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HomeMy WebLinkAbout2023-0118 January 18, 2023 Regular Meeting Agenda PacketSPA TROPHY CLUB MUNICIPAL / UTILITY DISTRICT January 18, 2023 Regular Meeting Agenda Packet BOARD OF DIRECTORS REGULAR MEETING TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 100 MUNICIPAL DRIVE TROPHY CLUB, TEXAS 76262 Wednesday, January 18, 2023 6:30 P.M. Svore Municipal Boardroom REGULAR MEETING AGENDA PACKET VIA VIDEOCONFERENCE THE PRESIDING OFFICER AND A QUORUM OF THE BOARD OF DIRECTORS WILL BE PHYSICALLY PRESENT AT, AND MEMBERS OF THE PUBLIC MAY ATTEND, THE MEETING AT THE LOCATION SPECIFIED ABOVE. CALL TO ORDER AND ANNOUNCE A QUORUM CITIZEN COMMENTS This is an opportunity for citizens to address the Board on any matter whether or not it is posted on the agenda. The Board is not permitted to take action on or discuss any comments made to the Board at this time concerning an item not listed on the agenda. The Board will hear comments on specific agenda items prior to the Board addressing those items. You may speak up to four (4) minutes or the time limit determined by the President or presiding officer. To speak during this item, you must complete the Speaker's form that includes the topic(s) of your statement. Citizen Comments should be limited to matters over which the Board has authority. REPORTS & UPDATES 1. Staff Reports a. Capital Improvement Projects b. Water Operations Report c. Wastewater System Reports d. Finance Reports Attachments: Staff Reports CONSENT AGENDA All matters listed as Consent Agenda are considered to be routine by the Board of Directors and will be enacted by one motion. There will not be a separate discussion of these items. If discussion is desired, that item will be removed from the consent agenda and will be considered separately. 2. Consider and act to approve the Consent Agenda. a. December 2022 Combined Financials b. December 14, 2022 Regular Meeting Minutes c. Quarterly Investment Report — 1st Quarter FY2023 1 of 110 January 18, 2023 Regular Meeting Agenda Packet d. Tax Collections Report — 1st Quarter FY2023 Attachments: December Financials December 14, 2022 Meeting Minutes Quarterly Investment Report Tax Collections Report REGULAR SESSION 3. Receive update from Audit Committee. (Rose, Hunter) 4. Consider and take appropriate action to approve the Fiscal Year 2022 Annual Financial Audit Report prepared by Rod Abbott PLLC. Attachments: Audit Report and Fiscal Year 2022 Audit EXECUTIVE SESSION 5. 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. Consult with legal counsel to secure legal advice concerning the adoption of rules restricting electioneering and installation of political signs on District property. b. Consult with legal counsel to secure legal advice regarding the annexation of, or provision of out -of - District service to, real property located outside the District's boundaries. REGULAR SESSION 6. Consider and act regarding items discussed in Executive Session. 7. Items for future agendas: 8. Set future Meeting dates - February 15, 2023 at 6:30 p.m. Attachment: February Meeting Calendar *THE BOARD RESERVES THE RIGHT TO ADJOURN INTO EXECUTIVE SESSION AT ANY TIME DURING THE MEETING PURSUANT TO THE APPLICABLE SECTION OF SUBCHAPTER D, CHAPTER 551, TEXAS GOVERNMENT CODE, THE TEXAS OPEN MEETINGS ACT, WITH RESPECT TO ANY ITEM ON THE AGENDA. NO FINAL ACTION, DECISION OR VOTE WILL BE TAKEN ON ANY SUBJECT OR MATTER IN EXECUTIVE SESSION. THIS NOTICE MODIFIES THE DISTRICT'S PRIOR PRACTICE OF SPECIFICALLY IDENTIFYING ALL AGENDA ITEMS TO BE DISCUSSED IN EXECUTIVE SESSION. ADJOURN 2 of 110 15,1 TROPHY CLUB MUNICIPAL UTILITY DISTRICT January 18, 2023 Regular Meeting Agenda Packet Capital Improvement Projects • Water Line Interconnect — This project has been completed. The final change order has been submitted resulting in construction cost savings of $298,067.05; engineering costs are estimated to result in savings of approximately $100,000. • FY 2022 Water Line Project — All services have been connected to the new water main. Re- establishment of sod is in progress along with driveway and street repairs. Meter boxes are expected to be installed by the end of January and anticipated completion in February. • FY 2023 Water Line Project — Design is in progress for the replacement of approximately 6,000 linear feet of water lines along and adjacent to Sunset Drive, Berkshire Court, Lee Court, Riviera Court, and Skyline Drive as a part of FY 2023 Capital Improvement Projects. Design is expected to be completed in March 2023 and bidding to occur in April 2023. • Pump Station Improvement Project — Design is in progress for the replacement of two (2) vertical turbine pumps, incorporation of variable frequency drives, and replacement of discharge header piping and valves within the high service pump station. The pump replacements were identified and prioritized as recommended capital improvements resulting from the Water Master Plan update conducted in 2021. The pumps have met their useful life and are being replaced with more efficient pumps utilizing electrical components designed to assist with reduced electrical consumption, provide further system resiliency, unify pump operations, and standardize pump components. Additionally, leaks during January of 2022 reflected the necessity to replace the piping and valves on the discharge side of the pumps due to age and wear. • Southlake emergency connection — An evaluation was performed to determine the feasibility of an emergency connection of the District water system to the City of Southlake water system. An emergency connection between the District and Southlake water systems is intended to allow the District to meet customer demands in emergency scenarios where the District requires supplemental water supply if the District's primary water supply being unavailable or the occurrence of significant pipe break(s). It is anticipated that the Southlake system can provide the service capacities to the District system at the emergency connection; however, Southlake plans to perform a Water Master Plan Update that will more accurately determine the impact of this emergency connection on their system, and further confirm that an emergency demand could be met. This is expected to be completed in the fall of 2023. 3 of 110 15,1 TROPHY CLUB MUNICIPAL UTILITY DISTRICT January 18, 2023 Regular Meeting Agenda Packet • Supervisory Control and Data Acquisition (SCADA) Upgrades — The new and old systems are operating in parallel to identify any changes that need to be made before converting solely to the new SCADA system. • Lift Station #1 — Demolition of the existing lift station has been completed; installation of the new bypass riser and valving has been completed; and the new valve vault has been constructed. The wet well rehabilitation is underway that involves switching to a temporary triple bypass pumping setup; cleaning, sand blasting, grouting, and epoxy coating the wet well; installing new pump rails and pumps; pipe and supports within the wet well; installing valves and force main in the new valve vault; installing flow level instrumentation; and new electrical panels. • Lift Station Generators — This project consists of installation of onsite diesel generators and automatic transfer switches at eight (8) lift station sites allowing for further resiliency within the wastewater collections system during power outages. Notice to Procure was provided to the contractor in November 2022. Delivery of the generators is scheduled for December 2023 with an anticipated completion date of April 2024. The schedule to begin underground and sitework will be dependent on the generator delivery dates. • Membrane Bioreactor (MBR) Piping Improvements — Submittals are under review and will not proceed further until that step is complete. • FY 2023 Wastewater Improvements — Proposals are being obtained to complete recommended rehabilitation and repairs resulting from the annual wastewater system analysis performed in FY 2022. • FY 2023 Lift Station Improvements — Materials have been ordered to replace valve vault piping and valves at Lift Station #3 and Lift Station #5. Installation will occur once all materials have been received. • Tyler ERP Pro 10 (Incode 10) — ExecuTime is the last remaining item for this project other than cleanup of accounts and reporting. These items are scheduled to be completed in February. Staff received a higher -than -normal call volume due to the transition of this system with the majority assisting residents with setting up their online account. 4 of 110 151 TROPHY CLUB MUNICIPAL UTILITY DISTRICT Project Schedule January 18, 2023 Regular Meeting Agenda Packet Task- New ERP Selection Notified that STW will no longer be supported Several meetings with OpenGov/STW discuss options Start ERP review/Contact other Gov entities Final in-depth demos and pricing Presentation to Board and adoption SOW scheduling, reports & operations review Task- Financial Implementation COA build, initial data pull, software mapping setup and configuration training Configuration of Core Financials, Cashiering, Purchasing, Assets, and Personnel Management End user training and report testing Financial data pull and Go -Live Accounts and reports cleanup ExecuTime configuration, training, and timesheet build ExecuTime Parallel payroll and Go -Live Task- Utility Billing Implementation Account setups, initial data pull, configuration training Configuration & Training Utility Billing, Notifications, Service Orders, Cashiering, and Third -party interfaces Test configuration- Initial bill compare, reporting, meter reads, & validations End user training on all Utility Billing software Data pulls and performance testing Utility Billing Go -Live & final data pull Accounts and reports cleanup 5 of 110 Start Date 3/15/21 4/1/21 5/1/21 8/1/21 10/18/2021 1/10/2022 End Date 3/15/21 5/1/21 7/30/21 9/1/21 10/18/21 4/1/22 Start Date End Date 5/1/22 7/15/22 7/18/22 9/12/22 8/1/22 9/2/22 10/10/22 11/4/22 11/1/22 1/30/22 12/12/22 12/30/22 1/16/22 2/10/22 Start Date End Date 6/6/22 8/19/22 8/22/22 9/13/22 9/15/22 10/14/22 10/11/22 11/15/22 10/24/22 11/29/22 11/21/22 12/16/22 12/23/22 1/30/22 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 ■ January 18, 2023 Regular Meeting Agenda Packet Water Billed - 2019 -2020 -2021 -2022 -2023 0 FY October November December January February March April May June July August September Total Year 2014 82,660 48,813 34,482 39,767 37,085 54,794 66,337 84,384 99,240 92,913 113,135 110,873 864,483 2015 90,994 58,986 49,607 36,162 38,776 30,566 46,543 39,576 60,731 100,622 139,441 123,886 815,890 2016 108,951 41,936 39,028 39,622 44,551 49,498 55,181 50,827 65,390 115,687 119,611 98,945 829,227 2017 74,785 68,638 38,580 33,028 38,380 60,841 56,683 86,794 98,864 95,355 104,303 99,541 855,792 2018 83,228 69,099 48,144 34,592 40,658 43,411 60,079 89,802 118,899 126,588 125,531 73,735 913,766 2019 47,193 41,933 36,244 34,604 33,740 40,421 55,970 42,773 70,747 96,174 131,472 114,784 746,055 2020 102,150 40,988 43,946 36,418 31,000 34,047 53,755 67,030 96,195 123,309 118,522 83,570 830,930 2021 98,232 57,380 40,841 42,725 40,786 41,078 67,776 50,736 64,195 100,853 97,864 112,674 815,140 2022 78,390 54,635 48,488 49,322 40,021 44,588 72,448 85,474 119,711 141,177 143,845 108,377 986,476 2023 101,683 49,007 52,466 203,156 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 Water Pumped - 2019 -2020 -2021 - •202 0 FY October November December January February March April May June July August September Total Year 2014 81,909 51,769 39,769 48,758 42,395 61,100 71,283 96,481 95,206 110,173 123,369 115,607 937,819 2015 106,251 67,825 58,659 45,691 39,675 35,752 56,704 48,637 72,934 117,302 143,413 142,394 935,237 2016 106,731 52,616 43,708 46,945 50,721 55,178 60,434 55,562 68,138 112,533 128,963 104,664 886,193 2017 82,677 77,937 43,792 43,207 43,024 69,549 65,723 94,452 103,867 101,184 114,872 109,769 950,053 2018 91,439 78,282 55,745 40,796 40,750 51,711 67,217 97,980 124,109 155,354 144,015 85,946 1,033,344 2019 60,576 53,119 45,651 45,552 39,014 43,048 61,238 48,787 79,167 102,887 144,299 130,752 854,090 2020 112,971 48,627 49,384 40,726 35,749 38,576 57,714 74,153 106,219 136,306 130,721 89,514 920,660 2021 106,660 66,304 46,962 50,538 47,733 44,191 75,866 56,985 73,907 113,015 109,492 123,206 914,859 2022 91,078 61,928 54,930 52,679 49,094 51,606 81,977 92,915 133,828 152,199 161,534 117,252 1,101,020 2023 114,089 54,777 57,827 226,693 6 of 110 7 6 5 0 To 4 0 3 3 2 Ai Dec -21 Dec -21 • Min 1.520 • Max 2.229 ■ Avg 1.859 1.750 1.650 1.550 1.450 O 1.350 To W 1.250 0 0 • 1.150 i 1.050 0.950 0.850 0.750 20.0 18.0 16.0 14.0 12.0 10.0 8.0 6.0 4.0 2.0 0.0 Water Production 1 thAVI 1 .11 Jan -22 Feb -22 Mar -22 Apr -22 May -22 Jan -22 Feb -22 1.300 1.422 3.260 1.873 1.659 1.554 Mar -22 1.407 2.942 1.926 Apr -22 1.686 3.593 2.603 May -22 1.660 4.685 3.325 January 18, 2023 Regular Meeting Agenda Packet Jun -22 Jun -22 3.173 5.767 4.183 Wastewater Treated Jul -22 Jul -22 3.915 7.100 5.748 Aug -22 Aug -22 2.348 7.325 4.704 Sep -22 Sep -22 1.889 5.277 3.948 Oct -22 Oct -22 1.842 5.00 3.662 Nov -22 Dec -22 Nov -22 1.401 2.57 1.834 Dec -22 1.115 2.72 1.657 ■ t ■. 1 ■ 1 ■ I I Dec -21 Jan -22 Feb -22 Mar -22 Apr -22 May -22 Jun -22 Jul -22 Daily Avg Flow Daily Max Flow -Daily Avg Max Aug -22 Carbonaceous Biochemical Oxygen Demand (CBOD) Sep -22 Oct -22 Nov -22 Dec -22 J Dec -21 Jan -22 Feb -22 Mar -22 Apr -22 May -22 Jun -22 Jul -22 Aug -22 Sep -22 Oct -22 Nov -22 Dec -22 CBOD Avg CBOD Max -Daily Avg Max -Daily Max 7 of 110 40.0 35.0 30.0 25.0 20.0 15.0 10.0 5.0 0.0 10.00 9.00 8.00 7.00 6.00 5.00 4.00 3.00 2.00 1.00 0.00 50.0 40.0 30.0 20.0 10.0 0.0 Dec -21 Jan -22 Dec -21 Jan -22 Total Suspended Solids (TSS) Feb -22 Mar -22 Apr -22 May -22 Feb -22 Mar -22 M r r Jun -22 Jul -22 Aug -22 TSS Avg TSS Max -Daily Avg Max -Daily Max Ammonia Nitrogen (NH3) January 18, 2023 Regular Meeting Agenda Packet Sep -22 Oct -22 Nov -22 Dec -22 Apr -22 May -22 Jun -22 Jul -22 Aug -22 Sep -22 Oct -22 Nov -22 Dec -22 NH3 Avg NH3 Max -Daily Avg Max -Daily Max Nitrate -Nitrogen (NO3) Dec -21 Jan -22 Feb -22 Mar -22 Apr -22 May -22 Jun -22 Jul -22 Aug -22 Sep -22 Oct -22 Nov -22 Dec -22 NO3 Avg NO3 Max -Daily Avg Max -Daily Max 8 of 110 9 8.5 8 7.5 7 6.5 6 9.0 8.5 8.0 7.5 7.0 6.5 6.0 400 350 300 250 200 150 100 50 0 1 Dec -21 Jan -22 Dec -21 Jan -22 1.0 1.0 Dec -21 Jan -22 January 18, 2023 Regular Meeting Agenda Packet Potential of Hydrogen (pH) .11 Feb -22 Mar -22 Apr -22 May -22 Jun -22 Jul -22 Aug -22 Sep -22 Oct -22 Nov -22 Dec -22 pH Min pH Max pH Avg -Daily Avg Min Daily Avg Max Dissolved Oxygen (DO) Feb -22 Mar -22 5.2 Feb -22 Apr -22 May -22 Jun -22 Jul -22 Aug -22 Sep -22 Oct -22 Nov -22 Dec -22 DO Min DO Max DO Avg -Daily Avg Min -Daily Avg Max Escherichia coli (E. coli) *Sep -22 is an outlier sample 1.0 1.0 1.0 1.0 1.0 2.0 3.0 1.0 6.3 Mar -22 Apr -22 May -22 Jun -22 Jul -22 Aug -22 *Sep -22 Oct -22 Nov -22 Dec -22 E. coli Avg E. coli Max -Daily Avg Max -Daily Max 9 of 110 Trophy Club Municipal Utility District No. 1 January 18, 2023 Regular Meeting Agenda Packet Check Report By Check Number Date Range: 12/01/2022 - 12/31/2022 Vendor Number Vendor Name Payment Date Payment Type Discount Amount Payment Amount Number Bank Code: Prosperity Bank -Prosperity Bank Payment Type: Regular 3045 3RD Eye Surveillance LLC 12/07/2022 Regular 0.00 2,154.29 9165 2655 Core & Main LP 12/07/2022 Regular 0.00 9,962.00 9166 3184 Dataprose LLC 12/07/2022 Regular 0.00 4,337.44 9167 1737 DPC Industries Inc. 12/07/2022 Regular 0.00 1,751.72 9168 2606 Fisery Solutions LLC 12/07/2022 Regular 0.00 50.00 9169 3093 Four Man Furnace Inc. 12/07/2022 Regular 0.00 4,453.75 9170 1372 Hach Company 12/07/2022 Regular 0.00 923.50 9171 2943 JP Morgan Chase Bank NA 12/07/2022 Regular 0.00 5,757.09 9172 2643 Mclean & Howard LLP 12/07/2022 Regular 0.00 2,812.50 9176 2790 M -Co Construction Inc 12/07/2022 Regular 0.00 88,315.80 9177 3111 North Texas Groundwater 12/07/2022 Regular 0.00 6,867.10 9178 2633 Sluder Emergency Power Service 12/07/2022 Regular 0.00 1,479.64 9179 3156 Southern Petroleum Lab Inc 12/07/2022 Regular 0.00 1,396.80 9180 3064 Teledyne Instruments Inc 12/07/2022 Regular 0.00 9,215.00 9181 2696 Texas Excavation Safety System 12/07/2022 Regular 0.00 210.90 9182 1973 Texas Commission on Environmental Quality 12/07/2022 Regular 0.00 8,964.55 9183 2798 Tyler Technologies Inc 12/07/2022 Regular 0.00 14,014.70 9184 1512 Association of Water Board Directors 12/07/2022 Regular 0.00 750.00 9185 3197 BenefitMall 12/07/2022 Regular 0.00 52.00 9186 2676 Humana Inc 12/07/2022 Regular 0.00 2,156.65 9187 3216 M3 Networks 12/07/2022 Regular 0.00 562.00 9188 3115 Metlife Group Benefits 12/07/2022 Regular 0.00 505.42 9189 2763 Novotx 12/07/2022 Regular 0.00 4,275.00 9190 3110 Pump Solutions Inc 12/07/2022 Regular 0.00 756.00 9191 2698 Ritz Safety LLC 12/07/2022 Regular 0.00 65.82 9192 2634 Valley Solvents & Chemicals 12/07/2022 Regular 0.00 1,628.45 9193 2691 All Test Fire Protection LLC 12/14/2022 Regular 0.00 719.88 9206 2772 Allied Waste Industries 12/14/2022 Regular 0.00 9,578.91 9207 3127 Allied Welding Supply Inc. 12/14/2022 Regular 0.00 17.25 9208 1018 Denton Central Appraisal District 12/14/2022 Regular 0.00 2,163.63 9209 2796 Garver 12/14/2022 Regular 0.00 26,593.28 9210 2635 Halff Associates Inc. 12/14/2022 Regular 0.00 2,412.75 9211 3278 Kyocera Document Solutions 12/14/2022 Regular 0.00 82.79 9212 3200 Mettler -Toledo LLC 12/14/2022 Regular 0.00 403.77 9213 2809 Rod L Abbott CPA LLC 12/14/2022 Regular 0.00 5,500.00 9214 1081 Tri County Electric 12/14/2022 Regular 0.00 815.42 9215 2798 Tyler Technologies Inc 12/14/2022 Regular 0.00 5,330.00 9216 1058 Verizon Wireless 12/14/2022 Regular 0.00 886.03 9217 2222 Aflac 12/30/2022 Regular 0.00 405.80 9218 2683 Charter Communications 12/30/2022 Regular 0.00 899.00 9219 1030 City of Fort Worth 12/30/2022 Regular 0.00 140,037.17 9220 1732 Control Specialist Services LP 12/30/2022 Regular 0.00 2,465.00 9221 2655 Core & Main LP 12/30/2022 Regular 0.00 4,345.00 9222 2497 DHS Automation Inc 12/30/2022 Regular 0.00 3,665.35 9223 2635 Halff Associates Inc. 12/30/2022 Regular 0.00 950.00 9224 3076 HD Supply Facilities Maint Ltd 12/30/2022 Regular 0.00 165.95 9225 2641 Huber Technology Inc 12/30/2022 Regular 0.00 698.00 9226 1834 Idexx Distribution, Inc 12/30/2022 Regular 0.00 3,569.34 9227 3132 Legal Shield 12/30/2022 Regular 0.00 34.90 9228 3186 Member's Building Maintenance 12/30/2022 Regular 0.00 1,289.80 9229 2760 NDS Leasing 12/30/2022 Regular 0.00 175.00 9230 2983 NTTA 12/30/2022 Regular 0.00 28.13 9231 2789 Relevant Solutions 12/30/2022 Regular 0.00 6,047.60 9232 1/12/2023 11:52:39 PM Page 1 of 4 10 of 110 Check Report Vendor Number 3156 2440 1001 2798 3225 2977 1087 Vendor Name Southern Petroleum Lab Inc Tarrant County Public Health Laboratory Town of Trophy Club Tyler Technologies Inc US Bank Voyager Fleet Systems Videotex Systems Inc. Whitaker Chalk Swindle Payment Date 12/30/2022 12/30/2022 12/30/2022 12/30/2022 12/30/2022 12/30/2022 12/30/2022 January 18, 2023 Regular Meeting Agenda Packet Date Range: 12/01/2022 - 12/31/2022 Payment Amount Number Payment Type Regular Regular Regular Regular Regular Regular Regular Total Regular: Discount Amount 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 4,213.20 340.00 201,545.59 9,952.50 3,154.89 250.00 1,099.71 613,253.76 9233 9234 9235 9236 9237 9238 9239 1/12/2023 11:52:39 PM Page 2 of 4 11 of 110 January 18, 2023 Regular Meeting Agenda Packet Check Report Date Range: 12/01/2022 - 12/31/2022 Vendor Number Payment Type: 3197 3113 3124 3295 3197 3113 3124 Vendor Name Bank Draft BenefitMall Tcdrs Irs Tax Payment United Health Care BenefitMall Tcdrs Irs Tax Payment Payment Type Regular Checks Manual Checks Voided Checks Bank Drafts EFT's Payment Date Payment Type 12/09/2022 12/31/2022 12/09/2022 12/05/2022 12/21/2022 12/31/2022 12/21/2022 Bank Draft Bank Draft Bank Draft Bank Draft Bank Draft Bank Draft Bank Draft Total Bank Draft: Discount Amount Payment Amount Number Bank Code Prosperity Bank Summary Payable Payment Count Count Discount Payment 89 60 0.00 613,253.76 O 0 0.00 0.00 O 0 0.00 0.00 7 7 0.00 69,277.68 O 0 0.00 0.00 96 67 0.00 682,531.44 0.00 287.50 DFT0000021 0.00 10,070.33 DFT0000022 0.00 14,632.20 DFT0000023 0.00 19,631.74 DFT0000025 0.00 287.50 DFT0000026 0.00 10,189.58 DFT0000027 0.00 14,178.83 DFT0000028 0.00 69,277.68 1/12/2023 11:52:39 PM Page 3 of 4 12 of 110 January 18, 2023 Regular Meeting Agenda Packet Check Report Date Range: 12/01/2022 - 12/31/2022 All Bank Codes Check Summary Payable Payment Payment Type Count Count Discount Payment Regular Checks 89 60 0.00 613,253.76 Manual Checks 0 0 0.00 0.00 Voided Checks 0 0 0.00 0.00 Bank Drafts 7 7 0.00 69,277.68 EFT's 0 0 0.00 0.00 96 67 0.00 682,531.44 Fund Summary Fund Name Period Amount 996 MUD Consolidated Cash 12/2022 682,531.44 682,531.44 1/12/2023 11:52:39 PM Page 4 of 4 13 of 110 CASH STATUS AS OF DECEMBER 2022 1 35-1 02 50 TexPool 0 & M (XXXXX0002)-General Fund Operating *** 1 35-1 03 00 Prosperity Bank (XXX8701) General Fund Operating 1 35-1 03 05 Prosperity Bank Reserve -Savings Acct (XXXXX7724) 135-11100 Petty Cash Administration 1 35-1 11 50 Petty Cash Utility Billing 1 37-1 02 50 TexPool 0 & M (XXXXX0002) GASB Replacement 51 9-1 02 50 Texpool Revenue Bond Construction (XXXXX015) SWIFT 51 9-111 55 Cash -Bond Escrow Bank of Texas (SWIFT) 520-1 02 50 Texpool Revenue Bond Water & Waste Water Systems 2019 (XXXXX018) 520-1 03 00 Prosperity Bank Construction Water & Waste Water Systems 2019 528-1 02 50 TexPool Revenue Bond Reserve (XXXXX014) WWTP Improvements 533-1 02 50 TexPool Tax I & S (XXXXX0003) 533-1 03 00 Prosperity Bank (XXX8701) Tax I&S 534-10250 TexPool Revenue I & S (XXXXX013) WWTP Improvements 535-10250 Texpool Revenue I & S (XXXXX017) SWIFT 536-10250 TexPool Revenue I & S (XXXXX020) Water & Waste Water Systems Amount available in cash for spending (MUD Accounts) *12/31/2022 Customer Water Deposits $327,220 Fire Department Cash 11 22-1 02 50 ITexPool 0 & M (XXXXX0002)-Fire Operating Cash 1122-10300 Prosperity Bank (XXX8701) Fire Operating I Amount available in cash for spending (Fire Department Accounts) Total General Fund 135 Available for Spending General Fund 135 Fund Balances Nonspendable Fund Balance (Prepaids) Assigned Fund Balance (FY2022 Capital Projects plus prior year carry forward) Unassigned Fund Balance Current Year Revenue/Expenses Total Nonspendable, Assigned & Committed Fund Balances - General Fund 135 14 of 110 January 18, 2023 Regular Meeting Agenda Packet Restricted - Unable to be spent $o $327,220 $1,891,874 $0 $0 $3,422,147 $0 $792,026 $1,286,795 $0 $908,589 $407,648 $0 $193,722 $82,037 $105,334 Unrestricted - Available for spending $3,153,780 $4,933,634 $0 $150 $450 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $8,088,014 1 $01 $8,088,014 $916,567 $0 $916,567 l $916,567 Total in Accounts (Restricted & Unrestricted) $3,153,780 $5,260,854 $1,891,874 $150 $450 $3,422,147 $0 $792,026 $1,286,795 $0 $908,589 $407,648 $0 $193,722 $82,037 $105,334 $17,505,406 General Fund 135 Available 4,933,634 Prosperity General Fund 3,153,780 Texpool General Fund 600 Petty Cash 8,088,014 3,880 4,770,878 5,672,780 241,030 $10,688,568 $916,567 $0 $916,567 January 18, 2023 Regular Meeting Agenda Packet FY 2022 General Fund YTD Budget Variance Updated Year End Account Description FY 2022 Adopted Amended Budget September Totals YTD Total 9/30/2022 YTD % Budget (100% Target) Remaining Budget General Fund Revenues 135-40000-000-000 Property Taxes 136,092 136,092 177 138,467 101.74% (2,375) 135-40002-000-000 135-40015-000-000 135-40025-000-000 135-47000-000-000 135-47005-000-000 135-47025-000-000 135-47030-000-000 135-47035-000-000 135-47045-000-000 135-47070-000-000 135-48010-000-000 135-49000-000-000 135-49011-000-000 