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Home My WebLink AboutNovember 11, 2008 Regular Session BackupTown of Trophy Club Municipal Utility District No.1 Meeting Agenda 100 Municipal Drive Trophy Club, Texas 76262 Tuesday, November 11, 2008 5:30 P.M. A.1 Call to Order and Announce a Quorum. A.2 Public Comments or Presentations. A.3 Receive Finance Director's Report a. Audit b. Tarrant Appraisal District appraised value research A.4 Review and Approve Disbursements and Variance Report a. September 2008 B.1 Discuss and take appropriate action regarding establishing a policy for MUD 1 reserves. (Director Twomey) B.2 Discuss and take appropriate action concerning the 2008 Interlocal Agreement for Fire Protection Services between Trophy Club Municipal Utility District No. 1, Trophy Club Municipal Utility District No. 2 and the Town of Trophy Club, as amended. Pages 9 ‐ 25 B.3 Discussion and take appropriate action regarding establishing a Disaster Plan. Pages 26 ‐ 27 B.4 Discuss and take appropriate action concerning possible amendment of the existing New Intergovernmental Contract for Employee Services. Pages 28 ‐ 37 B.5 Discuss and take appropriate action concerning the new Fire Station. B.6 Discuss and take appropriate action regarding recent update by Lewis McLain of CityBase.Net regarding Town-MUD Study. B.7 Discuss and take appropriate action regarding email by Town Manager Emmons dated November 4, 2008 following meeting with Mr. Lewis McLain of CityBase.Net regarding Town-MUD Study. Page 40 C.1 Receive District Manager's Report a. Item(s) for Future Agenda D.1 Review and Approve Minutes a. October 7, 2008 - Regular Session minutes - Pages 43 ‐ 47 D.2 Review Monthly Tax Collection Report a. September 2008 - Pages 49 D.3 Set Next Meeting Date - Pages 51 Next regularly scheduled meeting date: Tuesday, December 9, 2008, 6:00 p.m. D.4 Items for Future Agendas - Pages 53 F.1 Adjourn. MUNICIPAL UTILITY DISTRICT #1 From: The Office of the Municipal Utility District#1 Date: 11-11-2008 Subject: Agenda Item No.A.1 Call to Order and Announce a Quorum. (mm) MUNICIPAL UTILITY DISTRICT #1 From: The Office of the Municipal Utility District#1 Date: 11-11-2008 Subject: Agenda Item No.A.2 Public Comments or Presentations. (mm) MUNICIPAL UTILITY DISTRICT #1 From: The Office of the Municipal Utility District#1 Date: 11-11-2008 Subject: Agenda Item No.A.3 Receive Finance Director's Report a. Audit b. Tarrant Appraisal District appraised value research EXPLANATION: Verbal Update (sg) MUNICIPAL UTILITY DISTRICT #1 From: The Office of the Municipal Utility District#1 Date: 11-11-2008 Subject: Agenda Item No.A.4 Review and Approve Disbursements and Variance Report a. September 2008 EXPLANATION: RECOMMENDATION: ACTION BY MUD1: (sg) Attachments: 1. September’s Variance Report MUNICIPAL UTILITY DISTRICT #1 From: The Office of the Municipal Utility District#1 Date: 11-11-2008 Subject: Agenda Item No.B.1 Discuss and take appropriate action regarding establishing a policy for MUD 1 reserves. (Director Twomey) EXPLANATION: Requested by Director Twomey at the August 12 MUD 1 meeting. RECOMMENDATION: ACTION BY MUD1: (nt) MUNICIPAL UTILITY DISTRICT #1 From: The Office of the Municipal Utility District#1 Date: 11-11-2008 Subject: Agenda Item No.B.2 Discuss and take appropriate action concerning the 2008 Interlocal Agreement for Fire Protection Services between Trophy Club Municipal Utility District No. 1, Trophy Club Municipal Utility District No. 2 and the Town of Trophy Club, as amended. EXPLANATION: Note: MUD 2 took no action on this ILA at their November 5th meeting. They did however agree to remove Paragraph 3.01B.5 (regarding “Rent” to be paid to MUD1 and MUD2 on a 50/50 basis), as it was determined to be redundant and asked the Town Manager, who was present, to review the changes and advise the Board. Council passed the attached ILA for Fire Protection Services at their October 20th meeting. Comments from Jim Hase: Confirming a meeting on October 15, 2008, with conferees Jim Budarf, Nick Sanders, Brandon Emmons, Jim Moss, Jim Hase and Robert Scott. The conferees reached an agreement on the basic content of the “2008 Interlocal Cooperation Agreement For Fire Protection.” The conferees reached agreement on substitute language for Paragraph 3.01A, next to last sentence: Previous version: “The budget shall be presented to the Town Council for input and consideration prior to final approval by the Master District.” Revised version: “The Town Manager may present the fire budget to the Town Council and forward any input to the Master District for final approval.” As you will note, the Revised version did not make it into contract because of a mix-up in instructions to the typist. Brandon would prefer not to make any changes to attached contract at this time because Town Council has already approved it. He suggests an amendment to the contract at a later date (February, or thereabouts). My question to both of you is “does the word consideration in the version that made it into the attached contract present any problems to the Master District from a legal standpoint”? For your information, the conferees also agreed that the “Rent Expense” accounting procedure for the Fire Department is acceptable to all parties to the contract. Consequently, we would also like to see an addition to the contract as new Paragraph 3.01B4 as follows: The Fire Department Rent Expense shall be paid to MUD 1 and MUD 2 on a 50/50 basis (per existing accounting procedures).” Comments from Bob West (Saturday, Nov. 1) 1. The revisions agreed upon by the conferees for Paragraph 3.01.A, next to last sentence (regarding Town’s input on annual budget), and in Paragraph 3.01B.5 (regarding “Rent” to be paid to MUD1 and MUD2 on a 50/50 basis) are both fine with me. 2. I don’t understand the concern about why these revisions should not be made now or within the next month or two by the Town Council. This Agreement does not take effect until January 1, 2009, and the Town Council should be having several meetings before that effective date at which it could consider and approved these revisions. My preference would be for the MUDs to approve the Agreement as revised and then let the Town also approve the revised version of the Agreement before the 1/1/09 effective date. But using the word “consideration” in the Agreement even before the most recent revisions does not particularly both me, but I do prefer the language as it has been revised by the conferees. 3. Since the Agreement will need to be approved by both MUD1 and MUD2 as the signing parties, I suggest that you also forward this to Pam Liston for review and comment if you have not already done so. RECOMMENDATION: (rs/be) Attachments: 1. Town’s Adopted ILA for Fire Protection Services 2. MUD’s proposed ILA for Fire Protection Services THE STATE OF TEXAS) COUNTY OF DENTON ) COUNTY OF TARRANT) 2008 INTERLOCAL COOPERATION AGREEMENT FOR FIRE PROTECTION SERVICES THIS INTERLOCAL COOPERATION AGREEMENT FOR FIRE PROTECTION SERVICES (hereinafter “Agreement”) is made and entered into this ____ day of _________, 2008, by and between Trophy Club Municipal Utility District No. 1, Trophy Club Municipal Utility District No. 2, both districts created pursuant to Section 59, Article XVI, Texas Constitution and the Texas Water Code, Chapter 54 (hereinafter referred to as “MUDs 1 and 2”) and the Town of Trophy Club, a Home Rule Municipality, (hereinafter referred to as “Town”). W I T N E S S E T H : WHEREAS, MUDs 1 and 2 is a duly organized political subdivision of the State of Texas engaged in the administration of fire protection and related services for the benefit of those persons residing, traveling within, or being physically located within the boundaries of MUDs 1 and 2 and further without limitation, the incorporated and unincorporated limits of the Town of Trophy Club, Texas; and WHEREAS, MUDs1 and 2 together are owners and operators