HomeMy WebLinkAbout2019-0722 July 22, 2019 Regular Meeting MinutesREGULAR MEETING MINUTES
TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1
BOARD OF DIRECTORS
July 22, 2019 at 6:30 P.M.
Trophy Club Municipal Utility District No. 1 Board of Directors, of Denton and Tarrant Counties, met in
regular session on July 22, 2019 at 6:30 P.M., in the Boardroom of the Administration Building, 100
Municipal Drive, Trophy Club, Texas 76262. The meeting was held within the boundaries of the District
and was open to the public.
STATE OF TEXAS §
COUNTIES OF DENTON AND TARRANT §
BOARD MEMBERS PRESENT:
Gregory Wilson President
William C. Rose Vice President
Steve Flynn Secretary/Treasurer
Kelly Castonguay Director
Mark Chapman Director
STAFF PRESENT:
John Carman
Laurie Slaght
Mike McMahon
Steven Krolczyk
Tony Corbett
General Manager
District Secretary
Operations Manager
Finance Manager
Legal Counsel
CALL TO ORDER AND ANNOUNCE A QUORUM
President Wilson announced the date of July 22, 2019, called the meeting to order and announced a
quorum present at 6:30 p.m.
CITIZEN COMMENTS — There were no citizen comments
CONSENT AGENDA
1. Consider and take appropriate action to approve the Consent Agenda.
a. June 2019 Check Register
b. June 17, 2019 Regular Meeting Minutes
c. Tax Collections Report — 3`d Quarter FY2019
d. Quarterly Investment Report — 3`d Quarter FY2019
Motion made by Director Flynn and seconded by Director Chapman to approve the Consent Agenda as
presented.
Motion carried unanimously
REGULAR SESSION
2. Consider and take appropriate action to approve an Interlocal Cooperation Agreement with Denton
County for Property Tax Assessment and Collection.
Motion made by Director Rose and seconded by Director Castonguay to approve the Interlocal
Cooperation Agreement with Denton County and Trophy Club Municipal Utility District No. 1, Trophy
Club Texas for Property Tax Assessment and Collection.
Motion carried unanimously
3. Consider and take appropriate action regarding District participation in Texas Commission on
Environmental Quality Sanitary Sewer Overflow Initiative.
Motion made by Director Rose and seconded by Director Flynn to have the direct staff to participate
in Texas Commission on Environmental Quality Sanitary Sewer Overflow Initiative.
Motion carried unanimously
4. Discussion and possible action regarding adoption of Amended and Restated Reserve Fund Policy.
Motion made by Director Rose and seconded by Director Flynn to approve Resolution No. 2019-0722
adopting cash Reserve Policy with the following changes: Section 2.03 Strike the sentence "Reserve
targets are shown in Appendix A; change the last sentence to read "Reserve targets shall be adopted
as a part of the annual budget"; and eliminate Appendix A.
Motion carried unanimously
5. Consider and take appropriate action regarding Candidate Search for General Manager
(Castonguay/Flynn)
a.Receive report and recommendations from Recruitment and Retention Subcommittee; and
b.Approve contract with executive search firm.
Director Flynn and Director Castonguay are the on the Hiring Committee. Director Flynn provided
an overview of the Committee's progress and stated that the Committee interviewed different firms
for the search and cost structure of each. The Committee recommends moving forward with the
Mercer Group.
Motion made by Director Flynn and seconded by Director Chapman authorizing staff to execute
Contract No. 2019072201 with The Mercer Group for an amount not to exceed $25,000 after review
by legal counsel.
Motion carried unanimously
Board recess from 8:00 p.m. through 8:10 p.m.
6. Consider and take appropriate action to appoint two Directors to serve on a Committee to work with
Town of Trophy Club Council representatives regarding the sale or exchange of District real property
located at 100 Municipal Drive and 1501 Junction Way.