135-49016-000-000 135-49018-000-000 135-49026-000-000 135-49035-000-000 135-49036-000-000 135-49005-000-000 135-49075-000-000 135-49141-000-000 135-49145-000-000 135-49900-000-000 135-49901-000-000 135-49903-000-000 135-00000-000-000 Property Taxes/Delinquent Property Taxes/P & I PID Surcharges Water Sewer Penalties Service Charges (Disconnect Fees) Plumbing Inspections Sewer Inspections TCCC Effluent Charges Utility Fees Capital Lease- Other Fin Sources Interest Income Cell Tower Revenue Building Rent Income Proceeds from Sale of Assets Prior Year Reserves GASB Reserves Loan Proceeds Oversize Meter Reimbursement Interfund Transfer In Intergov Transfer In Miscellaneous Income Records Management Revenue Recovery of Prior Year Expense Reimbursement ITotal 300 300 165,537 6,033,776 3,824,473 94,826 14,000 750 2,500 50,000 15,000 14,146 10,000 300 300 165,537 6,033,776 3,824,473 94,826 14,000 750 2,500 50,000 15,000 14,146 25,000 524,000 2,058 2,058 7,000 7,000 4 31 164,890 816,719 368,586 10,155 125 150 50 12,132 (179) 541 164,890 6,843,941 3,856,157 105,893 4,695 600 150 109,207 15,332 66,251 1,179 14,146 21,001 393 65 -59.81% 180.49% 99.61% 113.43% 100.83% 111.67% 33.53% 80.00% 6.00% 218.41% 0.00% 0.00% 441.67% 100.00% 0.00% 84.00% 0.00% 0.00% 0.00% 2,654 128.98% 0.00% 0.00% 7,899 112.84% 0.00% 85,000 0.00% 0.00% 479 (241) 647 (810,165) (31,684) (11,067) 9,306 150 2,350 (59,207) (51,251) 0 3,999 524,000 (596) (899) (85,000) 10,370,758 1 10,909,758 1,389,988 I 11, 421, 312 I 104.69% 1 (511,554) Water 135-50005-010-000 135-50010-010-000 135-50016-010-000 135-50017-010-000 135-50020-010-000 135-50026-010-000 135-50027-010-000 135-50028-010-000 135-50029-010-000 135-50030-010-000 135-50035-010-000 135-50040-010-000 135-50045-010-000 135-50060-010-000 135-50070-010-000 135-55080-010-000 135-55085-010-000 135-55090-010-000 135-55105-010-000 135-55120-010-000 135-55135-010-000 135-55135-010-001 135-60010-010-000 135-60020-010-000 135-60066-010-000 135-60070-010-000 135-60080-010-000 135-60090-010-000 135-60100-010-000 135-60105-010-000 135-60135-010-000 135-60135-010-001 135-60150-010-000 135-60245-010-000 135-60280-010-000 135-60285-010-000 135-60332-010-000 135-60333-010-000 135-60334-010-000 135-60360-010-000 135-65005-010-000 135-65010-010-000 (General Fund Expenses Salaries & Wages Overtime Longevity Certification Retirement Medical Insurance Dental Insurance Vision Insurance Life Insurance & Other Social Security Taxes Medicare Taxes Unemployment Taxes Workman's Compensation Pre-emp Physicals/Testing Employee Relations Maintenance & Repairs Generator Maintenance & Repairs Vehicle Maintenance Maintenance -Heavy Equipment Cleaning Services Lab Analysis - MUD Lab Analysis - PID Communications/Mobiles Electricity Publications/Books/Subscripts Dues & Memberships Schools & Training Safety Program Travel & per diem Rent/Lease Equipment TCEQ Fees & Permits - MUD TCEQ Fees & Permits - PID Wholesale Water Miscellaneous Expenses Property Maintenance Lawn Services Interfund Transfer Out- Revenue I&S Interfund Transfer Out- Bond Reserve Interfund Transfer Out -Bank Reserve Furniture/Equipment < $5000 Fuel & Lube Uniforms 402,468 17,000 5,829 4,500 46,074 97,671 5,594 719 4,620 26,647 6,232 1,512 11,604 400 300 110,000 2,000 5,000 1,000 2,000 7,500 2,000 7,500 131,689 1,000 372,468 22,000 5,829 4,500 46,074 67,671 5,594 719 4,620 26,647 6,232 1,512 11,604 400 300 200,000 2,000 10,000 1,000 2,000 7,500 2,000 7,500 131,689 1,000 4,141 4,141 988 988 30,000 30,000 2,508,611 2,508,611 12,500 12,500 569,454 569,454 2,500 2,500 15,000 15,000 15 OfzttC 5,250 48,965 362,451 2,785 32,273 5,713 225 2,650 4,994 44,359 5,745 65,577 339 3,923 48 553 285 3,573 3,158 24,535 938 5,938 143 909 10,909 55 182 21,692 357,812 952 104 9,738 237 645 1,935 764 5,285 469 1,583 404 6,865 14,318 138,327 875 125 114 2,649 59 59 21,486 437 603,176 2,672,206 1,200 6,315 569,455 1,923 2,337 21,815 2,474 97.31% 146.70% 98.00% 58.89% 96.28% 96.91% 70.13% 76.90% 77.34% 92.07% 95.28% 9.45% 94.01% 13.86% 60.63% 178.91% 47.58% 97.38% 23.66% 96.74% 70.47% 79.14% 91.54% 105.04% 87.50% 0.00% 63.97% 0.00% 6.00% 0.00% 71.62% 0.00% 106.52% 0.00% 0.00% 50.52% 100.00% 0.00% 0.00% 76.92% 145.43% 47.13% 10,017 (10,273) 117 1,850 1,715 2,094 1,671 166 1,047 2,112 294 1,369 695 345 118 (157,812) 1,048 262 763 65 2,215 417 635 (6,638) 125 (125) 1,492 929 8,514 (437) (163,595) 6,185 (1) 577 (6,815) 2,776 Account 135-65030-010-000 135-65035-010-000 135-65040-010-000 135-65050-010-000 135-65053-010-000 135-69005-010-000 135-69008-010-000 135-69009-010-000 135-69195-010-000 135-69281-010-000 135-70040-010-000 Wastewater 135-50005-020-000 135-50010-020-000 135-50016-020-000 135-50017-020-000 135-50020-020-000 135-50026-020-000 135-50027-020-000 135-50028-020-000 135-50029-020-000 135-50030-020-000 135-50035-020-000 135-50040-020-000 135-50045-020-000 135-50060-020-000 135-50070-020-000 135-55005-020-000 135-55070-020-000 135-55080-020-000 135-55081-020-000 135-55085-020-000 135-55090-020-000 135-55091-020-000 135-55105-020-000 135-55120-020-000 135-55125-020-000 135-55135-020-000 135-60010-020-000 135-60020-020-000 135-60066-020-000 135-60070-020-000 135-60080-020-000 135-60090-020-000 135-60100-020-000 135-60105-020-000 135-60125-020-000 135-60135-020-000 135-60245-020-000 135-60280-020-000 135-60285-020-000 135-60331-020-000 135-60332-020-000 135-60333-020-000 135-60334-020-000 135-60360-020-000 135-65005-020-000 135-65010-020-000 135-65030-020-000 135-65031-020-000 135-65035-020-000 135-65040-020-000 135-65045-020-000 135-69005-020-000 135-69008-020-000 135-69009-020-000 135-69195-020-000 135-70020-020 Board of Directors 135-50005-026-000 135-50030-026-000 135-50035-026-000 135-55040-026-000 Chemicals Small Tools Safety Equipment Meter Expense Meter Change Out Program Capital Outlays Short Term Debt -Principal Short Term Debt -Interest Gasb34/Reserve for Replacement Water Tank Inspection Contract Bond Related Expenses (Subtotal Water Salaries & Wages Overtime Longevity Certification Retirement Medical Insurance Dental Insurance Vision Insurance Life Insurance & Other Social Security Taxes Medicare Taxes Unemployment Taxes Workman's Compensation Pre-emp Physicals/Testing Employee Relations Engineering Independent Labor Maintenance & Repairs- WWTP Maintenance & Repairs- Collections Generator Maintenance & Repairs Vehicle Maintenance- WWTP Vehicle Maintenance- Collections Maintenance -Heavy Equipment Cleaning Services Dumpster Services Lab Analysis Communications/Mobiles Electricity Publications/Books/Subscripts Dues & Memberships Schools & Training Safety Program Travel & per diem Rent/Lease Equipment Advertising TCEQ Fees & Permits Miscellaneous Expenses Property Maintenance Lawn Equipment & Maintenance Interfund Transfer Out -Tax I&S Interfund Transfer Out- Revenue l&S Interfund Transfer Out -Bond Reserve Interfund Transfer Out -Bank Reserve Account Furniture/Equipment < $5000 Fuel & Lube Uniforms Chemicals- WWTP Chemicals- Collections Small Tools Safety Equipment Lab Supplies Capital Outlays Short Term Debt -Principal Short Term Debt -Interest Gasb34/Reserve for Replacement Capital Lease Issuance Cost 1Subtotal Wastewater January 18, 2023 Regular Meeting Agenda Packet FY 2022 Adopted Amended Budget September Totals YTD Total 9/30/2022 YTD % Budget (100% Target) Remaining Budget 1 25,000 20,000 87,000 905,000 31,419 1,404 75,000 113,500 25,000 20,000 87,000 1,429,000 31,419 1,404 75,000 113,500 5,307, 626 1 5,871,626 1 478,934 33,000 7,956 8,400 56,634 112,190 7,175 1,013 4,800 32,754 7,660 1,764 14,153 400 300 125,000 222,500 9,000 4,600 13,000 3,000 2,000 100,000 40,000 7,500 150,732 4,652 1,138 418,934 33,000 7,956 8,400 56,634 72,190 7,175 1,013 4,800 32,754 7,660 1,764 14,153 400 300 160,000 222,500 9,000 4,600 13,000 3,000 2,000 100,000 40,000 7,500 150,732 4,652 1,138 12,000 22,000 16,000 115,924 690,085 500 12,500 6,205 32,500 10,000 33,000 700,000 81,878 7,312 130,000 16,000 115,924 690,085 500 12,500 6,205 32,500 10,000 33,000 685,000 81,878 7,312 130,000 3,741 30,633 66,372 283,924 950,880 31,418 1,404 75,000 1,500 112,364 1,002,837 1 5,653,457 1 122.53% 0.00% 0.00% 0.00% 76.29% 66.54% 100.00% 100.02% 100.00% 99.00% 0.00% 96.28% (5,633) 20,000 20,629 478,120 1 (0) 1,136 218,169 53,568 382,301 91.26% 36,633 3,310 31,627 95.84% 1,373 - 7,955 99.99% 1 425 5,900 70.24% 2,500 5,630 47,229 83.39% 9,405 6,227 71,491 99.03% 699 338 3,957 55.15% 3,218 48 566 55.92% 447 266 3,400 70.82% 1,400 3,545 26,257 80.17% 6,497 829 6,141 80.17% 1,519 15 70 3.98% 1,694 1,118 13,414 94.78% 739 292 72.94% 108 445 148.22% (145) - 0.00% - - 0.00% - 191 193,823 121.14% (33,823) 1,652 286,403 128.72% (63,903) - 4,604 51.16% 4,396 218 524 11.39% 4,076 18,947 145.74% (5,947) 1,325 44.18% 1,675 645 1,935 96.73% 65 8,316 91,740 91.74% 8,260 5,072 44,380 110.95% (4,380) 340 6,383 85.10% 1,117 15,964 172,359 114.35% (21,627) 0.00% 0.00% - 114 1,700 36.55% 2,952 0.00% - 0.00% 1,138 0.00% - 0.00% - 340 20,314 92.34% 1,686 0.00% - - 0.00% - 1,420 6,067 37.92% 9,933 115,924 100.00% (0) 690,086 100.00% (1) - 0.00% - 0.00% - - 0.00% 500 2,231 13,686 109.49% (1,186) 175 3,299 53.17% 2,906 2,381 25,284 77.80% 7,216 5,776 57.76% 4,224 0.00% - - 0.00% - 62 31,073 94.16% 1,927 181,086 381,214 55.65% 303,786 (12) 83,484 101.96% (1,606) 12 5,707 78.05% 1,605 130,000 100.00% - - 0.00% - 2,937,082 1 90.98% 291,077 3,298,159 1 3,228,159 1 295,526 Salaries & Wages Social Security Taxes Medicare Taxes Unemployment Taxes 1b0t111, 0.00% 0.00% 0.00% 0.00% January 18, 2023 Regular Meeting Agenda Packet Account Description FY 2022 Adopted Amended Budget September Totals YTD Total 9/30/2022 YTD % Budget (100% Target) Remaining Budget 135-50045-026-000 135-60066-026-000 135-60070-026-000 135-60075-026-000 135-60080-026-000 135-60100-026-000 135-60245-026-000 Administration 135-50005-030-000 135-50010-030-000 135-50016-030-000 135-50020-030-000 135-50026-030-000 135-50027-030-000 135-50028-030-000 135-50029-030-000 135-50030-030-000 135-50035-030-000 135-50040-030-000 135-50045-030-000 135-50060-030-000 135-50070-030-000 135-55005-030-000 135-55030-030-000 135-55070-030-000 135-55080-030-000 135-55085-030-000 135-55100-030-000 135-55120-030-000 135-55160-030-000 135-55205-030-000 135-60005-030-000 135-60010-030-000 135-60020-030-000 135-60025-030-000 135-60035-030-000 135-60040-030-000 135-60050-030-000 135-60055-030-000 135-60066-030-000 135-60070-030-000 135-60075-030-000 135-60079-030-000 135-60080-030-000 135-60100-030-000 135-60110-030-000 135-60115-030-000 135-60125-030-000 135-60235-030-000 135-60245-030-000 135-60246-030-000 135-60285-030-000 135-60360-030-000 135-65010-030-000 135-65055-030-000 135-65085-030-000 135-65090-030-000 135-65095-030-000 135-65105-030-000 135-69005-030-000 135-69170-030-000 Non Departmental 135-55045-039-000 135-55055-039-000 135-55060-039-000 135-55065-039-000 Workman's Compensation Publications/Books/Subscripts Dues & Memberships Meetings Schools & Training Travel & per diem Miscellaneous Expenses (Subtotal Board of Directors 1 Salaries & Wages Overtime Longevity Retirement Medical Insurance Dental Insurance Vision Insurance Life Insurance & Other Social Security Taxes Medicare Taxes Unemployment Taxes Workman's Compensation Pre-emp Physicals/Testing Employee Relations Engineering Software & Support Independent Labor Maintenance & Repairs Generator Maintenance & Repairs Building Maintenance & Supplies Cleaning Services Professional Outside Services Utility Billing Contract Telephone Communications/Mobiles Electricity Water Postage Bank Service Charges & Fees Bad Debt Expense Insurance Publications/Books/Subscripts Dues & Memberships Meetings Public Education Schools & Training Travel & per diem Physicals/Testing Elections Advertising Security Miscellaneous Expenses General Manager Contingency Lawn Equipment & Maintenance Furniture/Equipment < $5000 Uniforms Hardware IT Office Supplies Printer Supplies & Maintenance Maintenance Supplies Printing Capital Outlays Copier Lease Installments 1Subtotal Administration Legal Auditing Appraisal Tax Admin Fees (Subtotal Non Departmental 1 30 30 1 10 700 115 1,416 625 750 1,500 4,000 5,000 500 11,780 567,338 2,000 2,972 61,353 103,384 6,533 819 4,800 35,483 8,298 1,512 1,425 500 4,000 122,310 15,000 40,000 3,000 12,000 70,281 9,000 8,500 3,000 15,213 5,000 30,000 85,000 1,500 84,000 6,000 750 1,500 4,000 5,000 500 11,780 1 567,338 2,000 2,972 61,353 83,384 6,533 819 4,800 35,483 8,298 1,512 1,425 500 4,000 122,310 25,000 40,000 3,000 12,000 70,281 9,000 8,500 3,000 15,213 5,000 30,000 85,000 1,500 84,000 6,500 2,000 4,000 5,250 5,250 1,587 1,587 5,000 12,500 2,500 2,500 5,000 10,000 530 21,400 6,000 4,000 190,000 4,000 1 1,567,488 1 135,000 33,800 12,055 4,850 I 185,705 I 5,000 10,000 530 21,400 6,000 4,000 190,000 4,000 1,567,488 1 100,000 33,800 12,055 4,850 150,705 I 116 1 2,751 1 34.33% 0.00% 93.33% 94.37% 15.63% 0.00% 0.00% 23.35% 1 66,901 534,749 94.26% 68 549 27.44% 2,973 100.02% 6,293 59,277 96.62% 5,200 69,806 83.72% 273 3,762 57.58% 40 527 64.38% 371 4,507 93.89% 4,014 31,981 90.13% 939 7,479 90.13% 54 3.57% 126 1,511 106.03% 516 103.13% 3,471 86.77% 0.00% 7,282 107,761 88.10% 914 29,113 116.45% 27,203 66,308 165.77% 717 23.89% 0.00% 3,869 12,266 102.22% 664 75,415 107.30% 651 7,346 81.62% 585 5,909 69.52% 225 2,700 90.00% 1,006 15,200 99.91% 352 4,107 82.14% 1,875 22,408 74.69% 9,507 92,832 109.21% 9,562 9,562 637.44% 7,307 86,013 102.40% 0.00% 160 6,522 100.33% 0.00% 3,867 96.67% 32 913 17.39% 509 32.10% 0.00% 3,378 7,143 57.14% 675 10,412 416.47% 0.00% 112 0.00% 0.00% 470 4,227 84.54% 3,284 32.84% 443 443 83.49% 10,647 12,206 57.04% 272 4,217 70.28% 0.00% 675 6,190 154.74% 0.00% 113,654 59.82% 3,242 81.04% 1,435,755 1 91.60% (6,704) 254 165,528 1 5,185 55,890 25,375 2,271 14,582 3,874 7,456 1 99,721 55.89% 75.08% 120.96% 79.88% 66.17% 1 20 50 84 3,375 5,000 500 9,029 32,589 1,451 (1) 2,076 13,578 2,771 292 293 3,502 819 1,458 (86) (16) 529 14,549 (4,113) (26,308) 2,283 (266) (5,134) 1,654 2,591 300 13 893 7,592 (7,832) (8,062) (2,013) (22) 133 4,337 1,078 5,357 (7,912) (112) 773 6,716 88 9,194 1,783 (2,190) 76,346 758 131,733 1 1 44,110 8,425 (2,527) 976 50,984 Total General Fund Revenues Total General Fund Expenses Net Budget Surplus (Deficit) 10,370,758 10,370,758 10,909,758 10,829,758 80,000 1,389,988 1,471,462 (81,474) 11,421,312 10,128,766 1,292,546 104.69% 93.53% 11.16% (511,554) 700,992 1,212,546 17 of 110 ebills Bills Mailed Bank Draft Credit Card Draft Online Payments Late Notices Disconnects Connections MUD Connections PID January 18, 2023 Regular Meeting Agenda Packet December Utility Billing Report Fiscal Year 2022 - 2023 December January February March April May June July August September October November December 2021 2022 2022 2022 2022 2022 2022 2022 2022 2022 2022 2022 2022 1,370 1,388 1,420 1,424 1,465 1,518 1,566 1,592 1,629 1,654 1,667 1,710 1,746 3,855 3,855 3,872 3,864 3,868 3,865 3,882 3,872 3,850 3,832 3,822 3,801 3,768 663 668 670 671 676 692 700 697 704 703 706 711 630 1,415 1,437 1,431 1,442 1,455 1,450 1,456 1,471 1,484 1,481 1,501 1,494 2,251 1,175 1,174 1,138 1,225 1,171 1,196 1,188 1,220 1,170 1,203 1,159 1,049 362 377 362 326 355 284 339 387 310 326 337 0 0 1 3 5 8 9 9 4 7 5 2 0 4 0 3398 3398 3401 3402 3400 3400 3401 3401 3398 3399 3399 3399 3399 1443 1443 1443 1443 1443 1443 1443 1443 1443 1444 1444 1444 1444 Date of Permit Permit No. December Permits Fiscal Year 2023 Customer Due to FW Oversize Plumbing Sewer Deposit Water Meter Inspections Inspections Fire Line Misc. Income Total $ Total $ - $ $ $ - $ - $ - $ - $ 18 of 110 January 18, 2023 Regular Meeting Agenda Packet FY 2023 Combined Financials YTD as of 12/31/2022 YTD Revenues • YTD Expenses Adopted Budget vs YTD Actuals Revenues & Expenses $2,582,072 $2,341,042 $11,733,354 $11,733,354 $1,097 $22,117 0% 1 1% $465,240 20% 3750,871 32% $1,101,718 47% YTD Expenses By Departments YTD Expense- Water YTD Expense- WW YTD Expense- Admin YTD Expense- BOD • YTD Expense- Non Dept Water Budget vs Actual 140,000,000 120,000,000 100,000,000 80,000,000 60,000,000 40,000,000 20,000,000 0 88,979,203 Water Consumption Budget vs Actual Oct 41,702,881 Budget Consumption—1—Actual Consumption 52,466,000 41,572,326 Nov Dec 1,000,000,000 900,000,000 800,000,000 700,000,000 600,000,000 500,000,000 400,000,000 300,000,000 200,000,000 100,000,000 0 Adopted Budget Water Consumption Vs Actual Water Consumption 808,128,121 839,029,710 Total Water Consumption • Budgeted Water Consumption • Projected Water Consumption Presented by: Finance Department $1,000,000 $900,000 $800,000 $700,000 $600,000 $500,000 $400,000 $300,000 $200,000 $100,000 $0 Water Revenue Budget vs Actual $703,717 Oct Budget Revenue --Actual Revenue 8440,564 8395,329J) Nov Dec Adopted Budget Water Revenue Vs Projected Water Revenue $8,000,000 37,000,000 36,710,979 $6,760,216 $6,000,000 $5,000,000 $4,000,000 $3,000,000 $2,000,000 $1,000,000 $o $4,070,848 $4,162,511 Total Water Revenue • Budgeted Water Revenue • Projected Water Revenue Net Budgeted Water Revenue Minus Budgeted Expenses • Net Projected Water Revenue Minus Projected Expenses 19 of 110 TGfPHV CLUB ME[NEG]AAL [lrILE7Y I][5711.I I:, Trophy Club Municipal Utility District No. 1 Fund: 135 - MUD 1 General Fund REVENUE SUMMARY Revenue, Asset, Liability, & Equity TOTAL REVENUE EXPENSE SUMMARY Revenue, Asset, Liability, & Equity Water Wastewater Board of Directors Administration Non Deparmental TOTAL EXPENSE REVENUE OVER/(UNDER) EXPENDITURE 1/13/2023 11:05:05 AM CURRENT MONTH ACTUAL BUDGETED VARIANCE 819,591.40 819,591.40 0.00 251,958.13 209,404.81 750.62 110,944.23 12,809.34 585,867.13 233,724.27 977,388.37 977,388.37 0.00 547,941.66 290,877.74 980.01 127,864.23 9,724.44 977,388.08 YEAR TO DATE ACTUAL BUDGETED January 18, 2023 Regular Meeting Agenda Packet VARIANCE Budget Variance Report As Of: 12/31/2022 ANNUAL BUDGET TOTAL REMAINING % (157,796.97) 2,582,071.84 2,932,165.11 (350,093.27) 22 11,733,354.00 (157,796.97) 2,582,071.84 2,932,165.11 (350,093.27) 22 11,733,354.00 0.00 0.00 0.00 0.00 0.00 295,983.53 1,101,717.85 1,643,824.98 542,107.13 17 6,577,932.00 81,472.93 750,870.56 872,633.22 121,762.66 22 3,491,931.00 229.39 1,096.83 2,940.03 1,843.20 9 11,765.00 16,920.00 465,240.23 383,592.69 (81,647.54) 30 1,534,986.00 (3,084.90) 22,116.84 29,173.32 7,056.48 19 116,740.00 391,520.95 2,341,042.31 2,932,164.24 591,121.93 20 11,733,354.00 0.29 233,723.98 241,029.53 0.87 241,028.66 20 of 110 (9,151,282.16) 78 (9,151,282.16) 78 0.00 (5,476,214.15) (2,741,060.44) (10,668.17) (1,069,745.77) (94,623.16) 83 78 91 70 81 9,392,311.69 80 0.00 (18,543,593.85) Page 1 of 1 Trophy Club Municipal Utility District No. 1 Fund: 135 - MUD 1 General Fund Revenue Department: 000 - Revenue, 135-000-40000-000 135-000-40002-000 135-000-40015-000 135-000-40025-000 135-000-47000-000 135-000-47005-000 135-000-47025-000 135-000-47030-000 135-000-47035-000 135-000-47045-000 135-000-47070-000 135-000-49011-000 135-000-49016-000 135-000-49026-000 135-000-49035-000 135-000-49036-000 135-000-49075-000 135-000-49900-000 Total Departme Expense Department: 010 - Water 135-010-50005-000 135-010-50010-000 135-010-50016-000 135-010-50017-000 135-010-50020-000 135-010-50026-000 135-010-50027-000 135-010-50028-000 135-010-50029-000 135-010-50030-000 1/13/2023 11:09:19 AM Asset, Liability, & Equity Property Taxes Property Taxes/Delinquent Property Taxes/P &I PID Surcharges Water Sewer Penalties Service Charges Plumbing Inspections Sewer Inspections TCCC Effluent Charges Interest Income Cell Tower Revenue Proceeds from Sale of Assets Prior Year Reserves GASB Reserves Oversize Meter Reimbursement Miscellaneous Income nt: 000 - Revenue, Asset, Liability, & Equity: Salaries & Wages Overtime Longevity Certification Retirement Medical Insurance Dental Insurance Vision Insurance Life Insurance & Other Social Security Taxes Total Revenue: December Budget December Activity Variance Favorable Percent (Unfavorable) Remaining January 18, 2023 Regular Meeting Agenda Packet YTD Budget Monthly Budget Report Account Summary For Fiscal: Current Period Ending: 12/31/2022 YTD Activity Variance Favorable Percent (Unfavorable) Remaining Total Budget 7,326.73 35,207.89 27,881.16 380.54% 21,980.19 39,838.78 17,858.59 81.25% 87,956.00 24.99 555.10 530.11 2,121.29% 74.97 818.14 743.17 991.29% 300.00 24.99 3.42 -21.57 -86.31% 74.97 297.50 222.53 296.83% 300.00 12,080.91 0.00 -12,080.91 -100.00% 36,242.73 0.00 -36,242.73 -100.00% 145,029.00 559,024.55 440,564.38 -118,460.17 -21.19% 1,677,073.65 1,543,602.80 -133,470.85 -7.96% 6,710,979.00 319,845.84 312,642.34 -7,203.50 -2.25% 959,537.52 577,819.89 -381,717.63 -39.78% 3,839,686.00 6,497.40 0.00 -6,497.40 -100.00% 19,492.20 5,923.46 -13,568.74 -69.61% 78,000.00 466.48 50.00 -416.48 -89.28% 1,399.44 5,181.92 3,782.48 270.29% 5,600.00 24.99 0.00 -24.99 -100.00% 74.97 0.00 -74.97 -100.00% 300.00 8.33 0.00 -8.33 -100.00% 24.99 0.00 -24.99 -100.00% 100.00 4,998.00 0.00 -4,998.00 -100.00% 14,994.00 327,843.53 312,849.53 2,086.50% 60,000.00 1,666.00 29,389.46 27,723.46 1,664.07% 4,998.00 76,684.69 71,686.69 1,434.31% 20,000.00 1,178.36 1,178.81 0.45 0.04% 3,535.08 3,536.43 1.35 0.04% 14,146.00 2,082.50 0.00 -2,082.50 -100.00% 6,247.50 391.30 -5,856.20 -93.74% 25,000.00 47,722.57 0.00 -47,722.57 -100.00% 143,167.71 0.00 -143,167.71 -100.00% 572,900.00 13,661.20 0.00 -13,661.20 -100.00% 40,983.60 0.00 -40,983.60 -100.00% 164,000.00 171.43 0.00 -171.43 -100.00% 514.29 0.00 -514.29 -100.00% 2,058.00 583.10 0.00 -583.10 -100.00% 1,749.30 133.40 -1,615.90 -92.37% 7,000.00 977,388.37 819,591.40 -157,796.97 -16.14% 2,932,165.11 2,582,071.84 -350,093.27 -11.94% 11,733,354.00 977,388.37 819,591.40 -157,796.97 -16.14% 2,932,165.11 2,582,071.84 -350,093.27 -11.94% 11,733,354.00 33,914.67 32,062.95 1,851.72 5.46% 101,744.01 93,839.34 7,904.67 7.77% 407,139.00 1,416.10 992.97 423.13 29.88% 4,248.30 2,813.80 1,434.50 33.77% 17,000.00 498.38 0.00 498.38 100.00% 1,495.14 0.00 1,495.14 100.00% 5,983.00 299.88 0.00 299.88 100.00% 899.64 0.00 899.64 100.00% 3,600.00 4,264.96 3,702.28 562.68 13.19% 12,794.88 11,651.98 1,142.90 8.93% 51,200.00 6,890.74 5,744.58 1,146.16 16.63% 20,672.22 17,233.74 3,438.48 16.63% 82,722.00 406.17 338.62 67.55 16.63% 1,218.51 1,015.88 202.63 16.63% 4,876.00 62.05 47.70 14.35 23.13% 186.15 143.10 43.05 23.13% 745.00 199.92 410.68 -210.76 -105.42% 599.76 1,122.88 -523.12 -87.22% 2,400.00 2,240.02 1,995.81 244.21 10.90% 6,720.06 5,871.38 848.68 12.63% 26,891.00 21 of 110 Page 1 of 7 January 18, 2023 Regular Meeting Agenda Packet Monthly Budget Report For Fiscal: Current Period Ending: 12/31/2022 Variance Variance December December Favorable Percent YTD YTD Favorable Percent Budget Activity (Unfavorable) Remaining Budget Activity (Unfavorable) Remaining Total Budget 135-010-50035-000 Medicare Taxes 523.87 466.75 57.12 10.90% 1,571.61 1,173.14 398.47 25.35% 6,289.00 135-010-50040-000 Unemployment Taxes 104.95 0.00 104.95 100.00% 314.85 0.00 314.85 100.00% 1,260.00 135-010-50045-000 Workman's Compensation 937.04 1,109.40 -172.36 -18.39% 2,811.12 3,328.20 -517.08 -18.39% 11,249.00 135-010-50060-000 Pre-emp Physicals/Testing 33.32 0.00 33.32 100.00% 99.96 0.00 99.96 100.00% 400.00 135-010-50070-000 Employee Relations 24.99 0.00 24.99 100.00% 74.97 132.95 -57.98 -77.34% 300.00 135-010-55080-000 Maintenance & Repairs 19,142.34 6,359.12 12,783.22 66.78% 57,427.02 26,082.78 31,344.24 54.58% 229,800.00 135-010-55085-000 Generator Maint. and Repair 166.60 0.00 166.60 100.00% 499.80 875.96 -376.16 -75.26% 2,000.00 135-010-55090-000 Vehicle Maintenance 416.50 35.75 380.75 91.42% 1,249.50 970.30 279.20 22.34% 5,000.00 135-010-55105-000 Maintenance-Backhoe/SkidLoader 83.30 0.00 83.30 100.00% 249.90 0.00 249.90 100.00% 1,000.00 135-010-55120-000 Cleaning Services 208.25 161.23 47.02 22.58% 624.75 483.68 141.07 22.58% 2,500.00 135-010-55135-000 Lab Analysis 624.75 260.00 364.75 58.38% 1,874.25 600.00 1,274.25 67.99% 