of certain vehicles and/or other equipment designed to engage in fire-fighting activities and have in their employ such trained personnel whose duties are related to the provision of such services and the operation of necessary vehicles and equipment (hereinafter collectively referred to as “Fire Functions”); and WHEREAS, the provision of Fire Functions is a governmental function that serves the public health and welfare, promotes efficiency and effectiveness of local governments, and is of mutual concern to the contracting parties; and WHEREAS, MUDs 1 and 2 are authorized to perform Fire Functions pursuant to Section 49.351 of the Texas Water Code, the Town is individually authorized to perform Fire Functions pursuant to its police powers, and the parties desire to enter into this Agreement regarding the performance of Fire Functions; and WHEREAS, the Interlocal Cooperation Act, Texas Government Code, Chapter 791, et seq., as amended (the “Act”) provides authority for governmental entities of the State of Texas to enter into Interlocal agreements with each other regarding governmental functions and services as set forth in the Act; and NOW, THEREFORE, Town and MUDs 1 and 2, for and in consideration of the recitals set forth above and terms and conditions below, agree as follows I. Incorporation / Term 1.01 Incorporation of Recitals. The foregoing recitals are agreed upon and incorporated herein as a part of this Agreement. 1.02 Term. This Agreement shall be executed by the respective authorized representatives upon approval by each of the respective governing bodies of Town and MUDs 1 and 2, and shall become effective beginning on January 1, 2009 for an initial term of one (1) year ending on January 1, 2010. Such one (1) year initial term shall renew annually for a total of ten (10) consecutive terms of one (1) year each, unless terminated by any party at least sixty (60) days prior to the end of the term. II. Definitions 2.01 As used herein, the words and phrases hereinafter set forth shall have the meanings as follows: A. “Eligible Persons” shall mean those persons owning property, residing, traveling within, or being physically located within the corporate boundaries of the Town of Trophy Club, Texas and/or MUDs 1 and 2 and shall also include those persons owning property, residing, traveling within, or being physically located within the corporate boundaries of another political subdivision of the State of Texas with whom Town and/or MUD2 and/or MUD1 have a mutual aid agreement to provide fire protection services. B. “Fire-fighting Activities”, “Fire Protection Services”, or “Fire Functions” shall mean any and all of the customary and usual activities of a fire department, including fire suppression, fire prevention, training, safety education, maintenance, communications, photography, and administration. III. Obligations and Rights of the Parties 3.01 Budget and Funding A. Budget The Director of Finance together with the Fire Chief shall prepare a budget for Fire Protection Services. It shall be the responsibility of the Fire Chief to certify that the budget so prepared meets the Fire Protection needs of the Eligible Persons and allows an appropriate level of service. The budget shall be presented to the governing board of the Master District for final approval. The budget shall be presented to the Town Council for input and consideration prior to final approval by the Master District. Formatted The approval of Master District under this section shall not be unreasonably withheld. B. Funding MUDs 1 and 2 and the Town shall share the funding of all costs associated with Fire Protection Services provided to Eligible Persons as defined herein, in accordance with the terms of this Agreement. Said funding shall be accomplished as follows: 1) MUDs 1 and 2 shall fund their share of all costs associated with Fire Protection Services provided to Eligible Persons as defined herein, in accordance with the terms of this Agreement through the assessment and collection of an annual Fire Tax on the property owners of MUDs 1 and 2 2) The Town shall fund all costs associated with Fire Protection Services to Eligible Persons by an annual assessment on and collection from Eligible Persons owning real property and improvements thereon located within the Town but not within MUDs 1 or 2 and levied in accordance with the Public Improvement District Act, Chapter 372 of the Texas Local Government Code, as amended; said assessment shall be adopted by Town Council thru the approval of the Annual Service and Assessment Plan for Authorized Services for the Trophy Club Public Improvement District No. 1. If the beneficial assessment determined in the SAP (Service and Assessment Plan) is an amount different from the fire tax of MUD1, the three parties agree to negotiate the reconciliation of the difference. 3) The proportionate share of costs to be paid by each Party hereto in each year of this Agreement shall be determined as follows: For each year of this Agreement, the budget for Fire Protection Services shall consist of the total of the annual budgeted costs for fire protection services as set forth in the budget adopted in accordance with Section 3.01 of this Agreement. This total shall be divided by the total of the assessed values of MUD 1, MUD 2 and the assessed values of real property and improvements thereon owned by Eligible Persons and located within the corporate boundaries of the Town but not within MUDs 1 or 2. The proportionate share of the budget attributable to each shall be the proportion which the assessed valuation of each bears to the combined assessed valuations of all three. All funds that are not expended during the course of this agreement will be applied to the next year’s budget. Conversely, shortfalls would be due by all three Entities. C. Payment: The funds so assessed and collected shall be combined and shall be disbursed for the Fire Protection of all Eligible Persons, as defined above. Payments from the Town to MUD 1 and MUD 2 for the purpose of Fire Protection Services shall be paid to the Master District due on January 31, 2009 and on January 31 for each Deleted: 0 Deleted: will be Deleted: Deleted: successive year in which this Agreement is in effect. Payments will become past due 15 business days after the established due date. IV. Consideration The parties agree that sufficient consideration for this Agreement exists and is found in the cross promises set forth above. Each party hereto paying for the performance of Fire Protection Services shall make such payments from current revenues legally available to the paying party. V. Default / Termination 5.01 In the event that any party hereto breaches any term or condition of this Agreement, this Agreement may be terminated by the aggrieved party if such default is not cured within a period of thirty (30) days after receipt of written notice of default by the party allegedly in breach of its obligations hereunder. At the option of the aggrieved party, if such default is not cured within the thirty (30) day period, this Agreement shall immediately terminate without further notice. VI. Entire Agreement This Agreement represents the entire and integrated agreement between the Town and MUDs 1 and 2 and supersedes all prior negotiations, representations and/or agreements, either written or oral. This Agreement may be amended only by written instrument signed by all three (3) parties. VII. Venue The laws of the State of Texas shall govern this Agreement and each of its terms and provisions, including but not limited to, the rights and duties of the parties hereto, and exclusive venue shall be in Denton County, Texas. VIII. Severability In the event that any portion of this Agreement shall be found to be contrary to law, it is the intent of the parties hereto that the remaining portions shall remain valid and in full force and effect to the extent