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HomeMy WebLinkAboutMay 12,2009 Regular Session PacketTrophy Club Municipal Utility District No. 1 Trophy Club Entities Meeting Agenda 100 Municipal Drive Trophy Club, TX 76262 Svore Municipal Building Boardroom6:00 PMTuesday, May 12, 2009 REGULAR JOINT MEETING TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 to meet in Joint Session with TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 2. Call to order and announce a quorum. Public Comments or Presentations Citizens are allowed three (3) minutes to address the Board regarding an item over which the Board has policy or oversight authority as provided by Texas law, the ethics order, or other policy order. REGULAR SESSION (JOINT) 1. 09-75-M1 Discuss and take appropriate action regarding a Resolution to amend the fiscal year October 1, 2008 through September 30, 2009 budget for Trophy Club Municipal Utility District No. 1. M1-R-2009-0512-BudgetAmndmnt.pdf M1-2009-0512-Budget Amndmnt No 1 EXHIBIT A.pdf Attachments: 2. 09-68-M1 Review and Approve Disbursements & Variance Report a. March 2009 M1 March09 Financials Variance Report.pdf M1Explanation of Variances-March09 .pdf Attachments: 3. 09-65-M1 See Supplemental Agenda to canvass election returns. 4. 09-77-M1 Discuss and take appropriate action regarding the passage, adoption, entering, approval, and recording of an order, resolution, or other document as may be necessary to evidence the consolidation of Trophy Club Municipal Utility District No. 1 and Trophy Club Municipal Utility District No. 2 into one Municipal Utility District to be known as Trophy Club Municipal Utility District No. 1. 5. 09-76-M1 Discuss and take appropriate action concerning the Town’s Plan to Abolish and Absorb MUD2. TCMUD 1 Page 1 of 145 Meeting Date: May 12, 2009 May 12, 2009Trophy Club Municipal Utility District No. 1 Meeting Agenda 6. 09-73-M1 Discuss and take appropriate action concerning shared employees. 7. 09-63-M1 Discuss and take appropriate action regarding Order 2009-0512-A, establishing Mary Moore as Records Management Officer for MUD 1. M1-Order-2009-0512-A-RMO.pdfAttachments: 8. 09-64-M1 Discuss and take appropriate action regarding acceptance of the revised MUD Records Retention Schedule and a revised MUD Records Management Plan. 2009 RECORDS RETENTION SCHEDULE.pdfAttachments: 9. 09-66-M1 Discuss and take appropriate action regarding Order 2009-0512-B, adopting a revised Drought Contingency Plan. M1-Order-2009-0512-B-RvsdDroughtContingencyPlan.pdf 2009 Revised Drought Contingency Plan.pdf Attachments: 10. 09-67-M1 Review and Approve Minutes: a. April 14, 2009 - Regular Session b. April 14, 2009 - Joint Session M1 Minutes 041409.pdf M1-M2Joint Minutes 041409.pdf Attachments: 11. 09-69-M1 Review Monthly Tax Collection Report a. March 2009 M1 Tax Report March 09.pdfAttachments: 12. 09-70-M1 Next Meeting Date a. Tuesday, June 9, 2009 at 6:00 p.m. b. Possible special meeting before end of May JuneCalendar.pdfAttachments: 13. 09-71-M1 Items for Future Agendas CONVENE INTO CLOSED SESSION *CLOSED SESSION Pursuant to Section 551.071 (a) & (b) of the Texas Government Code regarding consultations with attorney, to conduct a private consultation with the district's attorney on a matter in which the duty of the attorney to the governmental body under the Texas disciplinary rules of professional conduct of the State Bar of Texas clearly conflicts with the Open Meetings Act regarding the following: TCMUD 1 Page 2 of 145 Meeting Date: May 12, 2009 May 12, 2009Trophy Club Municipal Utility District No. 1 Meeting Agenda A. Receive legal advice regarding Consolidation of MUDs 1 and 2. B. Receive legal advice regarding the Town Plan to Abolish and Absorb MUD2. C. Receive legal advice regarding status of the pending litigation with the Town. RECONVENE INTO REGULAR SESSION 14. 09-43-M1 Discuss and take appropriate action relative to discussions held in Closed Session. Adjourn Notice is hereby given that a quorum of the Town Council may be in attendance at this meeting. * THE BOARD RESERVES THE RIGHT TO ADJOURN INTO A CLOSED SESSION AT ANY TIME DURING THE MEETING FOR THE PURPOSE OF SEEKING THE ADVICE OF ITS ATTORNEY ABOUT ANY ITEM ON THE AGENDA OR THAT ARISES AT THE MEETING, PURSUANT TO SECTION 551.071 OF THE TEXAS GOVERNMENT CODE. TCMUD 1 Page 3 of 145 Meeting Date: May 12, 2009 May 12, 2009Trophy Club Municipal Utility District No. 1 Meeting Agenda CERTIFICATION) THE STATE OF TEXAS) COUNTY OF DENTON) COUNTY OF TARRANT) THIS CERTIFIES THAT ON FRIDAY, MAY 8TH, 2009 AT OR BEFORE 5:00 P.M., A COPY OF THE ABOVE NOTICE OF A MEETING OF THE TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1,TO BE HELD ON TUESDAY, MAY 12TH, 2009, WAS POSTED ON THE FRONT WINDOW OF THE TROPHY CLUB M.U.D. ADMINISTRATION BUILDING, 100 MUNICIPAL DRIVE, TROPHY CLUB, TEXAS, WHICH IS A PLACE CONVENIENT TO THE PUBLIC WITHIN THE BOUNDARIES OF THE DISTRICT, AND A COPY WAS ALSO PROVIDED TO THE COUNTY CLERKS OF DENTON AND TARRANT COUNTIES, TO BE POSTED ON A BULLETIN BOARD AT A PLACE CONVENIENT TO THE PUBLIC IN SUCH COUNTY COURT HOUSES, PURSUANT TO SECTION 49.063 OF THE WATER CODE AND SECTION 551.054 OF THE OPEN MEETINGS ACT, CHAPTER 551 TEXAS GOVERNMENT CODE. _____________________ Mary Moore MUD Secretary THIS FACILITY IS WHEELCHAIR ACCESSIBLE AND ACCESSIBLE PARKING SPACES ARE AVAILABLE. REQUESTS FOR ACCOMMODATIONS OR INTERPRETATIVE SERVICES MUST BE MADE 48 HOURS PRIOR TO THIS MEETING. PLEASE CONTACT MARY MOORE AT (682) 831-4685 OR FAX YOUR REQUEST TO (817) 490-0705. I certify that the attached notice and agenda of items to be considered by this Board was removed by me from the front window of the Svore Municipal Building, 100 Municipal Drive, Trophy Club, Texas, on the __________ day of ______________________, 2009 ________________________________, Title: ___________________________ TCMUD 1 Page 4 of 145 Meeting Date: May 12, 2009 Trophy Club Entities 100 Municipal Drive Trophy Club, TX 76262 File Number: 09-75-M1 File ID: Type: Status: 09-75-M1 M1 Resolution Regular Session 1Version: Reference: In Control: Trophy Club Municipal Utility District No. 1 05/05/2009File Created: Final Action: *File Name: Title: Discuss and take appropriate action regarding a Resolution to amend the fiscal year October 1, 2008 through September 30, 2009 budget for Trophy Club Municipal Utility District No. 1. Notes: Agenda Date: 05/12/2009 Sponsors: Enactment Date: M1-R-2009-0512-BudgetAmndmnt.pdf ,M1-2009-0512-Budget Amndmnt No 1 EXHIBIT A.pdf Attachments: Enactment Number: Hearing Date: Contact: Effective Date: *Entered by: mmoore@trophyclub.org History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 05/12/2009Trophy Club Municipal Utility District No. 1 Text of Legislative File 09-75-M1 Discuss and take appropriate action regarding a Resolution to amend the fiscal year October 1, 2008 through September 30, 2009 budget for Trophy Club Municipal Utility District No. 1. As discussed at the April 2009 meeting, Finance Director DuBose is bringing forth budget amendments for the MUD 1 Budget. TCMUD 1 Page 5 of 145 Meeting Date: May 12, 2009 TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 RESOLUTION NO. 2009-0512 A RESOLUTION TO APPROVE FY2008-2009 BUDGET AMENDMENT FOR TROPHY CLUB MUD NO. 1 A RESOLUTION OF TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 (TCMUD No. 1), OF DENTON AND TARRANT COUNTIES, TEXAS; AMENDING THE FISCAL YEAR OCTOBER 1, 2008 THROUGH SEPTEMBER 30, 2009 BUDGET; PROVIDING FOR AN AMENDMENT; PROVIDING A SEVERABILITY CLAUSE, AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the TCMUD No. 1 annual budget for the fiscal year beginning October 1, 2008 and ending September 30, 2009, was approved and adopted within the time and in accordance with Section 49.057(b) of the Texas Water Code; and WHEREAS, TCMUD No. 1 hereby finds and determines that it is prudent to amend the line items due to unforeseen situations that have occurred in the District; and WHEREAS, TCMUD No. 1 further finds that these amendments will serve in the public interest and are necessary to support District operations; and WHEREAS, TCMUD No. 1 finds and determines that the change in the Budget for the stated district purpose serves the best interests of the taxpayers, is necessary and warrants action at this time; NOW THEREFORE BE IT RESOLVED BY THE BOARD OF DIRECTORS OF TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1: Section 1. That the Fiscal Year 2008-2009 Budget is hereby amended to fund the line items as stated in Exhibit “A.” This Amendment No. 1 to the Original Budget of the Trophy Club Municipal Utility District No. 1, for the Fiscal Year 2008-2009, shall be attached to and made part of the Original Budget and said budget amendment shall be on file for public inspection in the office of the District. Furthermore, this Amendment No. 1 (Exhibit “A”) is attached, incorporated into and made a permanent portion of this Resolution. This Resolution is hereby approved and shall constitute the first budget amendment that has occurred since the October 1, 2008 effective date of the Trophy Club Municipal Utility District No.1 Budget. TCMUD 1 Page 6 of 145 Meeting Date: May 12, 2009 Section 2. That if any word, sentence, section, subsection, subdivision, paragraph, clause, phrase or provision of this Resolution shall be adjudged invalid or held unconstitutional, the same shall not affect the validity of this resolution as a whole or any part of the provision hereof other than the part so decided to be invalid or unconstitutional. Section 3. That all provisions of the resolutions of the District’s Board of Directors in conflict with the provisions of this resolution shall be and the same are hereby repealed and all other provisions of the resolutions of the TCMUD No. 1 Board not in conflict with the provisions of this resolution shall remain in full force and effect. Section 4. That this resolution shall become effective immediately upon its passage. PASSED AND APPROVED by the Board of Directors of Trophy Club Municipal Utility District No. 1, this the 12th day of May, 2009. ___________________________ Dean Henry, President Trophy Club MUD No. 1 (SEAL) ATTEST: _____________________________ Constance S. White, Secretary Trophy Club MUD No. 1 TCMUD 1 Page 7 of 145 Meeting Date: May 12, 2009 CERTIFICATE OF RESOLUTION (2009-0512) THE STATE OF TEXAS } COUNTY OF DENTON } COUNTY OF TARRANT} I, the undersigned member of the Board of Directors of the Trophy Club Municipal Utility District No. 1 of Denton and Tarrant Counties, Texas (the "District"), hereby certify as follows: 1. That I am the duly qualified and acting Secretary of the Board of Directors of the District, and that, as such, I have custody of the minutes and records of the District. 2. That the Board of Directors of the District convened in Open Session at a Regular Meeting on May 12, 2009, at the regular meeting place thereof, and the roll was called of the duly constituted officers and members of the Board of Directors, to wit: Dean Henry President Gary Cantrell Vice President Connie White Secretary-Treasurer Jim Hase Asst. Secretary Neil Twomey Director and Directors Henry, Cantrell, White, Hase and Twomey were present, thus constituting a quorum, whereupon, among other business, the following was transacted at such meeting: a written RESOLUTION (2009-0512) APPROVING BUDGET AMENDMENT FOR FY2007-2008 FOR TROPHY CLUB MUD NO. 1 was duly introduced for the consideration of the Board of Directors of the District. It was then duly moved and seconded that such Resolution be adopted and, after due discussion, such motion, carrying with it the adoption of such Resolution, prevailed and carried by the following vote: AYES: NOES: TCMUD 1 Page 8 of 145 Meeting Date: May 12, 2009 3. That a true, full and correct copy of such Resolution adopted at such meeting is attached to and follows this certificate; that such resolution has been duly recorded in the minutes of the Board of Directors for such meeting; that the persons named in the above and foregoing Paragraph 2 were the duly chosen, qualified and acting officers and members of the Board of Directors as indicated therein, that each was duly and sufficiently notified officially and personally, in advance, of the time, place and purpose of such meeting, and that such Resolution would be introduced and considered for adoption at such meeting, and that each consented, in advance, to the holding of such meeting for such purpose; that the canvassing of the officers and members of the Board of Directors present at and absent from such meeting and of the votes of each on such motion, as set forth in the above and foregoing Paragraph 2, is true and correct; and that sufficient and timely notice of the hour, date, place and subject of such meeting was given and posted as required by Chapter 551, Texas Government Code, as amended. SIGNED AND SEALED the 12th day of May 2009. _________________________________ Constance S. White Secretary, Board of Directors (SEAL) TCMUD 1 Page 9 of 145 Meeting Date: May 12, 2009 TCMUD No. 1   Resolution 2009‐0512  EXHIBIT A      Trophy Club Municipal Utility District No.1   Budget Amendment No. 1      Fiscal Year 2008‐2009 Expenditure Increase Budget Amendment of $ 240,250  for loan to Municipal Utility District (MUD) 2    Fiscal Year 2008‐2009 Expenditure Increase Budget Amendment of $ 85,000  for legal services    Fiscal Year 2008‐2009 Expenditure Increase Budget Amendment of $ 2,805  for election expenses                                                       Original Budget    Amendment     Amended Budget     Loan to MUD No. 2              $         ‐0‐                    $    240,250                 $     240,250  Legal Services                              10,800                        85,000                          95,800  Election Expense                             ‐0‐                              2,805                             2,805      Total MUD No.1                   $    785,244                $    328,055                 $   1,113,299    TCMUD 1 Page 10 of 145 Meeting Date: May 12, 2009 Trophy Club Entities 100 Municipal Drive Trophy Club, TX 76262 File Number: 09-68-M1 File ID: Type: Status: 09-68-M1 M1 Agenda Item Regular Session 1Version: Reference: In Control: Trophy Club Municipal Utility District No. 1 04/29/2009File Created: Final Action: *File Name: Title: Review and Approve Disbursements & Variance Report a. March 2009 Notes: Agenda Date: 05/12/2009 Sponsors: Enactment Date: M1 March09 Financials Variance Report.pdf ,M1Explanation of Variances-March09 .pdf Attachments: Enactment Number: Hearing Date: Contact: Effective Date: *Entered by: mmoore@trophyclub.org History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 05/12/2009Trophy Club Municipal Utility District No. 1 Text of Legislative File 09-68-M1 Review and Approve Disbursements & Variance Report a. March 2009 [Enter body here.] TCMUD 1 Page 11 of 145 Meeting Date: May 12, 2009 Municipal Utility District 1 - O&M March 2009 6/12 Months (50% of Fiscal Year) CURRENT FISCAL YEAR, 2008-09 March Year-to- *Budget 2009 Date Y-T-D Y-T-D FY 2008-09 Actual Actual Variance % of Budget REVENUES PROPERTY TAXES - MUD 1 77,927$ 2,545$ 79,009$ 1,082$ 101.4% PROPERTY TAXES - MUD FIRE 607,148 19,762 616,778 9,630 101.6% UTILITY FEES 86,250 9,775 34,500 (51,750) 40.0% INTEREST INCOME 10,000 199 2,667 (7,333) 26.7% RENT INCOME FROM MUD FIRE 154,000 - 154,000 - 100.0% TOTAL REVENUES 935,325 32,281 886,953 (48,372) 94.8% EXPENSES SALARIES & BENEFITS 10,084 1,606 7,831 (2,253) 77.7% LEGAL SERVICES 10,800 - 32,257 21,457 298.7% PROFESSIONAL FEES 27,001 1,220 23,981 (3,020) 88.8% OPERATIONS & MAINTENANCE 10,663 23 5,732 (4,931) 53.8% ELECTION EXPENSE - - 2,803 2,803 - TRANSFER TO MUD 1 ITEREST &SINKING FUND 90,169 90,169 90,169 - 100.0% TRANSFER TO FIRE DEPARTMENT 607,148 (140,057) 430,970 (176,178) 71.0% LOAN TO MUD 2 - 240,250 240,250 240,250 - MUD 2 WATER PLANT RENOVATION 29,379 29,379 29,379 -100.0% TOTAL EXPENDITURES 785,244 222,589 863,371 78,127 109.9% EXCESS/(DEFICIT)150,081$ (190,309)$ 23,582$ *Budget ammendments on May 12, 2009 agenda. TCMUD 1 Page 12 of 145 Meeting Date: May 12, 2009 Municipal Utility District 1 - O&M March 2009 6/12 Months (50% of Fiscal Year) R EVENUES Property Taxes – Property taxes are billed and due in October. Most payments are received in December and January before they become delinquent on February 1st. During the fiscal year, supplemental assessments are billed and paid allowing collections to exceed budget which was based on the July, 2008 certified appraisal roll. Utility Fees – PID Utility fees of $2,300 per lot are assessed and paid as lots are sold. These fees are allocated 25% to MUD 1 and 75% to MUD 2, or $575 and $1,725 respectively. The 2008-2009 fiscal year revenue through March, 2009 reflects 60 lots. Interest Income – The estimated balance available for investment did not reflect the unbudgeted additional transfer to the Fire Department or the $240,250 loan to MUD 2. Rent Income from MUD Fire – The MUD Fire Department pays $308,000 for annual rent. Fifty percent on the payment of the payment is made to MUD 1 and fifty percent to MUD 2, or $154,000 each. The annual payment for 2008-2009 was made in January, 2009. EXPENSES Salaries and Benefits – The budget includes a base allocation of $100 per meeting for each MUD 1 director, and was estimated based on a normal annual meeting schedule. For the 2008-2009 fiscal year, the directors have met more than anticipated during the budget process. Legal Services – Fiscal year to date expenditures include the cost of outside legal services associated with the May consolidation election. Professional fees – Professional fees include the cost of the annual audit which is paid in the first six months of the fiscal year. Election Expense – The costs of the May, 2009 election were not anticipated nor budgeted. Transfer to MUD 1 Interest & Sinking Fund – The budgeted transfer to the Interest and Sinking Fund was made in March, 2009. Transfer to MUD Fire Department – The budget includes the transfer to the Fire Department of property taxes received, as necessary, to cover departmental operation and maintenance expenses. Loan to MUD 2 – The loan to MUD 2 of $240,250 was not budgeted. MUD 2 Water Plant Renovation – The budget reflects the transfer to the MUD 2 Interest and Sinking fund to cover the portion of the debt service associated with MUD 1’s allocation of the cost of the water plant renovation. The transfer was made in March, 2009. TCMUD 1 Page 13 of 145 Meeting Date: May 12, 2009 Trophy Club Entities 100 Municipal Drive Trophy Club, TX 76262 File Number: 09-65-M1 File ID: Type: Status: 09-65-M1 M1 Order Regular Session 1Version: Reference: In Control: Trophy Club Municipal Utility District No. 1 04/23/2009File Created: Final Action: *File Name: Title: See Supplemental Agenda to canvass election returns. Notes: Agenda Date: 05/12/2009 Sponsors: Enactment Date: Attachments: Enactment Number: Hearing Date: Contact: Effective Date: *Entered by: mmoore@trophyclub.org History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 05/12/2009Trophy Club Municipal Utility District No. 1 Text of Legislative File 09-65-M1 See Supplemental Agenda to canvass election returns. Since the results of the election are not available at the time the packet is assembled and submitted, Order 2009-0512 will be properly presented at the meeting. TCMUD 1 Page 14 of 145 Meeting Date: May 12, 2009 Trophy Club Entities 100 Municipal Drive Trophy Club, TX 76262 File Number: 09-77-M1 File ID: Type: Status: 09-77-M1 M1 Agenda Item Regular Session 1Version: Reference: In Control: Trophy Club Municipal Utility District No. 1 05/08/2009File Created: Final Action: *File Name: Title: Discuss and take appropriate action regarding the passage, adoption, entering, approval, and recording of an order, resolution, or other document as may be necessary to evidence the consolidation of Trophy Club Municipal Utility District No. 1 and Trophy Club Municipal Utility District No. 2 into one Municipal Utility District to be known as Trophy Club Municipal Utility District No. 1. Notes: Agenda Date: 05/12/2009 Sponsors: Enactment Date: Attachments: Enactment Number: Hearing Date: Contact: Effective Date: *Entered by: mmoore@trophyclub.org History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 05/12/2009Trophy Club Municipal Utility District No. 1 Text of Legislative File 09-77-M1 Discuss and take appropriate action regarding the passage, adoption, entering, approval, and recording of an order, resolution, or other document as may be necessary to evidence the consolidation of Trophy Club Municipal Utility District No. 1 and Trophy Club Municipal Utility District No. 2 into one Municipal Utility District to be known as Trophy Club Municipal Utility District No. 1. [Enter body here.] TCMUD 1 Page 15 of 145 Meeting Date: May 12, 2009 Trophy Club Entities 100 Municipal Drive Trophy Club, TX 76262 File Number: 09-76-M1 File