7,500.00 135-010-55135-001 Lab Analysis for PID 166.60 80.00 86.60 51.98% 499.80 160.00 339.80 67.99% 2,000.00 135-010-60010-000 Communications/Mobiles 624.75 479.51 145.24 23.25% 1,874.25 1,342.94 531.31 28.35% 7,500.00 135-010-60020-000 Electricity 19,013.22 0.00 19,013.22 100.00% 57,039.66 27,419.47 29,620.19 51.93% 228,250.00 135-010-60066-000 Publications/Books/Subscripts 83.30 0.00 83.30 100.00% 249.90 0.00 249.90 100.00% 1,000.00 135-010-60080-000 Schools & Training 302.37 1,131.88 -829.51 -274.34% 907.11 1,131.88 -224.77 -24.78% 3,630.00 135-010-60100-000 Travel & per diem 78.13 0.00 78.13 100.00% 234.39 0.00 234.39 100.00% 938.00 135-010-60135-000 TCEQ Fees & Permits 2,499.00 0.00 2,499.00 100.00% 7,497.00 15,831.65 -8,334.65 -111.17% 30,000.00 135-010-60150-000 Wholesale Water 219,922.99 140,037.17 79,885.82 36.32% 659,768.97 387,884.66 271,884.31 41.21% 2,640,132.00 135-010-60285-000 Lawn Equipment & Maintenance 1,041.25 0.00 1,041.25 100.00% 3,123.75 600.00 2,523.75 80.79% 12,500.00 135-010-60332-000 Interfund Transfer Out -Rev l&S 47,296.24 51,616.66 -4,320.42 -9.13% 141,888.72 154,849.98 -12,961.26 -9.13% 567,782.00 135-010-60360-000 Furniture/Equipment < $5000 208.25 0.00 208.25 100.00% 624.75 0.00 624.75 100.00% 2,500.00 135-010-65005-000 Fuel & Lube 1,249.50 1,766.41 -516.91 -41.37% 3,748.50 4,491.57 -743.07 -19.82% 15,000.00 135-010-65010-000 Uniforms 362.77 65.82 296.95 81.86% 1,088.31 1,651.08 -562.77 -51.71% 4,355.00 135-010-65030-000 Chemicals 2,082.50 797.84 1,284.66 61.69% 6,247.50 9,428.78 -3,181.28 -50.92% 25,000.00 135-010-65050-000 Meter Expense 1,666.00 0.00 1,666.00 100.00% 4,998.00 0.00 4,998.00 100.00% 20,000.00 135-010-65053-000 Meter Change Out Program 7,247.10 0.00 7,247.10 100.00% 21,741.30 0.00 21,741.30 100.00% 87,000.00 135-010-69005-000 Capital Outlays 145,941.60 2,295.00 143,646.60 98.43% 437,824.80 102,642.40 335,182.40 76.56% 1,752,000.00 135-010-69008-000 Short Term Debt -Principal 2,655.77 0.00 2,655.77 100.00% 7,967.31 0.00 7,967.31 100.00% 31,882.00 135-010-69009-000 Short Term Debt -Interest 39.15 0.00 39.15 100.00% 117.45 0.00 117.45 100.00% 470.00 135-010-69195-000 GASB Reserve for Replacement 13,547.82 0.00 13,547.82 100.00% 40,643.46 162,639.00 -121,995.54 -300.16% 162,639.00 135-010-69281-000 Water Tank Inspection Contract 9,454.55 0.00 9,454.55 100.00% 28,363.65 64,305.33 -35,941.68 -126.72% 113,500.00 Total Department: 010- Water: 547,941.66 251,958.13 295,983.53 54.02% 1,643,824.98 1,101,717.85 542,107.13 32.98% 6,577,932.00 Department: 020 - Wastewater 135-020-50005-000 Salaries & Wages 25,794.26 29,281.58 -3,487.32 -13.52% 77,382.78 87,424.71 -10,041.93 -12.98% 309,655.00 135-020-50010-000 Overtime 2,748.90 1,246.02 1,502.88 54.67% 8,246.70 4,305.21 3,941.49 47.79% 33,000.00 135-020-50016-000 Longevity 336.11 0.00 336.11 100.00% 1,008.33 0.00 1,008.33 100.00% 4,035.00 135-020-50017-000 Certification 524.79 0.00 524.79 100.00% 1,574.37 0.00 1,574.37 100.00% 6,300.00 135-020-50020-000 Retirement 3,471.19 3,419.09 52.10 1.50% 10,413.57 11,061.37 -647.80 -6.22% 41,671.00 135-020-50026-000 Medical lnsurance 8,045.03 5,744.58 2,300.45 28.59% 24,135.09 17,711.97 6,423.12 26.61% 96,579.00 135-020-50027-000 Dental lnsurance 452.06 315.95 136.11 30.11% 1,356.18 969.54 386.64 28.51% 5,427.00 135-020-50028-000 Vision Insurance 66.05 44.36 21.69 32.84% 198.15 136.78 61.37 30.97% 793.00 1/13/2023 11:09:19 AM Page 2 of 7 22 of 110 January 18, 2023 Regular Meeting Agenda Packet Monthly Budget Report For Fiscal: Current Period Ending: 12/31/2022 135-020-50029-000 135-020-50030-000 135-020-50035-000 135-020-50040-000 135-020-50045-000 135-020-50060-000 135-020-50070-000 135-020-55080-000 135-020-55081-000 135-020-55085-000 135-020-55090-000 135-020-55091-000 135-020-55105-000 135-020-55120-000 135-020-55125-000 135-020-55135-000 135-020-60010-000 135-020-60020-000 135-020-60080-000 135-020-60100-000 135-020-60135-000 135-020-60285-000 135-020-60331-000 135-020-60332-000 135-020-60360-000 135-020-65005-000 135-020-65010-000 135-020-65030-000 135-020-65031-000 135-020-65045-000 135-020-69005-000 135-020-69008-000 135-020-69009-000 135-020-69195-000 Life Insurance & Other Social Security Taxes Medicare Taxes Unemployment Taxes Workman's Compensation Pre-emp Physicals/Testing Employee Relations Maintenance & Repairs Mainten & Repairs Collections Generator Maint. and Repair Vehicle Maintenance Veh Maintenance Collections Maintenance-Backhoe/SkidLoader Cleaning Services Dumpster Services Lab Analysis Communications/Mobiles Electricity Schools & Training Travel & per diem TCEQ Fees & Permits Lawn Equipment & Maintenance Interfund Transfer Out -Tax I&S Interfund Transfer Out -Rev l&S Furniture/Equipment < $5000 Fuel & Lube Uniforms Chemicals Chemicals Collections Lab Supplies Capital Outlays Short Term Debt -Principal Short Term Debt -Interest GASB Reserve for Replacement Total Department: 020 - Wastewater: Department: 026 - Board of Directors 135-026-50045-000 Workman's Compensation 135-026-60070-000 Dues & Memberships 135-026-60075-000 Meetings 135-026-60080-000 Schools & Training 135-026-60100-000 Travel & per diem Variance December December Favorable Percent YTD Budget Activity (Unfavorable) Remaining Budget 199.92 389.52 -189.60 -94.84% 599.76 1,823.02 1,870.30 -47.28 -2.59% 5,469.06 426.32 437.42 -11.10 -2.60% 1,278.96 104.95 0.00 104.95 100.00% 314.85 748.61 886.28 -137.67 -18.39% 2,245.83 33.32 0.00 33.32 100.00% 99.96 24.99 325.00 -300.01 -1,200.52% 74.97 11,212.18 27,484.41 -16,272.23 -145.13% 33,636.54 23,407.30 11,015.02 12,392.28 52.94% 70,221.90 749.70 0.00 749.70 100.00% 2,249.10 383.18 106.21 276.97 72.28% 1,149.54 1,082.90 1,202.85 -119.95 -11.08% 3,248.70 249.90 0.00 249.90 100.00% 749.70 166.60 161.22 5.38 3.23% 499.80 8,330.00 9,578.91 -1,248.91 -14.99% 24,990.00 3,332.00 5,605.77 -2,273.77 -68.24% 9,996.00 624.75 406.52 218.23 34.93% 1,874.25 23,017.28 815.42 22,201.86 96.46% 69,051.84 302.37 215.00 87.37 28.90% 907.11 86.46 0.00 86.46 100.00% 259.38 999.60 0.00 999.60 100.00% 2,998.80 1,332.80 0.00 1,332.80 100.00% 3,998.40 9,683.20 10,567.73 -884.53 -9.13% 29,049.60 57,637.85 62,902.88 -5,265.03 -9.13% 172,913.55 41.65 0.00 41.65 100.00% 124.95 1,041.25 1,388.48 -347.23 -33.35% 3,123.75 367.76 408.82 -41.06 -11.16% 1,103.28 2,707.25 3,256.90 -549.65 -20.30% 8,121.75 833.00 0.00 833.00 100.00% 2,499.00 2,748.90 3,735.29 -986.39 -35.88% 8,246.70 74,553.50 26,593.28 47,960.22 64.33% 223,660.50 7,144.30 0.00 7,144.30 100.00% 21,432.90 233.32 0.00 233.32 100.00% 699.96 13,809.22 0.00 13,809.22 100.00% 41,427.66 290,877.74 209,404.81 81,472.93 28.01% 872,633.22 1.24 0.62 0.62 50.00% 3.72 62.47 750.00 -687.53 -1,100.58% 187.41 124.95 0.00 124.95 100.00% 374.85 333.20 0.00 333.20 100.00% 999.60 416.50 0.00 416.50 100.00% 1,249.50 YTD Activity 1,058.06 5,638.22 1,318.63 1.79 2,658.84 0.00 457.96 56,596.24 23,851.88 2,836.29 287.07 3,795.56 1,408.94 483.67 15,374.32 13,664.97 1,141.71 28,799.65 576.00 0.00 9,888.02 710.00 31,703.19 188,708.64 0.00 3,718.83 1,319.68 3,256.90 293.80 15,064.30 48,870.82 0.00 0.00 165,777.00 750,870.56 1.86 750.00 344.97 0.00 0.00 Variance Favorable (Unfavorable) -458.30 -169.16 -39.67 313.06 -413.01 99.96 -382.99 -22,959.70 46,370.02 -587.19 862.47 -546.86 -659.24 16.13 9,615.68 -3,668.97 732.54 40,252.19 331.11 259.38 -6,889.22 3,288.40 -2,653.59 -15,795.09 124.95 -595.08 -216.40 4,864.85 2,205.20 -6,817.60 174, 789.68 21,432.90 699.96 -124,349.34 121,762.66 1.86 -562.59 29.88 999.60 1,249.50 Percent Remaining Total Budget -76.41% 2,400.00 -3.09% 21,885.00 -3.10% 5,118.00 99.43% 1,260.00 -18.39% 8,987.00 100.00% 400.00 -510.86% 300.00 -68.26% 134,600.00 66.03% 281,000.00 -26.11% 9,000.00 75.03% 4,600.00 -16.83% 13,000.00 -87.93% 3,000.00 3.23% 2,000.00 38.48% 100,000.00 -36.70% 40,000.00 39.08% 7,500.00 58.29% 276,318.00 36.50% 3,630.00 100.00% 1,038.00 -229.73% 12,000.00 82.24% 16,000.00 -9.13% 116,245.00 -9.13% 691,931.00 100.00% 500.00 -19.05% 12,500.00 -19.61% 4,415.00 59.90% 32,500.00 88.24% 10,000.00 -82.67% 33,000.00 78.15% 895,000.00 100.00% 85,766.00 100.00% 2,801.00 -300.16% 165,777.00 13.95% 3,491,931.00 50.00% 15.00 -300.19% 750.00 7.97% 1,500.00 100.00% 4,000.00 100.00% 5,000.00 1/13/2023 11:09:19 AM Page 3 of 7 23 of 110 January 18, 2023 Regular Meeting Agenda Packet Monthly Budget Report For Fiscal: Current Period Ending: 12/31/2022 Variance Variance December December Favorable Percent YTD YTD Favorable Percent Budget Activity (Unfavorable) Remaining Budget Activity (Unfavorable) Remaining Total Budget 135-026-60245-000 Miscellaneous Expenses 41.65 0.00 41.65 100.00% 124.95 0.00 124.95 100.00% 500.00 Total Department: 026 - Board of Directors: 980.01 750.62 229.39 23.41% 2,940.03 1,096.83 1,843.20 62.69% 11,765.00 Department: 030 - Administration 135-030-50005-000 Salaries & Wages 51,724.13 47,713.33 4,010.80 7.75% 155,172.39 130,823.15 24,349.24 15.69% 620,938.00 135-030-50010-000 Overtime 166.60 246.38 -79.78 -47.89% 499.80 302.14 197.66 39.55% 2,000.00 135-030-50016-000 Longevity 201.83 0.00 201.83 100.00% 605.49 0.00 605.49 100.00% 2,423.00 135-030-50020-000 Retirement 6,149.53 5,346.29 803.24 13.06% 18,448.59 15,818.37 2,630.22 14.26% 73,824.00 135-030-50026-000 Medical Insurance 9,686.95 6,156.98 3,529.97 36.44% 29,060.85 17,992.56 11,068.29 38.09% 116,290.00 135-030-50027-000 Dental Insurance 504.04 315.95 188.09 37.32% 1,512.12 926.18 585.94 38.75% 6,051.00 135-030-50028-000 Vision Insurance 74.88 47.70 27.18 36.30% 224.64 139.40 85.24 37.95% 899.00 135-030-50029-000 Life Insurance & Other 199.92 521.68 -321.76 -160.94% 599.76 1,436.74 -836.98 -139.55% 2,400.00 135-030-50030-000 Social Security Taxes 3,229.70 2,566.52 663.18 20.53% 9,689.10 7,510.82 2,178.28 22.48% 38,772.00 135-030-50035-000 Medicare Taxes 755.36 666.09 89.27 11.82% 2,266.08 1,822.40 443.68 19.58% 9,068.00 135-030-50040-000 Unemployment Taxes 125.94 0.00 125.94 100.00% 377.82 1.79 376.03 99.53% 1,512.00 135-030-50045-000 Workman's Compensation 124.61 107.60 17.01 13.65% 373.83 322.80 51.03 13.65% 1,496.00 135-030-50060-000 Pre-emp Physicals/Testing 41.65 0.00 41.65 100.00% 124.95 0.00 124.95 100.00% 500.00 135-030-50070-000 Employee Relations 333.20 2,563.57 -2,230.37 -669.38% 999.60 2,563.57 -1,563.97 -156.46% 4,000.00 135-030-55030-000 Software & Support 10,970.61 6,783.14 4,187.47 38.17% 32,911.83 64,551.97 -31,640.14 -96.14% 131,700.00 135-030-55070-000 Independent Labor 1,249.50 450.00 799.50 63.99% 3,748.50 2,443.75 1,304.75 34.81% 15,000.00 135-030-55080-000 Maintenance & Repairs 3,332.00 954.88 2,377.12 71.34% 9,996.00 954.88 9,041.12 90.45% 40,000.00 135-030-55085-000 Generator Maint. and Repair 249.90 0.00 249.90 100.00% 749.70 0.00 749.70 100.00% 3,000.00 135-030-55120-000 Cleaning Services 999.60 967.35 32.25 3.23% 2,998.80 3,200.29 -201.49 -6.72% 12,000.00 135-030-55160-000 Professional Outside Services 6,250.83 537.26 5,713.57 91.40% 18,752.49 66,777.26 -48,024.77 -256.10% 75,040.00 135-030-55205-000 Utility Billing Contract 749.70 0.00 749.70 100.00% 2,249.10 1,294.45 954.65 42.45% 9,000.00 135-030-60005-000 Telephone 499.80 441.39 58.41 11.69% 1,499.40 1,363.12 136.28 9.09% 6,000.00 135-030-60010-000 Communications/Mobiles 249.90 0.00 249.90 100.00% 749.70 0.00 749.70 100.00% 3,000.00 135-030-60020-000 Electricity/Gas 2,029.93 0.00 2,029.93 100.00% 6,089.79 1,656.11 4,433.68 72.81% 24,369.00 135-030-60025-000 Water 416.50 824.58 -408.08 -97.98% 1,249.50 1,197.26 52.24 4.18% 5,000.00 135-030-60035-000 Postage 2,499.00 0.00 2,499.00 100.00% 7,497.00 4,203.45 3,293.55 43.93% 30,000.00 135-030-60040-000 Service Charges & Fees 7,913.50 180.50 7,733.00 97.72% 23,740.50 16,612.50 7,128.00 30.02% 95,000.00 135-030-60050-000 Bad Debt Expense 124.95 48.65 76.30 61.06% 374.85 48.65 326.20 87.02% 1,500.00 135-030-60055-000 Insurance 7,347.06 8,117.81 -770.75 -10.49% 22,041.18 24,353.43 -2,312.25 -10.49% 88,200.00 135-030-60070-000 Dues & Memberships 541.45 1,274.00 -732.55 -135.29% 1,624.35 1,709.00 -84.65 -5.21% 6,500.00 135-030-60079-000 Public Education 3,332.00 2,983.75 348.25 10.45% 9,996.00 10,480.10 -484.10 -4.84% 40,000.00 135-030-60080-000 Schools & Training 270.72 0.00 270.72 100.00% 812.16 0.00 812.16 100.00% 3,250.00 135-030-60100-000 Travel & per diem 132.28 0.00 132.28 100.00% 396.84 0.00 396.84 100.00% 1,588.00 135-030-60245-000 Miscellaneous Expenses 0.00 0.00 0.00 0.00% 0.00 88.00 -88.00 0.00% 0.00 135-030-60285-000 Lawn Equipment & Maintenance 416.50 0.00 416.50 100.00% 1,249.50 469.67 779.83 62.41% 5,000.00 135-030-60360-000 Furniture/Equipment < $5000 833.00 0.00 833.00 100.00% 2,499.00 0.00 2,499.00 100.00% 10,000.00 135-030-65010-000 Uniforms 44.14 0.00 44.14 100.00% 132.42 0.00 132.42 100.00% 530.00 135-030-65055-000 Hardware 699.72 88.00 611.72 87.42% 2,099.16 384.50 1,714.66 81.68% 8,400.00 135-030-65085-000 Office Supplies 499.80 -197.01 696.81 139.42% 1,499.40 1,139.08 360.32 24.03% 6,000.00 1/13/2023 11:09:19 AM Page 4 of 7 24 of 110 January 18, 2023 Regular Meeting Agenda Packet Monthly Budget Report For Fiscal: Current Period Ending: 12/31/2022 135-030-65095-000 135-030-69005-000 135-030-69170-000 135-030-69195-000 Maintenance Supplies Capital Outlays Copier Lease Installments GASB Reserve for Replacement Total Department: 030 - Administration: Department: 039 - Non Deparmental 135-039-55045-000 Legal 135-039-55055-000 Auditing 135-039-55060-000 Appraisal 135-039-55065-000 Tax Admin Fees Total Department: 039 - Non Deparmental: Total Expense: Total Revenues Total Fund: 135 - MUD 1 General Fund: Report Total: Variance Variance December December Favorable Percent YTD YTD Favorable Percent Budget Activity (Unfavorable) Remaining Budget Activity (Unfavorable) Remaining Total Budget 333.20 106.25 226.95 68.11% 999.60 1,568.84 -569.24 -56.95% 4,000.00 0.00 20,873.80 -20,873.80 0.00% 0.00 53,561.00 -53,561.00 0.00% 0.00 333.20 257.79 75.41 22.63% 999.60 787.00 212.60 21.27% 4,000.00 2,227.10 0.00 2,227.10 100.00% 6,681.30 26,736.00 -20,054.70 -300.16% 26,736.00 127,864.23 110,944.23 16,920.00 13.23% 383,592.69 465,240.23 -81,647.54 -21.28% 1,534,986.00 5,414.50 0.00 5,414.50 100.00% 16,243.50 4,807.50 11,436.00 70.40% 65,000.00 2,815.54 6,599.71 -3,784.17 -134.40% 8,446.62 11,099.71 -2,653.09 -31.41% 33,800.00 1,077.90 2,163.63 -1,085.73 -100.73% 3,233.70 2,163.63 1,070.07 33.09% 12,940.00 416.50 4,046.00 -3,629.50 -871.43% 1,249.50 4,046.00 -2,796.50 -223.81% 5,000.00 9,724.44 12,809.34 -3,084.90 -31.72% 29,173.32 22,116.84 7,056.48 24.19% 116,740.00 977,388.08 585,867.13 391,520.95 40.06% 2,932,164.24 2,341,042.31 591,121.93 20.16% 11,733,354.00 977,388.37 819,591.40 -157,796.97 -16.14% 2,932,165.11 2,582,071.84 -350,093.27 -11.94% 11,733,354.00 0.29 233,724.27 233,723.98 0.87 241,029.53 241,028.66 0.00 0.29 233,724.27 233,723.98 0.87 241,029.53 241,028.66 0.00 1/13/2023 11:09:19 AM Page 5 of 7 25 of 110 January 18, 2023 Regular Meeting Agenda Packet Monthly Budget Report For Fiscal: Current Period Ending: 12/31/2022 Group Summary Variance Variance December December Favorable Percent YTD YTD Favorable Percent Departmen... Budget Activity (Unfavorable) Remaining Budget Activity (Unfavorable) Remaining Total Budget Fund: 135 - MUD 1 General Fund Revenue 000 - Revenue, Asset, Liability, & Equity 977,388.37 819,591.40 -157,796.97 -16.14% 2,932,165.11 2,582,071.84 -350,093.27 -11.94% 11,733,354.00 Total Revenue: 977,388.37 819,591.40 -157,796.97 -16.14% 2,932,165.11 2,582,071.84 -350,093.27 -11.94% 11,733,354.00 Expense 010 - Water 020 - Wastewater 026 - Board of Directors 030 - Administration 039 - Non Deparmental Total Expense: Total Revenues Total Fund: 135 - MUD 1 General Fund: Report Total: 547,941.66 251,958.13 295,983.53 54.02% 1,643,824.98 1,101,717.85 542,107.13 32.98% 6,577,932.00 290,877.74 209,404.81 81,472.93 28.01% 872,633.22 750,870.56 121,762.66 13.95% 3,491,931.00 980.01 750.62 229.39 23.41% 2,940.03 1,096.83 1,843.20 62.69% 11,765.00 127,864.23 110,944.23 16,920.00 13.23% 383,592.69 465,240.23 -81,647.54 -21.28% 1,534,986.00 9,724.44 12,809.34 -3,084.90 -31.72% 29,173.32 22,116.84 7,056.48 24.19% 116,740.00 977,388.08 585,867.13 391,520.95 40.06% 2,932,164.24 2,341,042.31 591,121.93 20.16% 11,733,354.00 977,388.37 819,591.40 -157,796.97 -16.14% 2,932,165.11 2,582,071.84 -350,093.27 -11.94% 11,733,354.00 0.29 233,724.27 233,723.98 0.87 241,029.53 241,028.66 0.00 0.29 233,724.27 233,723.98 0.87 241,029.53 241,028.66 0.00 1/13/2023 11:09:19 AM Page 6 of 7 26 of 110 January 18, 2023 Regular Meeting Agenda Packet Monthly Budget Report For Fiscal: Current Period Ending: 12/31/2022 Fund Summary Variance Variance December December Favorable Percent YTD YTD Favorable Percent Fund Budget Activity (Unfavorable) Remaining Budget Activity (Unfavorable) Remaining Total Budget 135 - MUD 1 General Fund 0.29 233,724.27 233,723.98 0.87 241,029.53 241,028.66 0.00 Report Total: 0.29 233,724.27 233,723.98 0.87 241,029.53 241,028.66 0.00 1/13/2023 11:09:19 AM Page 7 of 7 27 of 110 TROPHY CLUB MUNEMPAL ur1LE7Y IIISTRI CT Department Trophy Club Municipal Utility District No. 1 Asset 000 - Revenue, Asset, Liability, & Equity Liability 000 - Revenue, Asset, Liability, & Equity Total Asset: Total Liability: Equity 000 - Revenue, Asset, Liability, & Equity Total Total Beginning Equity: Total Revenue Total Expense Revenues Over/Under Expenses Total Equity and Current Surplus (Deficit): Total Liabilities, Equity and Current Surplus (Deficit): 1/13/2023 9:17:05 AM 122 - Trophy Club MUD Fire Dept. January 18, 2023 Regular Meeting Agenda Packet Balance Sheet Funds 122 - 528 Account Summary As Of 12/31/2022 135 - MUD 1 137 - MUD 1 519-2016 Rev 520 -Revenue 528-2015 General Fund Consolidated Bond Const -SWIFT Bond 16" Revenue Bond GASB Waterline Reserve Fund 1,584,630.13 11,511,219.87 3,422,146.58 792,025.77 1,286,795.41 908,588.73 1,584,630.13 11,511,219.87 3,422,146.58 792,025.77 1,286,795.41 908,588.73 645,219.41 822,652.27 0.00 81,691.15 158,280.07 0.00 645,219.41 822,652.27 0.00 81,691.15 158,280.07 0.00 681,803.57 10,447,538.07 2,985,574.58 705,530.20 1,339,096.93 900,604.41 681,803.57 10,447,538.07 2,985,574.58 705,530.20 1,339,096.93 900,604.41 583,629.99 2,582,071.84 436,572.00 4,804.42 12,312.36 7,984.32 326,022.84 2,341,042.31 0.00 0.00 222,893.95 0.00 257,607.15 241,029.53 436,572.00 4,804.42 -210,581.59 7,984.32 939,410.72 10,688,567.60 3,422,146.58 710,334.62 1,128,515.34 908,588.73 1,584,630.13 11,511,219.87 3,422,146.58 792,025.77 1,286,795.41 908,588.73 28 of 110 Total 19,505,406.49 19,505,406.49 1,707,842.90 1,707,842.90 17,060,147.76 17,060,147.76 3,627,374.93 2,889,959.10 737,415.83 17,797,563.59 19,505,406.49 Page 1 of 1 TROPHY CLUB MUNEMPAL ur1LE7Y IIISTRI CT Department Trophy Club Municipal Utility District No. 1 Asset 000 - Revenue, Asset, Liability, & Equity Liability 000 - Revenue, Asset, Liability, & Equity Total Asset: Total Liability: Equity 000 - Revenue, Asset, Liability, & Equity Total Total Beginning Equity: Total Revenue Total Expense Revenues Over/Under Expenses Total Equity and Current Surplus (Deficit): Total Liabilities, Equity and Current Surplus (Deficit): 1/13/2023 9:19:14 AM 536 - 2019 Rev 535 - 2016 Rev 534 - 2015 533 - MUD 1 I&S Bond I&5- Bond I&S-SWIFT Revenue Bond I&S Consolidated W&WW System 105,334.03 82,037.10 193,721.55 760,967.56 105,334.03 82,037.10 193,721.55 760,967.56 0.00 0.00 0.00 401,135.27 0.00 0.00 0.00 401,135.27 1,429.17 6,554.77 27,958.35 4,145.11 1,429.17 6,554.77 27,958.35 4,145.11 103,904.86 75,482.33 165,763.20 355,687.18 0.00 0.00 0.00 0.00 103,904.86 75,482.33 165,763.20 355,687.18 105,334.03 82,037.10 193,721.55 359,832.29 105,334.03 82,037.10 193,721.55 760,967.56 29 of 110 January 18, 2023 Regular Meeting Agenda Packet Balance Sheet I&S Funds 533 - 536 Account Summary As Of 12/31/2022 Total 1,142,060.24 1,142,060.24 401,135.27 401,135.27 40,087.40 40,087.40 700,837.57 0.00 700,837.57 740,924.97 1,142,060.24 Page 1 of 1 January 18, 2023 Regular Meeting Agenda Packet REGULAR MEETING MINUTES TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 BOARD OF DIRECTORS December 16, 2022 at 6:30 p.m. Trophy Club Municipal Utility District No. 1 Board of Directors, of Denton and Tarrant Counties, met in a regular session meeting on December 16, 2022 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: Kevin R. Carr Ben Brewster Doug Harper William C. Rose Tracey Hunter STAFF PRESENT: Alan Fourmentin Laurie Slaght Mike McMahon Steven Krolczyk Tony Corbett President Vice President Secretary/Treasurer Director Director General Manager District Secretary Operations Manager Finance Manager Legal Counsel § CALL TO ORDER AND ANNOUNCE A QUORUM President Carr announced the date of Wednesday, December 6, 2022, called the meeting to order and announced a quorum present at 6:31p.m. CITIZEN COMMENTS There were no citizens comments. REPORTS & UPDATES 1. Staff Reports & Updates a. b. c. d. Capital Improvement Projects Water Operations Report Wastewater System Reports Finance Reports General Manager Alan Fourmentin provided the monthly staff reports and answered questions related thereto. CONSENT AGENDA 2. Consider and act to approve the Consent Agenda. a. November 2022 Combined Financials b. November 16, 2022, Regular Meeting Minutes 30 of 110 January 18, 2023 Regular Meeting Agenda Packet Motion made by Director Rose and seconded by Director Carr to approve consent agenda item a. November combined financials and b. November 16, 2022 meeting minutes as amended at the dais. Motion carried unanimously REGULAR SESSION 3. Consider and act to approve purchase and replacement of three (3) vehicles as a part of our vehicle replacement program utilizing BuyBoard contract #601-19 in an amount of $164,116 and authorize the General Manager to execute the necessary documents to complete the vehicle purchase. Motion made by Director Brewster and seconded by Director Harper to approve purchase and replacement of three (3) vehicles as a part of our vehicle replacement program utilizing Buy board contract #601-19 in an amount of $164,116 and authorize the General Manager to execute the necessary documents to complete the vehicle purchase. Motion carried unanimously 4. Consider and act to approve 5th Amendment to Water Tower/Ground Lease Agreement with New Cingular Wireless PCS, LLC and authorize the General Manager to execute the necessary contract amendment documents to implement Board action. General Manager Fourmentin presented this item to the board and answered questions related thereto. Motion made by Director Rose and seconded by Director Brewster to approve First Amendment to the Memorandum of Lease Agreement and 5th Amendment to the water tower/Ground Lease Agreement with New Cingular Wireless PCS, LLC and authorize the General Manager to execute the necessary contract amendment documents. Motion carried unanimously The Board convened into Executive Session at 7:22 p.m. EXECUTIVE SESSION 5. 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. Consult with legal counsel to secure legal advice concerning the adoption of rules restricting electioneering and installation of political signs on District property. b. Consult with legal counsel to secure legal advice concerning joint strategic planning with the Town of Trophy Club. 31 of 110 January 18, 2023 Regular Meeting Agenda Packet c. Consult with legal counsel relating to the respective roles, responsibilities and duties of the Board and District Staff, including Potential Legal Issues associated with Social Media Communications by Board Members and Staff. The Board reconvened into Regular Session at 9:27 p.m. REGULAR SESSION 6. Consider and act regarding adoption of Order No. 2022-1214 approving Rules Regulating Installation of Signs and Electioneering on District Lands and set an effective date. Direction provided to the General Manager to communicate with the Town Manager concerning electioneering on the fire station lot. 5.b Consult with legal counsel to secure legal advice concerning joint strategic planning with the Town of Trophy Club. Direction provided to the General Manager to respond to the Town Manager's request to Directors Brewster and Carr to attend a Strategic Committee meeting. No action on item C. 7. Items for future agendas: Add Strategic Committee update to the February agenda. 