possible. IX. Non-Waiver All rights, remedies and privileges permitted or available to any party under this Agreement or at law or equity shall be cumulative and not alternative, and election of any such right, remedy or privilege shall not constitute a waiver or exclusive election of rights, remedies or privileges with respect to any other permitted or available right, remedy or privilege. Additionally, one instance of forbearance by any party in the enforcement of any such right, remedy or privilege against one or more of the other parties, shall not constitute a waiver of such right, remedy or privilege by the forbearing party. X. Signature Authority The undersigned officer and/or agents of the parties hereto are the properly authorized officials and have the necessary authority to execute this Agreement on behalf of the parties hereto and each party hereby certifies to the other that any necessary resolutions extending such authority have been duly passed and are now in full force and effect. EXECUTED in triplicate originals this, the 20th day of October, 2008. TOWN OF TROPHY CLUB, TEXAS By____________________________ C. Nick Sanders, Mayor ATTEST: ______________________________ Town Secretary APPROVED AS TO FORM: ______________________________ Town Attorney Deleted: TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 By_________________________ Dean Henry, President MUD 1 ATTEST: ______________________________ Constance S White, MUD 1 Secretary APPROVED AS TO FORM: ___________________________ Robert G. West, MUD 1 Attorney TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 2 By_________________________ Jim Budarf, President MUD 2 ATTEST: ______________________________ James C. Thomas, MUD 2 Secretary APPROVED AS TO FORM: ___________________________ Pam Liston, MUD 2 Attorney ACKNOWLEDGMENTS STATE OF TEXAS § COUNTY OF DENTON § COUNTY OF TARRANT § This instrument was acknowledged before me on the ___ day of ________________, 2008 by C. Nick Sanders, Mayor, Town of Trophy Club, Texas, on behalf of such entity. ______________________________ Notary Public in and for the State of Texas STATE OF TEXAS § COUNTY OF DENTON § COUNTY OF TARRANT § This instrument was acknowledged before me on the ___ day of __________________, 2008 by Dean Henry, President of TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1, on behalf of such corporation. ________________________________ Notary Public in and for the State of Texas STATE OF TEXAS § COUNTY OF DENTON § This instrument was acknowledged before me on the ___ day of __________________, 2008 by Jim Budarf, President of TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 2, on behalf of such corporation. ________________________________ Notary Public in and for the State of Texas THE STATE OF TEXAS) COUNTY OF DENTON ) COUNTY OF TARRANT) 2008 INTERLOCAL COOPERATION AGREEMENT FOR FIRE PROTECTION SERVICES THIS INTERLOCAL COOPERATION AGREEMENT FOR FIRE PROTECTION SERVICES (hereinafter “Agreement”) is made and entered into this ____ day of _________, 2008, by and between Trophy Club Municipal Utility District No. 1, Trophy Club Municipal Utility District No. 2, both districts created pursuant to Section 59, Article XVI, Texas Constitution and the Texas Water Code, Chapter 54 (hereinafter referred to as “MUDs 1 and 2”) and the Town of Trophy Club, a Home Rule Municipality, (hereinafter referred to as “Town”). W I T N E S S E T H : WHEREAS, MUDs 1 and 2 are duly organized political subdivisions of the State of Texas engaged in the administration of fire protection and related services for the benefit of those persons residing, traveling within, or being physically located within the boundaries of MUDs 1 and 2 and further without limitation, the incorporated and unincorporated limits of the Town of Trophy Club, Texas; and WHEREAS, MUDs1 and 2 together are owners and operators of certain vehicles and/or other equipment designed to engage in fire-fighting activities and have in their employ such trained personnel whose duties are related to the provision of such services and the operation of necessary vehicles and equipment (hereinafter collectively referred to as “Fire Functions”); and WHEREAS, the provision of Fire Functions is a governmental function that serves the public health and welfare, promotes efficiency and effectiveness of local governments, and is of mutual concern to the contracting parties; and WHEREAS, MUDs 1 and 2 are authorized to perform Fire Functions pursuant to Section 49.351 of the Texas Water Code, the Town is individually authorized to perform Fire Functions pursuant to its police powers, and the parties desire to enter into this Agreement regarding the performance of Fire Functions; and WHEREAS, the Interlocal Cooperation Act, Texas Government Code, Chapter 791, et seq., as amended (the “Act”) provides authority for governmental entities of the State of Texas to enter into Interlocal agreements with each other regarding governmental functions and services as set forth in the Act; and NOW, THEREFORE, Town and MUDs 1 and 2, for and in consideration of the recitals set forth above and terms and conditions below, agree as follows: Deleted: is Deleted: a I. Incorporation / Term 1.03 Incorporation of Recitals. The foregoing recitals are agreed upon and incorporated herein as a part of this Agreement. 1.04 Term. This Agreement shall be executed by the respective authorized representatives upon approval by each of the respective governing bodies of Town and MUDs 1 and 2, and shall become effective beginning on January 1, 2009 for an initial term of one (1) year ending on January 1, 2010. Such one (1) year initial term shall renew annually for a total of ten (10) consecutive terms of one (1) year each, unless terminated by any party at least sixty (60) days prior to the end of the term. II. Definitions 2.01 As used herein, the words and phrases hereinafter set forth shall have the meanings as follows: A. “Eligible Persons” shall mean those persons owning property, residing, traveling within, or being physically located within the corporate boundaries of the Town of Trophy Club, Texas and/or MUDs 1 and 2 and shall also include those persons owning property, residing, traveling within, or being physically located within the corporate boundaries of another political subdivision of the State of Texas with whom Town and/or MUD2 and/or MUD1 have a mutual aid agreement to provide fire protection services. B. “Fire-fighting Activities”, “Fire Protection Services”, or “Fire Functions” shall mean any and all of the customary and usual activities of a fire department, including fire suppression, fire prevention, training, safety education, maintenance, communications, photography, and administration. III. Obligations and Rights of the Parties 3.01 Budget and Funding A. Budget The Director of Finance together with the Fire Chief shall prepare a budget for Fire Protection Services. It shall be the responsibility of the Fire Chief to certify that the budget so prepared meets the Fire Protection needs of the Eligible Persons and allows an appropriate level of service. The budget shall be presented to the governing board of the Master District for final approval. The Town Manager may present the fire budget to the Town Council and forward any input to the Master District for final approval. Formatted: Bullets and Numbering Formatted: Bullets and Numbering Formatted: Bullets and Numbering Deleted: Section Break (Next Page) Deleted: The budget shall be presented to the Town Council for input and consideration prior to final approval by the Master District. The approval of Master District under this section shall not be unreasonably withheld. B. Funding MUDs 1 and 2 and the Town shall share the funding of all costs associated with Fire Protection Services provided to Eligible Persons as defined herein, in accordance with the terms of this Agreement. Said funding shall be accomplished as follows: 1) MUDs 1 and 2 shall fund their share of all costs associated with Fire Protection Services provided to Eligible Persons as defined herein, in accordance with the terms of this Agreement through the assessment and collection of an annual Fire Tax on the property owners of MUDs 1 and 2 2) The Town shall fund all costs associated with Fire Protection Services to Eligible Persons by an annual assessment on and collection from Eligible Persons owning real property and improvements thereon located within the Town but not within MUDs 1 or 2 and levied in accordance with the Public Improvement District Act, Chapter 372 of the Texas Local Government Code, as amended; said assessment shall be adopted by Town Council thru the approval of the Annual Service and Assessment Plan for Authorized Services for the Trophy Club Public Improvement District No. 1. If the beneficial assessment determined in the SAP (Service and Assessment Plan) is an amount different from the fire tax of MUD1, the three parties agree to negotiate the reconciliation of the difference. 