ID: Type: Status: 09-76-M1 M1 Agenda Item Regular Session 1Version: Reference: In Control: Trophy Club Municipal Utility District No. 1 05/07/2009File Created: Final Action: *File Name: Title: Discuss and take appropriate action concerning the Town’s Plan to Abolish and Absorb MUD2. Notes: Agenda Date: 05/12/2009 Sponsors: Enactment Date: Attachments: Enactment Number: Hearing Date: Contact: Effective Date: *Entered by: mmoore@trophyclub.org History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 05/12/2009Trophy Club Municipal Utility District No. 1 Text of Legislative File 09-76-M1 Discuss and take appropriate action concerning the Town’s Plan to Abolish and Absorb MUD2. [Enter body here.] TCMUD 1 Page 16 of 145 Meeting Date: May 12, 2009 Trophy Club Entities 100 Municipal Drive Trophy Club, TX 76262 File Number: 09-73-M1 File ID: Type: Status: 09-73-M1 M1 Agenda Item Regular Session 1Version: Reference: In Control: Trophy Club Municipal Utility District No. 1 05/04/2009File Created: Final Action: *File Name: Title: Discuss and take appropriate action concerning shared employees. Notes: Agenda Date: 05/12/2009 Sponsors: Enactment Date: Attachments: Enactment Number: Hearing Date: Contact: Effective Date: *Entered by: mmoore@trophyclub.org History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 05/12/2009Trophy Club Municipal Utility District No. 1 Text of Legislative File 09-73-M1 Discuss and take appropriate action concerning shared employees. [Enter body here.] TCMUD 1 Page 17 of 145 Meeting Date: May 12, 2009 Trophy Club Entities 100 Municipal Drive Trophy Club, TX 76262 File Number: 09-63-M1 File ID: Type: Status: 09-63-M1 M1 Order Regular Session 1Version: Reference: In Control: Trophy Club Municipal Utility District No. 1 04/23/2009File Created: Final Action: *File Name: Title: Discuss and take appropriate action regarding Order 2009-0512-A, establishing Mary Moore as Records Management Officer for MUD 1. Notes: Agenda Date: 05/12/2009 Sponsors: Enactment Date: M1-Order-2009-0512-A-RMO.pdfAttachments: Enactment Number: Hearing Date: Contact: Effective Date: *Entered by: mmoore@trophyclub.org History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 05/12/2009Trophy Club Municipal Utility District No. 1 Text of Legislative File 09-63-M1 Discuss and take appropriate action regarding Order 2009-0512-A, establishing Mary Moore as Records Management Officer for MUD 1. This agenda item was tabled at the Joint Meeting between MUD 1 and 2 on April 14. TCMUD 1 Page 18 of 145 Meeting Date: May 12, 2009 TROPHY CLUB MUNICIPAL UTILITY DISTRICT No. 1 ORDER NO. 2009-0512-A AN ORDER OF TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1, (the “DISTRICT”) REPEALING ORDER NO. 2007-0306, ESTABLISHING A RECORDS MANAGEMENT PROGRAM, AND ADOPTING A NEW ORDER BY DESIGNATING THE TROPHY CLUB MUD SECRETARY AND SUCCESSIVE HOLDERS AND DESIGNEES OF THAT POSITION AS THE RECORDS MANAGEMENT OFFICER FOR THE DISTRICT; REQUIRING THE DEVELOPMENT OF A RECORDS MANAGEMENT PLAN UNDER THE DIRECTION OF THE DISTRICT MANAGER; AND REQUIRING SUBMISSION OF THE PLAN TO THE TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 BOARD OF DIRECTORS (“BOARD OF DIRECTORS”) FOR APPROVAL; SPECIFYING DUTIES OF THE RECORDS MANAGEMENT OFFICER AND OTHER REGULATIONS RELATED TO THE MAINTENANCE, DESTRUCTION, AND STORAGE OF RECORDS; PROVIDING FOR THE INCORPORATION OF PREMISES; PROVIDING A SAVINGS AND REPEALER CLAUSE; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, Trophy Club Municipal Utility District No. 1 (the “District”) is a Municipal Utility District operating pursuant to Chapter 54 of the Texas Water Code; and WHEREAS, the District’s Board of Directors (“Board of Directors”), as the governing body of the Municipal Utility District, is charged with establishing and maintaining a program for the efficient and economical management of all local government records; and WHEREAS, the Board of Directors is required to cause policies and procedures to be developed for the administration of a Records Management Program under the direction of a Records Management Officer; and WHEREAS, Chapter 203 of the Texas Local Government Code establishes duties of the Records Management Officer and requires the Board of Directors to prescribe rules and procedures for the establishment and operation of the records management program; and WHEREAS, the Board of Directors has determined that the Trophy Club MUD Secretary shall serve as the Records Management Officer for the District, and a Records Management Plan for the District shall be developed under the direction of the District Manager. TCMUD 1 Page 19 of 145 Meeting Date: May 12, 2009 NOW, THEREFORE, BE IT ORDERED BY THE BOARD OF DIRECTORS OF TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1: SECTION 1. INCORPORATION OF PREMISES That the above and foregoing premises are true and correct and are incorporated herein and made a part hereof for all purposes. SECTION 2. AMENDMENT 1. Policy A. It is hereby declared to be the policy of the District to provide for efficient, economical, and effective controls over the creation, distribution, organization, maintenance, use, and disposition of all district records through a comprehensive system of integrated procedures for the management of records from their creation to their ultimate disposition, consistent with the requirements of the Texas Local Government Records Act and accepted Records Management Practice. 2. Definitions A. Commission: The Texas State Library and Archives Commission. B. Custodian of Records: The appointed public officer(s) who by Order or administrative policy is in charge of an office that creates or receives local government records. C. Director and Librarian: The executive and administrative officer of the Texas State Library and Archives Commission. D. Essential Record: Any local government record of the District necessary to the resumption or continuation of operations of the District in an emergency or disaster, to the re-creation of the legal and financial status of the District, or to the protection and fulfillment of obligations to the people of the state. E. District Record: Any documents, papers, letters, books, maps, photographs, sound or video recordings, microfilm, magnet tape, electronic media, or other information recordings media, regardless of physical form or characteristic and regardless of whether public access to it is open or restricted under the laws of the state, created or received by District or any of its officers or employees pursuant to law or in the transaction of public business are hereby declared to be the records of the District and shall be created, maintained, and disposed of in accordance with the provisions of TCMUD 1 Page 20 of 145 Meeting Date: May 12, 2009 this Order or procedures authorized by it and in no other manner. The term does not include: 1. Extra identical copies of documents created only for convenience of reference or research by officers or employees of the District; 2. Notes, journals, diaries, and similar documents created by an officer or employee of the District for the officer’s or employee’s personal convenience; 3. Blank forms; 4. Stocks of publications; 5. Library and museum materials acquired solely for the purposes of reference or display; 6. Copies of documents in any media furnished to members of the public to which they are entitled under Chapter 552, Government Code, or other state law; or 7. Any records, correspondence, notes, memoranda, or documents, other than a final written agreement described by Section 2009.054(c), Government Code, associated with a matter conducted under an alternative dispute resolution procedure in which personnel of a state department or institution, local government, special district, or other political subdivision of the state participated as a party, facilitated as an impartial third party, or facilitated as the administrator of a dispute resolution system or organization. F. Permanent Records: Or “Record of Permanent Value” means any record of the District for which the retention period on a Records Retention Schedule issued by the Texas State Library and Archives Commission is given as permanent. G. Records Control Schedule: A document prepared by or under the authority of the Records Management Officer listing the records maintained by the District, their retention periods, and other records disposition information that the District’s Records Management Program may require. H. Records Management: The application of management techniques to the creation, use, maintenance, retention, preservation, and disposal of records for the purposes of reducing the costs and improving the efficiency of recordkeeping. The term includes the development of Records Control Schedules, the management of filing and information retrieval systems, the protection of essential and permanent records, the economical and space- TCMUD 1 Page 21 of 145 Meeting Date: May 12, 2009 effective storage of inactive records, control over the creation and distribution of forms, reports, and correspondence, and the management of micrographics and electronic and other records storage systems. I. Records Liaison Officers: The persons designated by the District Manager to interface with other departments, “Master District,” and Town, and the public and to perform such other duties as assigned. J. Records Management Officer: The person or position designated in this Order as the Records Management Officer and his or her successor. K. Records Management Plan: A plan developed under Section 5 of this Order. L. Records Retention Schedule: A document issued by the Texas State Library and Archives Commission under authority of the Texas Government Code, as amended, establishing mandatory retention periods for local government records. M. Retention Period: The minimum time that must pass after the creation, recording, or receipt of a record, or fulfillment of certain actions associated with a record, before it is eligible for destruction. 3. District Records Declared Public Property A. All District Records as defined in this Order are hereby declared to be the property of the District. No District official or employee has, by virtue of his or her position, any personal or property right to such records even through he or she may have developed or compiled them. The unauthorized destruction, removal from files, or use of such records is prohibited. 4. Designation of Records Management Officer A. The Trophy Club MUD Secretary, and successive holders and designees of said position, shall serve as Records Management Officer. As provided by state law, each successive holder of the office shall file his or her name with the director and librarian of the Texas State Library within thirty (30) days of the initial designation or of taking up the office, as applicable. The Board of Directors designation of the name, office, or position of the Records Management Officer shall be entered into the minutes of the District’s meeting at which such designation is made. TCMUD 1 Page 22 of 145 Meeting Date: May 12, 2009 5. Records Management Plan to be Developed; Approval of Plan; Authority of Plan A. The Records Management Officer, under the direction of the District Manager, shall develop a Records Management Plan for the District for submission to and approval by the Board of Directors. The plan shall be adopted by Order and must provide methods and procedures to enable the Board of Directors, Custodian of Records, and Records Management Officer to fulfill the duties and responsibilities set out in the Texas Local Government Code, Sections 203.021, 203.022, and 203.023, as amended, concerning the management and preservation of records. A copy of the Order shall be filed by the Records Management Officer with the Director and Librarian within thirty (30) days after the date of its adoption. The plan shall also contain policies and procedures designed to reduce the costs and improve the efficiency of recordkeeping, to adequately protect the essential records of the District, and to properly preserve those records of the District that are of historical value. The plan must be designed to enable the Records Management Officer to carry out his or her duties prescribed by state law and this Order effectively. B. Once approved by the Board of Directors, the Records Management Plan shall be binding on all offices, departments, divisions, programs, commissions, bureaus, boards, committees, or similar entities of the District and records shall be created, maintained, stored, microfilmed. C. State law relating to the duties, other responsibilities, or recordkeeping requirements of a Custodian of Records does not exempt him or her or the records in his or her care from the application of this Order and the Records Management Plan adopted under it, nor may it be used by the Custodian of Records as a basis for refusal to participate in the Records Management Program of the District. 6. Duties of Records Management Officer A. In addition to other duties assigned in this Order and state law, the Records Management Officer shall: 1. Assist in establishing and developing policies and procedures for a Records Management Program; and 2. Administer the Records Management Program and provide assistance to Staff for the purposes of reducing the costs and improving the efficiency of recordkeeping; and 3. In cooperation with the Custodian of Records shall: TCMUD 1 Page 23 of 145 Meeting Date: May 12, 2009 a. Prepare and file the records control schedules and amended schedules required by Section 203.041 and the list of obsolete records as provided by Section 203.044 as amended, of the Texas Local Government Code; and b. Prepare or direct the preparation of requests for authorization to destroy records not on an approved control schedule as provided by this Order; and c. Identify and take adequate steps to preserve District Records that are of permanent value; and d. Identify and take adequate steps to protect essential District Records; and e. Ensure that the maintenance, preservation, microfilming, destruction, or other disposition of records is carried out in accordance with the policies and procedures of the District’s Record Management Program and the requirements of state law, including rules and policies adopted under that Program; and f. Disseminate to the Board of Directors and Custodians of Records information concerning state laws, administrative rules, and the policies of the District relating to District records; and g. Establish procedures to ensure that the handling of records in any context of the Records Management Program by the Records Management Office or those under the officer’s authority is carried out with due regard for: i. The duties and responsibilities of Custodians that may be imposed by law; and ii. The confidentiality of information in records to which access is restricted by law. 7. Records Control Schedules to be Developed; Approval; Filing with State A. The Records Management Officer, acting under the direction of the District Manager, shall prepare Records Control Schedules on a department-by- department basis, listing all records created or received by the department, and the retention period for each record. Records Control Schedules shall also contain such other information regarding the disposition of District Records as the Records Management Plan may require. TCMUD 1 Page 24 of 145 Meeting Date: May 12, 2009 B. Each Records Control Schedule shall be monitored and amended as needed by the Records Management Officer on a regular basis to ensure that it is in compliance with records retention schedules issued by the state and that it continues to reflect the recordkeeping procedures and needs of the department and the Records Management Program of the District. C. Before its adoption, a Records Control Schedule or amended schedule for a department must be approved by the District Manager. D. Before its adoption, a Records Control Schedule must be submitted and accepted for filing by the Director and Librarian as provided by state law. If a Schedule is not accepted for filing, the Schedule shall be amended to make it acceptable for filing. The Records Management Officer shall submit the Records Control Schedules to the Director and Librarian. 8. Implementation of Records Control Schedules; Destruction of Records Under Schedule A. A Records Control Schedule for a department that has been approved and implemented in accordance with the policies and procedures of the Records Management Plan. B. A record whose retention period has expired on a Records Control Schedule shall be destroyed unless an open records request is pending on the record, the subject matter of the record is pertinent to a pending lawsuit, or a department head requests in writing to the Records Management Officer that the record be retained for an additional period. C. Prior to the destruction of a record under an approved Records Control Schedule, authorization for the destruction must be obtained by the Records Management Officer from the District Manager. 9. Destruction of Unscheduled Records A. A record that has not yet been listed on an approved Records Control Schedule may be destroyed if its destruction has been approved in the same manner as a record destroyed under an approved schedule and the Records Management Officer has submitted to and received back from the Director and Librarian an approved destruction authorization request. 10. Records Center A. A records center, developed pursuant to the plan required by this Order, shall be under the direct control and supervision of the Records TCMUD 1 Page 25 of 145 Meeting Date: May 12, 2009 Management Officer. Policies and procedures regulating the operations and use of the records center shall be contained in the Records Management Plan developed hereunder. 11. Alternative Storage Methods A. All electronic, digital or other storage of records authorized under the Records Management Plan shall be centralized and under the direct supervision of the Records Management Officer. The Records Management Plan shall establish policies and procedures for the storage of District Records, including policies to ensure that any alternative storage method is utilized in accordance with standards and procedures for the District Records established in rules of the Texas State Library and Archives Commission. The plan shall also establish criteria for determining the eligibility of records for alternative storage methods and protocols for exempting records from the centralized process; provided however, that exempted records are still subject to periodic review by the Records Management Officer as to cost-effectiveness, administrative efficiency, and compliance with commission rules SECTION 3. SAVINGS AND REPEALER That this Order shall be cumulative of all other Orders of the District affecting Records Management and shall not repeal any of the provisions of such Orders except in those instances where provisions of those Orders are in direct conflict with the provisions of this Order and all other provisions of the Orders of the District, not in conflict with the provisions of this Order, shall remain in full force and effect. Notwithstanding the foregoing, any complaint, action, cause of action or claim which prior to the effective date of this Order has been initiated or has arisen under or pursuant to such repealed Order shall continue to be governed by the provisions of that Order and for that purpose the Order shall be deemed to remain and continue in full force and effect. SECTION 4. SEVERABILITY If any section, article, paragraph, sentence, clause, phrase or word in this Order, or application thereof to any person or circumstance, is held invalid or unconstitutional by a Court of competent jurisdiction, such holding shall not affect the validity of the remaining portions of the Order, and the Board of Directors hereby declare it would have passed such remaining of the Order despite such invalidity, which remaining portions shall remain in full force and effect. TCMUD 1 Page 26 of 145 Meeting Date: May 12, 2009 TCMUD 1 Order 2009-0512-A 9 SECTION 5. EFFECTIVE DATE This Order shall take effect from and after its date of passage in accordance with law, and it is so ordained. PASSED AND APPROVED by the Board of Directors of the Trophy Club Municipal Utility District No. 1, this the 12th day of May, 2009. _______________________________ President Trophy Club Municipal Utility District No. 1 ATTEST: _________________________________________ Secretary Trophy Club Municipal Utility District No. 1 [SEAL] APPROVED AS TO FORM: _________________________________________ Attorney Trophy Club Municipal Utility District No. 1 TCMUD 1 Page 27 of 145 Meeting Date: May 12, 2009 Trophy Club Entities 100 Municipal Drive Trophy Club, TX 76262 File Number: 09-64-M1 File ID: Type: Status: 09-64-M1 M1 Agenda Item Regular Session 1Version: Reference: In Control: Trophy Club Municipal Utility District No. 1 