8. Set future Meeting dates - January 18, 2023, at 6:30 p.m. ADJOURN President Carr called the meeting adjourned at 9:32 p.m. Kevin Carr, President Doug Harper, Secretary/Treasurer Laurie Slaght, District Secretary 32 of 110 (SEAL) Restricted/ Unrestricted Unrestricted- 135 Unrestricted- 122 Restricted- 533 Unrestricted- 135 Restricted- 122 Restricted- 137 Restricted- 533 Restricted- 534 Restricted- 528 Restricted- 519 Restricted- 535 Restricted- 520 Restricted- 536 Restricted Restricted- 519 Restricted- 520 EARNINGS SUMMARY 1 Restricted/ Unrestricted Unrestricted- 135 Unrestricted- 122 Restricted- 533 Unrestricted- 135 Restricted- 533 Restricted- 534 Restricted- 528 Restricted- 519 Restricted- 535 Restricted- 520 Restricted- 536 Restricted Restricted- 519 Account or CUSIP Trophy Club Municipal Utility District No. 1 Quarterly Investment Report For Ending Period 12/31/2022 (October, November, and December) Sec Rate / Checkin¢ & Money Market Accounts XXX8701 XXX8701 XXX8701 Pools & Funds XXXXX0002 XXXXX0003 XXXXX00013 XXXXX00014 XXXXX00015 XXXXX00017 XXXXX00018 XXXXX00020 Savinus Accounts XXXXX7724 Escrow/ Treasuries 82-1747-01-1 82-3288-01-4 CD'S US Agencies NONE NONE Settle Date Checking & Money Market Accounts Pools & Funds Savings Accounts Escrows/ Treasuries CD'S NONE US Agencies NONE Tue Pa Prosperity Bank Consolidated Cash -General Fund Prosperity Bank Consolidated Cash -Fire Dept Prosperity Bank Consolidated Cash -Tax I&S TexPool Municipal Fund -Operating TexPool Municipal Fund -Fire Dept TexPool Municipal Fund -GASB Replacement TexPool Tax Debt Service Texpool Revenue Bond I&S Texpool Revenue Bond Reserve Texpool Revenue Bond Construction -SWIFT Texpool Revenue Bond I&S-SWIFT Texpool Revenue Bond Construction Series 2019 Texpool Revenue Bond I&S Series 2019 Prosperity Bank Cash Reserve- Money Mkt Revenue Bond Series 2016 Escrow- BOK Revenue Bond Series 2019 Escrow- BOK Sec Type Prosperity Bank Consolidated Cash -General Fund Prosperity Bank Consolidated Cash -Fire Dept Prosperity Bank Consolidated Cash -Tax I&S TexPool Municipal Fund TexPool Tax Debt Service Texpool Revenue Bond I&S Texpool Revenue Bond Reserve Texpool Revenue Bond Construction -SWIFT Texpool Revenue Bond I&S-SWIFT Texpool Revenue Bond Construction Series 2019 Texpool Revenue Bond I&S Series 2019 Prosperity Bank Cash Reserve- Money Mkt Revenue Bond Series 2016 Escrow- BOK PAR for this report is the statement balance on the last day of the quarter $ 5,260,854 $ 3,153,780 $ 916,567 $ 3,422,147 $ 407,648 $ 193,722 $ 908,589 $ 82,037 $ 1,286,795 $ 105,334 $ 1,891,874 $ 792,026 $ 18,421,373 Account Number Call Coulon Maturi Date 0.000% N/A N/A 0.000% N/A N/A 0.000% N/A N/A 0.000% N/A N/A 0.000% N/A N/A 0.000% N/A N/A 0.000% N/A N/A 0.000% N/A N/A 0.000% N/A N/A 0.000% N/A N/A 0.000% N/A N/A 0.000% N/A N/A 0.000% N/A N/A 0.000% N/A N/A Par Coupon Maturity XXX8701 $ 5,260,854 N/A N/A XXX8701 $ N/A N/A XXX8701 $ N/A N/A XXXXX0002 $ 7,492,494 N/A N/A XXXXX0003 $ 407,648 N/A N/A XXXXX00013 $ 193,722 N/A N/A XXXXX00014 $ 908,589 N/A N/A XXXXX00015 $ N/A N/A XXXXX00017 $ 82,037 N/A N/A XXXXX00018 $ 1,286,795 N/A N/A XXXXX00020 $ 105,334 N/A N/A XXXXX7724 $ 1,891,874 N/A N/A 82-1747-01-1 $ 792,026 N/A N/A 33 of 110 Purchase Price Yield % 100.000 0.35% 100.000 0.35% 100.000 0.35% 100.000 4.18% 100.000 4.18% 100.000 4.18% 100.000 4.18% 100.000 4.18% 100.000 4.18% 100.000 4.18% 100.000 4.18% 100.000 4.18% 100.000 4.18% 100.000 2.19% Qtr. Accrued Prep Investm January 18, 2023 Regular Meeting Agenda Packet I certify that this Investment Report complies with requirements of TCMUD's Investment Policy and the Public Funds Act. ared By Steven Krolczyk ent Officer Alan Fourmentin Beginning Book 9/30/2022 Beginning Market 9/30/2022 Ending Book 12/31/2022 DATE DATE Ending Market 12/31/2022 Gain/Loss End MV -End BV $ 4,516,399 $ 4,516,399 $ 5,260,854 $ 5,260,854 0.00 $ $ $ $ 0.00 $ $ $ $ 0.00 $ 3,782,898 $ 3,782,898 $ 3,153,780 $ 3,153,780 0.00 $ 675,927 $ 675,927 $ 916,567 $ 916,567 0.00 $ 2,985,575 $ 2,985,575 $ 3,422,147 $ 3,422,147 0.00 $ 51,961 $ 51,961 $ 407,648 $ 407,648 0.00 $ 27,958 $ 27,958 $ 193,722 $ 193,722 0.00 $ 900,604 $ 900,604 $ 908,589 $ 908,589 0.00 $ - $ - $ - $ - 0.00 $ 6,555 $ 6,555 $ 82,037 $ 82,037 0.00 $ 1,497,693 $ 1,497,693 $ 1,286,795 $ 1,286,795 0.00 $ 1,429 $ 1,429 $ 105,334 $ 105,334 0.00 $ 1,882,637 $ 1,882,637 $ 1,891,874 $ 1,891,874 0.00 3.65% $ 787,221 $ 787,221 $ 792,026 $ 792,026 0.00 3.65% $ - $ - $ - $ - 0.00 Qtr. Amort. $ 4,512 N/A $ N/A $ N/A $ 64,387 N/A $ 1,009 N/A $ 862 N/A $ 7,984 N/A $ - NA $ 335 NA $ 12,312 NA $ 395 NA $ 17,116,857 $ 17,116,857 $ 18,421,373 $ 18,421,373 $ Total Qtr. Earnings $ 9,237 N/A $ $ 4,804 N/A $ 4,512 64,387 1,009 862 7,984 335 12,312 395 9,237 4,804 $ 105,838 N/A $ 105,838 WHEN EXPERIENCE, REPUTATION AND PERFORMANCE MATTER It PERDUE BRANDON FIELDERCOLLINS&MOTT LLP ATTORNEYS AT LAW January 18, 2023 Regular Meeting Agenda Packet COLLECTION REPORT TO THE TROPHY CLUB MUNICIPAL UTILITY DISTRICT No. 1 Submitted by: Alison Callison / Andrew Brink 500 East Border Street, Suite 640 Arlington, Texas 76010 www, pbfcm. com January 2023 P13 2021 TAX YEAR ANALYSIS Delinquent Turnover Original Tax Levy Ad j. Delinquent July 1, 2022 Turnover • $2,039,976 41 • $18,741 • 0.92% January 18, 2023 Regular Meeting Agenda Packet • Collected • Delinquent 99.08% 0.92% Source: Denton County Tax 04'W/ear-To-Date Summary Reports. 2 Perdue Brandon Fielder Collins & Mott, LLP January 18, 2023 Regular Meeting Agenda Packet P13 2021 TAX YEAR — DELINQUENT COLLECTIONS H July 1, 2022 - December 31, 2022 Adj. July 1 Turnover Base Tax Collected Base Tax Remaining • $18,741 • $14,528 • 77.52% • $4,273 Base Tax Only - No Penalties or Interest Added 36 of 110 Source: Denton County Tax Office, Year -To -Date Summary Reports. Turnover Accounts for Adjustments and Refunds. Base Taxes Only - No Penalties or Interest Added. Perdue Brandon Fielder Collins & Mott, LLP 18 January 18, 2023 Regular Meeting Agenda Packet ACCOUNT BREAKDOWN CHART In Trust, $0.90, 0.0% In Bankruptcy, $464.66, 2.1% Action Pending, $2,091.44, 9.6% In Uncollectable, $1,620.98, 7.4% In Litigation, $3,766.69, 17.3% In Deferral, $13,820.00, 63.5% As of 1/4/2023 -Total Base Tax: $21.764 (2021 Tax Year & Prior) 37 of 110 Action Pending Accounts: Notification Letters, Telephone Collections, Lienholder Notification, Title Research, Property Inspection and Payment Agreements. Source: Perdue Brandon tape download on 1/3/23 from the Denton County Tax Office. January 18, 2023 Regular Meeting Agenda Packet rt3PERDUE BRANDON FIELDERCOLLIN58cMOTT LLP ATTORNEYS AT LA ATTORNEYS AT LAW AUTHORITY ACTIVITY ANALYSIS TROPHY CLUB MUNICIPAL UTILITY DISTRICT #1 As Of 1/4/2023, Tax Years Between 1997 And 2021 Description # Properties Pct Of Total Base Tax Amount Pct Of Total In Bankruptcy In Trust In Deferral In Litigation In Uncollectable Action Pending Totals 1 2 6 7 18 32 66 1.52% 3.03% 9.09% 10.61 27.27% 48.48% 100.00% $464.66 $0.90 $13,820.00 $3,766.69 $1,620.98 $2,091.44 $21,764.67 Dollar Range # Properties Pct Of Total Base Tax Amount $0.01 - $100.00 $100.01 - $250.00 $250.01 - $500.00 $ 500.01 - $1000.00 $1000.01 - $2500.00 $2500.01 - $5000.00 Totals 43 3 7 2 5 2 62 69.35% 4.84% 11.29% 3.23% 8.06% 3.23% 100.00% $981.02 $396.09 $2,433.79 $1,378.82 $7,619.92 $8,955.03 $21,764.67 Year # Transaction Pct Of Total Base Tax Amount 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Totals 1 1 1 1 0.71% 0.71% 0.71% 0.71% 3 2.14% 3 2.14% 7 5.00% 9 6.43% 11 7.86% 11 7.86% 7 5.00% 9 6.43% 12 8.57% 14 10.00% 19 13.57% 31 22.14% 140 100.00% $306.84 $517.32 $530.21 $495.08 $1,224.20 $1,097.18 $927.49 $1,117.54 $1,205.11 $881.06 $886.44 $979.73 $2,188.68 $2,315.40 $2,811.07 $4,281.32 $21,764.67 **Number of properties may differ in the first two sections because a property may reside in more than one category in the first section. 38 of 110 2.13°T 0.00% 63.50% 17.31% 7.45% 9.61% 100.00% Pct Of Tota I 4.51 °o 1.82% 11.18% 6.34% 35.01% 41.14% 100.00% Pct Of Total 1.41 °o 2.38% 2.44% 2.27% 5.62% 5.04% 4.26% 5.13% 5.54% 4.05% 4.07% 4.50% 10.06% 10.64% 12.92% 19.67% 100.00% January 18, 2023 Regular Meeting Agenda Packet Top Tax Due Report Top 100 Percent Properties - TROPHY CLUB MUNICIPAL UTILITY DISTRICT #1 GEO Code 72060DEN Taxpayer # 76 71012DEN Taxpayer # 968 71779DEN Taxpayer # 91176 11514221TAR Taxpayer # 59 72277DEN Taxpayer # 914 650109DEN Taxpayer # 90829 70173DEN Taxpayer # 91396 14692614TAR Taxpayer # 92145 526096DEN Taxpayer # 895 620602DEN Taxpayer # 1560 926478DEN Taxpayer # 1242 11514205TAR Taxpayer # 58 339971DEN Taxpayer # 759 676474DEN Taxpayer # 90856 776375DEN Taxpayer # 92697 336365DEN Taxpayer # 92366 Legal Description TROPHY CLUB # 6 LOT 499 ACRES: 0.384000 Taxpayer Name Years MCDONALD JAMES E & HUESTIS LAURA LEA 2006-2018 TR TROPHY CLUB #10 LOT 1219 ACRES: 0.235000 Taxpayer Name Years BOREN BENJAMIN C & BEVERLY C 2010-2020 TROPHY CLUB # 2 LOT 77 ACRES: 0.253600 Taxpayer Name Years PARROW JAMES J & ELENA 2017-2020 1/4/2023 4:05:26 PM Tax Due $4,508.02 Tax Due $4,009.97 Tax Due $1,618.89 DIEGO'S TEX MEX KITCHEN PERSONAL PROPERTY TANGIBLE COMMERCIAL Taxpayer Name Years SUMMERS, JAMES M 2010-2014 TROPHY CLUB # 3 LOT 174 ACRES: 0.256100 Taxpayer Name MORTON DENVER & JANIE Tax Due $1,355.94 Years Tax Due 2018-2020 $1,139.08 PERSONAL PROPERTY - DENTIST LOCATION: 925 TROPHY CLUB DR TROPHY CLUB Taxpayer Name Years MEMBERS ONLY DENTAL PA 2018-2020 TROPHY CLUB OAK HILL LOT 15 ACRES: 0.164400 Taxpayer Name Years RYAN BRUCE E & SHELIA A 2018-2020 Tax Due $1,104.51 Tax Due $930.65 Total Due $7,853.57 Total Due $5,662.53 Total Due $1,893.86 Total Due $3,820.51 Total Due $1,598.74 Total Due $1,954.83 Total Due $1,067.99 MAR-COSINA TEX-MEX GOURMET LLC PERSONAL PROPERTY TANGIBLE COMMERCIAL Taxpayer Name Years MAR-COSINA TEX-MEX GOURMET LLC 2018-2020 CHURCHILL DOWNS BLK A LOT 1 ACRES: 0.258300 Taxpayer Name Years SEAY MARK SR & TERRI 2020 Tax Due $631.16 Tax Due $447.06 Total Due $1,030.05 Total Due $729.60 PERSONAL PROPERTY - DENTIST OFFICE LOCAITON : 301 TROPHY LAKE DR STE 120, TROPHY Taxpayer Name Years Tax Due Total Due BURGAR BRANDON 2013-2014 $310.41 $795.10 PERSONAL PROPERTY - CHIROPRACTOR LOCATION : 100 TROPHY CLUB DR. STE 108 TROPHY Taxpayer Name Years Tax Due Total Due FORD LESLIE 2012-2017 $304.07 WEINBERGERS DELICATESSEN PERSONAL PROPERTY TANGIBLE COMMERCIAL Taxpayer Name Years Tax Due $709.97 Total Due WEINBERGER DELI TWO LLC 2016-2019 $297.12 $576.23 PERSONAL PROPERTY - AIRCRAFT CESSNA 150L 1972-N5428Q LOCATION : NORTHWEST Taxpayer Name Years Tax Due Total Due MORRISON AVIATION LLC 2012-2020 $254.10 $567.10 PERSONAL PROPERTY - DRY CLEANERS LOCATION: 2003 SH 114 STE 390 TROPHY CLUB Taxpayer Name Years Tax Due Total Due J.A.E.H.K. INC 2018-2020 $104.94 $186.06 PERSONAL PROPERTY - ACCOUNTING AUDITING & BOOKKEEPING LOCATION : 99 TROPHY Taxpayer Name KENNETH ARMSTRONG PERSONAL PROPERTY - LEASED VEHICLES Taxpayer Name MOTORLEASE CORPORATION 39 of 110 Years 2020 Years 2020 Tax Due Total Due $60.45 $98.65 Tax Due Total Due $58.53 $95.52 Page 1 of 3 469054DEN Taxpayer # 1184 676471 DEN Taxpayer # 90854 72034DEN Taxpayer # 1219 336817DEN Taxpayer # 1164 633172DEN Taxpayer # 1730 563646DEN Taxpayer # 1711 499622DEN Taxpayer # 1530 682747DEN Taxpayer # 91619 13442112TAR Taxpayer # 91068 723199DEN Taxpayer # 91433 72303DEN Taxpayer # 91664 676479DEN Taxpayer # 90858 659388DEN Taxpayer # 91141 566115DEN Taxpayer # 1555 679913DEN Taxpayer # 91389 659398DEN Taxpayer # 90372 13730967TAR Taxpayer # 90303 727270DEN Taxpayer # 92609 PERSONAL PROPERTY - Taxpayer Name VERIZON PERSONAL PROPERTY - Taxpayer Name HANNICK INC TROPHY CLUB # 4 LOT 333 ACRES: 0.361600 Taxpayer Name BINGHAM GENE C January 18, 2023 Regular Meeting Agenda Packet RETAIL STORE LOCATION: 301 TROPHY LAKE DR STE 124, TROPHY Years Tax Due Total Due 2012-2013 $55.46 $149.97 DOG TRAINING/RETAIL LOCATION: 2001 SH 114 STE 200 TROPHY Years 2020 Years 2020 Tax Due $49.06 Tax Due $48.71 Total Due $80.07 Total Due $79.49 PERSONAL PROPERTY - DRY CLEANERS DROP OFF LOCATION : 2003 SH 114 STE 390, TROPHY Taxpayer Name Years Tax Due Total Due WALJI SHANIF M 2014-2015 $45.93 $111.06 PERSONAL PROPERTY - AUDIOLOGISTS LOCATION: 501 TROPHY LAKE DR, STE 318, TROPHY Taxpayer Name Years Tax Due Total Due EARCARE HEARING AIDS 2014-2015 $35.18 $85.07 PERSONAL PROPERTY - MISC PERSONAL SERVICE LOCATION: 2003 SH 114 STE 340 TROPHY Taxpayer Name Years Tax Due Total Due STYLES OF INDIA 2015-2016 $20.23 $46.01 PERSONAL PROPERTY - HAIR SALON LOCATION: 2001 W SH 114, STE 150, TROPHY CLUB Taxpayer Name Years Tax Due Total Due DESIRE SALON & SPA 2013 $16.51 $43.59 PERSONAL PROPERTY - RESTAURANT LOCATION: 301 TROPHY LAKE DR STE 116 TROPHY Taxpayer Name Years Tax Due Total Due 7 MILES TASTE GROUP INC 2019 $14.43 $25.63 HEART TEST LABORATORIES PERSONAL PROPERTY TANGIBLE COMMERCIAL Taxpayer Name Years Tax Due Total Due HEART TEST LABORATORIES INC 2017-2019 $12.32 $22.78 PERSONAL PROPERTY - INSURANCE AGENT LOCATION: 2101 SH 114 STE B TROPHY CLUB Taxpayer Name Years Tax Due Total Due MILLER CRAIG 2019-2020 $9.76 $16.64 TROPHY CLUB # 6 LOT 528 ACRES: 0.266100 Taxpayer Name Years Tax Due Total Due TABER JOHN K PERSONAL PROPERTY Taxpayer Name FULLER CHRISTINA PERSONAL PROPERTY Taxpayer Name CHIP MUNDY INC PERSONAL PROPERTY 2020 $9.15 $14.27 - DANCE & MUSIC LESSONS LOCATION: 905 TROPHY CLUB DR STE Years Tax Due Total Due 2020 $7.25 $11.83 - BUSINESS SERVICES LOCATION: 99 TROPHY CLUB DR TROPHY CLUB Years Tax Due Total Due 2017 $4.85 $10.01 - BUSINESS SERVICES LOCATION: 99 TROPHY CLUB DR, TROPHY CLUB Taxpayer Name Years Tax Due DONNA & ASSOCIATES 2013 $4.40 PERSONAL PROPERTY - OFFICE LOCATION: 99 TROPHY CLUB DR TROPHY CLUB Taxpayer Name Years Tax Due Total Due $11.62 Total Due SMITH CLINICAL SERVICES PLLC 2019 $4.31 $7.65 PERSONAL PROPERTY - BUSINESS SERVICES LOCATION: 99 TROPHY CLUB DR, TROPHY CLUB Taxpayer Name Years Tax Due Total Due RAY DERSTEIN 2015 $3.61 $8.49 RANDSTAD RANDSTAD US LP PERSONAL PROPERTY TANGIBLE COMMERCIAL Taxpayer Name Years Tax Due Total Due RANDSTAD US LP 2014-2015 $2.76 $6.56 PERSONAL PROPERTY - INSURANCE OFFICE LOCATION: 100 INDIAN CREEK DR STE 110 Taxpayer Name Years Tax Due Total Due FOLEY BEVERLY 2020 $1.00 $1.63 1/4/2023 4:05:26 PM Page 2 of 3 40 of 110 335713DEN Taxpayer # 1329 314763DEN Taxpayer # 298 14461451 TAR Taxpayer # 91207 624324DEN Taxpayer # 1628 624325DEN Taxpayer # 1628 42345560TAR Taxpayer # 91351 14381350TAR Taxpayer # 1290 13661787TAR Taxpayer # 1638 14448870TAR Taxpayer # 91049 198454DEN Taxpayer # 91092 308380DEN Taxpayer # 91720 PERSONAL PROPERTY - OFFICE LOCATION: 99 Taxpayer Name HELM INSURANCE AGENCY PERSONAL PROPERTY - LEASED EQUIPMENT Taxpayer Name NORTHERN LEASING SYSTEMS INC DELL MARKETING LP VARX COMMERCIAL Taxpayer Name DELL MARKETING LP January 18, 2023 Regular Meeting Agenda TROPHY CLUB DR, TROPHY CLUB Years 2012 Years 2020 Years 2016 Tax Due $0.87 Tax Due $0.68 Tax Due $0.61 A0821A J.R. MICHAEL TR 1A(2) .09 ACRES ACRES: 0.090000 Taxpayer Name Years Tax Due TROPHY CLUB TOWN OF 2014 $0.48 A0821A J.R. MICHAEL TR 1A(3) .081 ACRES ACRES: 0.081000 Taxpayer Name Years Tax Due TROPHY CLUB TOWN OF 2014 $0.42 WESTLAKE ENTRADA BLOCK I LOT 13 REF PLAT D218192054 Taxpayer Name JJP TREVI LLC SONIFI SOLUTIONS INC VARX COMMERCIAL Taxpayer Name SONIFI SOLUTIONS INC Years 2018 Years 2015 Tax Due $0.19 Tax Due $0.15 NATIONAL DEFAULT TITLE PERSONAL PROPERTY TANGIBLE COMMERCIAL Taxpayer Name Years Tax Due NATIONAL DEFAULT TITLE SERVICE 2017 $0.07 NEOPOST USA INC VARX COMMERCIAL Taxpayer Name Years Tax Due NEOPOST USA INC 2015 $0.04 LAKES OF TROPHY CLUB PH 1 BLK 5 LOT 11 ACRES: 0.160300 Taxpayer Name VILORIA PHILIP A & JOANNE EAGLES RIDGE PH II BLK B LOT 5 ACRES: 0.305700 Taxpayer Name HAFIZ ARIF & FATIMA LIVING TRUST Years 2019 Years 2020 Tax Due $0.01 Packet Total Due $2.42 Total Due $1.11 Total Due $1.25 Total Due $1.20 Total Due $1.05 Total Due $0.36 Total Due $0.32 Total Due $0.14 Total Due $0.08 Total Due $0.02 Tax Due Total Due $0.01 $0.02 Total Tax Due $17,483.35 1/4/2023 4:05:26 PM Page 3 of 3 41 of 110 January 18, 2023 Regular Meeting Agenda Packet Top Tax Due Report Top 100 Percent Properties - TROPHY CLUB MUNICIPAL UTILITY DISTRICT #1 GEO Code Legal Description 975819DEN PERSONAL PROPERTY - LEASED VEHICLES Taxpayer # Taxpayer Name Years Tax Due Total Due 93735 ALLY BANK 2021 $559.71 $832.85 71012DEN TROPHY CLUB #10 LOT 1219 ACRES: 0.235000 Taxpayer # Taxpayer Name Years Tax Due Total Due 968 BOREN BENJAMIN C & BEVERLY C 2021 $437.04 $457.06 71779DEN TROPHY CLUB # 2 LOT 77 ACRES: 0.253600 Taxpayer # Taxpayer Name Years Tax Due Total Due 91176 PARROW JAMES J & ELENA 2021 $421.13 $440.42 72034DEN TROPHY CLUB # 4 LOT 333 ACRES: 0.361600 Taxpayer # Taxpayer Name Years Tax Due Total Due 1219 BINGHAM GENE C 2021 $415.95 $618.93 72277DEN TROPHY CLUB # 3 LOT 174 ACRES: 0.256100 Taxpayer # Taxpayer Name Years Tax Due Total Due 914 MORTON DENVER & JANIE 2021 $387.05 $404.78 650109DEN PERSONAL PROPERTY - DENTIST LOCATION: 925 TROPHY CLUB DR TROPHY CLUB Taxpayer # Taxpayer Name Years Tax Due Total Due 90829 MEMBERS ONLY DENTAL PA 2021 $371.50 $552.79 71082DEN TROPHY CLUB #10 LOT 1249 ACRES: 0.286000 Taxpayer # Taxpayer Name Years Tax Due Total Due 93518 CULPEPPER LEE & ADRIANNE BEHR 2021 $331.21 $492.84 70173DEN TROPHY CLUB OAK HILL LOT 15 ACRES: 0.164400 Taxpayer # Taxpayer Name Years Tax Due Total Due 91396 RYAN BRUCE E & SHELIA A 2021 $291.17 $304.51 14692614TAR MAR-COSINA TEX-MEX GOURMET LLC PERSONAL PROPERTY TANGIBLE COMMERCIAL Taxpayer # Taxpayer Name Years Tax Due Total Due 92145 MAR-COSINA TEX-MEX GOURMET LLC 2021 $187.95 $279.67 748396DEN PERSONAL PROPERTY - RESTAURANT LOCATION: 2550 BOBCAT BLVD STE 108 ROANOKE Taxpayer # Taxpayer Name Years Tax Due Total Due 93608 9 EIGHTEEN FOOD INC 2021 $136.75 $203.48 42641576TAR KNOLLS AT SOLANA BLOCK B LOT 23 ACRES: 0.247900 Taxpayer # Taxpayer Name Years Tax Due Total Due 93256 MAYA WALDEMAR 2021 $91.87 $136.70 14690069TAR THE CELL SPA/MCKENNA ORTHOPEDI PERSONAL PROPERTY TANGIBLE COMMERCIAL Taxpayer # Taxpayer Name Years Tax Due Total Due 92192 - MCKENNA OTHOPAEDIC AND SPORT 2021 $87.95 $130.87 MEDICINE PA 70643DEN LAKE FOREST VILLAGE PH 3 LOT 96 ACRES: 0.304400 Taxpayer # Taxpayer Name Years Tax Due Total Due 1205 - SHIRES BRENDA 2021 $77.00 $77.64 42616725TAR WESTLAKE ENTRADA BLOCK C LOT 1B SCHOOL BOUNDARY SPLIT ACRES: 0.197000 Taxpayer # Taxpayer Name Years Tax Due Total Due 92381 AMR WESTLAKE STORAGE LLC 2021 $72.68 $108.15 620585DEN PERSONAL PROPERTY - DAYCARE CENTER LOCATION : 50 VILLAGE TRL TROPHY CLUB Taxpayer # Taxpayer Name Years Tax Due Total Due 90818 NOBEL LEARNING COMMUNITIES INC #1706 2021 $68.43 $101.82 776375DEN PERSONAL PROPERTY - ACCOUNTING AUDITING & BOOKKEEPING LOCATION : 99 TROPHY Taxpayer # Taxpayer Name Years Tax Due Total Due 92697 KENNETH ARMSTRONG 2021 $59.40 $88.39 1/4/2023 3:59:36 PM Page 1 of 2 42 of 110 January 18, 2023 Regular Meeting Agenda Packet 676471DEN PERSONAL PROPERTY - DOG TRAINING/RETAIL LOCATION: 2001 SH 114 STE 200 TROPHY Taxpayer # Taxpayer Name Years Tax Due Total Due 90854 HANNICK INC 2021 $48.21 $71.74 726615DEN TROPHY CLUB TOWN CENTER ADDITION BLK A LOT 12 ACRES: 0.088700 Taxpayer # Taxpayer Name Years Tax Due Total Due 93837 KESHRI BALARAM & AMRITA 2021 $45.41 $65.94 975792DEN PERSONAL PROPERTY - LEASED EQUIPMENT Taxpayer # Taxpayer Name Years Tax Due Total Due 93734 ADT LLC 2021 $41.69 $62.03 14318755TAR DYNAMIC ACTION PERSONAL PROPERTY TANGIBLE COMMERCIAL Taxpayer # Taxpayer Name Years Tax Due Total Due 92920 DYNAMIC ACTION INC 2021 $36.66 $54.55 676474DEN PERSONAL PROPERTY - DRY CLEANERS LOCATION: 2003 SH 114 STE 390 TROPHY CLUB Taxpayer # Taxpayer Name Years Tax Due Total Due 90856 J.A.E.H.K. INC 2021 $34.55 $51.41 14265180TAR FUSE ENERGY LLC PERSONAL PROPERTY TANGIBLE COMMERCIAL Taxpayer # Taxpayer Name Years Tax Due Total Due 91517 FUSE ENERGY LLC 2021 $26.93 $40.07 339971DEN PERSONAL PROPERTY - AIRCRAFT CESSNA 150L 1972-N5428Q LOCATION : NORTHWEST Taxpayer # Taxpayer Name Years Tax Due Total Due 759 MORRISON AVIATION LLC 2021 $25.16 $37.44 676479DEN PERSONAL PROPERTY - DANCE & MUSIC LESSONS LOCATION: 905 TROPHY CLUB DR STE Taxpayer # Taxpayer Name Years Tax Due Total Due 90858 FULLER CHRISTINA 2021 $7.13 $10.61 676473DEN PERSONAL PROPERTY - PERSONAL TRAINER SERVICES LOCATION: 2003 SH 114 STE 90 Taxpayer # Taxpayer Name Years Tax Due Total Due 90855 THE FORCE BY LUKE 2021 $5.96 $8.87 723199DEN PERSONAL PROPERTY - INSURANCE AGENT LOCATION: 2101 SH 114 STE B TROPHY CLUB Taxpayer # Taxpayer Name Years Tax Due Total Due 91433 MILLER CRAIG 2021 $4.69 $6.98 701746DEN PERSONAL PROPERTY - OFFICE LOCATION: 99 TROPHY CLUB DR TROPHY CLUB Taxpayer # Taxpayer Name Years Tax Due Total Due 93483 GRAY CAROL 2021 $3.50 $5.21 943642DEN PERSONAL PROPERTY - BUSINESS SVCS LOCATION: 100 INDIAN CREEK TROPHY CLUB Taxpayer # Taxpayer Name Years Tax Due Total Due 91198 ERIC RANSLEBEN 2021 $1.86 $2.77 14658688TAR DXC TECHNOLOGY SERVICES LLC VARX COMMERCIAL Taxpayer # Taxpayer Name Years Tax Due Total Due 93824 DXC TECHNOLOGY SERVICES LLC 2021 $1.77 $2.57 727270DEN PERSONAL PROPERTY - INSURANCE OFFICE LOCATION: 100 INDIAN CREEK DR STE 110 Taxpayer # Taxpayer Name Years Tax Due Total Due 92609 FOLEY BEVERLY 2021 $0.98 $1.46 71098DEN TROPHY CLUB # 8 LOT 644 ACRES: 0.202400 Taxpayer # Taxpayer Name Years Tax Due Total Due 90923 KIRKPATRICK GINGER G 2021 $0.03 $0.04 Total Tax Due $4,281.32 1/4/2023 3:59:36 PM Page 2 of 2 43 of 110 Deferral Detail Report Locator: Denton Tax Clients: Trophy Club MUD 1 TP # Taxpayer Name January 18, 2023 Regular Meeting Agenda Packet Base Due 91396 RYAN BRUCE E & SHELIA A GEO Code Client Name Tax Year Status Tran Type Start Date End Date Condition Base Tax 70173DEN Trophy Club MUD 1 2018 DEFE TAX 10/23/2018 12/01/2099 Defer $329.43 70173DEN Trophy Club MUD 1 2019 DEFE TAX 10/23/2018 12/01/2099 Defer $304.93 70173DEN Trophy Club MUD 1 70173DEN Trophy Club MUD 1 2020 DEFE TAX 10/23/2018 12/01/2099 Defer $296.29 2021 DEFE TAX 10/23/2018 12/01/2099 Defer Property Base Due Taxpayer Base Due $291.17 $1,221.82 $1,221.82 1205 SHIRES BRENDA GEO Code Client Name Tax Year Status Tran Type Start Date End Date Condition Base Tax 70643DEN Trophy Club MUD 1 2021 <none> TAX 02/03/2012 12/01/2099 Defer $77.00 Property Base Due $77.00 Taxpayer Base Due $77.00 968 BOREN BENJAMIN C & BEVERLY C GEO Code Client Name Tax Year Status Tran Type Start Date End Date Condition Base Tax 71012DEN Trophy Club MUD 1 2010 DEFE TAX 06/30/2010 12/01/2099 Defer $414.60 71012DEN Trophy Club MUD 1 2011 DEFE TAX 06/30/2010 12/01/2099 Defer $378.65 71012DEN Trophy Club MUD 1 71012DEN Trophy Club MUD 1 71012DEN Trophy Club MUD 1 71012DEN Trophy Club MUD 1 71012DEN Trophy Club MUD 1 71012DEN Trophy Club MUD 1 71012DEN Trophy Club MUD 1 71012DEN Trophy Club MUD 1 71012DEN Trophy Club MUD 1 71012DEN Trophy Club MUD 1 2012 DEFE TAX 06/30/2010 12/01/2099 Defer $295.79 2013 DEFE TAX 2014 DEFE TAX 2015 DEFE TAX 2016 DEFE TAX 2017 DEFE TAX 2018 DEFE TAX 2019 DEFE TAX 06/30/2010 12/01/2099 Defer $300.56 06/30/2010 12/01/2099 Defer $325.30 06/30/2010 12/01/2099 Defer $355.07 06/30/2010 12/01/2099 Defer $367.89 06/30/2010 12/01/2099 Defer $385.38 06/30/2010 12/01/2099 Defer $380.30 06/30/2010 12/01/2099 Defer $404.59 2020 DEFE TAX 06/30/2010 12/01/2099 Defer $401.84 2021 DEFE TAX 06/30/2010 12/01/2099 Defer Property Base Due Taxpayer Base Due $437.04 $4,447.01 $4,447.01 91176 PARROW JAMES J & ELENA GEO Code Client Name Tax Year Status Tran Type Start Date End Date Condition Base Tax 71779DEN Trophy Club MUD 1 2017 DEFE TAX 11/03/2017 12/01/2099 Defer $385.31 71779DEN Trophy Club MUD 1 2018 