3) The proportionate share of costs to be paid by each Party hereto in each year of this Agreement shall be determined as follows: For each year of this Agreement, the budget for Fire Protection Services shall consist of the total of the annual budgeted costs for fire protection services as set forth in the budget adopted in accordance with Section 3.01 of this Agreement. This total shall be divided by the total of the assessed values of MUD 1, MUD 2 and the assessed values of real property and improvements thereon owned by Eligible Persons and located within the corporate boundaries of the Town but not within MUDs 1 or 2. The proportionate share of the budget attributable to each shall be the proportion which the assessed valuation of each bears to the combined assessed valuations of all three. 4) All funds that are not expended during the course of this agreement will be applied to the next year’s budget. Conversely, shortfalls would be due by all three Entities. 5) The Fire Department Rent Expense shall be paid to MUD 1 and MUD 2 on a 50/50 basis (per existing accounting procedures.) Formatted: Indent: Left: 54 pt Formatted: Font: Not Bold Formatted: Indent: Left: 36 pt, Hanging: 18 pt Formatted: Font color: Auto Deleted: 0 Deleted: ¶ Deleted: will be Deleted: C. Payment: The funds so assessed and collected shall be combined and shall be disbursed for the Fire Protection of all Eligible Persons, as defined above. Payments from the Town to MUD 1 and MUD 2 for the purpose of Fire Protection Services shall be paid to the Master District due on January 31, 2009 and on January 31 for each successive year in which this Agreement is in effect. Payments will become past due 15 business days after the established due date. IV. Consideration The parties agree that sufficient consideration for this Agreement exists and is found in the cross promises set forth above. Each party hereto paying for the performance of Fire Protection Services shall make such payments from current revenues legally available to the paying party. V. Default / Termination 5.01 In the event that any party hereto breaches any term or condition of this Agreement, this Agreement may be terminated by the aggrieved party if such default is not cured within a period of thirty (30) days after receipt of written notice of default by the party allegedly in breach of its obligations hereunder. At the option of the aggrieved party, if such default is not cured within the thirty (30) day period, this Agreement shall immediately terminate without further notice. VI. Entire Agreement This Agreement represents the entire and integrated agreement between the Town and MUDs 1 and 2 and supersedes all prior negotiations, representations and/or agreements, either written or oral. This Agreement may be amended only by written instrument signed by all three (3) parties. VII. Venue The laws of the State of Texas shall govern this Agreement and each of its terms and provisions, including but not limited to, the rights and duties of the parties hereto, and exclusive venue shall be in Denton County, Texas. VIII. Severability In the event that any portion of this Agreement shall be found to be contrary to law, it is the intent of the parties hereto that the remaining portions shall remain valid and in full force and effect to the extent possible. IX. Non-Waiver All rights, remedies and privileges permitted or available to any party under this Agreement or at law or equity shall be cumulative and not alternative, and election of any such right, remedy or privilege shall not constitute a waiver or exclusive election of rights, remedies or privileges with respect to any other permitted or available right, remedy or privilege. Additionally, one instance of forbearance by any party in the enforcement of any such right, remedy or privilege against one or more of the other parties, shall not constitute a waiver of such right, remedy or privilege by the forbearing party. X. Signature Authority The undersigned officer and/or agents of the parties hereto are the properly authorized officials and have the necessary authority to execute this Agreement on behalf of the parties hereto and each party hereby certifies to the other that any necessary resolutions extending such authority have been duly passed and are now in full force and effect. EXECUTED in triplicate originals this, the ________ day of ______________, 2008. TOWN OF TROPHY CLUB, TEXAS By____________________________ C. Nick Sanders, Mayor ATTEST: ______________________________ Town Secretary APPROVED AS TO FORM: ______________________________ Town Attorney Deleted: TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 By_________________________ Dean Henry, President MUD 1 ATTEST: ______________________________ Constance S White, MUD 1 Secretary APPROVED AS TO FORM: ___________________________ Robert G. West, MUD 1 Attorney TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 2 By_________________________ Jim Budarf, President MUD 2 ATTEST: ______________________________ James C. Thomas, MUD 2 Secretary APPROVED AS TO FORM: ___________________________ Pam Liston, MUD 2 Attorney ACKNOWLEDGMENTS STATE OF TEXAS § COUNTY OF DENTON § COUNTY OF TARRANT § This instrument was acknowledged before me on the ___ day of ________________, 2008 by C. Nick Sanders, Mayor, Town of Trophy Club, Texas, on behalf of such entity. ______________________________ Notary Public in and for the State of Texas STATE OF TEXAS § COUNTY OF DENTON § COUNTY OF TARRANT § This instrument was acknowledged before me on the ___ day of __________________, 2008 by Dean Henry, President of TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1, on behalf of such corporation. ________________________________ Notary Public in and for the State of Texas STATE OF TEXAS § COUNTY OF DENTON § This instrument was acknowledged before me on the ___ day of __________________, 2008 by Jim Budarf, President of TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 2, on behalf of such corporation. ________________________________ Notary Public in and for the State of Texas MUNICIPAL UTILITY DISTRICT #1 From: The Office of the Municipal Utility District#1 Date: 11-11-2008 Subject: Agenda Item No.B.3 Discussion and take appropriate action regarding establishing a Disaster Plan. EXPLANATION: Due to Hurricane Ike, several state legislators from the general Houston area and the TCEQ are considering changes that would require water and sewer providers to have disaster plans and emergency sources of reliable electrical power to keep the plants operating. There was a legislative hearing in Austin on October 8, 2008, on the failure of certain Districts to continue to operate after the hurricane, according to AWBD Advisory Member Attorney Joe B. Allen, Allen Boone Humphries Robinson, LLP, who attended the hearings. Attorney Joe