04/23/2009File Created: Final Action: *File Name: Title: Discuss and take appropriate action regarding acceptance of the revised MUD Records Retention Schedule and a revised MUD Records Management Plan. Notes: Agenda Date: 05/12/2009 Sponsors: Enactment Date: 2009 RECORDS RETENTION SCHEDULE.pdfAttachments: Enactment Number: Hearing Date: Contact: Effective Date: *Entered by: mmoore@trophyclub.org History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 05/12/2009Trophy Club Municipal Utility District No. 1 Text of Legislative File 09-64-M1 Discuss and take appropriate action regarding acceptance of the revised MUD Records Retention Schedule and a revised MUD Records Management Plan. Both MUD 1 and MUD 2 at their Joint Meeting on April 14, 2009, requested Staff bring forth an updated Records Management Plan as well as an updated Records Retention Schedule. TCMUD 1 Page 28 of 145 Meeting Date: May 12, 2009 2009 RECORDS MANAGEMENT PLAN    for    TROPHY CLUB MUNICIPAL UTILITY DISTRICT   No. 1 & No. 2      Dated:  May 12, 2009  TCMUD 1 Page 29 of 145 Meeting Date: May 12, 2009 TABLE OF CONTENTS    Section 1 –Purpose .......................................................................................3  Section 2 – M.U.D. Orders ......................................................................4 ‐ 11  Section 3 ‐ Definitions and Abbreviations.............................................12 ‐ 13  Section 4 ‐ Departmental Responsibilities.................................................14  Departmental .................................................................................14  Records Management Officer..................................................14 ‐ 15  Records Liaison Officers................................................................15  Section 5 – Records Processes...................................................................16  Records Retention..........................................................................16  Storage......................................................................................16 ‐ 17  Destruction................................................................................17 ‐ 18  Retrieval of Box From Storage......................................................18  Annual Review................................................................................18  Routine Filing Tips....................................................................18 ‐ 19  Historical Documents: ....................................................................19  Section 6 ‐ Retention Schedules ………………........................................20  Section 7 – Disaster Recovery.....................................................................21  Records Identification....................................................................21  Identified Vital Records: ................................................................22  Supplies Needed..............................................................................22  Salvage Steps ..................................................................................22  Water Damage...........................................................................22 ‐ 23  Fire Damage...............................................................................23 ‐ 24  Computer Disk Packs ......................................................................24  Section 8 ‐ Other Important Aspects ..........................................................25  Ownership of Records ....................................................................25  Designation of Record Types as Confidential................................25   Section 9 ‐ Open Records Requests For Information.................................26  Records Affected by Public Information Act .................................26  Open Records Requests ..................................................................26  Purpose …………………………………………………………….26  Process …………………………………………………………26 ‐ 27  Timing Issues ..............................................................................27 ‐ 29  Attorney General Ruling..................................................................29  Inquiries to Determine the Intent of the Requestor .....................29  Fees Associated with Open Records Request.................................29  Appendix A ‐ Designated Record Liaison Officers ....………………....................30  Appendix B – Fees Schedule for Open Records Requests …………………………..31  Appendix C – Approved Retention Schedules ………………………………… …32 ‐ 72  Appendix D – Water – Wastewater Retention Schedule ………………………...73 ‐ 80  TCMUD 1 Page 30 of 145 Meeting Date: May 12, 2009 Section 1 ‐ Purpose    The purpose of the Records Management Plan and a Records Retention Schedule is  to develop a systematic policy for Trophy Club MUD Personnel to follow and  reference when dealing with District records. The objectives of this plan are:    • Control the creation and growth of records  • Improve efficiency and productivity  • Assimilate new records management technology  • Ensure regulatory compliance  • Minimize litigation risks  • Safeguard vital information  • Support better management decision making  • Preserve the District memory  • Foster professionalism in the governance process    The benefits are efficiency, accountability improved protection of valuable records,  improved public service, time and cost savings, and avoidance of unnecessary usage  in space, equipment, procedures, and supplies.     Records retention support several values to governmental operations. Records are  the official documentation of legally binding decisions and actions of government.  Records are the memory of the government. Finally, records are evidence of the  government’s stewardship of the responsibilities entrusted to them by the citizenry.  These values should be important to every department head, manager, and staff  member.    The Plan is divided into several different sections: M.U.D. Orders, Definitions and  Abbreviations, Departmental Responsibilities, Records Processes, Departmental  Retention Schedules, Disaster Recovery, Forms Utilized, Other Important Aspects  and Open Records Requests.  TCMUD 1 Page 31 of 145 Meeting Date: May 12, 2009 Section 2 –M.U.D.s Order  TROPHY CLUB MUNICIPAL UTILITY DISTRICT No. 1 ORDER NO. 2009-0512-A AN ORDER OF TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1, (the “DISTRICT”) REPEALING ORDER NO. 2007-0306, ESTABLISHING A RECORDS MANAGEMENT PROGRAM, AND ADOPTING A NEW ORDER BY DESIGNATING THE TROPHY CLUB MUD SECRETARY AND SUCCESSIVE HOLDERS AND DESIGNEES OF THAT POSITION AS THE RECORDS MANAGEMENT OFFICER FOR THE DISTRICT; REQUIRING THE DEVELOPMENT OF A RECORDS MANAGEMENT PLAN UNDER THE DIRECTION OF THE DISTRICT MANAGER; AND REQUIRING SUBMISSION OF THE PLAN TO THE TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 BOARD OF DIRECTORS (“BOARD OF DIRECTORS”) FOR APPROVAL; SPECIFYING DUTIES OF THE RECORDS MANAGEMENT OFFICER AND OTHER REGULATIONS RELATED TO THE MAINTENANCE, DESTRUCTION, AND STORAGE OF RECORDS; PROVIDING FOR THE INCORPORATION OF PREMISES; PROVIDING A SAVINGS AND REPEALER CLAUSE; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, Trophy Club Municipal Utility District No. 1 (the “District”) is a Municipal Utility District operating pursuant to Chapter 54 of the Texas Water Code; and WHEREAS, the District’s Board of Directors (“Board of Directors”), as the governing body of the Municipal Utility District, is charged with establishing and maintaining a program for the efficient and economical management of all local government records; and WHEREAS, the Board of Directors is required to cause policies and procedures to be developed for the administration of a Records Management Program under the direction of a Records Management Officer; and WHEREAS, Chapter 203 of the Texas Local Government Code establishes duties of the Records Management Officer and requires the Board of Directors to prescribe rules and procedures for the establishment and operation of the records management program; and WHEREAS, the Board of Directors has determined that the Trophy Club MUD Secretary shall serve as the Records Management Officer for the District, and a Records Management Plan for the District shall be developed under the direction of the District Manager. NOW, THEREFORE, BE IT ORDERED BY THE BOARD OF DIRECTORS OF TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1: TCMUD 1 Page 32 of 145 Meeting Date: May 12, 2009 SECTION 1. INCORPORATION OF PREMISES That the above and foregoing premises are true and correct and are incorporated herein and made a part hereof for all purposes. SECTION 2. AMENDMENT 1. Policy A. It is hereby declared to be the policy of the District to provide for efficient, economical, and effective controls over the creation, distribution, organization, maintenance, use, and disposition of all district records through a comprehensive system of integrated procedures for the management of records from their creation to their ultimate disposition, consistent with the requirements of the Texas Local Government Records Act and accepted Records Management Practice. 2. Definitions A. Commission: The Texas State Library and Archives Commission. B. Custodian of Records: The appointed public officer(s) who by Order or administrative policy is in charge of an office that creates or receives local government records. C. Director and Librarian: The executive and administrative officer of the Texas State Library and Archives Commission. D. Essential Record: Any local government record of the District necessary to the resumption or continuation of operations of the District in an emergency or disaster, to the re-creation of the legal and financial status of the District, or to the protection and fulfillment of obligations to the people of the state. E. District Record: Any documents, papers, letters, books, maps, photographs, sound or video recordings, microfilm, magnet tape, electronic media, or other information recordings media, regardless of physical form or characteristic and regardless of whether public access to it is open or restricted under the laws of the state, created or received by District or any of its officers or employees pursuant to law or in the transaction of public business are hereby declared to be the records of the District and shall be created, maintained, and disposed of in accordance with the provisions of this Order or procedures authorized by it and in no other manner. The term does not include: 1. Extra identical copies of documents created only for convenience of reference or research by officers or employees of the District; 2. Notes, journals, diaries, and similar documents created by an officer or employee of the District for the officer’s or employee’s personal convenience; TCMUD 1 Page 33 of 145 Meeting Date: May 12, 2009 3. Blank forms; 4. Stocks of publications; 5. Library and museum materials acquired solely for the purposes of reference or display; 6. Copies of documents in any media furnished to members of the public to which they are entitled under Chapter 552, Government Code, or other state law; or 7. Any records, correspondence, notes, memoranda, or documents, other than a final written agreement described by Section 2009.054(c), Government Code, associated with a matter conducted under an alternative dispute resolution procedure in which personnel of a state department or institution, local government, special district, or other political subdivision of the state participated as a party, facilitated as an impartial third party, or facilitated as the administrator of a dispute resolution system or organization. F. Permanent Records: Or “Record of Permanent Value” means any record of the District for which the retention period on a Records Retention Schedule issued by the Texas State Library and Archives Commission is given as permanent. G. Records Control Schedule: A document prepared by or under the authority of the Records Management Officer listing the records maintained by the District, their retention periods, and other records disposition information that the District’s Records Management Program may require. H. Records Management: The application of management techniques to the creation, use, maintenance, retention, preservation, and disposal of records for the purposes of reducing the costs and improving the efficiency of recordkeeping. The term includes the development of Records Control Schedules, the management of filing and information retrieval systems, the protection of essential and permanent records, the economical and space-effective storage of inactive records, control over the creation and distribution of forms, reports, and correspondence, and the management of micrographics and electronic and other records storage systems. I. Records Liaison Officers: The persons designated by the District Manager to interface with other departments, “Master District,” and Town, and the public and to perform such other duties as assigned. J. Records Management Officer: The person or position designated in this Order as the Records Management Officer and his or her successor. K. Records Management Plan: A plan developed under Section 5 of this Order. L. Records Retention Schedule: A document issued by the Texas State Library and Archives Commission under authority of the Texas Government Code, as amended, establishing mandatory retention periods for local government records. TCMUD 1 Page 34 of 145 Meeting Date: May 12, 2009 M. Retention Period: The minimum time that must pass after the creation, recording, or receipt of a record, or fulfillment of certain actions associated with a record, before it is eligible for destruction. 3. District Records Declared Public Property A. All District Records as defined in this Order are hereby declared to be the property of the District. No District official or employee has, by virtue of his or her position, any personal or property right to such records even through he or she may have developed or compiled them. The unauthorized destruction, removal from files, or use of such records is prohibited. 4. Designation of Records Management Officer A. The Trophy Club MUD Secretary, and successive holders and designees of said position, shall serve as Records Management Officer. As provided by state law, each successive holder of the office shall file his or her name with the director and librarian of the Texas State Library within thirty (30) days of the initial designation or of taking up the office, as applicable. The Board of Directors designation of the name, office, or position of the Records Management Officer shall be entered into the minutes of the District’s meeting at which such designation is made. 5. Records Management Plan to be Developed; Approval of Plan; Authority of Plan A. The Records Management Officer, under the direction of the District Manager, shall develop a Records Management Plan for the District for submission to and approval by the Board of Directors. The plan shall be adopted by Order and must provide methods and procedures to enable the Board of Directors, Custodian of Records, and Records Management Officer to fulfill the duties and responsibilities set out in the Texas Local Government Code, Sections 203.021, 203.022, and 203.023, as amended, concerning the management and preservation of records. A copy of the Order shall be filed by the Records Management Officer with the Director and Librarian within thirty (30) days after the date of its adoption. The plan shall also contain policies and procedures designed to reduce the costs and improve the efficiency of recordkeeping, to adequately protect the essential records of the District, and to properly preserve those records of the District that are of historical value. The plan must be designed to enable the Records Management Officer to carry out his or her duties prescribed by state law and this Order effectively. B. Once approved by the Board of Directors, the Records Management Plan shall be binding on all offices, departments, divisions, programs, commissions, bureaus, boards, committees, or similar entities of the District and records shall be created, maintained, stored, microfilmed. C. State law relating to the duties, other responsibilities, or recordkeeping requirements of a Custodian of Records does not exempt him or her or the records in his or her care from the application of this Order and the Records Management Plan adopted under it, nor may it be used by the Custodian of Records as a basis TCMUD 1 Page 35 of 145 Meeting Date: May 12, 2009 for refusal to participate in the Records Management Program of the District. 6. Duties of Records Management Officer A. In addition to other duties assigned in this Order and state law, the Records Management Officer shall: 1. Assist in establishing and developing policies and procedures for a Records Management Program; and 2. Administer the Records Management Program and provide assistance to Staff for the purposes of reducing the costs and improving the efficiency of recordkeeping; and 3. In cooperation with the Custodian of Records shall: a. Prepare and file the records control schedules and amended schedules required by Section 203.041 and the list of obsolete records as provided by Section 203.044 as amended, of the Texas Local Government Code; and b. Prepare or direct the preparation of requests for authorization to destroy records not on an approved control schedule as provided by this Order; and c. Identify and take adequate steps to preserve District Records that are of permanent value; and d. Identify and take adequate steps to protect essential District Records; and e. Ensure that the maintenance, preservation, microfilming, destruction, or other disposition of records is carried out in accordance with the policies and procedures of the District’s Record Management Program and the requirements of state law, including rules and policies adopted under that Program; and f. Disseminate to the Board of Directors and Custodians of Records information concerning state laws, administrative rules, and the policies of the District relating to District records; and g. Establish procedures to ensure that the handling of records in any context of the Records Management Program by the Records Management Office or those under the officer’s authority is carried out with due regard for: i. The duties and responsibilities of Custodians that may be imposed by law; and ii. The confidentiality of information in records to which access is TCMUD 1 Page 36 of 145 Meeting Date: May 12, 2009 restricted by law. 7. Records Control Schedules to be Developed; Approval; Filing with State A. The Records Management Officer, acting under the direction of the District Manager, shall prepare Records Control Schedules on a department-by- department basis, listing all records created or received by the department, and the retention period for each record. Records Control Schedules shall also contain such other information regarding the disposition of District Records as the Records Management Plan may require. B. Each Records Control Schedule shall be monitored and amended as needed by the Records Management Officer on a regular basis to ensure that it is in compliance with records retention schedules issued by the state and that it continues to reflect the recordkeeping procedures and needs of the department and the Records Management Program of the District. C. Before its adoption, a Records Control Schedule or amended schedule for a department must be approved by the District Manager. D. Before its adoption, a Records Control Schedule must be submitted and accepted for filing by the Director and Librarian as provided by state law. If a Schedule is not accepted for filing, the Schedule shall be amended to make it acceptable for filing. The Records Management Officer shall submit the Records Control Schedules to the Director and Librarian. 8. Implementation of Records Control Schedules; Destruction of Records Under Schedule A. A Records Control Schedule for a department that has been approved and implemented in accordance with the policies and procedures of the Records Management Plan. B. A record whose retention period has expired on a Records Control Schedule shall be destroyed unless an open records request is pending on the record, the subject matter of the record is pertinent to a pending lawsuit, or a department head requests in writing to the Records Management Officer that the record be retained for an additional period. C. Prior to the destruction of a record under an approved Records Control Schedule, authorization for the destruction must be obtained by the Records Management Officer from the District Manager. 