adoption of Phase 2 of its Drought Contingency Plan. KLEINWOOD REGIONAL WASTEWATER TREATMENT PLANT Director DiCioccio updated the Board on last month's meeting of the Joint Powers Board and the operations and maintenance of the Kleinwood Regional Wastewater Treatment Plant, including effluent reuse matters. PUBLIC COMMUNICATIONS The Board discussed website updates and articles for Champion Forest Women's Club Newsletter. publication in the MEETING SCHEDULE AND AGENDA The Board discussed its meeting schedule and items for inclusion on the next meeting agenda. There being no other matters to come before the Board, the meeting was adjourned. (SEAL) DOC -5-
6 LIST OF ATTACHMENTS TO MINUTES Minutes Page Bookkeeper's Report 2 Tax Assessor/Collector's Report 2 Engineer's Report 2 Operator's Report 2 Description of the Proposed Development and a Rendering 2 Request for Allocation of Utilities DOC -6-
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