B. Allen informed the AWBD Board that he had surveyed the MUD operators in the Houston area regarding the hurricane’s aftermath. The following is a summary of the information Attorney Allen collected from the Districts that responded: Water Statistics • 287 Districts operate water plants and 242 (84.32%) have electric generators. • 276 lost electrical power or 97.84%. • Of those with generators, 56 failed or 23.14%. • 86 Districts lost water pressure Sewer Statistics • 191 Districts = 2 0perate Waste Water Treatment Plants (WWTP) and 115 (60.2%) of those have generators. • 304 Districts operate lift stations (LS) and 148 (48.7%) have generators. • Of the Districts operating WWTP or LS, 300 of the 304 lost electric power. • 18 generators failed. • 46 Districts discharged raw sewage into waterways. • 67 Districts discharged raw sewage into streets. In many instances, the diesel fuel suppliers did not honor their contracts and refused to deliver fuel to the Districts. The State and local emergency responders did not have contact numbers for the Districts. A number of generators failed even after being tested a week before the hurricane arrived. The AWBD has formed a committee to prepare recommendations for District disaster plans for the TCEQ and the appropriate legislative committees. Neil Twomey has volunteered to be on the AWBD committee and will keep you informed. Additionally, Director Carr requested Staff research possibility of any available grant(s) to assist in purchase of generators in the event of a disaster. Director White suggests we work on assembling our disaster plan, where staff and directors can easily access the Plan, to include making sure the MUDs are on the “priority” list for getting fuel and electricity. RECOMMENDATION: Discussion and possible action. (nt/bw/kc/cw) Attachments: 1. None MUNICIPAL UTILITY DISTRICT #1 From: The Office of the Municipal Utility District#1 Date: 11-11-2008 Subject: Agenda Item No.B.4 Discuss and take appropriate action concerning possible amendment of the existing New Intergovernmental Contract for Employee Services. EXPLANATION: For discussion prior to Master District meeting. RECOMMENDATION: ACTION BY MUD1: (dh) Attachments: 1. Existing ILA for Employee Services (2005) NEW INTERGOVERNMENTAL CONTRACT FOR EMPLOYEE SERVICES This New Intergovernmental Contract for Employee Services (the "Contract") is between the following parties: Trophy Club Master District (the "Master District") 100 Municipal Drive Trophy Club, Texas 76262 and The Town of Trophy Club, Texas (the "Town") 100 Municipal Drive Trophy Club, Texas 76262 WHEREAS, the Master District is an administrative agency and joint operating board established by Trophy Club Municipal Utility District No. 1 ("MUD1") and Trophy Club Municipal Utility District No. 2 ("MUD2") under a written agreement entitled NEW MASTER DISTRICT CONTRACT dated and effective as of October 4, 2000, as amended. Each of MUDl and MUD2 is a Municipal Utility District created and operating under the provisions of Article XVI, Section 59, of the Texas Constitution, and the general laws of the State of Texas including, particularly, Chapter 54 and 49 of the Texas Water Code, as amended. The Master District is structured and operates as a separate entity joint venture, with MUDl and MUD2 being the equal controlling owners of the joint venture. This Contract is signed by the Master District in its capacity as the operator of common water and wastewater facilities in the Trophy Club and Solana- Westlake projects. WHEREAS, the Town is a home-rule municipal corporation duly organized and operating pursuant to the Constitution and laws of the State of Texas and its home rule charter. WHEREAS, the Master District and the Town each perform certain governmental services or functions within their respective jurisdiction. Prior to October 1, 1998, the MUD1 (in its capacity as the "Master District" at that time for itself and MUD2) and the Town each had their own employees to perform various services and functions. By a written agreement dated and effective as of October 1, 1998, entitled INTERGOVERNMENTAL CONTRACT FOR EMPLOYEE SERVICES (the "1998 CONTRACT FOR EMPLOYEE SERVICES"), MUDl (in its capacity as the "Master District" at that time for itself and MUD1) and the Town agreed that all employees of MUDl became employees of the Town subject to the personnel policies of the Town and included on the payroll of the Town so that employment salaries, benefits, and personnel policies of both MUDl and the Town could be administered more efficiently, effectively, and economically. With the execution of the 1998 CONTRACT FOR EMPLOYEE SERVICES, the Town (through its employees including those personnel who formerly were employees of MUD1) began performing services that previously had been part of MUDl's operations for the benefit of itself and MUD2. This Contract is to update, modify, and supersede the 1998 CONTRACT FOR EMPLOYEE SERVICES. WHEREAS, this Contract is executed by the Master District and the Town as an Intergovernmental or Interlocal contract under Chapter 791 (the Interlocal Cooperation Act) of the Texas Government Code and is an amendment and renewal of the 1998 CONTRACT FOR EMPLOYEE SERVICES. WHEREAS, this Contract has been authorized by the governing body of each party to this Contract. The governing body of each party to this Contract has determined that the terms and provisions of this Contract are desirable, fair, and advantageous for that party and therefore the Contract serves a valid public purpose. WHEREAS, the parties to this Contract believe that their longstanding contractual and cooperative relationship has benefited both the Town and the Master District, and their respective taxpayers and customers, because the administration of employment issues is handled in a more efficient, effective and economical manner, and governmental services which are the responsibility of each of the respective entities are performed by a single work force consisting of Town employees. Moreover, while the Master District and the Town each performs distinct governmental services or functions within their respective jurisdictions, they also have a community of interest in performing these services and functions. The Master District and the Town have determined that this community of interest is best served by continuing their cooperative and intergovernmental contractual relationship with respect to employment services. WHEREAS, the parties hereby confirm their understanding and intent that all persons who were employed by MUD1 (in its capacity as the "Master District" at that time for itself and MUD2) performing work in the operations of the Master District immediately prior to October 1, 1998, became employees of the Town as of October 1, 1998, for all purposes, with the Town responsible on and after October 1, 1998, for all salary, benefits, and other compensation of such employees and with such employees subject to the personnel policies of the Town. NOW, THEREFORE, for and in consideration of the above and foregoing premises, the benefits flowing to each of the parties hereto, and other good and valuable consideration, the Town of Trophy Club, Texas and the Trophy Club Master District do hereby contract and agree as follows: I. Term This Contract shall become effective upon approval by both of the respective governing bodies of Town and Master District and upon execution by their respective authorized representatives. The Contract shall continue in effect until October 1, 2006. Either party may terminate this Contract as provided herein. II. Scope of Employment Services Town shall provide employees to perform services for Master District in accordance with the terms of this Agreement. The parties understand and agree that on and after the effective date of this Agreement, all such employees are employees of the Town subject to the personnel policies of the