MINUTES OF REGULAR MEETING OF HARRIS COUNTY MUNICIPAL UTILITY DISTRICT NO. 168 OF HARRIS COUNTY, TEXAS May 8, 2018 The Board ofdirectors (the "Board") ofharris County Municipal Utility District No. 168 of Harris County, Texas (the "District"), met in regular session, open to the public, on May 8, 2018, at 6:00 p.m., at the District office located at 9818 Paddock Court, Houston, Texas 77065, and the roll was called ofthe duly constituted officers and members ofthe Board, to-wit: Thomas L. Tanous, Sr. James S. Busch Wendell R. ("Bob") Barron Nace Peard Jo Ann Montgomery President Vice President Assistant Secretary/Investment Officer Secretary Assistant Secretary and all ofsaid persons were present with the exception ofdirector Peard, thus constituting a quorum. Also present during all or portions of the meeting were Paul Morgan, a member of the public; Otto Maresh ofthe Steeplechase Community Improvement Association ("SCIA"); Deputy Shriver and Deputy Jameson ofthe Harris County Sherriff's Office ("HCSO"); John Sherrington of Sherrington-Humble, LLC ("S-H"); Cathy Falke of Environmental Development Partners ("EDP"); Jorge Diaz ofmclennan & Associates, L.P.; Michelle Guerrero ofbob Leared Interests, Inc. ("BLI"); and Joel Cleveland and Olivia Galvan ofjeanne H. McDonald, P.C. PUBLIC COMMENTS Mr. Morgan stated that he reviewed the District's new website and found it informative and intuitive. He also reported regarding upcoming community events. MINUTES The Board then considered the minutes ofits regular meeting held on April 10, 2018. After discussion, Director Busch moved to approve the minutes of the April 10, 2018, meeting as presented. Director Montgomery seconded the motion, which passed unanimously. ACTION LIST SECURITY There was no action list. The Security Report for April 2018 was distributed to the Board, a copy ofwhich is attached hereto. Deputy Shriver and Deputy Jameson reported on crime in the District. They also reported that Page 1 of6
Deputy Mayo has met with Ms. Lynn Cirillo, Security Coordinator, and Director Tanous during patrol ofthe District. After discussion, no action was necessary. TAX ASSESSOR/COLLECTOR Ms. Guerrero presented the Tax Assessor/Collector's report for the month of April 2018, a copy ofwhich is attached hereto. She stated that as ofapril 30, 2018, the District's 2017 taxes were 98.776% collected. She reported that the discrepancy regarding the taxable value associated with the Trails at Steeplechase was corrected and that the property owner paid his District taxes. After discussion, Director Barron moved to approve the Tax Assessor/Collector's Report and authorize payment ofthe bills. Director Busch seconded the motion, which passed unanimously. DELINQUENT TAX ATTORNEY WEBSITE There was no report. Mr. Cleveland reported that legal review of the District's website is complete and the website is now live. Director Tanous requested a link to review the District's website. After discussion, no action was necessary. BOOKKEEPER/FIBER OPTIC INSTALLATION a. Report. Mr. Diaz then presented the Bookkeeper's Report for April 11,2018, through May 8, 2018, andaninvestmentreportfor April2018, copies ofwhichare attachedhereto. Hereported 30.05 month and 92.87 month reserves in the District's operating account based on budgeted expenses and actual year-to-date expenses, respectively. Action was taken below. Director Tanous then inquired regarding the status ofthe District's demand letter related to District damages incurred during fiber optic cable installationconducted onbehalfofat&t. Inresponse, Mr. Clevelandreportedthatthe demand letterwas submittedto AT&T's general contractor, GW Communications Solutions ("GW"), and that the demand is currently being processed by GW's subcontractor, MDR Group Enterprises, Inc. No action was necessary. After discussion, Director Tanous moved to approve the Bookkeeper's Report, the Investment Report, and payment of the bills indicated in the report. Director Barron seconded the motion, which passed unanimously. b. Proposals. This item was tabled. Page 2 of6
OPERATOR Ms. Falke then presented the Operator's report dated May 8, 2018, a copy of which is attached hereto. She reported a 91.4% accountability for March 2018, and a twelve-month accountability average of 95.1 %. Action was taken below. a. M&R Report: Maintenance and Repair Report Ms. Falke reviewed the maintenance and repair items with the Board. Action was taken below. b. Annual Reports Ms. Falke then presented the draft Consumer Confidence Report to the Board for approval, noting that once approved it will be included in the monthly water bills. She also represented the annual Water Loss Audit and annual Water Conservation Implementation Plan Report. Action was taken below. c. Chlorine and Bacteriological Reports Ms. Falke reviewed the chlorine and bacteriological reports for April 2018. d. STP: Steeplechase Joint Operations Sewage Treatment Plant Matters Ms. Falke reported on maintenance and repair items at the STP. After discussion, no action was necessary. e. Utility Termination Ms. Falke presented the delinquent report dated April 26, 2018. below. Action was taken Ms. Falke then presented a request from Meadowland Apartments for a bill adjustment to remove a late fee. After discussion, Director Barron moved to approve the Operator's Report; approve the Consumer Confidence Report, annual Water Loss Audit, and annual Water Conservation Implementation Plan Report; deny the request from Meadowland Apartments for a bill adjustment; and terminate service to those customers on the delinquent list. Director Tanous seconded the motion, which passed unanimously. ENGINEER'S REPORT Mr. Sherrington reviewed with the Board the Engineer's Report dated May 8, 2018, a copy ofwhich is attached hereto. Page 3 of6