9. Destruction of Unscheduled Records A. A record that has not yet been listed on an approved Records Control Schedule may be destroyed if its destruction has been approved in the same manner as a record destroyed under an approved schedule and the Records Management Officer has submitted to and received back from the Director and Librarian an approved destruction authorization request. TCMUD 1 Page 37 of 145 Meeting Date: May 12, 2009 10. Records Center A. A records center, developed pursuant to the plan required by this Order, shall be under the direct control and supervision of the Records Management Officer. Policies and procedures regulating the operations and use of the records center shall be contained in the Records Management Plan developed hereunder. 11. Alternative Storage Methods A. All electronic, digital or other storage of records authorized under the Records Management Plan shall be centralized and under the direct supervision of the Records Management Officer. The Records Management Plan shall establish policies and procedures for the storage of District Records, including policies to ensure that any alternative storage method is utilized in accordance with standards and procedures for the District Records established in rules of the Texas State Library and Archives Commission. The plan shall also establish criteria for determining the eligibility of records for alternative storage methods and protocols for exempting records from the centralized process; provided however, that exempted records are still subject to periodic review by the Records Management Officer as to cost-effectiveness, administrative efficiency, and compliance with commission rules SECTION 3. SAVINGS AND REPEALER That this Order shall be cumulative of all other Orders of the District affecting Records Management and shall not repeal any of the provisions of such Orders except in those instances where provisions of those Orders are in direct conflict with the provisions of this Order and all other provisions of the Orders of the District, not in conflict with the provisions of this Order, shall remain in full force and effect. Notwithstanding the foregoing, any complaint, action, cause of action or claim which prior to the effective date of this Order has been initiated or has arisen under or pursuant to such repealed Order shall continue to be governed by the provisions of that Order and for that purpose the Order shall be deemed to remain and continue in full force and effect. SECTION 4. SEVERABILITY If any section, article, paragraph, sentence, clause, phrase or word in this Order, or application thereof to any person or circumstance, is held invalid or unconstitutional by a Court of competent jurisdiction, such holding shall not affect the validity of the remaining portions of the Order, and the Board of Directors hereby declare it would have passed such remaining of the Order despite such invalidity, which remaining portions shall remain in full force and effect. TCMUD 1 Page 38 of 145 Meeting Date: May 12, 2009 SECTION 5. EFFECTIVE DATE This Order shall take effect from and after its date of passage in accordance with law, and it is so ordained. PASSED AND APPROVED by the Board of Directors of the Trophy Club Municipal Utility District No. 1, this the 12th day of May, 2009. _______________________________ President Trophy Club Municipal Utility District No. 1 ATTEST: _________________________________________ Secretary Trophy Club Municipal Utility District No. 1 [SEAL] APPROVED AS TO FORM: _________________________________________ Attorney Trophy Club Municipal Utility District No. 1 TCMUD 1 Page 39 of 145 Meeting Date: May 12, 2009 Section 3 ‐ Definitions and Abbreviations    Active record – Records needed to carry out an organization’s day‐to‐day business;  record subject to frequent use.    Custodian of Record ‐ The staff person designated to be responsible for compliance  with the Records Management Plan for their department.    Historical value – Records which are retained for purposes of history and not  necessarily for business purposes.    Important record – A record that contains information that cannot be dispensed  when lost. Expenditure of time and money would be required if lost.    Inactive record – A record that does not have to be readily available but which must  be kept for legal, fiscal, or historical purposes.    Non‐record – All material not usually included within the definition of records, such  as unofficial copies of documents that are kept only for reference or convenience.  Stocks of publications and processed documents, and library material intended solely  for reference or exhibition.    Non‐vital record – A record that does not contain information essential for  emergency operations during a disaster; the resumption and/or continuation of  operations; the reestablishment of the legal, financial, and/or functional status of the  organization; and the determination of the rights and obligations of individuals and  corporate bodies with respect to the organization. Examples of a non‐vital record are  convenience files or internal memorandum. A non‐vital record may be referred to as a  non‐essential record.    Permanent record – Information which is required by law to be retained indefinitely  or which has been designated for continuous preservation because of reference,  historical, or administrative significance to the organization.    Record – Recorded information, regardless of the medium or characteristics, made or  received by an organization that is useful in the operation of the organization.    Useful record – A record that contains information that would create difficulty in the  daily duties if lost, but could be easily replaced.    TCMUD 1 Page 40 of 145 Meeting Date: May 12, 2009 Vital record – A record containing information essential for emergency operations  during a disaster; the resumption and/or continuation of operations; the  reestablishment of the legal, financial, and/or functional status of the organization;  and the determination of the rights and obligations of individuals and corporate  bodies with respect to the organization. A vital record may be referred to as an  essential record.      Abbreviations Defined:    AV – As long as administratively valuable  CE – Calendar year end  FE – Fiscal year end  LA – Life of asset  RLO – Records Liaison Officer  RMO – Records Management Officer  TSLAC – Texas State Library and Archive Commission  US – Until superseded  TCMUD 1 Page 41 of 145 Meeting Date: May 12, 2009 Section 4 ‐ Departmental Responsibilities    Departmental  The Custodian of Records will cooperate with the Records Management Officer  (RMO) in carrying out established policies and procedures for the efficient and  economical management of records and in carrying out the requirements of this  policy. The Custodian of Records will adequately document the transaction of  government business and the services, programs, and duties for which the Custodian  of Records and his/her staff are responsible. Finally, the Custodian of Records will  maintain the records in his/her care and carry out their preservation, destruction,  microfilming, or other disposition only in accordance with the policies and  procedures of the Records Management Plan. Department heads will designate a  member of his/her staff to serve as a Records Liaison Officer (RLO) for the  implementation of the Records Management Process in the department.     Records Management Officer (RMO)  The RMO will administer the Records Management Program and provide assistance  to Department Heads / Custodian of Records in its implementation; plan, formulate,  and prescribe records disposition, policies, systems, standards, and procedures; in  cooperation with department heads, identify vital records and establish a disaster  plan to ensure maximum availability of the records in order to re‐establish operations  as quickly and with minimal disruption and expense; develop procedures to ensure  the permanent preservation of historically valuable records; establish standards for  filing and storage and record‐keeping supplies; study the feasibility of and, if  appropriate, establish a uniform filing system and forms design and control system  for the Trophy Club Municipal Utility Districts; provide records management advice  and assistance to all departments by preparation of a manual of procedure and  policy; monitor records retention schedules and administrative rules issued by the  Texas State Library and Archive Commission (TSLAC) to determine if the Records  Management Program and Retention Schedules are in compliance with state  regulations; disseminate to departments and M.U.D. Directors information  concerning state laws and administrative rules relating local government records;  direct Records Liaison Officers (RLO’s), Custodian of Records, or other personnel in  the proper conduct of records inventories in preparation for the development of  Records Control Schedules, as required by state law and by MUD Order 2009‐0512;  ensure that the maintenance, preservation, microfilming, destruction, or other  disposition of MUD records is carried out in accordance with the policies and  procedures of the Records Management Program and the requirements of state law;  maintain documentation of the records destroyed under approved records control  schedules, records stored electronically, and microfilmed; report annually to the  District on the implementation of the Records Management Plan in each department  of the District, including summaries of the statistical and fiscal data compiled under  the proceeding item, and bring to the attention of the M.U.D. District Manager non‐ TCMUD 1 Page 42 of 145 Meeting Date: May 12, 2009 compliance by department heads or other personnel with the policies and  procedures of the Records Management Program or the Local Government Records  Act.    Records Liaison Officers  Persons assigned as Records Liaison Officers will be thoroughly familiar with the  records created and maintained by their department and will have access to all of the  documents within their department.     Duties of the RLO are as follows:    ™ To conduct or supervise inventories of the records of the department in  preparation for the development of records retention schedules;     ™ Coordinate and implement the policies and procedures of the Records  Management Program in their department (in cooperation with the RMO)    ™ Disseminate information to their staff concerning the Records Management  Program.   TCMUD 1 Page 43 of 145 Meeting Date: May 12, 2009 Section 5 – Records Processes    Records Retention  The life cycle of records is divided into three cycles: creation, maintenance, and  disposition.     The first cycle, creation of a record, entails all activities that are involved in  originating and generating forms, reports, correspondences, receiving records from  the outside, filing, indexing, and other development duties.     The second cycle, maintenance, involves activities such as retrieval, filing, storage,  space and equipment allocation, inactive records maintenance, and alternatives to  paper storage. The critical issue in this cycle involves obtaining needed records. Too  much information can create problems because of inefficient or expanded and  impractical retention of unneeded documents.      The final phase, disposition, the records are (1) destroyed either when a record has  no value or has reached the end of its retention period, (2) stored long term, or (3)  transferred to historical archives.     The Records Retention Schedule is the key management tool during this phase, as it  provides direction to the RLO on how to deal with the record in question and its final  disposition.  Problems arise when space issues surface because of inefficient cabinet  use or when records are misfiled and lost.    Storage  Records should be placed in long‐term storage facilities when they are no longer  active or valuable to the department, but have not reached the end of their retention  period. More recent records will be placed in the vault (fireproof file) by the RMO,  and older records requiring long‐term retention will be placed in remote storage.  After deciding to place records in storage, one should perform the following simple  procedures:    Contact the RMO for an approved box, label, and form entitled: “Inventory of  Records Transfer to Records Center”. When placing documents in the box, the  RLO/Custodian of Record should inventory and record the documents to be placed in  the box. This is your record of the contents of the box. The label should list  information that will be useful to the RLO/Custodian of Record in the event that a  record is needed in the future. If possible, limit the contents of any box to a single  record series. Generally this is a group of records, filed together in a unified  arrangement, which results from or relates to the same function or activity. If  this is impractical, because of low volume of the same series, please limit the  contents of a single box to a series having the same retention period. Leave  TCMUD 1 Page 44 of 145 Meeting Date: May 12, 2009 approximately one to two inches in the box to facilitate ease of access. If future  filling is needed, there will be space. Packing records too tightly can result in  damaged boxes. Use only approved boxes; this allows more uniform storage and  better packing in the storage locations. Please do not place hanging file folders or  three ring binders in the storage box. The contents of the box should be removed  from these filing supplies and placed in folders. Both binders and hanging files  damage your records and the boxes and will prevent efficient usage of storage  space. Binders and folders can be recycled. After the inventory is complete, the  RLO/Custodian of Record will place a departmental box number on the inventory  form and label and then affix the label to the storage box. After these steps are  completed, the RMO is contacted.    In short, the steps for storage are:  1. Obtain an approved storage box, label, and inventory form from the RMO  and/or from the Intranet site.  2. Inventory and record the documents to be placed in the box, record this on  the supplied form  3. Record a brief description of the contents on the supplied label  4. Number the box and record this number on your inventory form and the  box label  5. Contact the RMO to transfer the box to long‐term storage  Destruction  When the documents contained within a box reach the end of their retention period,  the RMO generates a form titled, “Certificate of Records Destruction.” This form  requests permission from the Custodian of the Records/RLO/Department Head for  destruction of the documents to be carried out. This form also lists the record series  enclosed in the box along with its state‐approved retention period. If the Custodian  of the Records/RLO/Department Head and/or District Manager concurs with the  destruction, he/she should sign the form and return signed form to the RMO. The  documents will be destroyed in accordance with state law (burning, shredding,  pulping, burial in a landfill or by sale or donation for recycling purposes). Documents  should not be destroyed in any other manner.     A record cannot be destroyed if any litigation, claim, negotiation, audit, open records  request, administrative review, or other action involving the record is initiated before  the expiration of the retention period for the record set by TSLAC or, whichever is  later.    TCMUD 1 Page 45 of 145 Meeting Date: May 12, 2009 In short, the steps for destruction are:    1. The RMO will submit the “Certificate of Records Destruction” form to the  Custodian of the Record/RLO/Department Head;    2. If the Custodian of the Record/RLO/Department Head concurs with the  request for destruction, he/she should sign the document, and return the signed  original to the RMO.    3. When all governing bodies have agreed and concur, the documents will be  destroyed in an approved manner.    Retrieval of Box From Storage  When there is a need for a document that is stored in remote storage, contact the  RMO to obtain the box that contains the document referencing the copy of the  “Inventory of Records Transfer to Records Center” form for the appropriate box  number for retrieval. A “Box Retrieval Form” requesting the box will be completed  and submitted to the RMO, who see that the appropriate box is retrieved from  storage.      Annual Review  Each department should have a departmental record “clean‐up day” led by their  designated RLO. The goals are to identify documents that are no longer valuable to  the department, move them to storage or prepare for destruction, organize the  cabinet, and make space for new files. Removal of old and useless documents allows  for easier and faster access to files. This creates a more cost‐effective and efficient  practice that supports the District’s stated objectives. Additional benefits are  improved public service, sound usage of scarce equipment, procedures, supplies,  space and equipment, and protection of valuable records.     Routine Filing Tips  There are two (2) primary filing systems, alphabetical and numerical. Alphabetical  filing places files in alphabetical order. Numerical filing has several options. A file can  be ordered by sequential order filing, date order filing, or coded numerical filing. Each  should be easy, consistent, and uniform.  Other ways to file records are by subject.  Subjects can be contained in a hanging file folder. Subjects may be Community Park,  Harmony Park, and McCombs Fields. These subjects should be alphabetized in a file  cabinet with all documents within the subject files also placed in either a numerical or  alphabetical manner.     A numerical arrangement may have a file for Community Park budget and within this  file you my have the following files: FY1999, FY2000, and FY2001. These files are in a  TCMUD 1 Page 46 of 145 Meeting Date: May 12, 2009 numerical format. Filing documents in one of the above methods will help retrieve  needed information efficiently.     Historical Documents:  Documents that have historical significance will be retained permanently by the  District. Trophy Club MUDs adhere to the TSLAC retention schedules. When the  record has not been designated with a permanent retention, and a record has  historical significance, please contact the RMO for further guidance.  TCMUD 1 Page 47 of 145 Meeting Date: May 12, 2009 Section 6 ‐ Retention Schedules    TCMUD 1 and TCMUD 2 filed their Local Government – Records Control Schedule in May  of 1994 and all were accepted by the Texas State Library in July of 1994.  The Retention  Schedules filed were for Administration Records and Tax Records and they are still very  applicable. The approved Retention Schedules are attached as Appendix C.    Also attached is a Retention Schedule for Water / Wastewater Records for submittal to  the Texas State Library as Appendix D.  TCMUD 1 Page 48 of 145 Meeting Date: May 12, 2009 Section 7 – Disaster Recovery  A fire, tornado, flood or any other calamity may occur at any time of the day, week,  month, or year. Any of the above events could create a loss of some records that can  cause dire consequences, or extreme disruption to the operation of government.  Other issues to consider are the loss of records, which could make the District  vulnerable to litigation, create revenue losses, create revenue costs, and create  inefficient operations. No plan can prevent these events from happening; a Plan can,  however, reduce the likelihood of these undesirable outcomes.    Records Identification  Prevention and planning are key tools to be utilized when reducing the chance of a  disaster and loss of records. Ideally, each department will identify records that are  nonvital, useful, important and vital.    Non‐vital record is a document that, if destroyed, would not pose a serious  dilemma to the District. Convenience files or internal memorandum are examples of  this category.    Useful record is a document that would create difficulty, if lost, but could be easily  replaced. Examples of this category would be schedule books.    Important records are those which cannot be dispensed and expenditure of time  and money would be required to replace the document.    Vital record contains information that is crucial or cannot be replaced. These types  of records are not always permanent. These documents contain information critical  to the continuation of operations or the protection of the rights of the government  or of individual citizens. Examples of vital records are records that give authority for  the operation of the government (such as minutes, ordinances, and resolutions).  