Town in accordance with the terms of this Agreement. The parties hereto agree that the attached organizational chart identifies the structure of the respective operations of the parties and their relationship under this Contract. The Organizational Chart is attached hereto and incorporated herein as Exhibit A. III. Master District Management Master District retains a Master District Manager to oversee the operations of the Master District (hereinafter "District Manager"). The District Manager may be an independent contractor or an employee of the Master District but in neither case is the District Manager an employee of the Town. This Contract is not intended to make any change in any separate contract between the Master District and the District Manager ("District Manager Contract"). Whether the District Manager is an independent contractor or an employee of the Master District, the District Manager shall he compensated by the Master District and report directly to the Board of Directors of the Master District. The person designated as the District Manager for the Master District shall be supervised and directed by the Board of Directors of the Master District. IV. Compliance with Town Personnel Policies Under the terms of the District Manager Contract, where applicable, or under the terms of the employment of the District Manager, where applicable, the District Manager shall be either contractually or as a term of employment, whichever applies, required to comply with the personnel policies and procedures of the Town in fulfilling his obligations for the management and oversight of Master District operations. The parties hereto understand and agree that the Town employees shall be subject to the personnel policies and procedures adopted by the Town. V. Master District Standard Operating Procedures The Master District retains the authority to adopt standard operating procedures ("SOPs") regulating and governing the operational control of Master District assets and facilities; however, the scope of such standard operating procedures shall relate only to technical matters governing Master District operations and shall not conflict with the Town personnel policies and procedures. Prior to the issuance of any standard operating procedures, such SOPs shall be submitted to the Human Resources Manager or equivalent position for review and to allow such person to identify any inconsistencies or conflict between the proposed SOPs and the Town personnel policies. The Town shall provide written notice to the District Manager of any such conflict between the SOPs and the Town policies and of any matters that the Town determines to regulate matters other than those operational matters for which SOPs are allowed under this Contract. In the event of a conflict, the parties agree to meet and discuss the identified conflict and to use reasonable efforts to resolve the conflict in order to meet the needs of both the Master District and the Town. As used in this Contract the terms "operation(s)," "operational," "operational functions," or "operational standards" shall mean those technical functions performed by Town employees for the Master District which are governed or regulated by a state or federal regulatory agency, regulatory standards or permit standards, or other applicable local, state, or federal law or which are regulated by an SOP of the Master District pursuant to this Contract. VI. Compliance wit11 Standard Operating Procedures of the Master District Subject to the requirements set forth in Paragraph V above, while this Contract is in effect, the Town agrees that all employees providing services to the Master District shall follow the Master District's SOPs governing the operational aspects of Master District assets and facilities. VII. Approved Positions and Funding Each year, as part of the approval of the respective budgets of tile parties, the governing body for each of the parties approves a listing of funded positions or an organizational chart showing all funded employee positions. The approved budgets contain detailed information regarding the amount of money that each of the parties hereto contributes toward the expenses of funding employee positions. The Town and the Master District agree hereunder that the positions and payment approved in their respective budgetary processes shall comply with the terms of this Contract and shall serve as partial consideration for the services provided under this Contract. VIII. Compensation As compensation for the services provided or to be provided to the Master District by the Town under this Contract, upon the Town presenting a detailed listing of all incurred expenses the Master District agrees to pay to the Town at least monthly an amount equal to the actual costs incurred by the Town for salary, benefits, and other compensation of the Town employees providing services to the Master District, subject to Paragraph VII of this Contract. The term "actual costs" as used in this Contract means those costs that the Town incurs over and above the cost that the Town would incur if it were not providing personnel to perform services for the Master District operations. Whenever practical to do so, the Town shall have costs (other than employee costs) associated with Master District functions charged directly to the Master District, including but not limited to training expenses, travel, supplies, administrative and other miscellaneous costs not directly attributable to salary benefits and other compensation. As further consideration for the services of Town employees, Master District agrees that the use of all equipment owned by or leased to Master District may be used by licensed and/or qualified Town employees in the performance of services for Master District pursuant to this Agreement. IX. Policies and Decisions This Contract is intended to provide for the furnishing of employment services by the Town to the Master District in the Town's capacity as an independent contractor. The Master District retains all right, power, and control that it has by law and by the New Master District Contract to set policies and to make decisions regarding the services provided by Town employees in the performance of operational functions for the Master District and the operation of Master District assets and facilities. Master District shall have the right, for good cause upon the violation of operational standards, or for violations of SOPS, as allowed by the Town's personnel policies, to require that a particular Town employee be removed from performing services in the operations of the Master District, provided however, that the removal of an employee shall not be required until such employee has been disciplined in accordance with Town policies and had an opportunity to avail himself of any and all appeals allowed under the Town's personnel policies and procedures. As new or additional employees are needed to perform services for the Master District, the Town shall follow Town personnel policies and procedures in the selection of those employees. Prior to the hiring of any employee to perform services for the Master District, the Town shall request from the Master District, or its designee, the approval of the selection, compensation, benefits, and job description of each such employee. The Town agrees to follow the Master District's recommendations for selection, compensation, benefits, and job description of each employee performing services for the Master District. In the event of a conflict under this paragraph, the parties agree to meet and discuss the identified conflict and to use reasonable efforts to resolve the conflict in order to meet the needs of both the Master District and the Town. The Master District shall not be required to fund any decision that it has not approved regarding an employee performing services for the Master District. Decisions by the Master District under