DEFE TAX 11/03/2017 12/01/2099 Defer $412.53 71779DEN Trophy Club MUD 1 2019 DEFE TAX 11/03/2017 12/01/2099 Defer $416.50 71779DEN Trophy Club MUD 1 2020 DEFE TAX 11/03/2017 12/01/2099 Defer $404.55 71779DEN Trophy Club MUD 1 2021 DEFE TAX 11/03/2017 12/01/2099 Defer $421.13 Property Base Due $2,040.02 Taxpayer Base Due $2,040.02 76 MCDONALD JAMES E & HUESTIS LAURA LEA TR GEO Code Client Name Tax Year Status Tran Type Start Date End Date Condition Base Tax 72060DEN Trophy Club MUD 1 2006 DEFE TAX 01/25/2007 12/01/2099 pre $306.84 72060DEN Trophy Club MUD 1 2007 DEFE TAX 01/25/2007 12/01/2099 Defer $517.32 72060DEN Trophy Club MUD 1 2008 DEFE TAX 01/25/2007 12/01/2099 Defer $530.21 72060DEN Trophy Club MUD 1 2009 DEFE TAX 01/25/2007 12/01/2099 Defer $495.08 72060DEN Trophy Club MUD 1 2010 DEFE TAX 01/25/2007 12/01/2099 Defer $460.80 72060DEN Trophy Club MUD 1 2011 DEFE TAX 01/25/2007 12/01/2099 Defer $405.50 72060DEN Trophy Club MUD 1 2012 DEFE TAX 01/25/2007 12/01/2099 Defer $329.59 72060DEN Trophy Club MUD 1 2013 DEFE TAX 01/25/2007 12/01/2099 Defer $331.12 72060DEN Trophy Club MUD 1 2014 DEFE TAX 01/25/2007 12/01/2099 Defer $346.81 72060DEN Trophy Club MUD 1 2015 DEFE TAX 01/25/2007 12/01/2099 Defer $378.34 72060DEN Trophy Club MUD 1 2016 DEFE TAX 01/25/2007 12/01/2099 Defer $400.74 72060DEN Trophy Club MUD 1 2017 DEFE TAX 01/25/2007 12/01/2099 Defer $5.37 72060DEN Trophy Club MUD 1 2018 DEFE TAX 01/25/2007 12/01/2099 Defer $0.30 Property Base Due $4,508.02 Taxpayer Base Due $4,508.02 914 MORTON DENVER & JANIE GEO Code Client Name Tax Year Status Tran Type Start Date End Date Condition Base Tax 72277DEN Trophy Club MUD 1 2018 DEFE TAX 03/24/2020 12/01/2099 pre $340.65 72277DEN Trophy Club MUD 1 2019 DEFE TAX 03/24/2020 12/01/2099 pre $404.44 72277DEN Trophy Club MUD 1 2020 DEFE TAX 03/24/2020 12/01/2099 Defer $393.99 72277DEN Trophy Club MUD 1 2021 DEFE TAX 44 of 110 03/24/2020 12/01/2099 Defer Property Base Due Taxpayer Base Due Total Base Due Page 1 of 1 $387.05 $1,526.13 $1,526.13 $13,820.00 January 18, 2023 Regular Meeting Agenda Packet Rod L. Abbott, CPA PLLC Certified Public Accountant January 18, 2023 To the Board of Directors of Trophy Club Municipal Utility District No. 1 Trophy Club, Texas I have audited the financial statements of the governmental activities, each major fund, and the aggregate remaining fund information of the Trophy Club Municipal Utility District No. 1 (the "District") for the year ended September 30, 2022. Professional standards require that I provide you with information about my responsibilities under generally accepted auditing standards, as well as certain information related to the planned scope and timing of my audit. I have communicated such information in my letter to you dated July 15, 2022. Professional standards also require that I communicate to you the following information related to my audit. Sis?nificant Audit Matters Qualitative Aspects of Accounting Practices Management is responsible for the selection and use of appropriate accounting policies. The significant accounting policies used by the District are described in Note 1 to the financial statements. No new accounting policies were adopted and the application of existing policies was not changed during the year ended September 30, 2022. I noted no transactions entered into by the District during the year for which there is a lack of authoritative guidance or consensus. All significant transactions have been recognized in the financial statements in the proper period. Accounting estimates are an integral part of the financial statements prepared by management and are based on management's knowledge and experience about past and current events and assumptions about future events. Certain accounting estimates are particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them may differ significantly from those expected. The most sensitive estimate affecting the government -wide financial statements was: Management's estimate of the useful lives of long-term assets for which to base depreciation expense. The District's estimates are based on prior experience with actual useful lives performance for District infrastructure, equipment, and other assets. I evaluated the key factors and assumptions used to develop the useful lives estimates in determining that they are reasonable in relation to the financial statements taken as a whole. The financial statement disclosures are neutral, consistent, and clear. Difficulties Encountered in Performing the Audit I encountered no significant difficulties in dealing with management in performing and completing my audit. Corrected and Uncorrected Misstatements Professional standards require me to accumulate all misstatements identified during the audit, other than those that are clearly trivial, and communicate them to the appropriate level of management. Management has corrected all material and immaterial misstatements as shown at Attachment 1. P.O. Box 75 Tom Bean, TX. 75489 (214) 856-9603 rodabbottcpa@hotmail.com 45 of 110 January 18, 2023 Regular Meeting Agenda Packet Disagreements with Management For purposes of this letter, a disagreement with management is a financial accounting, reporting, or auditing matter, whether or not resolved to my satisfaction, that could be significant to the financial statements or the auditor's report. I am pleased to report that no such disagreements arose during the course of my audit. Management Representations I have requested certain representations from management that are included in the management representation letter dated January 18, 2023. Management Consultations with Other Independent Accountants In some cases, management may decide to consult with other accountants about auditing and accounting matters, similar to obtaining a "second opinion" on certain situations. If a consultation involves application of an accounting principle to the District's financial statements or a determination of the type of auditor's opinion that may be expressed on those statements, my professional standards require the consulting accountant to check with me to determine that the consultant has all the relevant facts. To my knowledge, there were no such consultations with other accountants. Other Audit Findings or Issues I generally discuss a variety of matters, including the application of accounting principles and auditing standards, with management each year prior to retention as the District's auditor. However, these discussions occurred in the normal course of my professional relationship and my responses were not a condition to my retention. Other Matters I applied certain limited procedures to management's discussion and analysis, the General Fund's budget versus actual schedule, and the TCDRS pension and OPEB schedules, which are required supplementary information (RSI) that supplements the basic financial statements. My procedures consisted of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management's responses to my inquiries, the basic financial statements, and other knowledge I obtained during my audit of the basic financial statements. I did not audit the RSI and do not express an opinion or provide any assurance on the RSI. I was engaged to report on the individual schedules and other supplementary information required by the Texas Commission on Environmental Quality, which accompany the financial statements, but are not RSI. With respect to this supplementary information, I made certain inquiries of management and evaluated the form, content, and methods of preparing the information to determine that the information complies with accounting principles generally accepted in the United States of America, the method of preparing it has not changed from the prior period, and the information is appropriate and complete in relation to my audit of the financial statements. I compared and reconciled the supplementary information to the underlying accounting records used to prepare the financial statements or to the financial statements themselves. Restriction on Use This information is intended solely for the information and use of the Board of Directors and management of the Trophy Club Municipal Utility District No. 1 and is not intended to be, and should not be, used by anyone other than these specified parties. Very truly yours, Rod L. Abbott, CPA PLLC P.O. Box 75 Tom Bean, TX. 75489 (214) 856-9603 rodabbottcpa@ hotmail.com 46 of 110 AJE# AJE #1 G-4 AJE #2 G-6 DESCRIPTION 316-26100-000-000 316-16100-000-000 316-16102-000-000 316-16103-000-000 316-16101-000-000 316-16104-000-000 316-16100-000-000 January 18, 2023 Regular Meeting Agenda Packet ATTACHMENT 1 TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 ADJUSTING AUDIT ENTRIES FOR THE YEAR ENDED SEPTEMBER 30, 2022 Net Pension Liability Deferred Outflows of Resources - TCDRS Pension Contributions Deferred Outflows of Resources - Change in Pension Assumptions Deferred Inflows of Resources - Pension Diff. in Projected/Actual Earnings Deferred Inflows of Resources - PensionDiff. in Expected/Actual Experience Deferred Outflows of Resources - Diff. in Expected/Actual Experience Amount to be Provided To properly update T.C.D.R.S. pension related balances. 316-26110-000-000 316-16110-000-000 316-16112-000-000 316-16113-000-000 316-16111-000-000 316-16000-000-000 Total OPEB SDBF Liability -Asset Deferred Outflows of Resources - TCDRS OPEB Contributions Deferred Out- Diff Assumt OPER Deferred In- Diff Assumt OPEB Deferred Expected/Actual OPEB Amount to be Provided To properly update T.C.D.R.S. other post -employment benefits related balances. AJE #3 533-29011-000-000 F-5 533-31110-000-000 AJE #4 D-1 Accured Interest Unassigned Fund Balance To remove the interest payable balance that should not be accrued in a debt service type fund. 135-26000-000-000 135-31110-000-000 122-31110-000-000 122-40010-000-000 122-26000-000-000 533-40000-000-000 533-31110-000-000 533-26000-000-000 Investment in Uncollected Taxes Unassigned Fund Balance Unassigned Fund Balance Property Taxes/MUD Fire Inv in Uncollected Taxes/FD Property Taxes Unassigned Fund Balance Investment in Uncollected Taxes To re-establish deferred revenue accounts for unavailable property tax revenue. 47 of 110 DEBIT CREDIT 268,763 13,382 17,408 236,974 7,891 14,426 50,080 304,462 304,462 2,655 2,858 636 1,546 1,494 2,201 5,695 5,695 57,355 57,355 57,355 57,355 1,452 1,452 14,359 8,483 5.876 1,402 8,136 9,538 25,349 25,349 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO.1 AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 48 of 110 January 18, 2023 Regular Meeting Agenda Packet ANNUAL FILING AFFIDAVIT THE STATE OF TEXAS } COUNTY OF DENTON } I, Kevin R. Carr (Name of Duly Authorized Representative) Of Trophy Club Municipal Utility District No. 1 (Name of District) Hereby swear, or affirm, that the district named above has reviewed and approved at a meeting of the Board of Directors of the District on the 18th day of January 2023, its annual audit report for the fiscal year or period ended September 30, 2022 and that copies of the annual audit report have been filed in the district office, located at 100 Municipal Drive, Trophy Club, Texas, 76262. The annual filing affidavit and the attached copy of the annual audit report are being submitted to the Texas Commission on the Environmental Quality in satisfaction of the annual filing requirements of Texas Water Code Section 49.194. Date: January 18 20 23 . By: (Signature of District Representative) Kevin R. Carr, President, Board of Directors (Typed Name & Title) Sworn to and subscribed to before me this day of , 20 (SEAL) (signature of notary) My Commission Expires On: , 20 Notary Public in and for the State of Texas 49 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO.1 AUDITED FINANCIAL STATEMENTS TABLE OF CONTENTS Independent Auditor's Report Required Supplementary Information Management Discussion and Analysis .4 Basic Financial Statements Government Wide Statements: Statement of Net Position .11 Statement of Activities 12 Fund Financial Statements: Balance Sheet - Governmental Funds 13 Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Position 14 Statement of Revenues and Expenditures, and Changes in Fund Balances — Governmental Funds 15 Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances to the Statement of Activities 16 Notes to the Financial Statements ..17 Required Supplementary Information Schedule of Revenues, Expenditures, and Changes in Fund Balance: Budgetary Comparison - General Fund 36 Schedule of Changes in Net Pension Liability and Related Ratios 37 Schedule of Pension Contributions 38 Schedule of Changes in the OPEB Liability and Related Ratios 39 Schedule of OPEB Contributions 40 50 of 110 January 18, 2023 Regular Meeting Agenda Packet Other Supplementary Information Individual Schedules and Other Supplementary Information Required by the Texas Commission on Environmental Quality (TCEQ) TSI -1 Service and Rates 41 TSI -2 General Fund Expenditures and Other Financing Uses 43 TSI -3 Temporary Investments 44 TSI -4 Taxes Levied and Receivables 45 TSI -5 Long -Term Debt Service Requirements - By Year 47 TSI -6 Changes in Long -Term Bonded Debt 52 TSI -7 Comparative Schedules of Revenues and Expenditures - Five Years 53 TSI -8 Board Members, Key Personnel, and Consultants 55 51 of 110 January 18, 2023 Regular Meeting Agenda Packet Rod L. Abbott, CPA PLLC Certified Public Accountant INDEPENDENT AUDITOR'S REPORT To the Board of Directors Trophy Club Municipal Utility District No. 1 Trophy Club, Texas Opinions I have audited the accompanying financial statements of the governmental activities, each major fund, and the remaining aggregate fund information of the Trophy Club Municipal Utility District No. 1 (the "District"), as of and for the year ended September 30, 2022, and the related notes to the financial statements, which collectively comprise the District's basic financial statements as listed in the table of contents. In my opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, each major fund, and the remaining aggregate fund information of the Trophy Club Municipal Utility District No. 1 as of September 30, 2022, and the respective changes in financial position for the year then ended in accordance with accounting principles generally accepted in the United States of America. Basis for Opinions I conducted my audit in accordance with auditing standards generally accepted in the United States of America My responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of my report. I am required to be independent of the District, and to meet my other ethical responsibilities, in accordance with the relevant ethical requirements relating to my audit. I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my audit opinions. Responsibilities of Management for the Financial Statements Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the District's ability to continue as a going concern for twelve months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter. 1 n e IM1 I �mll�x��n, lig I 11.11 1.11.1 .k. P,O. Box 75 Tom Bean, TX. 75489 (214) 856-9603 rodabbottcpa@hotmall.com hotmail.com 52 of 110 January 18, 2023 Regular Meeting Agenda Packet Auditor's Responsibilities for the Audit of the Financial Statements My objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes my opinions. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with generally accepted auditing standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements. In performing an audit in accordance with generally accepted auditing standards, I: • Exercise professional judgment and maintain professional skepticism throughout the audit. • Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. • Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the District's internal control. Accordingly, no such opinion is expressed. • Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements. • Conclude whether, in my judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the District's ability to continue as a going concern for a reasonable period of time. I am required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control -related matters that I identified during the audit. Required Supplementary Information Accounting principles generally accepted in the United States of America require that the management's discussion and analysis, General Fund budgetary comparison schedule, pension schedules, and other post - employment benefit schedules be presented to supplement the basic financial statements. Such information is the responsibility of management and, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. I have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge I obtained during my audit of the basic financial statements. I do not express an opinion or provide any assurance on the information because the limited procedures do not provide me with sufficient evidence to express an opinion or provide any assurance. 2 P.O. Box 75 Tom Bean, TX. 75489 (214) 856-9603 rodabbottcpa@hotmail.com 53 of 110 January 18, 2023 Regular Meeting Agenda Packet Other Information My audit was conducted for the purpose of forming an opinion on the basic financial statements of Trophy Club Municipal Utility District No. 1. The Texas TCEQ Supplemental Information on pages 41-56 is required by the Texas Commission on Environmental Quality as published in the Water District Financial Management Guide. The Texas TCEQ Supplemental Information has not been subjected to the auditing procedures applied in the audit of the basic financial statements, and accordingly, I do not express an opinion or provide any assurance on it. Sincerely, 6Z Rod L. Abbott, CPA PLLC Tom Bean, Texas January 18, 2023 3 11.1,111 l 1.1 ,1411 .I 11111 VIII Iai 111111.1 1 P.O. Box 75 Tom Bean, TX. 75489 (214) 856-9603 rodabbottcpa@hotmail.com hotmail.com 54 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED SEPTEMBER 30, 2022 Trophy Club Municipal Utility District No. 1, Texas (the "District") Management's Discussion and Analysis (MD&A) is a narrative overview and analysis designed to provide the reader a means to identify and understand the financial activity of the District and changes in the District's financial position during the fiscal year ended September 30, 2022. The Management's Discussion and Analysis is supplemental to, and should be considered along with, the District's financial statements. Financial Highlights • At the close of the fiscal year, the assets and deferred outflows of the District exceeded its liabilities and deferred inflows by $39,074,449. Of this amount, $14,403,939 is unrestricted net position and may be used to meet the District's ongoing commitments. • The District's net position increased by $3,227,149 during 2022. Significant contributors to this result were water and wastewater charges exceeding their related departmental expenses by 4,258,909. • At the end of the fiscal year, the District's governmental type funds reported a combined fund balance of $17,140,724. As of September 30, 2022, the unassigned fund balance of the General Fund was $8,994,256. The unassigned fund balance is equal to 10.6 months of 2022 General Fund expenditures and is considered a very healthy unassigned fund balance. Overview of the Financial Statements The MD&A is intended to introduce the reader to the District's basic financial statements, which are comprised of three components: 1. Government -Wide Financial Statements, 2. Fund Financial Statements, and 3. Notes to Basic Financial Statements. The report also contains other required supplementary information in addition to the basic financial statements. Government -Wide Financial Statements - the government -wide financial statements are designed to provide the reader with a general overview of the District's finances in a way that is comparable with financial statements from the private sector. The government -wide financial statements consist of two statements: 1. The Statement of Net Position - This statement presents information on all of the District's assets, deferred inflows, deferred outflows, liabilities, and net position. The net position is the difference between assets plus deferred outflows less deferred inflows plus liabilities. Over an extended period, the increase or decrease in net position will serve as a good indicator of whether the financial position of the District is improving or deteriorating. 2. The Statement of Activities — This statement gives information showing how the District's net position has changed during the fiscal year. All revenues and expenses are reported on the full accrual basis. 4 55 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED SEPTEMBER 30, 2022 Overview of the Financial Statements - Continued Fund Financial Statements - Fund financial statements provide detailed information about the most important funds and not about the District as a whole as in the government -wide financial statements. The District uses fund accounting to demonstrate compliance with finance related legal requirements which can be categorized as governmental fund activities. Governmental Funds - All of the District's activities are reported in governmental funds. They are used to account for those functions known as governmental activities. But unlike government -wide financial statements, governmental fund financial statements focus on how monies flow into and out of those funds and their resulting balances at the end of the fiscal year. Statements of governmental funds provide a detailed short-term view of the District's general government operations and the basic services it provides. Such information can be useful in evaluating a government's short-term financing requirements. The District maintains three governmental funds. Information is presented separately in the Governmental Funds Balance Sheet and in the Governmental Funds Statement of Revenues, Expenditures, and Changes in Fund Balances for the General Fund, Debt Service Fund and Capital Projects Fund. The District adopts an annual appropriated budget for the General Fund. A budgetary comparison statement is provided for the General Fund to demonstrate compliance with its budget. Notes to the Basic Financial Statements - The notes provide additional information that is essential to a full understanding of the data presented in the government -wide and fund financial statements. Government -wide Financial Analysis The Management's Discussion and Analysis highlights the information provided in both the Statement of Net Position and Statement of Activities in the government -wide financial statements. It may serve over an extended period of time, as a useful indicator of the District's financial position. At the end of the fiscal year, the District's assets and deferred outflows exceeded liabilities and deferred inflows by $39,074,449. Of this amount, $23,933,288 (61%) reflects the District's investment in capital assets (e.g., land, buildings, machinery and equipment, net of accumulated depreciation), less any related outstanding debt used to acquire those assets and unspent bond proceeds, $748,222 (2%) restricted for debt service and capital projects, and the remaining $14,403,939 (37%) is unrestricted. 2022 governmental activities have increased the District's net position by $3,227,149, which amounts to a nine -percent (9%) increase in net position for the year ended September 30, 2022. 