a. HCMUD 170 Regional Wastewater TreatmentPlant Mr. Sherrington reviewed the status ofthe project, reporting that the contractor, N&S Construction Company, L.P., ("N&S") continues to work on the construction of the CMU Building, the installation of gas lines from the meter to the generators, fencing and non-potable pumps. He further reported that the delivery date for the No.3 clarifier gear drive is May 25, 2018, and that it will take approximately 7-10 working days to install. He then reported on payments made by MUD 170 related to the project, and he stated that the full costs associated with Pay Estimate No. 19 in the amount of$8,740.00 are the responsibility ofthe District. After discussion, no action was necessary. b. Rehabilitation ofsanitary Sewer Line Mr. Sherrington reviewed the status ofthe project to rehabilitate sanitary sewer collection facilities on Steepleway, reportingthatthe contractor, Texas Pride Utilities, LLC, continues the rehabilitation ofthe collection system. The contractor has commenced liningthe 30" clay pipe sections and replacing the force main. No action was necessary. Mr. Sherrington also reported that work on rehabilitation of Lift Station No.1 would commence upon completion ofthe rehabilitation ofthe sanitary sewer collection facilities on Steepleway due to the proximity ofthe project to Lift Station No. 1. He also reported that a sink hole adjacent to the wet well at Lift Station No.1 was investigated and no evidence was noted that the District's facilities were compromised. No action was necessary. c. Water Plant No. 2 Mr. Sherrington reported that S-H continues to design the proposed improvements at Water PlantNo.2. No action was necessary. d. Telemetry Mr. Sherrington reported that Hahn Equipment Co. ("Hahn") has begun to rebuild the District's telemetry system at the District's water plants. No action was necessary. e. Utility Reservation Mr. Sherrington reported on development issues in the District. He reported receipt ofa deposit in the amount of$i,500.00 by Atria Apartments. No action was necessary. Mr. Sherrington then reported that the contractor, W.W. Payton Corp., completed painting of the new motor at Water Plant No.3. Mr. Sherrington also reported on an inquiry from Harris County Flood Control District ("HCFCD") relative to a de-silting maintenance project. He reported that HCFCD will coordinate with the District regarding its project due to its proximity to the District's hike and bike trail. Mr. Cleveland reported that, pursuant to the District's Interlocal Agreement with HCFCD, HCFCD will not be financially responsible for any damages caused to the Page 4 of6
District's trail. After discussion, Director Tanous moved to approve the Engineer's Report. Director Busch seconded the motion, which passed unanimously. LANDSCAPING MAINTENANCE Mr. Cleveland reminded the Board that it approved a proposal from JH Plantscapes for tree trimming along Eldridge at its April Boardmeeting. Director Buschreported thatthe work had not been completed and that he would follow up with JH Plantscapes. Mr. Cleveland then asked the Board whether it wished to revisit proposals tabled at the April Board meeting for power washing the fence along Eldridge. The Board concurred to revisit power washing fencing along Eldridge upon completion ofthe tree trimming work by JH Plantscapes. Director Barron then inquired regarding contacting the power washing contractor to attend the District's next meeting or requesting the contractor to provide a sample oftheir services on the District's fencing. In response, Director Busch stated that he would contact the contractor regarding Director Barron's inquiry. After discussion, no action was necessary. PARKS Mr. Cleveland stated that Clark Condon continues work on the conceptual design of the District's parks and plans to present at the District's next Boardmeeting. No actionwas necessary. MARQUIS SIGNS Mr. Cleveland reported that the SCIA has requested the District's opinion on the relocation ofthe SCIA's current marquis sign to Steepleway Blvd and Yearling Drive near the District's lift station. The Board then discussed several concerns regarding the relocation site as proposed by the SCIA, such as visibility, site dimension, and defacement. After discussion, Director Tanous moved to authorize the District's attorney to submit a formal response regarding the proposed relocation site for the SCIA's marquis sign highlighting the Board's concerns. Director Busch seconded the motion, which passed unanimously. NHCRWA There was no report. EXECUTIVE SESSION The Board concurred that there was no need for an executive session. There being no further business to come before the Board, the meeting was adj ourned. (SEA Page 5 of6
LIST OF ATTACHMENTS TO MINUTES Minutes Security Report 1 Tax Assessor/Collector's Report.2 Bookkeeper's Report and Investment Report.2 Operator's Report 3 Engineer's Report 3 Attorney ACTION LIST Mr. Cleveland will send SCIA a letter highlighting the Board's concerns regarding the location of the marquis sign. Page 6 of6