this Contract shall be made by the Board of Directors of the Master District or by its designated officer(s) or agents. All Town employees performing services in the operations of the Master District shall be supervised and directed by persons approved by the District Manager. Nothing in this Contract shall be interpreted as an abdication by the Master District or MUD1 and MUD2 as the joint venture partners in the Master District of their governmental rights, powers, and duties with regard to services provided by the Master District. X. Discipline The parties agree that the Town's standard personnel policies and disciplinary procedures shall apply to all Town employees performing services in the operations of the Master District. Employees are divided by reason of their duties into two groups: Those whose services are shared by the Town and the Master District, and those whose services are employed one-hundred percent (100%) by the Master District. As to the employees in the latter group, the following provision(s) shall apply: In all cases in which the established facts show a clear violation of the Personnel Manual, its provisions shall apply to the latter group and shall be administered by the Town Manager alone as provided in said Manual. In cases where the alleged violation of the Personnel Manual is not clearly defined by the facts and in all cases involving an alleged violation of the SOPs of the Master District, the input of the District Manager shall be a prerequisite to the disciplinary measure to be taken for said violation. Should the input of the District Manager result in a conflict with the measure proposed by the Town Manager, then the conflict shall be resolved by referral of the matter to the Human Resources Manager or Master District Chairman jointly for final disposition. XI. Liability; Insurance: Indemnification The Town shall be responsible for the acts, negligence, and omissions of its employees performing services in the operations of the Master District, unless the acts or omissions were pursuant to operational standards or SOPs of the Master District or District Manager or actions or omissions performed pursuant to or under the direction, supervision, or instruction of the Master District or the District Manager. If the acts or omissions were pursuant to operational standards or SOPs of the Master District or District Manager, or the acts or omissions were performed pursuant to or under the direction, supervision, or instruction of the Master District or the District Manager, the Master District shall assume liability for the acts, negligence or omissions of Town employees. The parties to this Contract shall each individually obtain insurance, with coverages as mutually agreed upon, that the parties determine will insure themselves individually and collectively from liabilities related to and arising out or this Contract and fulfill the indemnity obligations of each party, to the extent allowed by law, under this Contract. Such insurance shall insure against liability arising out of or related to the work performed by Town employees under this Contract, with both parties named as additional insured under such insurance policies. To the extent allowed by law, both Town and Master District agree to defend, indemnify and hold each other harmless from their respective negligence or intentional conduct arising out of or related to this Contract and resulting in harm to them individually or to a third party, including without limitation property damage to the parties hereto or to a third party. The indemnity extends to all costs and expenses incurred, including reasonable attorney's fees, to defend against, settle or pay the claim asserted by another. In the event a claim is made by another against either the Town or the Master District, written notice of the claim shall immediately be given to the other party, in order that the other party may determine whether its indemnity duty must be performed and in order to allow the indemnitor to perform indemnity. If any part of the foregoing indemnity shall be deemed or determined unenforceable or contrary to public policy by a court of competent jurisdiction, then each party shall contribute to any judgment according to its percentage of fault. Neither Town nor Master District waive any immunity or defense that would otherwise be available to it against claims arising from the exercise of governmental powers and functions and nothing in this Agreement shall be deemed a waiver of the governmental, sovereign, or official immunity afforded by law to either Town or Master District. XII. Further Cooperation The parties to this Contract agree to cooperate to sign and deliver any other documents that may be necessary or appropriate to implement the provisions of this Contract. In the event of a conflict under this Contract, the parties agree to meet and discuss the identified conflict and to use reasonable efforts to resolve the conflict in order to meet the needs of both the Master District and the Town. XIII. Termination This Contract may be terminated by either party at any time upon thirty (30) days written notice to the other party. XIV. Execution and Date This Contract is signed by the parties in multiple counterparts. This Contract is dated and shall be effective for all purposes as of October 1, 2005. TROPHY CLUB MASTER DISTRICT TOWN OF TROPHY CLUB, TEXAS By: ___________________ By: ___________________________ Kevin Carr, Chair C. Nick Sanders, Mayor Attest: Attest: By: _______________________ By: ___________________________ Secretary, Board of Directors Town Secretary Approved as to form: Approved as to form: ______________________________ _______________________________ Robert G. West, Attorney Patricia A. Adams, Town Attorney Trophy Club Master District Town of Trophy Club, Texas ______________________________ Pamela Liston, Attorney Trophy Club Master District MUNICIPAL UTILITY DISTRICT #1 From: The Office of the Municipal Utility District#1 Date: 11-11-2008 Subject: Agenda Item No.B.5 Discuss and take appropriate action concerning the new Fire Station. EXPLANATION: RECOMMENDATION: ACTION BY MUD1: Attachments: 1. None MUNICIPAL UTILITY DISTRICT #1 From: The Office of the Municipal Utility District#1 Date: 11-11-2008 Subject: Agenda Item No.B.6 Discuss and take appropriate action regarding recent update by Lewis McLain of CityBase.Net regarding Town-MUD Study. EXPLANATION: For discussion only prior to Master District meeting. (dh) Attachments: 1. None MUNICIPAL UTILITY DISTRICT #1 From: The Office of the Municipal Utility District#1 Date: 11-11-2008 Subject: Agenda Item No.B.7 Discuss and take appropriate action regarding email by Town Manager Emmons dated November 4, 2008 following meeting with Mr. Lewis McLain of CityBase.Net regarding Town-MUD Study. EXPLANATION: Council and Directors: On November 4, 2008, Lewis McLain met with representatives from MUD 1, MUD 2, Town Council, and several key staff members. He reported his findings and conclusions to date. Mr. McLain will make a formal presentation to the respective boards at one joint workshop, preferably on November 17 prior to the Town Council meeting. The representatives agreed to not discuss today’s meeting until the joint meeting is held. This will allow Mr. McLain the ability to effectively and accurately present his conclusions and comments to everyone without the chance of miscommunication or misrepresentation. Thank you for your cooperation in this matter and your service to our community. If you have any questions, please feel free to contact me. Brandon S. Emmons Town Manager Town of Trophy Club 100 Municipal Drive Trophy Club, TX 76262 (682)831-4607 RECOMMENDATION: ACTION BY MUD1: (dh/nt) Attachments: 1. None INFORMATION MEMORANDUM To: From: Date: Subject: MUNICIPAL UTILITY DISTRICT #1 From: The Office of the Municipal Utility District#1 Date: 11-11-2008 Subject: Agenda Item No.C.1 