5 56 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED SEPTEMBER 30, 2022 Government -wide Financial Analysis — Continued District operational analysis - The following table provides a summary analysis of the District's Statements of Net Position for the fiscal years ended September 30, 2022 and 2021. Table 1 Condensed Statements of Net Position Current and other assets Capital assets Total assets Deferred outflows of resources Long-term liabilities Other liabilities Total liabilities Deferred inflows of resources Governmental Activities FY22 FY21 $ 18,749,584 $ 19,708,025 44,399,904 41,434,713 63,149,488 61,142,738 258,908 246,946 22,637,495 22,679,125 1,399,980 2,796,979 24,037,475 25,476,104 296,471 66,280 Net position: Net investment in capital assets 23,922,288 21,858,843 Restricted 748,222 901,509 Unrestricted 14,403,939 13,086,948 Total net position $ 39,074,449 $ 35,847,300 6 57 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED SEPTEMBER 30, 2022 Government -wide Financial Analysis - Continued District operational analysis - The following table provides a summary analysis of the District's consolidated operations for the fiscal years ended September 30, 2022 and 2021. Table 2 Condensed Statements of Activities Governmental Activities FY22 FY21 Revenues: Program Revenues: Charges for services $ 10,937,443 $ 9,386,772 Operating grants and contributions - Capital grants and contributions - General Revenues: Property taxes 2,136,367 2,244,471 Other unrestricted contributions 164,890 Investment income 95,640 19,894 Gain on sold assets 21,001 23,975 Other 92,899 91,429 13,448,240 11,766,541 Expenses: Water 4,160,522 3,194,919 Wastewater 2,495,767 2,574,458 Administration 1,593,047 1,656,575 Fire protection 1,251,603 903,326 Non -departmental and Board 102,472 80,631 Interest on long-term debt 617,680 668,678 10,221,091 9,078,587 Excess (deficiency) of revenues over expenditures before transfers 3,227,149 2,687,954 Transfers In (Out) Increase in net position 3,227,149 2,687,954 Net position - October 1 35,847,300 33,159,346 Net position - September 30 $ 39,074,449 $ 35,847,300 7 58 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED SEPTEMBER 30, 2022 Financial analysis of the District's funds Governmental Funds - the main focus of the District's governmental funds is to provide information on the flow of monies to and from the funds, and to note the unassigned fund balance, which is a good indicator of resources available for spending in the near term. The information derived from these funds is highly useful in assessing the District's financial requirements. The unassigned fund balance may serve as a useful measure of the District's net resources available for use at the fiscal year-end. At the end of the fiscal year, the District's governmental funds reported combined ending fund balances of $17,140,724, of which 52%, or $8,994,256, is unassigned and available to the District for future spending. General Fund budgetary highlights Revenue: Revenues were $1,065,591 (9.1%) more than budgeted Water charges were $810,165 (13.4%) more than budgeted. An exceptional Summer drought contributed to this result. Expenditures: Expenditures were $147,734 (1.4%) less than budgeted • Capital Outlay expenditures were $303,951 (13.2%) less than budgeted. • Water Operations were $259,951 (6.9%) more than budgeted. • Administration expenditures were $55,387 (4.0%) less than budgeted. Capital Asset and Debt Administration The District's investment in capital assets for its governmental activities as of September 30, 2022 amounted to $44,399,904, net of accumulated depreciation. This represents a broad range of capital assets including, but not limited to land, buildings, improvements, machinery and equipment, vehicles, water, wastewater treatment, and wastewater collection systems. Capital assets increased $2,965,191 or 7.2% during 2022 primarily due to $4.6 million of new construction in progress for the water and wastewater system. Additional information about capital assets may be found in Note 5 in the notes to financial statements. Debt administration Long -Term Debt - at the end of the current fiscal year, the District had $22,530,046 of general obligation bonds, revenue bonds, and type A financing leases, which is a decrease 7.6% from the previous fiscal year due to $1,863,948 of 2022 principal payments. All 2022 debt service requirements were met and the District did not issue any new debt during fiscal year 2022. 8 59 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED SEPTEMBER 30, 2022 Economic factors and next year's budgets and rates: General Fund 2022 - 2023 budgetary highlights: Revenue: The District's 2023 General Fund budgeted revenues reflect a projected increase of $1,362,596, or 13.14%, when compared to the District's 2022 adopted budget. • Water revenue is budgeted to increase from the $6,033,776 for fiscal year 2022's original budget to $6,710,979 for fiscal year 2023 for a total projected increase of $677,203, or 11.22%. • Sewer revenue is budgeted to increase from $3,824,473 for fiscal year 2022 budget to $3,839,686 for fiscal year 2023 for a total projected increase of $15,213, or 0.40%. • The District's M&O tax rate decreased from fiscal year 2022 to fiscal year 2023. The fiscal year 2023 segregated M&O property tax revenue is budgeted to decrease by ($11,751) for Fire and decrease by ($48,136) for the MUD when compared 2022. Expenses: The District's 2023 General Fund budgeted expenses reflect a projected increase of $1,362,596, or 13.14%, when compared to the District's 2022 adopted budget. • Wholesale water purchases from the City of Fort Worth is budgeted to increase by $131,520, or 5.24%, due to the consumption demands and increased cost for water. • The capital outlay budgets collectively increased by $852,000, or 47.46% due to the District's proactive asset replacement schedule and the continued inflation cost for service and materials. • The maintenance and repair budgets collectively increased by $187,900, or 37.76% due to more required repairs caused by an increased demand on the system. • The electricity budgets collectively increased by $231,305, or 77.71% due the District's current provider contract expiring and new significant rate increase. • The District's budgeted personnel cost collectively decreased by ($158,698), or 7.23% due to the reduction in FTE in both Wastewater and Water combined with COLA increase and new employee benefit rates. Overall: The District's 2023 General Fund operational budget is anticipated to have revenues of $11,733,354 and expenses of $11,733,354 for a total projected net of $0 for the year. Debt Service Fund 2022 - 2023 budgetary highlights: • The District's Debt Service expenses are budgeted to increase from $2,264,892 in fiscal year 2022 to $2,269,673 budgeted for fiscal year 2023 for a total increase of $4,781, or 0.21%. • Property tax revenues collected for Debt Service are budgeted to increase from $690,667 in fiscal year 2022 to $696,446 budgeted in fiscal year 2023 for a total increase of 5,779, or 0.83%. 9 60 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE YEAR ENDED SEPTEMBER 30, 2022 Sewer and Water Rates highlights: Effective April 1, 2022, the sewer volumetric rates were decreased for both the commercial and residential customers by the District's Board of Directors to reflect the updated winter average calculations. An increase in both the water base and volumetric rates were adopted for residential and commercial customers effective October 1 st, 2023. Requests for information This financial report is designed to provide a general overview of the District's consolidated finances for all interested parties. Questions concerning any of the information in this report or requests for additional information should be directed to the Trophy Club Municipal Utility District No. 1, Finance Manager, 100 Municipal Drive, Trophy Club, Texas 76262. 10 61 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 Statement of Net Position September 30, 2022 Assets Cash and cash equivalents Investments Restricted assets: Restricted cash Restricted investments Prepaid assets Receivables: Accounts receivables - net Property taxes Net pension asset Capital assets: Non -depreciable capital assets Depreciable capital assets (net) Total assets Deferred outflows of resources Deferred outflows of resources - OPEB Deferred outflows of resources - Pension Total deferred outflows of resources Liabilities Accounts payable Accrued liabilities Interest payable Customer meter deposits Non-current liabilities: Due within one year Due in more than one year OPEB liability Total liabilities Deferred inflows of resources Deferred inflows of resources - OPEB Deferred inflows of resources - Pension Total deferred inflows of resources Net Position Net investment in capital assets Restricted for: Capital projects Debt service Unrestricted Total net position Governmental Activities $ 6,071,244 7,444,400 328,600 3,273,422 3,880 1,368,491 21,474 238,073 10,162,805 34,237,099 63,149,488 10,051 248,857 258,908 993,236 27,478 50,666 328,600 1,782,648 20,821,601 33,246 24,037,475 6,204 290,267 296,471 23,922,288 660,318 87,904 14,403,939 $ 39,074,449 The accompanying notes are an integral part of these financial statements. 11 62 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 Statement of Activities For the Year Ended September 30, 2022 Functions/Programs Primary government: Governmental activities: Water operations Wastewater operations Administration Fire protection Non -departmental Board of directors Interest on long-term debt Total governmental activities Expenses $ 4,160,522 2,495,767 1,593,047 1,251,603 99,721 2,751 617,680 $ 10,221,090 Charges for Services Governmental Activities Program Revenues Operating Grants and Contributions Capital Grants and Contributions $ 6,949,835 $ $ 3,965,364 22,245 $ 10,937,443 $ $ General revenues: Property taxes Contributions not restricted to specific programs Investment earnings Miscellaneous Gain on sale of assets Total general revenues Change in net position Net position - beginning Net position - ending The accompanying notes are an integral part of these financial statements. 12 63 of 110 Net (Expense) Revenue and Changes in Net Position Total Governmental Activities $ 2,789,312 1,469,597 (1,570,802) (1,251,603) (99,721) (2,751) (617,680) 716,353 2,136,367 164,890 95,640 92,899 21,001 2,510,796 3,227,149 35,847,300 $ 39,074,449 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 BALANCE SHEET - GOVERNMENTAL FUNDS SEPTEMBER 30, 2022 Debt Capital Total General Service Projects Governmental Fund Fund Fund Funds Assets Cash $ 6,071,244 $ $ $ 6,071,244 Investments 7,444,400 - 7,444,400 Restricted assets: Restricted cash 328,600 328,600 Restricted investments 87,904 3,185,518 3,273,422 Prepaid assets 3,880 - 3,880 Receivables: Accounts receivable - net 1,368,491 1,368,491 Property taxes 14,180 7,294 21,474 Due from other funds 81,691 81,691 Total assets $ 15,312,486 $ 95,198 $ 3,185,518 $ 18,593,202 Liabilities Current liabilities: Accounts payable $ 834,640 $ - $ 158,596 $ 993,236 Accrued payroll liabilities 27,478 27,478 Customer deposits 328,600 328,600 Due to other funds - - 81,691 81,691 Total current liabilities 1,190,718 - 240,287 1,431,005 Deferred Inflows of Resources Unavailable revenue - Property taxes 14,179 7,294 21,473 Total deferred inflows of resources 14,179 7,294 - 21,473 Fund Balances Non -spendable: Prepaid assets 3,880 3,880 Restricted for: Debt service 87,904 87,904 Capital projects - 2,945,232 2,945,232 Assigned for: Capital projects 5,109,453 5,109,453 Unassigned 8,994,256 8,994,256 Total fund balances 14,107,588 87,904 2,945,232 17,140,724 Total liabilities, deferred inflows of resources, and fund balances $ 15,312,486 $ 95,198 $ 3,185,518 $ 18,593,202 The accompanying notes are an integral part of these financial statements. 13 64 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 Reconciliation of the Governmental Funds Balance Sheet to the Statement of Net Position at September 30, 2022 Fund balances of governmental funds $ 17,140,724 Amounts reported for governmental activities in the statement of net position are different because: Capital assets used in governmental activities are not financial resources and, therefore, are not reported in the funds. 44,399,904 Deferred outflows of resources related to pension and OPEB balances do not provide current financial resources and, therefore, are not reported in the governmental funds. 258,908 Deferred inflows of resources related to pension and OPEB balances do not require the use of current financial resources and, therefore, are not reported in the governmental funds. (296,471) Long-term liabilities are not due and payable in the current period and, therefore, are not reported in the funds. (22,637,495) Accrued interest payable for governmental -type long -tern debt is recognized in the governmental activities in the statement of net position. (50,666) The District's net pension asset balance does not provide current financial resources and, therefore, is not reported in the governmental funds. 238,073 Property tax receivables not received within sixty days after fiscal year-end are deferred income on the fund financial statements, but these amounts are realized as income on the government -wide financials. 21,473 Net position of governmental activities $ 39,074,449 The accompanying notes are an integral part of these financial statements. 14 65 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 Statement of Revenues, Expenditures, and Changes in Fund Balances - Governmental Funds For the Year Ended September 30, 2022 Revenues Water charges Wastewater charges Property taxes Intergovernmental Late charges Rental income Inspections and other charges for services Other revenue Investment earnings Total revenues Expenditures Current: Water Wastewater Administration Fire Non -departmental Board of directors Capital outlays Debt service: Principal retirement Interest and fees Total expenditures Excess of revenues over (under) expenditures Other financing sources (uses) Proceeds from sold assets Transfers in Transfers (out) Total other financing sources(uses) Net changes in fund balances Fund balances - beginning Fund balances - ending General Fund Debt Service Fund $ 6,843,941 $ $ 3,965,364 - 1,434,197 704,644 164,890 - 105,893 14,146 8,099 92,899 66,251 7,980 12,695,679 712,624 4,025,300 1,530,667 1,322,101 918,658 99,721 2,751 2,000,049 238,950 10,213 10,148,410 2,547,269 21,001 (1,574,226) (1,553,225) 994,044 13,113,544 $ 14,107,588 Capital Projects Fund 21,410 21,410 2,705,843 1,625,000 639,139 2,264,139 2,705,843 (1,551,515) (2,684,434) 1,5 74,226 1,574,226 22,711 65,193 $ 87,904 (2,684,434) 5,629,665 $ 2,945,232 The accompanying notes are an integral part of these financial statements. 15 66 of 110 Total Governmental Funds $ 6,843,941 3,965,364 2,138,841 164,890 105,893 14,146 8,099 92,899 95,640 13,429,712 4,025,300 1,530,667 1,322,101 918,658 99,721 2,751 4,705,892 1,863,950 649,352 15,118,392 (1,688,680) 21,001 1,574,226 (1,574,226) 21,001 (1,667,678) 18,808,403 $ 17,140,724 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds To the Statement of Activities For the Year Ended September 30, 2022 Amounts reported for governmental activities in the statement of activities are different because: Net change in fund balances - total governmental funds $ (1,667,678) Governmental funds report capital outlays as expenditures. However, in the statement of activities, the cost of those assets is allocated over their estimated useful lives and reported as depreciation expense. This is the amount by which capital outlay expense exceeded depreciation expense in the fiscal year. Accrued interest does not require the use of current financial resources and, therefore, is not reported as an expenditure in the governmental funds. This is the (increase) decrease in accrued interest. 2,981,933 6,689 Principal payments on long-term debt are an expenditure for the governmental funds, but this expenditure is a reduction of long-term debt for the government -wide financial statements. 1,863,950 Various other reclassifications and eliminations are necessary to convert from the modified accrual basis of accounting to accrual basis of accounting. These include recognizing a $2,474 decrease in deferred revenue, and various other smaller items. The net effect of these reclassifications is to decrease net position. Modifications are necessary to convert from the modified accrual basis of accounting to accrual basis of accounting for OPEB and pension expense. The net effect of these adjustments is to increase net position. Change in net position of governmental activities: The accompanying notes are an integral part of these financial statements. 16 67 of 110 (5,623) 47,879 $ 3,227,149 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES A. General Statement Denton County Municipal Utility District No. 1 (the District) was created by the Texas Water Rights Commission (later known as Texas Commission on Environmental Quality (TCEQ)) on March 4, 197.5 and confirmed by the electorate of the District at a confirmation election on October 7, 1975. The Board of Director's held its first meeting on April 24, 1975. The Bonds were first sold on June 8, 1976. The District operates pursuant to Article XVI, Chapter 59 of the Texas Constitution and Chapter 54 of the Texas Water Code, as amended. Effective April 1, 1983, the District's name was officially changed by order from Denton County Municipal Utility District No. I to Trophy Club Municipal Utility District No. 1 . On May 9, 2009, citizens voted to consolidate the District and Trophy Club Municipal Utility District No. 2 (MUD 2). As a result. the District reports consolidated activity and balances for the District and the entities formerly known as MUD 2 and the Trophy Club Master District Joint Venture (a joint venture of MUD 1 and MUD 2). The Governmental Accounting Standards Board (GASB) is the accepted standard setting body for the District. The financial statements of the District have been prepared in conformity with generally accepted accounting principles (GAAP) as applied to government units. B. Financial Reporting Entity As required by accounting principles generally accepted in the United States of America, these financial statements include the activities of the District and any organizations for which the District is financially accountable or for which the nature and significance of their relationship with the District are such that exclusion would cause the reporting entity's financial statements to be misleading or incomplete. The definition of the reporting entity is based primarily on the notion of financial accountability. A primary government is financially accountable for the organizations that make up its legal entity. It is also financially accountable for legally separate organizations if its officials appoint a voting majority of an organization's governing body and either it is able to impose its will on that organization or there is a potential for the organization to provide specific financial benefits to, or to impose specific financial burdens on, the primary government. A primary government may also be financially' accountable for governmental organizations that are fiscally dependent on it. A primary government has the ability to impose its will on an organization if it can significantly influence the programs, projects, or activities of, or the level of services performed or provided by, the organization. A financial benefit or burden relationship exists if the primary government (a) is entitled to the organization's resources; (b) is legally obligated or has otherwise assumed the obligation to finance the deficits of or provide financial support to, the organization; or (c) is obligated in some manner for the debt of the organization. Some organizations are included as component units because oftheir fiscal dependency on the primary government. 17 68 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - CONTINUED An organization is fiscally dependent on the primary government if it is unable to adopt its budget, levy taxes, set rates or charges, or issue bonded debt without approval by the primary government. The District has determined it has no component units. C. Government -Wide and Fund Financial Statements The government -wide financial statements (the Statement of Net Position and the Statement of Activities) report information on all of the activities of the District, except for fiduciary funds. The effect of interfund activity has been removed from these statements. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from business -type activities, which rely to a significant extent on fees and charges for support. The activities of the District are comprised only of governmental activities. The Statement of Activities demonstrates the degree to which the direct expenses of a given program are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific program. Program revenues include 1) charges to customers or applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given program and 2) operating or capital grants and contributions that are restricted to meeting the operational or capital requirements of a particular program. Taxes and other items not properly included among program revenues are reported instead as general revenues. Fund Financial Statements The District segregates transactions related to certain functions or activities in separate funds in order to aid financial management and to demonstrate legal compliance. These statements are required to present each major fund in a separate column on the fund financial statements. For fiscal year 2022, the major funds are the General Fund, Capital Projects Fund, and the Debt Service Fund. Governmental funds are those funds through which most governmental functions typically are financed. The measurement focus of governmental funds is on the sources, uses and balance of current financial resources. The District has presented the following governmental funds: General Fund The General Fund is the main operating fund of the District. This fund is used to account for all financial resources not accounted for in other funds. All general tax revenues and other receipts that are not restricted by law or contractual agreement to some other fund are accounted for in this fund. General operating expenditures, fixed charges and capital improvement costs that are not paid through other funds are paid from the General Fund. Debt Service Fund The Debt Service Fund is used to account for resources accumulated and payments made for principal and interest on the long-term debt of governmental funds. 