Other vital records are records that document obligations owed to the government  (such as financial records), blueprints of water systems or other documents vital for  the daily operation of the District. Obligations of the government to its employees  such as personnel records, retirement, and accrued benefits are more examples of a  vital record. Finally, records that document civil or property rights of citizens (such as  deeds) or ownership of government property are vital records. In advance, each  department should inventory their environment and identify the location of each  type of the above‐mentioned records. Special attention should be placed on the  location of important and vital records. Knowing the location of these two types of  records is significant because when a disaster strikes, there will not to be enough  time to recover all records. The person conducting the recovery attempt will recover  the vital and then, if time permits, important documents. Non‐vital and useful files  will be recovered after more important files are recovered, if possible.  TCMUD 1 Page 49 of 145 Meeting Date: May 12, 2009   Identified Vital Records:    Finance/Accounting: Accounts receivable, ledgers, payroll records, and general  insurance policies.    MUD Administration: Minutes, ordinances, and resolutions, contracts and/or  agreements.    Human Resources: Personnel records, personnel insurance files.    Public Works: Maps and engineering drawings.    Fire: Emergency management plans (Denton and Tarrant County, and Town of  Trophy Club)    Supplies Needed  To conduct a recovery process, a person will need the following equipment: plastic  crates, a designated off‐site dry location, rubber gloves and boots, waxed paper, and  absorbent towels.    Salvage Steps  First, ensure that the scene of the disaster is safe to enter. Electrical sources should  be turned off, fire should be extinguished, and any other hazard to life should be  contained.    Second, the size and the scope of the salvage operation should be considered. If the  disaster is large, expert firms may be needed to help recover the documents. If the  disaster scene is small, the above‐mentioned equipment may be adequate.    Third, identify the vital and important documents first. Recover the records in the  following manner: vital, then important, then useful and lastly non‐vital.    Water Damage  Water damage is the most frequent type of disaster. Some authorities claim that  water events account for up to ninety‐five percent (95%) of disasters. The documents  from a water disaster are usually recoverable. Most damage to vital records can be  avoided by not placing these type of documents in the bottom areas of a filing  cabinets or shelves.  Problems with mildew and mold contribute to the deterioration  of a document. If restoration cannot be started immediately, the records should be  frozen. Ideally, the environment for freezing will be zero degrees. In other cases, the  TCMUD 1 Page 50 of 145 Meeting Date: May 12, 2009 documents should be carefully removed to non‐humid rooms. The documents will be  fragile and care must be taken to avoid tearing. If possible, maintain the records  arrangement or order. Plastic crates may be used to move water soaked records.  Books should be placed in crates with their spine down. Waxed paper should be  placed between books to avoid sticking.  When large volumes of vital records are  damaged they may dried commercially, with administrative approval. These  commercial companies can dry the documents by vacuum freeze‐drying or use of  vacuum chambers. When small volumes of records are damaged, they can be dried  by spreading them out on tables or the floor. Use of fans should be undertaken to  circulate the air through the room. These documents should be periodically turned to  facilitate drying on both sides. The ideal room temperature is below sixty degrees.  Permanently valuable books should be frozen. Another method includes drying the  covers and placing absorbent towels between the pages. When the towel becomes  wet, it should be replaced. Books should have their spines placed down. Documents  that are mud covered can be washed off with a low‐pressure sprayer and then dried.     Do not, under any circumstance:  • Enter an area until it has been declared safe  • Attempt to open a wet book  • Attempt to close an open book that is swollen  • Use mechanical presses on wet materials  • Attempt to separate books that are stuck together  • Write on wet paper  • Use bleaches, detergents, water soluble fungicides, adhesive tapes, paper  clips, or staples on wet material  • Use colored paper of any kind during salvage and recovery operations  • Pack newly‐dried materials in boxes or leave them unattended for more  than two (2) days  Blackmon‐Mooring Steamatic Catastrophic, Inc. (BMS CAT) is a local company (Fort  Worth) that can provide the above‐mentioned expert services. The phone number  for this company is (817) 332‐2770 or (800) 433‐2940 (24‐hour hotline). Prior to  utilizing this company, approval must be obtained from the District Manager.    Fire Damage  When fire occurs, many documents will be lost. Recovery of these may be impossible.   Tightly packed volumes often do not burn completely. The edges of the volume may  be charred. These records can be salvaged with little effort. Duplication can be  undertaken through photocopying or microfilming. If the document is severely  TCMUD 1 Page 51 of 145 Meeting Date: May 12, 2009 scorched or brittle, salvage may not be possible. Vital records should be stored in  fireproof cabinets or the vault.    Computer Disk Packs  Computer disk packs and other magnetic media that have become wet are  sometimes not recoverable and a professional restoration firm should only conduct  salvage attempts. Do not place these disks in a computer. The Information Services  Director should be contacted to obtain further direction.    TCMUD 1 Page 52 of 145 Meeting Date: May 12, 2009 Section 8 – Other Important Aspects    Ownership of Records  All records created by a department shall remain the property of the District. The  department is the legal custodian of its records. All records transferred to the  Records Management Officer shall remain the legal custody of the department  sending them.    Designation of Record Types as Confidential  A designated confidential records type may be defined as that material containing  such information that if released indiscriminately poses a legal or financial threat to  the District. A record type may be designated as confidential by a department head  upon written request. Security measures designed to safeguard the integrity of  confidential records while in the possession of the RMO will be implemented when a  confidential record is designated. A confidential designation causes certain security  measures to be implemented. Restricted access and anonymity of the records will be  used. Documents will be under the control and surveillance of an authorized person  at all times when being processed. Access to remote storage will be limited and this  will help ensure the security of the documents.    TCMUD 1 Page 53 of 145 Meeting Date: May 12, 2009 Section 9 – Open Records Requests for Information    Records Affected by Public Information Act  Public records include any information that is collected, assembled, or maintained by  or for a governmental entity. The Act applies to records regardless of their format. It  includes information that is maintained in paper, tape, microfilm, video, electronic  data held in computer memory, as well as other mediums.    Open Records Requests for Information  Requests for public information can come in following formats: faxed, emailed, or  written. The District can only provide information when it is requested in writing,  faxed, or emailed. Verbal requests will not and cannot be accepted. Every attempt  should be made by staff to get the requestor to submit the “Trophy Club MUD  Request For Information” document. The requestor is not required to use the  District’s form.  The requestor can request the format of the information. The District  is only required to provide to the requestor the requested format if it has the  technological ability. The District has no obligation to purchase software or hardware  to fulfill the request.    An Open Records Request does not generally require the District to produce  information that does not exist. If the information can be easily produced, it is  expected that the District will make such effort. The District will not provide standing  requests for information.     Purpose  In order to ensure compliance with state law governing requests for public  information (Open Records Requests), the following procedures have been  established for the processing of all Open Records Requests for Public Information  received by the District.    Process  The RMO is responsible for oversight of Open Records Requests for Public  Information and for ensuring timely compliance with state law requirements for  response to those requests.  The District has a maximum of ten (10) business days to  respond.  We are required either (1) to timely fill the response within that maximum  ten (10) business day period or (2) request a legal opinion from the Texas Attorney  General regarding the requirement to disclose the requested information.  The  request to the Attorney General must specify the legal basis for nondisclosure and  must be completed within the ten (10) business day period.      The same day that an Open Records Request for Public Information is received, the  recipient shall immediately forward the original copy of the request, or forward the  TCMUD 1 Page 54 of 145 Meeting Date: May 12, 2009 email request where applicable, to the RMO for processing and tracking.  If the  recipient of the request is the person who has access to or possession of the  requested documents, then the recipient should make a copy so that he/she can  gather the documents necessary to comply with the request; however, the original  shall always be forwarded to the RMO. After gathering all of the responsive  documents, those documents shall be forwarded to the RMO who will complete the  process and provide the documents to the requestor. All responsive documents shall  be submitted to the RMO within four (4) business days of receipt of the request.     When the recipient can immediately fill the request, the recipient is to provide the  copy to the requestor and then send both a copy of the request and a copy of the  responsive information provided to the RMO.     Upon receipt of an Open Records Request for Public Information, the RMO will  calendar the request and work with appropriate staff members to obtain THE  responsive documents.  The Records Management Officer will make all copies and  provide the responsive documents to the requestor.    Departments that keep multiple copies of orders or resolutions available in their  respective work areas for members of the public may continue to provide copies of  those documents to the public without requiring a written request for records.   If a  department is providing a copy of an order or resolution that the department does  not normally keep multiple copies of for distribution to the public, then the requestor  should be required to complete an Open Records Request form.  This ensure the  request was filled within the time limits.      Staff does not have the authority to refuse to accept an Open Records Request or to  require that a requestor return on or resubmit a request on a subsequent date when  either the RMO or other staff member is available.  If the request is given verbally,  Staff should advise the Requestor that the District cannot accept verbal requests.   There are NO circumstances under which an open records request may be refused.   Even if the District does not maintain the requested records, the request must be  processed through the RMO.     If there are any questions, contact the RMO or the District Manager.  In their  absence, always take the Requestors Request of Information and forward to the  RMO.    Timing Issues  The District must “promptly produce” the requested information. What is considered  reasonable and prompt will vary depending on the number of documents sought by  the requestor. In some cases, the request may take weeks to fulfill. If it will take  longer than ten (10) business days to provide the records, the District must indicate  (in a written format) a set date and hour within a reasonable time that the  information will be available. The amount of time that the District has to produce  TCMUD 1 Page 55 of 145 Meeting Date: May 12, 2009 copies of records will vary depending on the amount of information that is  requested. There are six (6) situations that present timing deadlines for the  municipality, which are:    1) Notice to requestor that the District needs additional time to produce records. If  the District is unable to produce the requested record in ten (10) days, the District  must certify that fact in writing to the requestor and set a date and hour within a  reasonable time that the information will be available.    2) Notice to requestor that the District needs additional time to produce records that  are in active use or in storage. If the District needs additional time because the  records are in active use or in storage, the District must notify the requestor of this  fact. This notice must be given within ten (10) business days of the request. The  notice must set a date and hour within reasonable time that the information will be  available.    3) Notice to requestor of programming or manipulation costs. If production of the  requested information in a particular format would require additional computer  programming or manipulation of data, the District must provide written notice of this  fact. The notice must indicate that the information is not available in the requested  format. It must also state an estimated cost and the time that it would take to  provide the information in that format. The notice must include a description of the  forms in which the information is available and a description of any contract or  services that would be required to provide the information in the requested format.  This notice must be provided to the requestor within twenty (20) days of the receipt  of the request.    4) Request by a District for open records ruling from the Attorney General. If a  District plans to withhold certain documents or information, it must (in most cases)  request a ruling on the ability to withhold such information. The written request for  an Attorney General ruling must be made within ten (10) days of the receipt of the  request.    5) Notice to requestor that District sought an Attorney General ruling. The District  must provide written notice to a requestor if the District seeks an Attorney General  open records ruling on the request. This notice must be given within ten (10) business  days of the receipt of the request for records.    6) Notice to person or entity with proprietary interest in information of Attorney  General open record ruling request. If an open record request may result in the  release of proprietary information, the District must make a good faith attempt to  notify the person or entity that had such an interest of the open record ruling  request. The written notice must be sent within ten (10) business days of the date  TCMUD 1 Page 56 of 145 Meeting Date: May 12, 2009 that the original request for information. This type of notice must include the written  request for information and a statement that the person is entitled to submit a letter  to the Attorney General in support of withholding the information. The author must  inform the person that any such briefing must state each reason the person has as to  why the information should be withheld and the legal rationale supporting such an  assertion. This note must be provided within ten (10) days of the date the person  receives the written notice from the District.    Attorney General Ruling  The District is required to ask the Attorney General for an open records ruling in  almost all cases if the District wants to withhold the requested records or  information. If one believes that a particular document falls within one of the  statutory exceptions, this fact does not eliminate the need to request a ruling. If you  believe that your information is confidential, contact the RMO immediately. There are  four (4) items that must be provided with a request for an Attorney General’s ruling.  • The legal rationale for withholding the information;   • A copy of the open records request;  • A marked copy of the requested District record (reflecting the statutory or  common exemptions claimed);  • A signed statement or other evidence of when the District received the open  records request.    If an Attorney General ruling is sought, the District must provide notice to the  requestor within ten (10) days of the Open Records Request. This notice must include  a copy of the written communication that outlines the District’s rationale for  withholding the information.    The Attorney General has forty‐five (45) days to determine if the information should  be exempted from disclosure.    Inquiries to Determine the Intent of the Requestor  Staff cannot inquire as to the motives of the request for information. The District can  clarify the type of information that is actually being sought. The District can ask for  proper identification of the requestor.    Fees Associated with Open Records Request  Attached as Appendix B is a Fee Schedule from the Texas State Library for Open  Records Requests. Please refer to this schedule when charging for records or  information.    TCMUD 1 Page 57 of 145 Meeting Date: May 12, 2009 Appendix A    Designated Record Liaison Officers    Accounting/Finance ~ Renae Gonzales    Fire Department ~ Danny Thomas    Human Resources ~ Tammy Ard    MUD Administration ~ Mary Moore    Utility Billing ~ Dana McMahon  TCMUD 1 Page 58 of 145 Meeting Date: May 12, 2009 Appendix B  Open Records Request Fee Schedule Supplies, postage, shipping and third-party access or use charges will be billed at actual costs. The minimum fee for any service requiring an invoice is $1.00. Sources for the following quoted amounts may be found at: 13 TAC 2.51 and 1 TAC 111.61 – 111.70 Photocopies Standard-size (8.5 inches by 14 inches or smaller) copies: .10 cents/page Over-size (larger than 8.5 inches by 14 inches) copies: .50 cents/page Certification of copies: $1.00/instrument FAX Local: $.10 cents/page Long-distance, same area code: $.50 cents/page Long-distance, different area code: $1.00/page Other Diskette: $1.00 Magnetic Tape: $10.00/roll VHS Videocassette: $2.50/each Audiocassette: $1.00/each Color Transparencies: 4 inches by 5 inches (90 day rental) $30.00/each Duplicates of Archival Photographs $5.00/each (not including reproduction costs) TCMUD 1 Page 59 of 145 Meeting Date: May 12, 2009 APPENDIX C    TCMUD 1 Page 60 of 145 Meeting Date: May 12, 2009 TCMUD 1Page 61 of 145Meeting Date: May 12, 2009 TCMUD 1Page 62 of 145Meeting Date: May 12, 2009 TCMUD 1Page 63 of 145Meeting Date: May 12, 2009 TCMUD 1Page 64 of 145Meeting Date: May 12, 2009 TCMUD 1Page 65 of 145Meeting Date: May 12, 2009 TCMUD 1Page 66 of 145Meeting Date: May 12, 2009 TCMUD 1Page 67 of 145Meeting Date: May 12, 2009 TCMUD 1Page 68 of 145Meeting Date: May 12, 2009 TCMUD 1Page 69 of 145Meeting Date: May 12, 2009 TCMUD 1Page 70 of 145Meeting Date: May 12, 2009 TCMUD 1Page 71 of 145Meeting Date: May 12, 2009 TCMUD 1Page 72 of 145Meeting Date: May 12, 2009 TCMUD 1Page 73 of 145Meeting Date: May 12, 2009 TCMUD 1Page 74 of 145Meeting Date: May 12, 2009 TCMUD 1Page 75 of 145Meeting Date: May 12, 2009 TCMUD 1Page 76 of 145Meeting Date: May 12, 2009 TCMUD 1Page 77 of 145Meeting Date: May 12, 2009 TCMUD 1Page 78 of 145Meeting Date: May 12, 2009 TCMUD 1Page 79 of 145Meeting Date: May 12, 2009 TCMUD 1Page 80 of 145Meeting Date: May 12, 2009 TCMUD 1Page 81 of 145Meeting Date: May 12, 2009 TCMUD 1Page 82 of 145Meeting Date: May 12, 2009 TCMUD 1Page 83 of 145Meeting Date: May 12, 2009 TCMUD 1Page 84 of 145Meeting Date: May 12, 2009 TCMUD 1Page 85 of 145Meeting Date: May 12, 2009 TCMUD 1Page 86 of 145Meeting Date: May 12, 2009 TCMUD 1Page 87 of 145Meeting Date: May 12, 2009 TCMUD 1Page 88 of 145Meeting Date: May 12, 2009 TCMUD 1Page 89 of 145Meeting Date: May 12, 2009 TCMUD 1Page 90 of 145Meeting Date: May 12, 2009 TCMUD 1Page 91 of 145Meeting Date: May 12, 2009 TCMUD 1Page 92 of 145Meeting Date: May 12, 2009 TCMUD 1Page 93 of 145Meeting Date: May 12, 2009 TCMUD 1Page 94 of 145Meeting Date: May 12, 2009 TCMUD 1Page 95 of 145Meeting Date: May 12, 2009 TCMUD 1Page 96 of 145Meeting Date: May 12, 2009 TCMUD 1Page 97 of 145Meeting Date: May 12, 2009 TCMUD 1Page 98 of 145Meeting Date: May 12, 2009 TCMUD 1Page 99 of 145Meeting Date: May 12, 2009 2009 TCMUD 1 & 2 RECORDS RETENTION SCHEDULE 33 APPENDIX D  TCMUD 1 Page 100 of 145 Meeting Date: May 12, 2009 5000-02 COMPLAINTS Final settlement of complaint + 2 years. AV after indication made. 5000-03 CONFIDENTIALITY REQUESTS A. If indication of confidentiality is made in a customer account history. CONFIDENTIALITY REQUESTS B. If indication of confidentiality is not made in a customer account history. Until destruction of all records that contain personal information about the customer. Exempt from destruction request requirement 5000-04 CUSTOMER BILLING RECORDS (All other government utilities, if records document the payment of any monies remittable to the State Comptroller of Public Accounts. FE + 5 years. 