Receive District Manager's Report a. Item(s) for Future Agenda (mm) MUNICIPAL UTILITY DISTRICT #1 From: The Office of the Municipal Utility District#1 Date: 11-11-2008 Subject: Agenda Item No.D.1 Review and Approve Minutes a. October 7, 2008 - Regular Session minutes EXPLANATION: (mm) Attachments: 1. October 7, 2008 Minutes MINUTES OF REGULAR SESSION TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 October 7, 2008 The Board of Directors of the Trophy Club Municipal Utility District No. 1 of Denton and Tarrant Counties met in Regular Session on Tuesday, October 7, 2008, at 6:00 p.m., in the Boardroom of the Administration Building, 100 Municipal Drive, Trophy Club, Texas 76262. DIRECTORS PRESENT: Dean Henry President Connie White Secretary/Treasurer Arrived at 6:05 p.m. Jim Hase Asst. Secretary/Treasurer Neil Twomey Director DIRECTORS ABSENT: Gary Cantrell Vice President STAFF AND GUESTS PRESENT: Walter Fitzpatrick District Manager Danny Thomas Fire Chief Sakura Dedrick Finance Director Mary Moore Recording Secretary Bob West Attorney Brandon Emmons Town Manager Jim Moss Councilmember REGULAR SESSION A.1 Call to Order and Announce a Quorum. President Henry announced a quorum and called the meeting to order at 6:00 p.m. A.2 Public Comments or Presentations. No public comments. B.1 Discuss and take appropriate action concerning a Resolution authorizing application to the Texas Commission on Environmental Quality for approval of project and bonds. Fire Chief Thomas updated the Board regarding the status of the paperwork to TCEQ for approval of the project and bonds. District Manager Fitzpatrick advised that TCEQ requires adoption of this resolution authorizing submission of the application for the Project and Bonds. Director Twomey requested the Board see the final application prior to submission to TCEQ and Staff agreed. Director Henry moved to approve Resolution 2008-1007, authorizing application to TCEQ for approval of Fire Department Project and Bonds. Director Twomey seconded the motion. Floor opened for discussion. Motion passed unanimously. Director White arrived at 6:05 p.m. B.2 Discuss and take appropriate action concerning Order 2008-1007, the 2008- 09 Rate Order. Finance Director Dedrick distributed a scenario to the Board of the current waters rates as well as the rates with 2.7% increase in water and wastewater amounts for residential and commercial accounts, as requested by Director Hase at the September Master District meeting. Director Twomey moved to approve Order 2008-1007, adopting the 2008-09 Rate Order for MUD 1. Director Hase seconded the motion. Motion passed unanimously. B.3 Discuss and take appropriate action concerning Succession Committee report. (Fitzpatrick) District Manager Fitzpatrick clarified as to what was to transpire at the Master District meeting with regard to the Succession Committee findings. Discussion only; no action taken. B.4 Discuss and take appropriate action concerning amendments to the Interlocal Agreement with Town of Trophy Club for Fire Protection Services. Director Hase distributed suggestions to the Board regarding Town’s modified version of this ILA and discussed same. President Henry suggested that District Manager Fitzpatrick, Director Hase and Town Manager Emmons work together to reach an agreement. Director Hase stated he is reluctant to take any action until MUD 2 has had an opportunity to review the Town-amended ILA. District Manager Fitzpatrick agreed with Director Hase. Town Manager Emmons advised that Council has directed him to have this ILA reflect that any surplus funds at the end of the year should be distributed proportionately between each entity. Director Hase advised that MUDs 1 and 2 will roll their surplus into the debt. Director Twomey asked why the change in terms of fiscal year to calendar year. Town Manager Emmons felt it was more appropriate to pay a lump sum payment when payment is due, which is the end of January. Town Manager Emmons advised that Council wants to be part of the Fire Department budget due to the increase in the MUD 1 fire tax rate. As buildout is completed in the PID, the PID will be contributing up to one-third of the payment/service of the Fire Department. Director White advised that the reason the fire tax rate increased was due to the agreement from meetings and previous conversations where the methodology came up to discuss how to deal with paying back the fire station, working up alternatives, and the alternative of “rent” was what we came up with that “everyone” agreed with, and by doing this, it increased the MUD 1 fire tax rate. Discussion held with no action taken. B.5 Discuss and take appropriate action regarding a Resolution to amend the Trophy Club Municipal Utility District No. 1 budget for fiscal year October 1, 2007 through September 30, 2008. Finance Director Dedrick advised that by amending the budget we will be more inline where we believe we will end up at the end of the year. Finance Director Dedrick advised it is best not to go over expenses and asked for the Board’s approval of this resolution. President Henry moved to approve Resolution 2008-1007-A, amending the MUD 1 budget for fiscal year 2007-08. Director Twomey seconded the motion. Motion passed unanimously. C.1 Receive District Manager's Report a. Item(s) for future agenda District Manager Fitzpatrick had nothing to report. C.2 Receive Finance Director's Report a. Audit Finance Director Dedrick updated the Board regarding the Audit. There is a pre-audit meeting with Directors Twomey, Hase, Kohs, and Borges scheduled for October 15 for a brief overview of the audit schedule. She advised she will send out email updates every two weeks. D.1 Review and Approve Minutes a. September 9, 2008 – Regular Session Director Henry moved to approve the minutes for September 9, 2008. Director White seconded the motion. Motion carried unanimously. D.2 Review and Approve Disbursements and Variance Report a. August 2008 Director White moved to approve the Disbursements and Variance Report for August 2008, as presented. Director Twomey seconded the motion. Motion carried unanimously. D.3 Review Monthly Tax Collection Report a. August 2008 Board reviewed the August Tax Collection Report with no action taken. D.4 Set Next Meeting Date Next regularly scheduled meeting date: Tuesday, November 11, 2008, 6:00 p.m. The Board agreed to meet on Tuesday, November 11, 2008, 6:00 p.m. D.5 Items for Future Agenda 1. Request future review of the remaining MUD 1 organizational costs after receipt of the 2008 Audit Report. (Director Twomey) 2. 2008 Certified Appraisal Analysis (Finance) Discussed with no action to be taken. F.1 Adjourn. Meeting adjourned at 6:57 p.m. _________________________________ Dean Henry, President (SEAL) ____________________________________ Constance S. White, Secretary/Treasurer ______________________________________ Mary Moore, Recording Secretary MUNICIPAL UTILITY DISTRICT #1 From: The Office of the Municipal Utility District#1 Date: 11-11-2008 Subject: Agenda Item No.D.2 Review Monthly Tax Collection Report a. September 2008 EXPLANATION: (mm) Attachments: 1. September 08 Tax Collection Report MUNICIPAL UTILITY DISTRICT #1 From: The Office of the Municipal Utility District#1 Date: 11-11-2008 Subject: Agenda Item No.D.3 Set Next Meeting Date Next regularly scheduled meeting date: Tuesday, December 9, 2008, 6:00 p.m. EXPLANATION: (mm) Attachments: 1. Calendar MUNICIPAL UTILITY DISTRICT #1 From: The Office of the Municipal Utility District#1 Date: 11-11-2008 Subject: Agenda Item No.D.4 Items for Future Agendas EXPLANATION: 1. Request further review of McLain's study relating to organizational costs for MUD 1. (Director Twomey) 2. 2008 Certified Appraisal Analysis (Finance) RECOMMENDATION: ACTION BY MUD1: (mm) MUNICIPAL UTILITY DISTRICT #1 From: The Office of the Municipal Utility District#1 Date: 11-11-2008 Subject: Agenda Item No.F.1 Adjourn. (mm)