18 69 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - CONTINUED Capital Projects Fund The Capital Projects Fund is used to account for funds received and expended for the acquisition and construction of infrastructure and other capital assets. D. Measurement Focus and Basis of Accounting Measurement focus refers to what is being measured; basis of accounting refers to when revenues and expenditures are recognized in the accounts and reported in the financial statements. Basis of accounting relates to the timing of the measurement made, regardless of the measurement focus applied. The government -wide statements are reported using the economic resources measurement focus and the accrual basis of accounting. The economic resources measurement focus means all assets and liabilities (whether current or non-current) are included on the Statement of Net Position and the operating statements present increases (revenues) and decreases (expenses) in net total position. Under the accrual basis of accounting, revenues are recognized when earned. Expenses are recognized at the time the liability is incurred. Governmental fund financial statements are reported using the current financial resources measurement focus and are accounted for using the modified accrual basis of accounting. Under the modified accrual basis of accounting, revenues are recognized when susceptible to accrual; i.e., when they become both measurable and available. "Measurable" means the amount of the transaction can be determined and "available" means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. The District considers receivables collected within sixty days after year-end to be available and recognizes them as revenues of the current year. Expenditures are recorded when the related fund liability is incurred. However, debt service expenditures are recorded only when payment is due. The revenues susceptible to accrual are interest income and ad valorem taxes. All other governmental fund revenues are recognized when received. E. Cash and Investments The District's cash and cash equivalents are considered to be cash on hand, demand deposits, and short-term investments of three months or less from the date of acquisition, 19 70 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES — CONTINUED The District's investment policy requires that all monies be deposited with the authorized District depository or in (1) obligations of the United States or its agencies and instrumentalities; (2) direct obligations of the State of Texas or its agencies; (3) other obligations, the principal of and interest on which are unconditionally guaranteed or insured by the State of Texas or the United States; (4) obligations of states, agencies, counties, cities, and other political subdivisions of any state having been rated as to investment quality by a nationally recognized investment rating firm and having received a rating of not less than A or its equivalent; (5) certificates of deposit by state and national banks domiciled in this state that are (A) guaranteed or insured by the Federal Deposit Insurance Corporation, or its successor; or, (B) secured by obligations that are fully collateralized. All investments are recorded at fair value based on quoted market prices. Fair value is the amount at which a financial instrument could be exchanged in a current transaction between willing parties. F. Capital Assets Capital assets, which include property, plant, and equipment, are reported in the government -wide financial statements. All capital assets are valued at historical cost or estimated historical cost if actual historical cost is not available. Donated assets are valued at their fair value on the date donated. Repairs and maintenance are recorded as expenses. Renewals and betterments are capitalized. Assets capitalized have an original cost of $5,000 or more and over one year of useful life. Depreciation has been calculated on each class of depreciable property using the straight-line method. Estimated useful lives are as follows: Depreciable Asset Category Life in Years Buildings 50 Improvements other than Buildings 15-30 Machinery and Equipment 5-15 Vehicles 6-12 Water & Wastewater Infrastructure 30-65 G. Compensated Absences Employees earn vacation pay based upon seniority that accrues at various rates up to a maximum four weeks per year. Upon termination, employees wilI be paid for their unused earned vacation. The District accrues a liability for the value of these compensated absences on the full -accrual basis statement of net pos ition. 20 71 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - CONTINUED H. Net Position Net position represents the difference between assets and deferred outflows of resources, less deferred inflows of resources and liabilities. Net position invested in capital assets, net of related debt consists of capital assets, net of accumulated depreciation, reduced by the outstanding balances of any borrowing used for the acquisition, construction or improvements of those assets, and adding back unspent proceeds. Net position is reported as restricted when there are limitations imposed on their use either through the enabling legislations adopted by the District or through external restrictions imposed by creditors, grantors or laws or regulations of other governments. I. Estimates In preparing financial statements in conformity with accounting principles generally accepted in the United States of America, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosures of contingent assets and liabilities, and the reported amounts of revenue and expenses/expenditures. Actual results could differ from those estimates. J. Fund Balances Governmental Accounting Standards Board (GAS B) Statement No. 54. Fund Balance Reporting and Governmental Fund Type Definitions (GASB 54) defines the different types of fund balances that a governmental entity must use for financial reporting purposes in the fund financial statements for governmental type funds. It does not apply for the government -wide financial statements. GASB 54 requires the fund balance amounts to be properly reported within one of the following fund balance categories: Nonspendable - such as fund balance associated with inventories, prepaids, long-term loans and notes receivable, and property held for resale (unless the proceeds are restricted, committed, or assigned), Restricted - Fund balance category includes amounts that can be spent only for the specific purposes stipulated by constitution. external resource providers, or through enabling legislation, Committed - fund balance classification includes amounts that can be used only for the specific purposes determined by a formal action of the Board of Directors (the District's highest level of decision-making authority), Assigned - fund balance classifications are assigned by the District Manager with the intentions to be used by the government for specific purposes but do not meet the criteria to be classified as restricted or committed, and Unassigned - fund balance is the residual classification for the District's General Fund and includes all spendable amounts not contained in the other classifications, and other fund's that have total negative fund balances. 2I 72 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - CONTINUED K. Accounts Receivable and Allowances for Bad Debt Accounts receivable consists primarily of receivables related to water and sewer services. Accounts receivable includes an accrual for unbilled revenue earned during the month of September 2022. Trade accounts receivable are evaluated periodically for collectability based on customer history and current economic conditions. When considered necessary, an allowance is made for doubtful accounts. NOTE 2. CASH AND INVESTMENTS The funds of the District muss be deposited and invested under the terms ofa contract, contents of which are set out in the Depository Contract Law. The depository bank places approved pledged securities for safekeeping and trust with the District's agent bank in an amount sufficient to protect District funds on a day-to-day basis dining the period of the contract. The pledge of approved securities is waived only to the extent of the depository bank's dollar amount of Federal Deposit Insurance Corporation (FDIC) insurance. At September 30, 2022, the carrying amount of the District's cash deposits was $6,399.204 and the bank balance was $7,113,691. Of the District's cash deposits at September 30, 2022, $250,000 was insured by FDIC and $6,863,691 was covered by pledged securities, The Public Funds Investment Act (Government Code Chapter 2256) contains specific provisions in the areas of investment practices, management reports and establishment of appropriate policies. Among other things, it requires the District to adopt, implement, and publicize an investment policy. That policy must address the following areas; (1) safety of principal and liquidity, (2) portfolio diversification, (3) allowable investments. (4) acceptable risk levels, (5) expected rates of return, (6) maximum allowable stated maturity of portfolio investments, (7) maximum average dollar -weighted maturity, allowed based on the stated maturity date for the portfolio, (8) investment staff quality and capabilities, and (9) bid solicitation preferences for certificates of deposit. Cash and investments as of September 30, 2022 consist of the following: Deposits with financial institutions $ 6,399,244 Unrestricted TexPool investments 7/141,400 Restricted TexPool investments 2,486,201 Restricted BOK Financial investments 787,221 Petty cash 600 Total Cash and Investments $ 17,117,665 73 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 2. CASH AND INVESTMENTS — CONTINUED Disclosures Relating to Interest Rate Risk Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of an investment. Generally, the longer the maturity of an investment the greater the sensitivity of its fair value to changes in market interest rates. One of the ways that the District manages its exposure to interest rate risk is by investing mainly in investment pools which purchase a combination of shorter -term investments with an average maturity of less than 60 days thus reducing the interest rate risk. The District monitors the interest rate risk inherent in its portfolio by measuring the weighted average maturity of its portfolio. The District monitors its interest rate risk, which is governed by adopted Investment Policies. As of September 30, 2022. the District had the following investments: Weighted Avg. Investment Type Carrying Amount Maturity TexPool Pooled Investments $ 9,930,600 24 days BOK Financial - U.S. Securities $ 787,221 13 days As of September 30. 2022, the District did not invest in any securities which are highly sensitive to interest rate fluctuations. Disclosures Relating to Credit Risk Generally. credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. Presented below is the minimum rating required by (where applicable) the Public Funds Investment Act. the District's investment policy. or debt agreements. and the actual rating as of year- end for each investment type. Minimum Rating at Investment Type Carrying Amount Legal Rating Year -End TexPool Pooled Investments $ 9,930,600 AAAm AAAm BOK Financial - U.S. Securities $ 787,221 AAAm AAAm 74 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 2. CASH AND INVESTMENTS — CONTINUED Custodial Credit Risk Custodial credit risk for deposits is the risk that, in the event of the failure of a depository financial institution, a government will not be able to recover its deposits or will not be able to recover collateral securities that are in the possession of an outside party. The custodial credit risk for investments is the risk that, in the event of the failure of the counterparty to a transaction, a government will not be able to recover the value of its investment or collateral securities that are in the possession of another party. The Public Funds Investment Act and the District's investment policy have the following provision for deposits: They require that a financial institution secure deposits made by state or local governmental units by either 1) pledging securities in an undivided collateral pool held by a depository regulated under state law (unless so waived by the governmental unit), or 2) an irrevocable standby letter of credit with the District named as the beneficiary. The market value of pledged securities in the collateral pool or the value of the letter of credit must equal at least the bank balance less FDIC insurance at all times. Investment in State Investment Pools The District is a voluntary participant in TexPool. The State Comptroller of Public Accounts exercises responsibility over TexPool. This oversight includes the ability to significantly influence operations, designation of management, and accountability for fiscal matters. Additionally, the State Comptroller has established an advisory board composed of both participants in TexPool and other persons who do not have a business relationship with TexPool. TexPool operates in a manner consistent with the SEC's Rule 2a7 of the Investment Company Act of 1940. TexPool uses amortized costs rather than market value to report net assets to compute share prices. Accordingly, the fair value of the position in TexPool is the same as the value of TexPool shares. The TexPool and the mutual fund investments are measured at amortized cost and are exempt for fair value reporting under GASB Statement No. 72, Fair Value Measurement and Application. 75 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 3. ACCOUNTS RECEIVABLE Receivables as of September 30, 2022 are as follows: Water sales $ 730,810 Wastewater sales 335,935 Unbilled receivables 158,082 Refuse (as an agent for the Town of Trophy Club) 87,867 Storm drainage (as an agent for the Town of Trophy Club) 42,217 Refuse tax (as an agent for the Town of Trophy Club) 7,537 PID surcharge (as an agent for the Town of Trophy Club) 14,132 Property taxes 21,474 Other 3,963 Gross receivables 1,402,016 Less: Allowance for uncollectables (12,051) Net receivables $ 1,389,965 NOTE 4. INTERFUND TRANSFERS AND BALANCES Transfers between funds during the year -ended September 30, 2022 are as follows: Transfers From Transfers To Amount Purpose General Fund Debt Service Fund $ 1,574,226 Debt service assistance Total: $ 1,574,226 Interfund due to/due from balances as of September 30, 2022 are as follows: Due From Due To Other Fund Other Funds Funds General Fund $ 81,691 Capital Projects Fund 81,691 $ 81,691 $ 81,691 76 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 5. CAPITAL ASSETS Capital asset activity for the year ended September 30. 2022, Goveranental Activities: Capital assets - Non -Depreciable Land Construction in progress Water rights Total non -depreciable assets: Capital assets - Depreciable B u ild ings Improvements other than buildings Machinery and equipment Organization costs Vehicles Water system Wastewater treatment system Wastewater collection system Total capital assets being depreciated: Less accumulated depreciation for: Buildings improvements other than buildings Machinery and equipment Organization costs Vehicles Water system Wastewater treatment system Wastewater collection system Total accumulated depreciation: Total depreciable capital assets, net: Capital assets, net: Beginning Balances vas as follows: Retirements/ Additions Transfers 4,668,922 4,668,922 $ 648,178 $ 4,351,712 864,678 5,864,568 3,535,137 600,776 2,984,794 2,354,963 2,816,913 14,019,565 22,497,150 4,541,890 53,351,188 836,479 314,089 1,485,461 2,326,933 1,736,231 4,737,992 4,502,407 1.841,451 17,781,043 18,476 37,013 55.489 80,890 22,221 110,986 15.420 218,784 253,598 941,643 80,417 1,723,959 35,570,145 (1,668,470) Ending Balance $ - $ 648,178 (370,685) 8,649,949 864,678 (370,685) 10,162,805 $ 41,434,713 $ 3,000,452 $ 26 77 of 110 3,535,137 600,776 41,293 3,044,563 288,600 2,643,563 (29,268) 2,787,645 14,056,578 22,497,150 4,541,890 300,625 53,707,302 917,369 336,310 (6,581) 1,589,866 2,342,353 (28,218) 1,926,797 4,991,590 5,444,050 1,921,868 (34,799) 19,470,203 335,424 34,237,099 05,261) $ 44,399,904 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 5. CAPITAL ASSETS - CONTINUED Depreciation expense was charged as direct expense to programs of the primary government as follows: Governmental activities: General government Water operations Wastewater operations Fire department Wastewater collection systems Total depreciation expense NOTE 6 LONG-TERM DEBT $ 332,945 258,773 981,059 83,299 67,883 $ 1,723,959 At September 30, 2022, the District's long-term debt issuances consisted of the following: General Obligation Bonds Series 2012 Refunding Bonds Series 2013 Tax Bonds Series 2014 Tax Bonds Series 2020 Refunding Bonds Revenue Bonds Series 2015 Bonds Series 2016 Bonds Series 2019 Bonds Type A Financing Leases Freightliner Truck Lease Camera Van Lease Total long-term debt: Interest Maturity Rate (%) Date Outstanding 2.0-3.0% 8/31/2023 2.0-3.0% 8/31/2023 1.5-3.5% 8/31/2034 1.30% 8/31/2031 2.0-3.25% 8/31/2035 0.5-2.2% 8/31/2036 3.0-3.5% 8/31/2049 2.95% 2/1/2023 3.95% 2/1/2024 27 78 of 110 $ 250,000 215,000 4,005,000 1,090,000 6,700,000 3,365,000 6,765,000 74,144 65,902 $ 22,530,046 Due Within One Year $ 250,000 215,000 280,000 115,000 420,000 220,000 165,000 74,144 43,504 $ 1,782,648 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 6. LONG-TERM DEBT - CONTINUED The following is a summary of long-term transactions of the District for the year ended September 30, 2022: Beginning Due Within Balance Additions Reductions Ending Balance One Year Governmental activities: General Obligation Bonds $ 6,395,000 $ $ (835,000) $ 5,560,000 $ 860,000 Revenue Bonds 17,620,000 (790,000) 16,830,000 805,000 Net Bond Premium (Discount) 24,982 (24,982) Type A Financing Leases 378,994 (238,948) 140,046 117,648 Compensated Absences 62,817 11,388 74,205 Total Governmental activities long-term debt: $ 24,481,793 $ 11,388 $ (1,888,930) $ 22,604,251 $ 1,782,648 The annual debt service requirements for the District's bonds are as follows: General Obligation and Revenue Bonds Fiscal Year Ending Principal Interest Totals 2023 $ 1,665,000 $ 601,321 $ 2,266,321 2024 1,235,000 563,127 1,798,127 2025 1,265,000 538,295 1,803,295 2026 1,285,000 511,555 1,796,555 2027 1,325,000 482,948 1,807,948 2028-2032 7,085,000 1,904,154 8,989,154 2033-2037 4,835,000 932,696 5,767,696 2038-2042 1,370,000 526,331 1,896,331 2043-2047 1,605,000 288,850 1,893,850 2048-2049 720,000 37,531 757,531 Totals: $ 22,390,000 $ 6,386,808 $ 28,776,808 28 79 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 6. LONG-TERM DEBT- CONTINUED As of September 30, 2022, the District has two outstanding Type A financing leases. Both leased assets are classified as vehicles. Total capitalized cost is $565,604 and amortized net book value is $204,853 at September 30, 2022. $94.054 of amortization expense has been included in depreciation expense for the year ended September 30, 2022. The following is a schedule of future debt service requirements for these leases: Fiscal Year Ending September 30 Principal Interest Totals 2023 $ 117,648 $ 3,271 $ 120,919 2024 22,398 442 22,840 Total Financing Lease Debt Service: $ 140,046 $ 3,713 $ 143,759 NOTE 7. RISK MANAGEMENT The District is exposed to various risks of loss related to torts: theft of, damage to, and destruction of assets; business interruption; errors and omissions; injuries to employees; employee health benefits; and other claims of various nature. Commercial insurance is purchased for the risks of loss to which the District is exposed. Any losses reported but unsettled or incurred and not reported, are believed to be insignificant to the District's basic financial statements. Additionally, the District must operate in compliance with rules and regulations mandated for public water supply systems by federal and state governments. The District is subject to compliance oversight by the Texas Commission on Environmental Quality (TCEQ). NOTE 8. RETIREMENT PLAN The District provides retirement, disability, and death benefits for all of its full-time employees through a nontraditional defined benefit pension plan in the statewide Texas County and District Retirement System (TCDRS). The Board of Trustees of TCDRS is responsible for the administration of the statewide agent multiple - employer public employee retirement system consisting of nontraditional defined benefit pension plans. TCDRS in the aggregate issues a comprehensive annual financial report (CAFR) on a calendar -year basis. The CAFR is available upon written request from the TCDRS Board of Trustees at P.O. Box 2034, Austin, Texas 78768-2034. The plan provisions are adopted by the governing body of the employer, within the options available in the Texas state statutes governing TCDRS (TCDRS Act). Members can retire at ages 60 and above with 10 or more years of service, with 30 years of service regardless of age, or when the sum of their age and years of service equals 80 or more. Members are vested after 10 years of service but must leave their accumulated contributions in the plan to receive any employer -financed benefit. Members who withdraw their personal contributions in a lump sum are not entitled to any amounts contributed by their employer. 29 80 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 8. RETIREMENT PLAN - CONTINUED Benefit amounts are determined by the sum of the employee's contributions to the plan, with interest, and employer -financed monetary credits. The level of these monetary credits is adopted by the governing body of the employer within the actuarial constraints imposed by the TCDRS Act so that the resulting benefits can be expected to be adequately financed by the employer's commitment to contribute. At retirement, death, or disability, the benefit is calculated by converting the sum of the employee's accumulated contributions and the employer -financed monetary credits to a monthly annuity using annuity purchase rates prescribed by the TCDRS Act. Contributions The employer has elected the annually determined contribution rate (ADCR) plan provision of the TCDRS Act. The plan is funded by monthly contributions from both employee members and the employer based on the covered payroll of employee members. Under the TCDRS Act, the contribution rate of the employer is actuarially determined annually. The employer contributed using the actuarially determined rates of 9.00% and 10.92% for calendar years 2021 and 2022, respectively. Total employer contributions for the year ended September 30, 2022 was $148.867. The contribution rate payable by the employee members for calendar years 2021 and 2022 is the rate 01.7.00% as adopted by the governing body of the employer. The employee contribution rate and the employer contribution rate may be changed by the governing body of the employer within the options available in the TCDRS Act. Actuarial Assumptions The total pension liability in the December 31, 2021 actuarial valuation was determined using the following actuarial assumptions: Valuation Date: December 31, 2021 Actuarial Cost Method: Entry Age Normal Asset Valuation Method: Smoothing Period 5 Years Recognition Method Non -asymptotic Corridor None Inflation: 2.50% Salary Increase: 4.70% Investment Rate of Return: 7.50% (net) 30 81 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 8. RETIREMENT PLAN - CONTINUED Discount Rate The discount rate used to measure the total pension liability was 7.60%. There was no change in the discount rate since the previous year, The projection of cash flows used to determine the discount rate assumed that contributions from plan members and those of the contributing employers and the non -employer contributing entity are made at the statutorily required rates, Based on those assumptions, the pension plan's fiduciary net position was projected to be available to make all future benefit payments of current plan members, Therefore, the long-term expected rate of return on pension plan investments was applied to all periods of projected benefit payments to determine the total pension liability. The long-term rate of return on pension plan investments is 7.60%, The long-term expected rate of return on pension plan investments was determined using a building-block method in which best -estimates ranges of expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class. These ranges are combined to produce the long-term expected rate of return by weighting the expected future real rates of return by the target asset allocation percentage and by adding expected inflation. Best estimates of geometric real rates of return for each major asset class included in the Systems target asset allocation as of December 31, 2021 are summarized below: Asset Class U.S. Equities Global Equities Int'1 Equities - Developed Markets Intl Equities - Emerging Markets Investment Grade Bonds Strategic Credit Direct Lending Distressed Debt REIT Equities Master Limited Partnerships Private Real Estate Partnerships Private Equity Hedge Funds Cash Equivalents Benchmark Dow Jones U.S. Total Stock Market Index MSCI World (net) Index MSCI World Ex USA (net) Index MSCI Emerging Markets (net) Index Bloomberg Barclays U.S. Aggregate Bond Index FTSE High -Yield Cash -Pay Capped Index S&P/LSTA Leveraged Loan Index Cambridge Associates Distressed Securities Index 67% FTSE NAREIT Equity REITs Index + 33% S&P Global REIT Index Alerian MLP Index Cambridge Associates Real Estate Index Cambridge Associates Global Private Equity & Venture Capital Index Hedge Fund Research, Inc. Fund of Funds Composite Index 90 -Day U.S. Treasury Geometric Target Real Rate Allocation of Return 11.50% 3.80% 2.50% 4.10% 5.00% 3.80% 6.00% 4.30% 3.00% -0.85% 9.00% 1.77% 16.00% 6.25% 4.00% 4.50% 2.00% 3.10% 2.00% 3.85% 6.00% 5.10% 25.00% 6.80% 6.00% 1.55% 2.00% -1.05% Discount Rate Sensitivity Analysis The following schedule shows the impact of the Net Pension Liability (Asset) if the discount rate used was 1% less than and 1% greater than the discount rate that was used (7.60%) in measuring the Net Pension Liability: 1% Decrease 6.60% Net pension liability (asset) $ 148,894 31 82 of 110 Current Discount Rate 1% Increase 7.60% 8.60% $ (238,073) $ (560,957) January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 8. RETIREMENT PLAN - CONTINUED Pension Assets/Liabilities, Pension Expense, and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions At September 30, 2022, the District reported ($238.073) for the net pension (asset) and pension expense of $90,383 related to the December 31. 