5000-06 CUSTOMER USAGE REPORTS AND PLANS 3 years. 5000-07 DISCONTINUANCE OF SERVICE RECORDS 1 year. Exempt from destruction request requirement TCMUD 1Page 101 of 145Meeting Date: May 12, 2009 US + 1 year. 5000-09 EQUIPMENT INVENTORY RECORDS A. For a complete inventory that is periodically revised and reprinted. EQUIPMENT INVENTORY RECORDS B. For an inventory that is maintained on cards or similar discrete media. PERMANENT - Records of individual items may be pulled from a card or similar file and destroyed when the item is junked or salvaged. Exempt from destruction request requirement 5000-10 MAPS AND PLATS US Review before disposal; some maps may merit permanent retention for historical reasons. Exempt from destruction request requirement 5000-11 METER READING RECORDS 3 years. 5000-12 OPERATION AND MAINTENANCE MANUALS US Exempt from destruction request requirement TCMUD 1Page 102 of 145Meeting Date: May 12, 2009 PERMANENT. 5000-13 PLANNING STUDIES AND REPORTS A. Special planning studies or reports prepared by order or request of the governing body or considered by the governing body (as reflected in its minutes) or ordered or requested by a state or federal agency or a court. PLANNING STUDIES AND REPORTS B. All other planning reports or studies. 10 years Review before disposal; many records of this type may merit permanent or long-term retention for administrative or historical reasons. See also item number 1000-39 in Local Schedule GR (Records Common to All Local Governments) 5000-15 RATE SCHEDULES, REGULATIONS, AND CHANGE DOCUMENTATION a. Maintained by a local government as operator of a utility. PERMANENT 1 year. Exempt from destruction request requirement. 5000-16 SERVICE APPLICATION AND DEPOSIT RECORDS a) Service applications, unless needed for (b). SERVICE APPLICATION AND DEPOSIT RECORDS b) Receipts, refund cards, and related records documenting customer deposits and refunds. FE of refund of deposit or its credit to unpaid balance + 3 years. TCMUD 1Page 103 of 145Meeting Date: May 12, 2009 SERVICE APPLICATION AND DEPOSIT RECORDS c) Records of unclaimed deposits. 4 years. By regulation - 30 TAC 91.84(f)(3) for water utilities. 5000-17 SERVICE INTERRUPTION RECORDS 3 years. 5000-18 STANDARDS AND SPECIFICATIONS FILES AV Exempt from destruction request requirement 5000-19 WORK ORDERS 2 years 5025-01 BACTERIOLOGICAL ANALYSIS RECORDS 5 years 5025-02 CHEMICAL ANALYSIS RECORDS 10 years 5025-03 GROUNDWATER MONITORING RECORDS 3 years 5025-05 LEAD AND COPPER COMPLIANCE RECORDS 12 years TCMUD 1Page 104 of 145Meeting Date: May 12, 2009 5025-06 OPERATIONAL PERMITS AND APPROVALS Expiration, cancellation, revocation, or denial + 5 years. 5025-07 OPERATIONS RECORDS 3 years. 3 years. 5025-08 REPORTS TO REGULATORY AUTHORITIES a) Periodic reports compiled and submitted on less than an annual basis. REPORTS TO REGULATORY AUTHORITIES b) Annual and biennial reports or special reports ordered or required by a regulatory authority. PERMANENT 5025-09 SANITARY SURVEYS 10 years 5025-10 TAP AND HOOK-UP LOGS PERMANENT TCMUD 1Page 105 of 145Meeting Date: May 12, 2009 5025-11 VIOLATION REPORTS 3 years after last action taken with respect to the particular violation. Expiration, cancellation, revocation, or denial of the permit + 5 years. 5025-12 WATER AND WASTEWATER PERMIT FILES a) Applications for and similar records relating to the issuance and renewal of permits by a local government for the installation of septic tanks, water and sewer taps and hook-ups, and water meters; for waste discharge; and for other water or wastewater-related installations or activities required by ordinance, regulation, or statute (for logs of such permits see item numbers 5025-10 and 5025-13). WATER AND WASTEWATER PERMIT FILES b) Records concerning variances or exemptions. Expiration of variance or exemption + 5 years. 5025-13 WATER AND WASTEWATER PERMIT LOGS PERMANENT. TCMUD 1Page 106 of 145Meeting Date: May 12, 2009 Government TROPHY CLUB MUNICIPAL UTILITY DISTRICT No. 1 Office (if Applicable) Department (If Applicable) Address 100 MUNICIPAL DRIVE LOCAL GOVERNMENT RECORDS CONTROL SCHEDULE Pursuant to Local Government Code § 203.041 Texas State Library and Archives Commission SLR 500 (2/93) City TROPHY CLUB Zip 76262 Telephone 682-831-4685 Records Management Officer ORIGINAL FILING AMENDED FILING Date ___5/8/2009____ Page ____7____ of ____7____ RETENTION PERIOD RECORD NUMBER RECORD TITLE OFFICE STORAGE TOTAL DISPOSITION X 5025-14 WATER AND WASTEWATER TREATMENT SLUDGE RECORDS c) Monitoring information relating to sewage sludge use and disposal activities. WATER AND WASTEWATER TREATMENT SLUDGE RECORDS d) Trip tickets completed by transporter and retained by generator of sludge. 5 years 5025-15 WATER POLLUTION CONTROL AND ABATEMENT FILES 5 years TCMUD 1Page 107 of 145Meeting Date: May 12, 2009 Trophy Club Entities 100 Municipal Drive Trophy Club, TX 76262 File Number: 09-66-M1 File ID: Type: Status: 09-66-M1 M1 Order Regular Session 1Version: Reference: In Control: Trophy Club Municipal Utility District No. 1 04/23/2009File Created: Final Action: *File Name: Title: Discuss and take appropriate action regarding Order 2009-0512-B, adopting a revised Drought Contingency Plan. Notes: Agenda Date: 05/12/2009 Sponsors: Enactment Date: M1-Order-2009-0512-B-RvsdDroughtContingencyPla n.pdf ,2009 Revised Drought Contingency Plan.pdf Attachments: Enactment Number: Hearing Date: Contact: Effective Date: *Entered by: mmoore@trophyclub.org History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 05/12/2009Trophy Club Municipal Utility District No. 1 Text of Legislative File 09-66-M1 Discuss and take appropriate action regarding Order 2009-0512-B, adopting a revised Drought Contingency Plan. MUDs are required under Section 11.1272 of the Texas Water Code as well as under Texas Administrative Code Title 30, Part 1, Chapter 288, Subchapter B, Rule 288.20 and Rule 288.22, to update/revise the Drought Contingency Plan. The last Plan was approved/adopted in 2000 by Resolution 2000-0822. Staff recommends review and approval of attached Order, adopting a revised Drought Contingency Plan. Because we have fewer than 3,300 connections and serve less than 10,000 customers, we will not need to submit this Plan to the State/TCEQ. TCMUD 1 Page 108 of 145 Meeting Date: May 12, 2009 TROPHY CLUB MUNICIPAL UTILITY DISTRICT No. 1  Order No. 2009 – 0512‐B      AN ORDER OF THE BOARD OF DIRECTORS OF TROPHY  CLUB MUNICIPAL UTILITY DISTRICT NO. 1 (TCMUD 1)  ADOPTING A REVISED DROUGHT CONTINGENCY PLAN.       WHEREAS, Trophy Club Municipal Utility District No. 1 (TCMUD 1) is a water  district operating pursuant to Chapter 54 of the Texas Water Code; and      WHEREAS, the Board of Directors of TCMUD 1, as a provider of water services  in Trophy Club, finds that the conservation of water and protection of water supplies  are in the best interest of its citizens;     WHEREAS, the Board recognizes that natural limitation due to drought  conditions and other acts of God cannot guarantee an uninterrupted water supply  for all purposes;      WHEREAS, Section 11.1272 of the Texas Water Code and applicable rules of the  Texas Commission on Environmental Commission require all public water supply  systems in Texas to review and revise their drought contingency plan; and     WHEREAS, as authorized under law, and in the best interests of the customers  of TCMUD 1, the Board deems it expedient and necessary to establish certain rules  and policies for the orderly and efficient management of limited water supplies  during drought and other water supply emergencies.       NOW THEREFORE, BE IT ORDERED BY THE BOARD OF DIRECTORS OF  TCMUD 1, THAT:     1.   That the Revised Drought Contingency Plan attached hereto as  Exhibit A and made part hereof for all purposes be, and the same is hereby,  adopted as the official policy of TCMUD 1.    2. That the District Manager is hereby directed to implement,  administer and enforce the Drought Contingency Plan.    3. That this Plan shall take effect immediately upon its passage.  TCMUD 1 Page 109 of 145 Meeting Date: May 12, 2009     PASSED, APPROVED AND SIGNED BY THE BOARD OF DIRECTORS of Trophy  Club Municipal Utility District No. 1 on this 12th day of May, 2009.           ____________________________  Dean Henry  President, TCMUD 1                 (SEAL)        ____________________________  Constance S. White  Secretary, TCMUD 1      TCMUD 1 Page 110 of 145 Meeting Date: May 12, 2009 Revised Drought Contingency Plan   for  Trophy Club Municipal Utility District No. 1   and  Trophy Club Municipal Utility District No. 2   ~ TCMUD 1 & TCMUD 2 ~    Section I: Declaration of Policy Purpose, and Intent    The purpose of this Drought Contingency and Emergency Water Management Plan  (subsequently referred to as the Plan) is as follows:    • To conserve the available water supply in times of drought and emergency  • To maintain supplies for domestic water use, sanitation, and fire protection  • To protect and preserve public health, welfare, and safety  • To minimize the adverse impacts of water supply shortages  • To minimize the adverse impacts of emergency water supply conditions    Water uses regulated or prohibited under this Plan are considered to be non‐essential  and continuation of such uses during times of water shortage or other emergency  water supply conditions are deemed to constitute a waste of water which subjects  the offender(s) to penalties, as defined in Section X (Enforcement) of this Plan.    Section II: Public Involvement    Opportunity of the public to provide input into the preparation of the Plan was  provided by TCMUD 1 & 2 by means of one (1) public meeting to accept input on the  Plan.    Section III: Public Education    TCMUD 1 & 2 will periodically provide the public with information about the Plan,  including information about the conditions under which each stage of the Plan is to  be initiated or terminated and the drought response measures to be implemented in  each stage.  This information will be provided by means of press releases, posting of  the Plan on MUD webpage, and via utility bill messages and/or inserts.  TCMUD 1 Page 111 of 145 Meeting Date: May 12, 2009 Section IV: Coordination with Regional Water Planning Groups    TCMUD 1 & 2 purchase water from City of Fort Worth Water Department, which is  mixed with water from several water wells of TCMUD 1 & 2. In accordance with  Section 2.3 of the wholesale contract with City of Fort Worth, TCMUD 1 & 2 will  institute and apply the same rationing, conservation measures or and/or restrictions  for the use of water by our customers for so long as TCMUD 1 & 2 purchase water  from City of Fort Worth.    The service area of TCMUD 1 & 2 is located within the Region C: North Texas  Municipal Water District and TCMUD 1 & 2 will provide a copy of this Plan to North  Texas Municipal Water District.  A copy of this Plan will also be provided to the City of  Fort Worth.    Section V: Authorization to Initiate Drought / Emergency Water  Management Stage    The Board of Directors for TCMUD 1 & 2 and the District Manager, or his/her designee,  is hereby authorized and directed to implement the applicable provisions of this Plan  upon determination that one or more triggers for that stage is met and upon  notification by City of Fort Worth.      Section VI: Application    The provisions of this Plan shall apply to all persons, customers, and property utilizing  potable water provided by TCMUD 1 & 2.  The terms “person” and “customer” as  used in the Plan include individuals, corporations, partnerships, associations, and all  other legal entities.  The Plan does not apply to locations using treated wastewater  effluent or private wells.    Section VII: Definitions    For the purposes of this Plan, the following definitions shall apply:    Aesthetic water use:  Water use for ornamental or decorative purposes such as  fountains, reflecting pools, and water gardens.    Commercial and institutional water use:  Water use that is integral to the operations  of commercial and non‐profit establishments and governmental entities such as retail  establishments, hotels and motels, restaurants, and office buildings.    Conservation: Those practices, techniques, and technologies that reduce the  consumption or water, reduce the loss or waste of water, improve the efficiency in  TCMUD 1 Page 112 of 145 Meeting Date: May 12, 2009 the use of water or increase the recycling and reuse of water so that a supply is  conserved and made available for future or alternative uses.    Customer:  Any person, company, or organization using water supplied by TCMUD 1  and/or TCMUD 2.    District:  Trophy Club Municipal Utility District No. 1 (“TCMUD 1”) and/or Trophy Club  Municipal Utility District No. 2 (“TCMUD 2”) either separately or acting jointly as the  Trophy Club Master District as the governmental entities in the Town of Trophy Club  that provide water, sewer and fire protection services to customers within their  boundaries or to customers outside their boundaries by contract with the Town of  Trophy Club.    District Manager:  The full‐time, paid, chief administrator for the District.    Domestic Water Use:  Water use for personal needs or for household or sanitary  purposes such as drinking, bathing, heating, cooking, sanitation, or for cleaning a  residence, business, industry, or institution.    Drought:  Generally a lack of adequate water to supply needs or replenish supplies  used.    Even number address:  Street addresses, box numbers, or rural postal route numbers  ending in 0, 2, 4, 6 or 8 and locations without addresses.    Industrial Water Use: The use of water in processes designed to convert materials of  lower value into forms having greater usability and value.    Landscape Irrigation Use:  Water used for the irrigation and maintenance of  landscaped areas, whether publicly or privately owned, including residential and  commercial lawns, gardens, golf courses, parks and rights‐of‐way and medians.    Municipal Utility Districts:  Trophy Club Municipal Utility District No. 1 (“TCMUD 1”)  and/or Trophy Club Municipal Utility District No. 2 (“TCMUD 2”) either separately or  acting jointly as the Trophy Club Master District as the governmental entities in the  Town of Trophy Club that provide water, sewer and fire protection services to  customers within their boundaries or to customers outside their boundaries by  contract with the Town of Trophy Club.    Non‐essential water use:  Water uses that are neither essential nor required for the  protection of public, health, safety, and welfare, including:    a. Irrigation of landscape areas, including areas, including parks, athletic fields,  and golf courses, except otherwise provided under this Plan;  TCMUD 1 Page 113 of 145 Meeting Date: May 12, 2009 b. Use of water to wash any motor vehicle, motorbike, boat, trailer, airplane or  other vehicle;   c. Use of water to wash down any sidewalks, walkways, driveways, parking lots,  tennis courts, or other hard‐surfaced areas;  d. Use of water to wash down buildings or structures for purposes other than  immediate fire protection;  e. Flushing gutters or permitting water to run or accumulate in any gutter or  street;  f. Use of water to fill, refill, or add to any indoor or outdoor swimming pools or  Jacuzzi‐type pools;  g. Use of water in a fountain or pond for aesthetic or scenic purposes except  where necessary to support aquatic life;  h. Failure to repair a controllable leak(s) within a reasonable period after having  been given notice directing the repair of such leak(s); and  i. Use of water from hydrants for construction purposes or any other purposes  other than fire fighting.    Odd numbered address:  Street addresses, box numbers, or rural postal route  numbers ending in 1, 3, 5, 7 or 9.    Person:  Any Person, entity, firm, partnership, association, corporation, company, or  organization of any kind.    Rationing:  Limits the amount of water than can be used.    Water:  Water taken from any public water supply or distribution system within the  boundaries of the districts, potable or non‐potable, and means either raw or potable  water.    Section VIII: Criteria for Initiation and Termination of Drought  Response Stages    The District Manager, or his/her designee, shall monitor water supply and/or demand  conditions on a monthly basis during non‐trigger times and a daily basis during  trigger times and shall determine when conditions warrant initiation or termination  of each stage of the Plan, that is, when the specified “triggers” are reached.    The triggering criteria described below are based on many conditions.  First, because  the City of Fort Worth is the primary water provider, TCMUD 1 & 2 will adhere to the  triggers established by City of Fort Worth, through notification procedures  established in the agreement.  Second, identified local conditions will be used to  implement the stages listed below.  Local conditions include known system capacity,  time of the year, weather conditions, and staff monitoring of the water supply.  TCMUD 1 Page 114 of 145 Meeting Date: May 12, 2009   Notification     Notification of the Public:   The District Manager or his/her designee shall notify the public by means of:     1. Publication in newspaper of general circulation;    2. Public Service announcements (cable channel and/or website,  marquees, list‐serve);  3. Signs posted in public places.    Additional Notification:  The District Manager or his/her designee shall notify directly, or cause to be notified  directly, the following individuals and entities:    1. Board of Directors for TCMUD 1 & 2 (Direct Notice);    2. Mayor, Town Manager, and Town Council Members (Direct Notice);    3. Fire Chief (Direct Notice);    4. TCEQ (Texas Commission on Environmental Quality) (required when  mandatory restrictions are imposed);    5. Major water users; and/or    6. Parks / Street Superintendents and Public Facilities Managers      TCMUD 1 Page 115 of 145 Meeting Date: May 12, 2009 Stage 1 Response Triggers ~ Water Watch (Mild)    Triggering Conditions    • Water demand reaches or exceeds 90% of reliable delivery capacity for three  (3) consecutive days.     • Contamination of City of Fort Worth’s water treatment or distribution system.    • Inadequate delivery capacity by City of Forth Worth.    • Failure or damage of/to City of Fort Worth’s water supply system.     • Water demand approaches a reduced delivery capacity for all or part of the  system due to supply or production capacity limitation including  contamination of the system.    • Pursuant to requirements established in the agreement with City of Fort  Worth, notification is received requesting initiation of the Stage 1 of their  Drought Contingency Plan.    Requirements for Termination    Stage 1 may terminate when City of Fort Worth terminates its Stage 1 condition or  when the circumstance that caused the initiation of Stage 1 no longer prevails.    Goal for Use Reduction for Stage 1    The goal for water‐use reduction under Stage 1, Water Watch, is five percent (5%). If  circumstances warrant or if required by the City of Fort Worth, the District Manager or  his/her official designee, can set a goal for greater water use reduction.    All Water Users    • Initiate mandatory restrictions to prohibit non‐essential water use as follows:    o Prohibit hosing of paved areas, such as sidewalks, driveways, parking  lots, tennis courts, patios, or other impervious surfaces, except to  alleviate an immediate health or safety hazard.    o Prohibit hosing of buildings or other structures for purposes other  than fire protection or surface preparation prior to painting.    TCMUD 1 Page 116 of 145 Meeting Date: May 12, 2009 o Prohibit using water in such a manner as to allow runoff or other  waste, including:    ƒ Failure to repair a controllable leak, including a broken sprinkler  head, a leaking valve, leaking or broken pipes, or a leaking faucet;     ƒ Operating a permanently installed irrigation system with: (a) a  broken head; (b) a head that is out of adjustment and the arc of the  spray head is over a street or parking lot; or (c) a head that is  misting because of high water pressure; or    ƒ During irrigation, allowing water (a) to run off a property and form  a stream of water in a street for a distance of 50 feet or greater; or  (b) to pond in a street or parking lot to a depth greater than one‐ quarter of an inch.    • Prohibit outdoor watering with sprinklers or irrigation systems between 10  a.m. and 6 p.m.    • Limit landscape watering with sprinklers or irrigation systems at each service  address to a twice per week schedule as outlined below. This includes  landscape watering of parks, golf courses, and sports fields. Wholesale  customers may use a different watering schedule than the one below as long  as it limits each service address to a twice per week schedule; however, use of  the same schedule would simplify the messages passed to customers through  the news media.    o Residential addresses ending in an even number (0, 2, 4, 6, or 8) may  water on Wednesdays and Saturdays.    o Residential addresses ending in an odd number (1, 3, 5, 7 or 9) may  water on Thursdays and Sundays.    o All non‐residential locations (apartment complexes, businesses,  industries, parks, medians, etc.) may water on Tuesdays and Fridays.      Exceptions:    ƒ Foundations may be watered up to two hours on any day using a  handheld hose, soaker hose or drip irrigation system placed within  24‐inches of the foundation that does not produce a spray of water  above the ground.     TCMUD 1 Page 117 of 145 Meeting Date: May 12, 2009 ƒ Newly installed shrubs (first year) and trees (two years) may be  watered up to two hours on any day by handheld hose, drip  irrigation, a soaker hose or tree bubbler. Tree watering is limited to  an area not to exceed the drip line of a tree.    ƒ Outdoor watering at service addresses with large multi‐station  irrigation systems may take place in accordance with a variance  granted by the District Manager, if the District Manager determines  that a property cannot be completely irrigated with an average of  three‐quarters of an inch of water in a single day, and that the  property should be divided into sections to be irrigated on different  days.     ƒ Establishing new turf is discouraged. If hydro mulch, grass sod, or  grass seed is installed for the purpose of establishing a new lawn,  there are no watering restrictions for the first 30 days while it is  being established. After that, the watering restrictions set forth in  this stage apply. (This does not include overseeding with rye since  turf already exists.)     ƒ Golf courses may water greens and tee boxes without restrictions,  however watering must be done before 10 a.m. and after 6 p.m.  Fairways are restricted to twice per week watering as outlined  above. Golf course rough is restricted to once per week watering.    ƒ Skinned areas of sports fields may be watered as needed for dust  control.    ƒ Professional sports fields (playing fields within a stadium only – not  surrounding landscaping) may be watered as needed to maintain  league standards.     ƒ All users are encouraged to reduce the frequency of draining and  refilling swimming pools.    ƒ All users are encouraged to use native and adapted drought  tolerant plants in landscaping.    ƒ Washing of any motor vehicle, motorbike, boat, trailer, airplane, or  other vehicle shall be limited to the use of a hand‐held bucket or a  hand‐held hose equipped with a positive‐pressure shutoff nozzle  for quick rinses. Vehicle washing may be done at any time on the  premises of a commercial car wash or commercial service station.  Companies with an automated on‐site vehicle washing facility may  TCMUD 1 Page 118 of 145 Meeting Date: May 12, 2009 wash its vehicles at anytime. Further, such washing may be exempt  from these requirements if the health, safety, and welfare of the  public are contingent upon frequent vehicle cleansing, such as  garbage trucks and vehicles used to transport food and  perishables.      MUD Requirements during Stage 1    In addition to the actions listed above:    • Review conditions and problems that caused Stage 1 and take corrective  action.    • Increase public education efforts on ways to reduce water use.    • Increase enforcement efforts.    • Intensify leak detection and repair efforts.    Commercial Customers    • All actions listed above for all water users apply to commercial users.    • Hotels, restaurants, and bars are encouraged to serve drinking water to  patrons on an “on‐demand” basis.    • Hotels are encouraged to implement laundry conservation measures by  encouraging patrons to reuse linens and towels.      TCMUD 1 Page 119 of 145 Meeting Date: May 12, 2009 Stage 2 Response Triggers – Water Warning    Triggering Conditions for Stage 2    • Water demand reaches or exceeds 95% of reliable delivery capacity for  three consecutive days. The delivery capacity could be citywide or in a  specified portion of the system.    • Contamination of the water supply source(s) or water supply system.    • Demand for all or part of the delivery system equals or exceeds delivery  capacity because delivery capacity is inadequate.    • Water supply system is unable to deliver water due to the failure or  damage of major water system components.    Requirements for Termination    Stage 2 may terminate when City of Fort Worth terminates its Stage 2 condition or  when the circumstance that caused the initiation of Stage 2 no longer prevails.    Goal for Use Reduction for Stage 2    The goal for water use reduction under Stage 2 – Water Warning is to decrease use  by 10 percent (10%). If circumstances warrant or if required by the City of Fort Worth,  the District Manager or his/her official designee can set a goal for greater water use  reduction.    MUD Requirements during Stage 2    The District Manager or his/her official designee may order the implementation of  any of the actions listed below, as deemed necessary.  The District Manager or his/her  official designee must implement any actions(s) required by the City of Fort Worth.    • Continue or initiate any actions available under Stage 1.    All Water Users    • Limit landscape watering with sprinklers or irrigation systems to a once per  week schedule at each service address as determined by the District Manager.  This includes landscape watering at parks, golf courses, and sports fields.  Wholesale customers may use a different watering schedule than the one  used for Fort Worth retail customers as long as it limits each service address  TCMUD 1 Page 120 of 145 Meeting Date: May 12, 2009 to once per week schedule; however, use of the same schedule would simplify  the messages passed to customers through the news media.    Exceptions:    o Foundations may be watered up to two hours on any day by handheld  hose; or using a soaker hose or drip irrigation system placed within 24‐ inches of the foundation that does not produce a spray of water above  the ground.     o Newly installed shrubs (first year) and trees may be watered up to two  hours on any day by handheld hose, drip irrigation, or a soaker hose.  Tree watering is limited to an area not to exceed the drip line of a tree.    o Outdoor watering at service addresses with large multi‐station  irrigation systems may take place in accordance with a variance  granted by the District Manager, if the District Manager determines  that a property can not be completely irrigated with an average of  three‐quarters of an inch of water in a single day, and that the property  should be divided into sections to be irrigated on different days.     o Golf courses may water greens and tee boxes as needed to keep them  alive, however watering must be done before 10 a.m. and after 6 p.m.  Fairways are restricted to once per week watering as outlined above.  Golf course rough cannot be watered.    o Watering for dust control on skinned areas of sport fields is not  allowed.    o Professional sports fields (playing fields within a stadium only – not  surrounding landscaping) may be watered as needed to maintain  league standards.     o All users are encouraged to wait until the current drought or  emergency situation has passed before establishing new landscaping  and turf. If hydromulch, grass sod, or grass seed is installed for the  purpose of establishing a new lawn, there are no watering restrictions  for the first 30 days while it is being established. After that, the  watering restrictions set forth in this stage apply. (This does not  include overseeding with rye since turf already exists.)     • Prohibit use of water for dust control, except to protect public health.    TCMUD 1 Page 121 of 145 Meeting Date: May 12, 2009 • Prohibit the operation of ornamental fountains or ponds that use  potable water except where necessary to support aquatic life or where  such fountains or ponds are equipped with a recirculation system.    • Prohibit filling of swimming pools with automatic valves.    District’s Responsibility    • Review conditions or problems that caused Stage 2 and take corrective  action.    • Increase frequency of media releases on water supply conditions.    • Further accelerate public education efforts on ways to reduce water  use.    • Eliminate non‐essential water use. As used herein, non‐essential water  uses are those that do not have any health or safety impact and are not  needed to meet the core function of the agency.    • Prohibit wet street sweeping.    • TCMUD 1 & 2 will implement the same stage and measures in  accordance with Section 2.3 of our wholesale water contract, and will  institute and apply the same rationing, conservation measures or  restrictions to the use of water by our customers for so long as any  part of our total water supply is being furnished by Fort Worth.    Commercial Customers    • All actions listed above for all water users apply to commercial and  industrial users.    • Use of water from fire hydrants for any purpose other than firefighting  related activities or other activities necessary to maintain public health,  safety and welfare requires a special permit issued by the District  Manager. Fire hydrant use may be limited to only designated hydrants.    TCMUD 1 Page 122 of 145 Meeting Date: May 12, 2009 Stage 3 Response Triggers – Emergency Water Use    Triggering Conditions for Stage 3    • Water demand has reached or exceeds 98% of reliable delivery capacity  for one (1) day.     • Contamination of the water supply source(s) or water supply system.    • Demand for all or part of the delivery system exceeds delivery capacity  because delivery capacity is inadequate.    • Water supply system is unable to deliver water due to the failure or  damage of major water system components.    Terminating Conditions for Stage 3    Stage 3 may terminate when the City of Fort Worth terminates its Stage 3 condition  or when the circumstances that caused the initiation of Stage 3 no longer prevail.    Goals for Use Reduction for Stage 3    The goal for water use reduction under Stage 3, Emergency Water Use, is to decrease  use by 20 percent (20%). If circumstances warrant or if required by the City of Fort  Worth, the District Manager or his/her official designee can set a goal for a greater  water use reduction.    Actions Available for Stage 3    The District Manager or his/her official designee may order the implementation of  any of the actions listed below, as deemed necessary. The District Manager or his/her  official designee must implement any action(s) required by the City of Fort Worth  Water Department.    • Continue or initiate any actions available under Stages 1 and 2.    All Water Users    • Prohibit landscape watering, including at parks, golf courses, and  sports fields.    TCMUD 1 Page 123 of 145 Meeting Date: May 12, 2009 Exceptions:    o Foundations may be watered up to two hours on any day by handheld  hose; or using a soaker hose or drip irrigation system placed within 24‐ inches of the foundation that does not produce a spray of water above  the ground.   o Trees may be watered up to two hours on any day by handheld hose,  drip irrigation, or a soaker hose. Tree watering is limited to an area not  to exceed the drip line of a tree.     o Golf course greens only may be watered by hand‐held hose as needed  to keep them alive, however watering must be done before 10 a.m.  and after 6 p.m.    o Professional sports fields (playing fields with a stadium only – not  surrounding landscaping) may be watered as needed to maintain  league standards.    • Prohibit establishment of new landscaping.    • Vehicle washing restricted to commercial car wash, commercial service  station or a private on‐site vehicle washing facility and can only be done as  necessary for health, sanitation, or safety reasons, including but not  limited to the washing of garbage trucks and vehicles used to transport  food and other perishables. All other vehicle washing is prohibited.     • Prohibit the operation of ornamental fountains or ponds that use potable  water except where necessary to support aquatic life.    • Prohibit the draining, filling, or refilling of swimming pools, wading pools  and Jacuzzi type pools. Existing private and public pools may add water to  maintain pool levels; however they may not be refilled using automatic fill  valves.    District’s Responsibility    In addition to actions listed above:    • Continue or initiate any actions available under Stages 1 and 2.    • Review conditions or problems that caused Stage 3 and take corrective  action.    • Implement viable alternative water supply strategies.  TCMUD 1 Page 124 of 145 Meeting Date: May 12, 2009   • Increase frequency of media releases explaining emergency situation.    • Reduce district and city government water use to maximum extent  possible.  • Prohibit the permitting of new swimming pools, Jacuzzi type pools, spas,  ornamental ponds and fountain construction. Pools already permitted and  under construction may be completely filled with water.    • TCMUD 1 & 2 will implement the same stage and measures in accordance  with Section 2.3 of the wholesale water contract with City of Fort Worth.  Per the contract, TCMUD 1 & 2 are required to institute and apply the same  rationing, conservation measures or restrictions to the use of water by our  customers for so long as any part of our total water supply is being  furnished by Fort Worth.    Commercial Customers    • All actions listed above for all water users apply to commercial and  industrial users.    • Hotels, restaurants, and bars are required to serve drinking water to  patrons on an “on demand” basis.    • Hotels are required to implement laundry conservation measures by  encouraging patrons to reuse linens and towels.    • Commercial water users will be required to reduce water use by a set  percentage determined by the District Manager.    • Use of water from hydrants for any purpose other than firefighting‐  related activities or other activities necessary to maintain public health,  safety and welfare requires a special permit issued by the District  Manager. Fire hydrant use may be limited to only designated hydrants.       TCMUD 1 Page 125 of 145 Meeting Date: May 12, 2009 Section IX: Procedures for Granting Variances to the Plan    The District Manager or his/her official designee may grant temporary variances for  existing water uses otherwise prohibited under this Drought Contingency Plan if one  or more of the following conditions are met:    • Failure to grant such a variance would cause an emergency condition  adversely affecting health, sanitation, or fire safety for the public or the  person requesting the variance.    • Compliance with this plan cannot be accomplished due to technical or other  limitations.    • Alternative methods that achieve the same level of reduction in water use can  be implemented.    Variances shall be granted or denied at the discretion of the District Manager or  his/her official designee. All petitions for variances should be in writing and should  include the following information:    • Name and address of the petitioner(s)  • Purpose of water use  • Specific provisions of the Plan from which the petitioner is requesting relief  • Detailed statement of the adverse effect of the provision from which relief is  requested  • Description of the relief requested  • Period of time for which the variance is sought  • Alternative measures that will be taken to reduce water use  • Other pertinent information.      TCMUD 1 Page 126 of 145 Meeting Date: May 12, 2009 Section X:  Enforcement Procedures for Mandatory Water Use  Measures    a. No person shall knowingly or intentionally allow the use of District  water for residential, commercial, industrial, agricultural,  governmental, or any other purpose in a manner contrary to any  provision of this Plan, or in an amount in excess of that permitted by  the Drought Response Stage in effect at the time pursuant to action  taken by Board of Directors of TCMUD 1 & 2 or the District Manager, or  his/her designee, in accordance with the provisions of this Plan.    b. Any person who violates this Plan may be subject to a civil penalty of  not more than five thousand dollars ($5,000.00), plus reasonable fees  to the District for attorneys, expert witnesses, and other costs incurred  by the District before the courts with the amount of the attorneys’ fees  to be fixed by the court.  Each day that one or more of the provisions in  the Plan is violated shall constitute a separate offense.  If a person is  found to have committed three (3) or more distinct violations of this  Plan, the District Manager shall, upon due notice to the customer, be  authorized to discontinue water service to the premises where such  violations occur.  Services discontinued under such circumstances shall  be restored only upon payment of a reconnection charge, hereby  established at twenty five dollars ($25.00) and any other costs incurred  by the District for discontinuing water service.  In addition, suitable  assurance must be given to the District Manager that the same action  shall not be repeated while the Plan is in effect.  Compliance with this  Plan may also be sought through injunctive relief in the District Court.     c. Any Person, including a Person classified as a water customer of the  District, in apparent control of the property where a violation occurs or  originates, shall be presumed to be the violator, and proof that the  violation occurred on the person’s property shall constitute a  rebuttable presumption that the person in apparent control of the  property committed the violation.  Parents shall be presumed to be  responsible for violations of their minor children and proof that a  violation, committed by a child, occurred on property within the  parents’ control shall constitute a rebuttable presumption that the  parent committed the violation, but any such parent may be excused if  he/she proves that he/she had previously directed the child not to use  the water as it was used in violation of this Plan and that the parent  could not have reasonably known of the violation.    TCMUD 1 Page 127 of 145 Meeting Date: May 12, 2009 TMUD 1 & 2 Revised Drought Contingency Plan ~ May 2009 18 d. Any supervisory employee of the District, Police Officer, or other  employee designated by the District Manager, may issue a written  notice of violation to a person he/she reasonably believes to be in  violation of this Plan.  The notice shall contain the name and address of  the alleged violator, if known, and the offense charged.  Service of the  notice shall be complete upon delivery to the alleged violator, to an  agent or employee of the violator, or to a person over fourteen (14)  years of age who is a member of the violator’s immediate family or is a  resident of the violator’s residence.  The District may sue to recover  the civil penalty in a Justice Court of Denton County, Texas.    Section XI Review and Update of Drought Contingency Plan    As required by TCEQ rules, TCMUD 1 & 2 will review this Drought Contingency Plan  before May 2014 and at least every five years thereafter.  The Plan will be updated as  appropriate, based on new or updated information.      TCMUD 1 Page 128 of 145 Meeting Date: May 12, 2009 Trophy Club Entities 100 Municipal Drive Trophy Club, TX 76262 File Number: 09-67-M1 File ID: Type: Status: 09-67-M1 M1 Agenda Item Regular Session 1Version: Reference: In Control: Trophy Club Municipal Utility District No. 1 04/29/2009File Created: Final Action: *File Name: Title: Review and Approve Minutes: a. April 14, 2009 - Regular Session b. April 14, 2009 - Joint Session Notes: Agenda Date: 05/12/2009 Sponsors: Enactment Date: M1 Minutes 041409.pdf ,M1-M2Joint Minutes 041409.pdf Attachments: Enactment Number: Hearing Date: Contact: Effective Date: *Entered by: mmoore@trophyclub.org History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 05/12/2009Trophy Club Municipal Utility District No. 1 Text of Legislative File 09-67-M1 Review and Approve Minutes: a. April 14, 2009 - Regular Session b. April 14, 2009 - Joint Session [Enter body here.] TCMUD 1 Page 129 of 145 Meeting Date: May 12, 2009 MINUTES OF REGULAR SESSION TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 APRIL 14, 2009 The Board of Directors of the Trophy Club Municipal Utility District No. 1 of Denton and Tarrant Counties met in Regular Session on Tuesday, April 14, 2009, in the Boardroom of the Administration Building, 100 Municipal Drive, Trophy Club, Texas 76262. DIRECTORS PRESENT: Dean Henry President Gary Cantrell Vice President Connie White Secretary/Treasurer Jim Hase Asst. Secretary/Treasurer Neil Twomey Director STAFF AND GUESTS PRESENT: Robert Scott District Manager Kathy DuBose Finance Director Danny Thomas Fire Chief Mary Moore MUD Secretary Mike Pastor IT Manager Bob West MUD 1 Attorney Peggy Sweeney 51 Meadowbrook Drive Bill Rose 219 Inverness Drive Steven Kohs MUD 2 Director Greg Lamont 15 Avalon Drive REGULAR SESSION Call to Order and Announce a Quorum. President Henry announced a quorum and called the meeting to order at 5:00 p.m. Citizen Comments(s) and/or Presentation(s) No citizen comments. 