Motion made by Director Rose and seconded by Director Castonguay to authorize President Wilson
and Vice President Rose to work on a Strategic Partnership Committee with the Town of Trophy Club
Council representatives regarding the sale or exchange of District real property located at 100
Municipal Drive and 1501 Junction Way.
For: Castonguay, Rose, Wilson and Chapman
Oppose: Flynn
Motion carried 4-1
7. Consider and take appropriate action regarding the June 2019 Combined Financials and Variance
Report.
a.Combined Financials
b.Combined Variance
Motion made by Director Flynn and seconded by Director Castonguay to approve the June 2019
Combined Financials and Variance Report.
Motion carried unanimously
REPORTS & UPDATES
8. Receive report from Directors that attended Association of Water Board Directors (AWBD).
Director Rose provided an update to the Board.
9. Receive update from Budget Committee (Flynn/Rose)
Director Flynn provided an update to the Board.
10. General Manager Monthly Reports and Update:
a. Regulatory Update
b. Capital Improvement Projects
• Interconnect Water Transmission Line Phase 2
• Wastewater Treatment Plant Upgrade Project
• High Service Pump
• In -Plant Water System
• Straight Creek Court & Carnoustie
c. Staff Recruitment and Retention Update
d. Water System Operations
e. Wastewater System Operations
f. Finance Update
• Utility Billing Report
• Permits Collected
• Cash Report
• Revenue vs. Expenditure Report (Capital Projects)
General Manager John Carman presented the monthly report to the Board and answered questions
related thereto. Discussion ensued regarding staff recruitment and difficulties that the District has
had attracting qualified applicants. The Board would like the District to be competitive in the
market for qualified applicants and directed staff to adjust the compensation for the operator
positions. Carman stated staff will bring this item back with suggested market adjustments at a
future meeting.
The Board convened into Executive Session at 8:45 p.m.
EXECUTIVE SESSION
11. Pursuant to Section 551.071 of the Texas Open Meetings Act, the Board may consult with its
attorney in Executive Session on a matter in which the duty of the attorney to the Governmental
Body under the Disciplinary Rules of Professional Conduct of the State Bar of Texas clearly conflicts
with the Open Meetings Act or to seek advice of counsel on legal matters involving pending or
contemplated litigation or settlement offers:
a. Contractor breach, performance and payment issues related to District's contract with Webber-
Cadagua Partners for construction of the Wastewater Treatment Plant Improvements;
b. Trophy Club Municipal Utility District No. 1 v. Acadia Services, LLC, In the District Court of
Tarrant County, 141st Judicial District (Cause No. 141-299351-18); and
c. Fire Department Matters:
a. Interlocal Agreement with the Town of Trophy Club relating to Fire Department funding and
operations; and
b. Funding alternatives for acquisition of new fire truck.
12. Pursuant to Section 551.072 of the Texas Open Meetings Act, the Board may deliberate the
purchase, exchange, lease, or value of real property if deliberation in an open meeting would have a
detrimental effect on the position of the governmental body in negotiations with a third person:
a. Sale or Exchange of District real property located at 100 Municipal Drive and 1501 Junction Way.
b. Purchase of Easements required for construction and operation of Water Transmission Line
Improvements from District Pump Station to Elevated Water Tank located on T.W. King Road
The Board reconvened into Regular Session 9:56 p.m.
REGULAR SESSION
President Wilson stated that no decisions, votes or actions were taken in Executive Session.
13. Consider and take appropriate action on matters deliberated in Executive Session:
No action taken
14. Items for future agendas:
15. Set future Meeting dates:
a. Joint Meeting with Town Council — Monday, July 29, 2019 at 7:00 p.m.
b. Regular Board Meeting — Monday, August 19, 2019 at 6:30 p.m.
ADJOURN
Motion to adjourn made by Director Flynn
President Wilson called the meeting adjourned at 9:57 p.m.
s-Vatt
Steve Flynn, Secreta/Treasurer
a rie Slaght, District S- etary