1. Discuss and take appropriate action regarding TexPool Bank Resolution, amending Authorized Representatives on signature accounts. Director Cantrell moved to approve the TexPool Bank Resolution, as submitted, amending the signatures to Robert Scott, Mary Moore, and Kathy DuBose. Director White seconded the motion. Floor opened for discussion. Motion carried unanimously. 2. Discuss and take appropriate action regarding First Financial Bank Resolution, amending Authorized Representatives on signature accounts. Director Cantrell moved to approve the First Financial Bank Resolution, as submitted by staff, amending the Authorized Representatives on the signature accounts to Robert Scott, Mary Moore, Kathy DuBose and Dean Henry. Director Hase seconded the motion. Motion carried unanimously. 3. Discuss and take appropriate action regarding Amendment to the Information Form required by Section 49.455 of the Texas Water Code. TCMUD 1 Page 130 of 145 Meeting Date: May 12, 2009 Attorney West advised he has talked with Bond Counsel and has updated the Amendment to the Information Form to reflect the correct amount in Paragraph 5, Issued Bonds, and the document is ready for the Board’s action. Director White moved to approve the Amendment to the Information Form. Director Cantrell seconded the motion. Floor opened for discussion. Motion carried unanimously. 4. Discuss and take appropriate action concerning Payment Agreement and related promissory notes between Trophy Club MUD 1 and Trophy Club MUD 2 addressing funding for New Fire Station. Attorney West advised he would like to go into closed session to discuss this agenda item. Board agreed to discuss this in Closed Session Action: No action. 5. Discuss and take appropriate action concerning the bond issue for the New Fire Station. District Manager Scott advised that he has talked with TCEQ and there are five applications in front of ours, and it looks like TCEQ will take the full 180 days before we receive an answer regarding our Bond Application. Attorney West clarified that some time in February, we received a letter requesting additional information and Staff submitted information back to TCEQ within two days. Once that information was received by TCEQ, stating the Bond Application was administratively complete. West verified that the start date of 180 days began once TCEQ declared the Bond Application administratively complete. District Manager Scott verified that was correct. Action: Discussion only. 6. Discuss and take appropriate action concerning MUD 1’s financial situation. Finance Director DuBose stated the auditors have provided audit entries and Finance has started inputting those entries. Finance did find that one entry was duplicated and they are in the process trying to tie what is in our system, the general ledger and what is in financial statements. Finance Director DuBose suggested that if we know we are going to have an expense and the expense is substantial, then we should amend our budget. If we had our amended budget, we would have easily found or eliminated the duplicate entry (from 2006). Action: Discussion only; no action. 7. Discuss and take appropriate action concerning the Town's Plan to absorb MUD 2. Director Cantrell asked about the Town’s statement on Page 32, the Town will collect the former MUD 2’ debt service obligation through the water and service rates. Attorney West interpreted that to mean whatever the amount of the debt service will need to paid, the Town will be obligated to make those payments, and instead of using taxes, Town is suggesting the use of funds from water and sewer rates. TCMUD 1 Page 131 of 145 Meeting Date: May 12, 2009 Director Hase advised that Bond Counsel Tart advised that the Town would either have to start the year out with a tax rate sufficient to cover the debt, or if you are going to pay into Interest & Sinking Fund from Operations & Maintenance Fund, to complete the $700,000 MUD 2 owes. You either have to the cash on hand on October 1st for the O & M to feed into the I & S or have it included in the I & S tax rate. Attorney West clarified that once money is in the I & S fund, it doesn’t come back out except to make payments on the bond. Finance Director DuBose agreed with Director Hase’s statement, that the first year’s debt service would need to be prepaid. Director Twomey clarified that the Town would have to put the entire $700,000 in the I & S fund on day one if they don’t set the tax rate. Director White asked if the Town would have to re-issue the bond. Finance Director DuBose stated there are several options. DuBose advised she is working with Dan Almon, who is working on different scenarios. Director Twomey advised that the Town’s plan for a Fire Protection District has to be voted on. Denton County Commissioners would have to have a hearing and if approved, Denton County Commissioners would appoint a Board. Additionally, there is a cap on the taxes, and the cap is limited to 10 cents, which currently would not cover the whole tax for MUD 2. Currently, the MUD 2 fire tax is 11.2 cents. Action: Discussion only; no action. 8. Discuss and take appropriate action to authorize the publication and distribution of factual information to residents relative to the election and/or consolidation, to include the possibility of a Trophy Club MUD website. Director Cantrell stated currently we are looking at a concept of a chart, government structure, tax rates, mainly an information piece, and to have that go out either in the water bill or in a mailer. Attorney West advised the Board cannot advocate for or against a proposition if the publication is funded by the MUDs. Director Hase verified that there are sufficient funds to send out additional information to our residents regarding the election. District Manager Scott confirmed that there was sufficient funding available. Action: Discussion only. 9. Discuss and take action to schedule MUD 1 town hall meetings. Attorney West asked if there is another forum scheduled. Director Cantrell stated that there is another forum scheduled to address the Town’s charter amendments. Action: Discussion only; no action. TCMUD 1 Page 132 of 145 Meeting Date: May 12, 2009 10. Discuss and take appropriate action regarding possible effects on other contracts if the Master District is terminated. Board agreed to discuss this in Closed Session. Action: None 11. Receive Finance Director's Report a. Monthly Update Finance Director DuBose had nothing to report. 12. Receive Town of Trophy Club Update a. Director White to provide update from attending recent Town Council meetings. Director White had nothing to report. 13. Receive Town of Westlake Update a. Director Cantrell to provide Board with an update from meetings held with Town of Westlake. Director Cantrell had nothing to report. 14. Review and Approve Minutes a. March 4, 2009 – Regular Session Director Henry moved to approve the March 4, 2009 minutes. Director Cantrell seconded the motion. Motion carried unanimously. 15. Review and Approve Disbursements & Variance Report a. February 2009 Director Cantrell moved to approve the February 2009 disbursements and variance report. Director Twomey seconded the motion. Motion carried unanimously. 16. Monthly Tax Collection Report a. February 2009 Board reviewed the February 2009 Collection Report; no action required. 17. Items for Future Agendas a. Research ramifications should Town take over MUD 2. (12/08) b. Discuss and take appropriate action regarding clarification of assets for 2008-2009 fiscal year audit. (Joint meeting with MUD 2) c. Amendment of New Intergovernmental Contract for Employee Services. (per Attorney West 3/24/09) No action. 18. Next Meeting Date a. Tuesday, May 12, 2009 at 5 p.m. Board agreed to meet on Tuesday, May 12, 2009 at 5 p.m. MUNICIPAL UTILITY DISTRICT 1 TO CONVENE INTO CLOSED SESSION Board convened into Closed Session at 5:50 p.m. CLOSED SESSION TCMUD 1 Page 133 of 145 Meeting Date: May 12, 2009 MUD1 President Dean Henry announced that the Board would convene into closed session pursuant to Section 551.071 (a) & (b) of the Texas Government Code regarding consultations with attorney, to conduct a private consultation with the district's attorney on a matter in which the duty of the attorney to the governmental body under the Texas disciplinary rules of professional conduct of the State Bar of Texas clearly conflicts with the Open Meetings Act regarding the following: A. Receive legal advice regarding Election and Ballot Issues B. Receive legal advice regarding the bond issue. C. Agenda Item 4 – Receive legal advice regarding Payment Agreement and related promissory notes between Trophy Club MUD 1 and Trophy Club MUD 2, addressing funding for New Fire Station. D. Agenda Item 10 - Receive legal advice regarding possible effects on other contracts if the Master District is terminated. MUNICIPAL UTILITY DISTRICT 1 TO RECONVENE INTO OPEN/REGULAR SESSION Board reconvened into Open/Regular Session at 6:10 p.m. 19. Discuss and take appropriate action relative to discussions held in Closed Session. A. Receive legal advice regarding Election and Ballot Issues No action. Action: No action taken. B. Receive legal advice regarding the bond issue. Discussion held with no action. Action: No action taken. C. Agenda Item 4 – Receive legal advice regarding Payment Agreement and related promissory notes between Trophy Club MUD 1 and Trophy Club MUD 2, addressing funding for New Fire Station. Discussion held with no action. Action: No action taken. D. Agenda Item 10 - Receive legal advice regarding possible effects on other contracts if the Master District is terminated. Discussion held with no action. Action: No action taken. Adjourn. Meeting adjourned at 6:10 p.m. _________________________________ Dean Henry, President (SEAL) ____________________________________ Constance S. White, Secretary/Treasurer TCMUD 1 Page 134 of 145 Meeting Date: May 12, 2009 MUD 1 Minutes April 14, 2009 – Regular Session 6 ______________________________________ Mary Moore, MUD Secretary TCMUD 1 Page 135 of 145 Meeting Date: May 12, 2009 MINUTES OF SPECIAL JOINT SESSION TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 and TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 2 April 14, 2009 The Board of Directors of the Trophy Club Municipal Utility District No. 1 of Denton and Tarrant Counties and Trophy Club Municipal Utility District No. 2 of Denton County met in Special Joint Session on Tuesday, April 14, 2009, in the Boardroom of the Administration Building, 100 Municipal Drive, Trophy Club, Texas 76262. MUD 1 DIRECTORS PRESENT: Dean Henry President Gary Cantrell Vice President Connie White Secretary/Treasurer Jim Hase Asst. Secretary/Treasurer Neil Twomey Director MUD 2 DIRECTORS PRESENT: Jim Budarf President Kevin Carr Vice President Jim Thomas Secretary/Treasurer Carol Borges Director Steven Kohs Director STAFF AND GUESTS PRESENT: Robert Scott District Manager Mary Moore MUD Secretary Bob West MUD 1 Attorney Pam Liston MUD 2 Attorney Brandon Emmons Town Manager Peggy Sweeney 51 Meadowbrook Drive Bill Rose 219 Inverness Drive Greg Lamont 15 Avalon Drive SPECIAL JOINT SESSION A.1 Call to Order and Announce a Quorum. MUD 1 President Henry announced a quorum and called the meeting to order at 9:17 p.m. MUD 2 President Budarf announced a quorum and called the meeting to order at 9:17 p.m. B.1 Discuss and take appropriate action concerning funding for the New Fire Station. Board requested discussion be held in closed session. Action: See Agenda Items E.1 and F.1a below. B.2 Discuss and take appropriate action regarding pending litigation by MUD2 and MUD1 against Town of Trophy Club. Board requested discussion be held in closed session. Action: See Agenda Item E.1 and F.1b below. TCMUD 1 Page 136 of 145 Meeting Date: May 12, 2009 B.3 Discuss and take appropriate action regarding Order 2009-0414, establishing Mary Moore as Records Management Officer for the District (MUD 1 and MUD 2). MUD 2 President Budarf advised that at the April MUD 2 meeting, it was brought to the Board’s attention that Town Manager Emmons authorized Records Management Officer DePrater to modify the MUDs’ records retention schedule without prior approval from the MUDs. The MUD Records Management Order clearly states that any modifications to the Records Retention schedule shall be brought before the District Manager and the Board prior to any changes. To resolve this issue and prevent this from happening in the future, Director Budarf made the following motion. Director Budarf moved to approve/adopt Order 2009-0414, establishing Mary Moore as Records Management Officer for the District (MUD 2). Budarf modified his motion by adding: to have Mary Moore attend Records Management Training. Director Borges seconded the motion. Floor opened for discussion. Town Manager Emmons presented his concerns to the Board regarding having two Records Management Officers. Director Henry moved to approve/adopt Order 2009-0414, establishing Mary Moore as Records Management Officer for the District (MUD 1), and to have Mary Moore attend training. Director White seconded the motion. Attorney Liston commented that we are not one entity, we are two separate entities, and it would be appropriate for the MUDs to have their own Records Management Officer. Liston stated that recently there has been confusion surrounding the issue of contracting with the Town for the management of personnel and what properly belongs to the MUDs. Liston believes that is what may have confused Brandon when he made his request. Liston stated that Town Manager Emmons may be in charge of personnel by contract; however, Town Manager Emmons is not in charge of the MUD records. Town Manager Emmons stated that through the contract, it is the Town’s responsibility to manage all operations as directed by the MUDs. Director White agreed that the key words are, “as directed by the MUDs.” After discussion, President Henry suggested tabling this to the May meeting. Director White stated that the MUDs should have some input on the shared employees regarding how they perform the work product for the MUDs and for the District, and the work product for the Town should be under the control of the Town. All motions were withdrawn with the Board agreeing to table this issue to next month, and to bring forth a revised Records Retention Schedule and a revised Records Management Plan, as well as a policy for providing MUD Secretary Moore access to the MUD files. Action: Board agreed to table this agenda item to May and to have staff bring forth a revised Records Retention Schedule and a Records Management Plan for the MUDs. MUNICIPAL UTILITY DISTRICT 1 and MUNICIPAL UTILITY DISTRICT 2 TO CONVENE INTO CLOSED SESSION Boards convened into Closed Session at 10:00 p.m. TCMUD 1 Page 137 of 145 Meeting Date: May 12, 2009 CLOSED SESSION E.1 Closed meeting of the Board of Directors in accordance with Section 551.071 Tex. Gov. Code: Adjourn into closed meeting for the Board to conduct a private consultation with attorneys for MUD1 and MUD2 on the following matters in which the duty of the attorney to the District under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas clearly conflicts with the Texas Open Meetings Act: a. Receive Legal Advice regarding funding of New Fire Station b. Receive legal advice about pending litigation by MUD2 and MUD1 against Town of Trophy Club MUNICIPAL UTILITY DISTRICT 1 and MUNICIPAL UTILITY DISTRICT 2 TO RECONVENE INTO OPEN/SPECIAL JOINT SESSION Board reconvened into Open/Special Joint Session at 10:17 p.m. SPECIAL JOINT SESSION F.1 Discuss and take appropriate action regarding discussions held in Closed Session. a. Funding of New Fire Station Director Borges moved to amend the terms of the Promissory Notes from MUD2 payable to MUD1 in the principal amounts of $86,250 and $154,000, be changed from five (5) years to three (3) years. Director Budarf seconded the motion. Motion carried unanimously. Director Twomey moved to amend the terms of the Promissory Notes from MUD2 payable to MUD1 in the principal amounts of $86,250 and $154,000, be changed from five (5) years to three (3) years. Director Hase seconded the motion. Motion carried unanimously. b. Pending litigation by MUD2 and MUD1 against Town of Trophy Club Action: No action. F.2 Adjourn. Meeting adjourned at 10:20 p.m. _________________________________ Dean Henry, President (SEAL) ____________________________________ Constance S. White, Secretary/Treasurer ______________________________________ TCMUD 1 Page 138 of 145 Meeting Date: May 12, 2009 April 14, 2009 MUD 1 – MUD 2 Special Joint Session Minutes 4 Mary Moore, MUD Secretary TCMUD 1 Page 139 of 145 Meeting Date: May 12, 2009 Trophy Club Entities 100 Municipal Drive Trophy Club, TX 76262 File Number: 09-69-M1 File ID: Type: Status: 09-69-M1 M1 Agenda Item Regular Session 1Version: Reference: In Control: Trophy Club Municipal Utility District No. 1 04/29/2009File Created: Final Action: *File Name: Title: Review Monthly Tax Collection Report a. March 2009 Notes: Agenda Date: 05/12/2009 Sponsors: Enactment Date: M1 Tax Report March 09.pdfAttachments: Enactment Number: Hearing Date: Contact: Effective Date: *Entered by: mmoore@trophyclub.org History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 05/12/2009Trophy Club Municipal Utility District No. 1 Text of Legislative File 09-69-M1 Review Monthly Tax Collection Report a. March 2009 [Enter body here.] TCMUD 1 Page 140 of 145 Meeting Date: May 12, 2009 TCMUD 1 Page 141 of 145 Meeting Date: May 12, 2009 Trophy Club Entities 100 Municipal Drive Trophy Club, TX 76262 File Number: 09-70-M1 File ID: Type: Status: 09-70-M1 M1 Agenda Item Regular Session 1Version: Reference: In Control: Trophy Club Municipal Utility District No. 1 04/29/2009File Created: Final Action: *File Name: Title: Next Meeting Date a. Tuesday, June 9, 2009 at 6:00 p.m. b. Possible special meeting before end of May Notes: Agenda Date: 05/12/2009 Sponsors: Enactment Date: JuneCalendar.pdfAttachments: Enactment Number: Hearing Date: Contact: Effective Date: *Entered by: mmoore@trophyclub.org History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 05/12/2009Trophy Club Municipal Utility District No. 1 Text of Legislative File 09-70-M1 Next Meeting Date a. Tuesday, June 9, 2009 at 6:00 p.m. b. Possible special meeting before end of May [Enter body here.] TCMUD 1 Page 142 of 145 Meeting Date: May 12, 2009 TCMUD 1 Page 143 of 145 Meeting Date: May 12, 2009 Trophy Club Entities 100 Municipal Drive Trophy Club, TX 76262 File Number: 09-71-M1 File ID: Type: Status: 09-71-M1 M1 Agenda Item Regular Session 1Version: Reference: In Control: Trophy Club Municipal Utility District No. 1 04/29/2009File Created: Final Action: *File Name: Title: Items for Future Agendas Notes: Agenda Date: 05/12/2009 Sponsors: Enactment Date: Attachments: Enactment Number: Hearing Date: Contact: Effective Date: *Entered by: mmoore@trophyclub.org History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 05/12/2009Trophy Club Municipal Utility District No. 1 Text of Legislative File 09-71-M1 Items for Future Agendas a. Research ramifications should Town take over MUD 2. (12/08) b. Discuss and take appropriate action regarding clarification of assets for 2008-2009 fiscal year audit. (Joint meeting with MUD 2) c. Amendment of New Intergovernmental Contract for Employee Services. (per Attorney West 3/24/09) TCMUD 1 Page 144 of 145 Meeting Date: May 12, 2009 Trophy Club Entities 100 Municipal Drive Trophy Club, TX 76262 File Number: 09-43-M1 File ID: Type: Status: 09-43-M1 M1 Agenda Item Executive Session 1Version: Reference: In Control: Trophy Club Municipal Utility District No. 1 02/23/2009File Created: Final Action: *File Name: Title: Discuss and take appropriate action relative to discussions held in Closed Session. Notes: Agenda Date: 03/04/2009 Sponsors: Enactment Date: Attachments: Enactment Number: Hearing Date: Contact: Effective Date: *Entered by: mmoore@trophyclub.org History of Legislative File Action: Result: Return Date: Due Date: Sent To: Date: Acting Body: Ver- sion: 1 Discussion only - No action taken 03/04/2009Trophy Club Municipal Utility District No. 1 This matter was Discussion only - No action taken Action Text: 1 05/12/2009Trophy Club Municipal Utility District No. 1 Text of Legislative File 09-43-M1 Discuss and take appropriate action relative to discussions held in Closed Session. TCMUD 1 Page 145 of 145 Meeting Date: May 12, 2009