2021 valuation. The breakdown of the components of the total pension liability, plan fiduciary net position, and the net pension liability follows: Changes in the Net Pension Liability (Asset) Increase (Decrease) Plan Total Fiduciary Net Pension Pension Net Position Liab./(Asset) Liability (a) (b) (a) - (b) Balances at 12/31/2020: $ 2,088,961 $ 2,058,271 $ 30,690 Changes for the year: Service cost 227,965 227,965 Interest 175,365 175,365 Effect of plan changes Effect of economic/demographic gains or losses 27,195 27,195 Effect of assumptions changes or inputs 7,163 7,163 Refund of contributions (3,339) (3,339) Benefit payments (15,991) (15,991) Administrative expenses (1,485) 1,485 Member contributions 98,621 (98,621) Net investment income 475,821 (475,821) Employer contributions 127,080 (127,080) Other changes 6,414 (6,414) Balances at 12/31/2021: $ 2,507,319 $ 2,745,392 $ (238,073) The District reported deferred outflows of resources and deferred inflows of resources related to the pension from the following sources: Deferred Inflows / Outflows of Resources Deferred Inflows Deferred Outflows of Resources of Resources Difference between expected and actual experience $ 7,007 $ 45,038 Changes of assumptions 92,413 Net difference between projected and actual earnings 283,260 Contributions subsequent to the measurement date N/A 111,406 Totals: $ 290,267 $ 248,857 $1 1 1,406 reported as deferred outflow of resources for contributions made subsequent to the measurement date will be recognized as an addition to the net pension asset in the 2022 measurement year. 32 83 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 8. RETIREMENT PLAN - CONTINUED The net amounts of the employer's balances of deferred outflows and inflows of resources related to pensions will be recognized in pension expense as follows: Fiscal Year Ending: 2023 $ (34,062) 2024 (52,957) 2025 (35,126) 2026 (30,671) 2027 - Thereafter - $ (152,816) NOTE 9. OTHER POST -EMPLOYMENT BENEFITS Plan Description The District participates in the retiree Group Term Life program for the Texas County & District Retirement System (TCDRS), which is a statewide, multiple -employer, public employee retirement system. All full and part-time non -temporary employees participate in the plan, regardless of the number of hours they work in a year and are eligible for the TCDRS pension plan. Only employers that have elected participation in the retiree Group Term Life program are included in the OPEB plan. The plan provides a $5,000 post-retirement death benefit to beneficiaries of service retirees and disability retirees of employers that have elected participation in the retiree GTL program. The OPEB benefit is a fixed $5,000 lump -sum benefit. No future increases are assumed in the $5,000 benefit amount. Benefit terms are established under the TCDRS Act. Participation in the retiree GTL program is optional and the employer may elect to opt out of (or opt into) coverage as of January 1 each year. The District's contribution rate for the retiree GTL program is calculated annually on an actuarial basis, and is equal to the cost of providing a one-year deal benefit equal to $5.000. Membership information is shown in the chart below: Inactive employees or beneficiaries currently receiving benefits: 2 Inactive employees entitled, but not yet receiving benefits: 5 Active employees: 19 Total: 26 Total OPEB Liability The District's total OPEB liability was determined by an actuarial valuation dated December 31, 2021. Estimates include assumptions about future employment, mortality, and the healthcare cost trend. Amounts determined regarding the funded status of the plan and the annual required contributions (ARC) of the employer are subject to continual revisions as actual results are compared with past expectations and new estimates are made about the future. 33 84 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 9. OTHER POST -EMPLOYMENT BENEFITS - CONTINUED Below is a schedule of significant assumptions used to estimate the District's ARC: Valuation Date: December 31, 2021 Amortization Method: Straight -Line Over Expected Working Life Discount Rate: 2.06% Disability: Custom rates based on TCDRS experience Mortality: Depositing Members Retirees/Beneficiaries Disabled Retirees Discount Rate 90% of RP -2014 Active Employee Mortality Table for males and 90% of the RP -2014 Active Employee Mortality Table for females, projected with 110% of the MP -2014 Ultimate scale after 2014. 130% of the RP -2014 Healthy Annuitant Mortality Table for males and 110% of the RP -2014 Healthy Annuitant Mortality Table for females, both projected with 110% of the MP -2014 Ultimate scale after 2014. 130% of the RP -2014 Disabled Annuitant Mortality Table formulas and 115% of the RP -2014 Disabled Annuitant Mortality Table for females, both projected with 110% of the MP -2014 Ultimate scale after 2014. The discount rate is based on a yield or index for 20 -year, tax-exempt general obligation municipal bonds with an average rating of AA/Aa or better for benefits not covered by plan assets. The 20 Year Bond GO Index published by bondbuyer.com was used in determining the discount rate used to measure the Total OPEB Liability as of December 31, 2021 (measurement date under GASB 75). At this date, the discount rate was 2.06%. Sensitivity of the Total OPEB Liability to Changes in the Discount Rate The following presents the District's Total OPEB Liability if it were calculated using a discount rate that is 1% point lower (1.06%) or 1% point higher (3.06%) than the current rate, for measurement period ended December 31, 2021: Current 1% Decrease Discount Rate 1% Increase 1.06% 2.06% 3.06% Total OPEB liability $ 41,880 $ 33,246 $ 26,685 34 85 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 NOTES TO BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2022 NOTE 9. OTHER POST -EMPLOYMENT BENEFITS - CONTINUED OPEB Expense and Deferred Outflows/Inflows of Resources Related to OPEB For the fiscal year ended September 30, 2022, the District recognized expense related to OPEB of $5,059. As of September 30, 2022, the District reported deferred inflows of resources related to OPEB from the following sources: Deferred Inflows / Outflows of Resources Deferred Inflows Deferred Outflows of Resources of Resources Difference between expected and actual experience $ 5,044 $ Changes of assumptions 1,160 7,193 Net difference between projected and actual earnings - Contributions subsequent to the measurement date N/A 2,858 Totals: $ 6,204 $ 10,051 The $2.858 contributions made after the measurement date of the total OPEB liability but before the end of the District's reporting period will be recognized as a reduction of the total OPER liability in the subsequent fiscal period. The other amount reported as deferred outflows of resources related to OPEB will be recognized in OPEB expense as follows: Fiscal Year Ending: 2023 2024 2025 2026 2027 Thereafter NOTE 10. SUBSEQUENT EVENTS $ 202 204 112 596 (125) $ 989 The District has evaluated all events and transactions after September 30, 2022 up through the audit report date, which is the date the financial statements were issued. The District has no subsequent events to disclose. 35 86 of 110 January 18, 2023 Regular Meeting Agenda Packet REQUIRED SUPPLEMENTARY INFORMATION 87 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual - General Fund For the Year Ended September 30, 2022 Revenues Water charges Wastewater charges Property taxes Intergovernmental Late charges Rental income Inspections and other charges for services Other revenue Investment earnings Total revenues Expenditures Current: Water Wastewater Administration Fire Non -departmental Board of directors Capital outlays Debt service: Principal retirement Interest and fees Total expenditures Excess of revenues over (under) expenditures Other financing sources (uses) Proceeds from sold assets Transfers in Transfers (out) Total other financing sources (uses) Net changes in fund balances Fund balances - beginning Fund balances - ending Original Budget Final Budget $ 6,033,776 3,874,473 1,406,022 165,537 94,826 14,146 19,308 7,000 15,000 11,630,088 3,725,349 1,572,960 1,377,488 919,700 185,705 11,780 1,795,000 237,344 11,818 9,837,144 1,792,944 10,000 (1,860,644) (1,850,644) (57,700) 13,113,544 $ 13,055,844 Actual Amounts $ 6,033,776 $ 6,843,941 3,874,473 3,965,364 1,406,022 1,434,197 165,537 164,890 94,826 105,893 14,146 14,146 19,308 8,099 7,000 92,899 15,000 66,251 11,630,088 12,695,679 3,765,349 4,025,300 1,517,960 1,530,667 1,377,488 1,322,101 919,700 918,658 150,705 99,721 11,780 2,751 2,304,000 2,000,049 237,344 238,950 11,818 10,213 10,296,144 10,148,410 1,333,944 2,547,269 25,000 21,001 (1,860,644) (1,574,226) (1,835,644) (1,553,225) (501,700) 994,044 13,113,544 13,113,544 $ 12,611,844 $ 14,107,588 The accompanying notes are an integral part of these financial statements. 88 of '160 Variance with Final Budget - Positive (Negative) $ 810,165 90,891 28,175 (647) 11,067 (0) (11,209) 85,899 51,251 1,065,591 (259,951) (12,707) 55,387 1,042 50,984 9,029 303,951 (1,606) 1,605 147,734 1,213,325 (3,999) 286,418 282,419 $ 1,495,744 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 SCHEDULE OF CHANGES IN NET PENSION LIABILITY AND RELATED RATIOS (LAST TEN MEASUREMENT YEARS) TEXAS COUNTY AND DISTRICT RETIREMENT SYSTEM FOR THE YEAR ENDED SEPTEMBER 30, 2022 December December December December December December December December 31, 2021 31, 2020 31, 2019 31, 2018 31, 2017 31, 2016 31, 2015 31, 2014 Total Pension Liability Service cost $ 227,965 $ 183,103 $ 164,365 $ 153,752 $ 176,975 $ 200,990 $ 150,689 $ 170,600 Interest on total pension liability 175,365 145,931 121,767 100,515 83,553 57,230 41,351 27,449 Effect of plan changes - - - - - - (22,086) - Difference between expected and actual experience 27,195 21,485 8,770 13,723 (25,170) (9,790) (11,320) (7,057) Effect of assumptions changes or inputs 7,163 127,091 - - 5,971 7,686 Benefit payments/Refund of contributions (19,329) (14,049) (16,533) (15,970) (1,695) (2,091) (1,902) (3,156) Net Change in Total Pension Liability 418,359 463,561 278,369 252,020 239,634 246,339 164,418 187,836 Total pension liability, beginning 2,088,961 1,625,400 1,347,031 1,095,011 855,377 609,038 444,620 256,784 Total pension liability, ending $ 2,507,320 $ 2,088,961 $ 1,625,400 $ 1,347,031 $ 1,095,011 $ 855,377 $ 609,038 $ 444,620 Fiduciary Net Position Employer contributions 127,080 122,021 103,641 94,803 102,802 95,185 97,043 93,694 Member contributions 98,621 94,695 80,287 73,880 79,868 78,388 78,171 74,784 Investment income (net of expenses) 475,821 173,686 212,168 (19,840) 126,587 46,440 (15,011) 18,561 Benefit payments/Refund of contributions (19,329) (14,049) (16,533) (15,970) (1,695) (2,091) (1,902) (3,156) Administrative expenses (1,485) (1,506) (1,278) (1,039) (769) (505) (394) (285) Other 6,414 6,162 5,966 4,667 2,418 19,889 (47) (21) Net Change in Fiduciary Net Position 687,122 381,009 384,251 136,501 309,211 237,306 157,860 183,577 Fiduciary Net Position, beginning Fiduciary Net Position, ending Net pension liability / (asset), ending 2,058,271 1,677,262 1,293,011 1,156,510 847,300 609,994 452,134 268,557 2,745,393 2,058,271 1,677,262 1,293,011 1,156,511 847,300 609,994 452,134 $ (238,073) $ 30,690 $ (51,862) $ 54,020 $ (61,500) $ 8,077 $ (956) $ (7,514) Fiduciary net position as a percentage of total pension liability 109.50% 98.53% 103.19% 95.99% 105.62% 99.06% 100.16% 101.69% Covered -employee payroll $ 1,408,871 $ 1,352,780 $ 1,150,893 $ 1,055,433 $ 1,140,976 $ 1,119,822 $ 1,116,721 $ 1,068,342 Net pension liability as a percentage of covered payroll -16.90% 2.27% -4.51% 5.12% -5.39% 0.72% -0.09% -0.70% Note 1 - GASB 68 requires that information on this schedule be presented on the measurement date basis, which is on a calendar year basis. This schedule will also ultimately present the last ten years of information. The measurement year 2014 is the first year for which this information is available. 37 89 of 110 TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 SCHEDULE OF EMPLOYER PENSION CONTRIBUTIONS (LAST TEN FISCAL YEARS) TEXAS COUNTY AND DISTRICT RETIREMENT SYSTEM FOR THE YEAR ENDED SEPTEMBER 30, 2022 Contractually required contributions Contributions in relation to the contractually required contributions Contribution deficiency (excess) District's covered -employee payroll January 18, 2023 Regular Meeting Agenda Packet 2022 2021 2020 2019 2018 2017 2016 2015 2014 $ 148,867 $ 117,151 $ 97,337 $ 92,561 $ 102,802 $ 97,875 $ 97,043 $ 93,694 $ 84,476 148,867 122,021 103,641 94,803 102,802 97,875 97,043 93,694 198,219 $ (4,870) $ (6,304) $ (2,242) $ $ $ $ $ (113,743) $ 1,436,437 $ 1,352,780 $ 1,146,956 $ 1,055,433 $ 1,140,976 $ 1,119,822 $ 1,116,721 $ 1,068,342 $ 963,243 Contributions as a percentage of covered employee payroll 10.4% 9.0% 9.0% 9.0% 9.0% 8.7% 8.7% 8.8% 20.6% GASB 68 requires that information on this schedule be presented on the District's fiscal year basis. This schedule will also ultimately present the last ten years of information. 2014 is the first year for which this information is available. 38 90 01 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 SCHEDULE OF CHANGES IN TOTAL OPEB LIABILITY AND RELATED RATIOS (LAST TEN MEASUREMENT YEARS) TEXAS COUNTY AND DISTRICT RETIREMENT SYSTEM FOR THE YEAR ENDED SEPTEMBER 30, 2022 December December December December December 31, 2021 31, 2020 31, 2019 31, 2018 31, 2017 Total OPEB Liability Service cost $ 4,121 $ 3,314 $ 2,241 $ 2,503 $ 2,889 Interest on total pension liability 736 771 778 669 595 Effect of plan changes Difference between expected and actual experience (2,610) (2,345) (1,422) (678) (321) Effect of assumptions changes or inputs 408 4,033 6,476 (2,704) 946 Benefit payments/Refund of contributions - - Net Change in Total OPEB Liability 2,655 5,773 8,073 (210) 4,109 Total OPEB liability, beginning Total OPEB liability, ending 30,591 24, 818 16,745 16,955 12,846 $ 33,246 $ 30,591 $ 24,818 $ 16,745 $ 16,955 Covered payroll $ 1,408,871 $ 1,352,780 $ 1,150,893 $ 1,055,433 $ 1,140,976 Total OPEB liability as a percentage of covered payroll 2.36% 2.26% 2.16% 1.59% 1.49% Note 1 - GASB 75 requires that information on this schedule be presented on the measurement date basis, which is on a calendar year basis. This schedule will also ultimately present the last ten years of information. The measurement year 2017 is the first year for which this information is available. 39 91 of 110 TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 SCHEDULE OF EMPLOYER OPEB CONTRIBUTIONS (LAST TEN FISCAL YEARS) TEXAS COUNTY AND DISTRICT RETIREMENT SYSTEM FOR THE YEAR ENDED SEPTEMBER 30, 2022 Contractually required contributions January 18, 2023 Regular Meeting Agenda Packet 2022 2021 2020 2019 2018 $ 3,964 $ 3,886 $ 4,552 $ 2,635 $ 2,673 Contributions in relation to the contractually required contributions 3,964 3,886 4,552 2,635 2,673 Contribution deficiency (excess) District's covered -employee payroll Contributions as a percentage of covered employee payroll $ 1,436,437 $ 1,352,780 $ 1,146,956 $ 1,055,433 $ 1,140,976 0.28% 0.29% 0.40% 0.25% 0.23% Note 1 - GASB 75 requires that information on this schedule be presented on the District's fiscal year basis. This schedule will also ultimately present the last ten years of information. 2018 is the first year for which this information is available. 40 92 of 110 January 18, 2023 Regular Meeting Agenda Packet OTHER SUPPLEMENTARY INFORMATION 93 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 TSI -1 SERVICES AND RATES SEPTEMBER 30, 2022 1. Services provided by the District: a) Retail Water b) Retail Wastewater c) Wholesale Water d) Wholesale Wastewater Treatment e) Fire Protection f) Irrigation g) Participates in regional system and/or wastewater service (other than emergency interconnect) 2. Retail service providers: Current Rates Water Base Rates Residential and Commercial 1 Water Volumetric Rates Meter Size Base Rate Rates per 1,000 Gallons 5/8" $18.54 1" $34.84 $4.09 0 to 6,000 1.5" $61.79 $4.76 6,001 to 17,000 2" $98.87 $5.51 17,001 to 25,000 3" $185.37 $6.40 25,001 to 50,000 4" $308.95 $7.44 50,001 + 6" $617.91 Sewer Base Fee I 1 Sewer Volimetric Rates Base Rate Rates per 1,000 Gallons Residential* $22.15 $3.57 0 to 4,000 $5.09 4,001 to 8,000 $7.18 8,001 to 12,000 $10.22 12,000 + Commercial** $22.15 $6.78 1,000 + *Effective October 1, 2016 Winter Averaging for Sewer Rates were adopted for Residential Customers. Residential sewer rates each year are based on average water usuage for the months of December, January, and February. **Commercial sewer usage is billed based on actual water usage per month NOTE: Water rates noted above were effective October 1, 2021 and the Wastewater rates effective April 1, 2022. District employs winter averaging for wastewater usage? Yes ***Total water and wastewater charges per 10,000 gallons usage (including surcharges) effective April 1, 2020 (based on 5/8" & 3/4") First 10,000 gallons used 10,000 $ Next 10,000 gallons used 20,000 $ Next 10,000 gallons used 30,000 $ Next 10,000 gallons used 40,000 $ Next 10,000 gallons used 50,000 $ Next 10,000 gallons used and subsequent 60,000 $ 133.27 183.12 242.67 306.67 370.67 445.07 *** The above sewer calculations are based on a Winter Average of 10,000 gallons per month. 41 94 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 TSI -1 SERVICES AND RATES SEPTEMBER 30, 2022 b) Retail service providers: number of retail water and/or wastewater* connections within the District as of the fiscal year end. Provide actual numbers and single family equivalents (ESFC). Meter Size Connections ESFC Active Total Active Factor ESFC's Unmetered - - 1 - Less than 3/4" 2,497 2,481 1 2,481 1" 707 706 3 1,765 11/2" 28 27 5 135 2" 107 97 8 776 3" 42 42 15 630 4" 17 17 25 425 6" 5 5 50 250 8" 1 1 80 80 10" - 115 - Total Water 3,404 3,376 6,542 Total Wastewater 3,409 3,370 1 3,379 Number of connections relates to water service if provided. Otherwise, the number of wastewater connections should be provided. Note: Total water connections does not include Fire Lines or Portable meters Note: "inactive" means that water and wastewater connections were made, but service is not being provided. Note: District provides wholesale services to the Town of Trophy Club through 1,444 connections 3. Total water consumption (in thousands) during the fiscal year: Gallons pumped into the system Gallons billed to customers Water accountability ratio 1,101,020 986,476 89.60% 4. Standby Fees: Does the District assess standby fees? No For the most recent fiscal year, FY2022: Total Total Percentage Levy Collected Collected Debt Service $ 704,212 $ 703,218 99.85% Operations and Maintenance $ 1,432,847 $ 1,430,823 99.85% Have standby fees been levied in accordance with Water Code Section 49.231, thereby constituting a lien on property? No 5. Location of District: Counties in which District is located: Denton Tarrant Is the District located entirely in one county? No Is the District located within a city? Partially Cities in which District is located: Town of Trophy Club Town of Westlake Is District located within a city's extra territorial jurisdiction (ETJ)? Unknown ETJ's in which District is located: Unknown Is the general membership of the Board appointed by an office outside No the District? 95o2110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 TSI -2 General Fund Expenditures and Other Financing Uses Year End September 30, 2022 Current Year Prior Year 2022 2021 Administrative $ 1,424,573 $ 1,405,997 Water Operations 4,025,300 2,949,552 Wastewater Operations 1,530,667 1,418,868 Contribution to Trophy Club Fire Dept 918,658 839,816 Capital Outlay 2,000,049 1,034,637 Transfers Out and Debt Service 1,823,389 2,981,346 Total Expenditures $ 11,722,636 $ 10,630,215 Number of employees employed by the District: Full time Equivalents (FTEs) 16 20 Part time 0 0 "" The Town of Trophy Club handles the operations of the Fire Department based on an Interlocal Agreement with Trophy Club Municipal Utility District No.1 effective 10/1/21. The District reimburses the annual Town's Fire Budget in equal monthly payments. 43 96 of 110 Funds January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 TSI -3 TEMPORARY INVESTMENTS September 30, 2022 Identification Number Reserve Fund Prosperity Bank 216267724 General Fund Prosperity Bank 7318701 General Fund TexPool 613300002 Debt Service Fund TexPool 613300003 Debt Service -Revenue Bond Texpool Revenue Bond Reserve Texpool Capital Projects SWIFT Revenue Bond Construction Texpool SWIFT Revenue Bond Debt Service Texpool 613300013 613300014 613300015 613300017 W&WW 19 Revenue Bond Construction Texpool W&WW 19 Revenue Reserve Texpool W&WW 19 Revenue Debt Service Texpool 613300018 Bond 613300019 Bond 613300020 SWIFT Revenue Bond Escrow Account Bank of Texas BOKF 82-1747-01-1 TCEQ Revenue Bond Escrow Account Bank of Texas BOKF 82-3288-01-4 Total - All Funds Interest Maturity Rate Date 0.760 Demand (Money Market) 0.260 Demand 2.85 Demand 2.85 Demand 2.85 Demand 2.85 Demand 2.85 Demand 2.85 Demand 2.85 Demand 2.85 Demand 2.85 Demand 2.350 Demand 2.350 Demand 44 97 of 110 Balance Accrued Interest End of Year Paid Term $ 1,882,637 $ 4,516,399 $ 7,444,400 $ 51,961 Paid monthly Paid monthly Paid daily Paid daily $ 27,958 Paid daily $ 900,604 Paid daily Paid daily $ 6,555 Paid daily $ 1,497,693 Paid daily $ Paid daily $ 1,429 Paid daily $ 787,221 Paid daily $ 17,116,857 Paid daily January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 TSI -4 TAXES LEVIED AND RECEIVABLE SEPTEMBER 30, 2022 General Fund Debt Operations Fire Total Service Total Taxes receivable beginning of year $ 1,452 $ 14,359 $ 15,811 $ 8,136 $ 23,947 2021 tax levy 132,363 1,235,391 1,367,755 672,221 2,039,976 Total to be accounted for 133,815 1,249,750 1,383,566 680,357 2,063,922 Less collections and adjustments: Current year (132,167) (1,233,563) (1,365,730) (671,226) (2,036,956) Prior years (360) (3,296) (3,656) ( 1,837) (5,493 Total to be accounted for (132,527) (1,236,859) (1,369,386) (673,063) (2,042,449) Taxes receivable, end of year $ 1,288 $ 12,891 $ 14,180 $ 7,294 $ 21,474 Taxes receivable by year 1996 and prior $ $ $ - $ $ - 1997 $ $ $ - $ - $ - 1998 $ - $ $ - $ $ - 1999 $ - $ - $ - $ $ - 2000 $ - $ - $ - $ $ - 2001 $ - $ $ $ - $ - 2002 $ - $ $ $ $ - 2003 $ $ - $ - $ - $ - 2004 $ $ $ - $ $ 2005 $ $ $ - $ $ 2006 $ 24 $ 111 $ 135 $ 172 $ 307 2007 $ 23 $ 223 $ 246 $ 272 $ 518 2008 $ 35 $ 273 $ 308 $ 222 $ 530 2009 $ 66 $ 264 $ 330 $ 166 $ 496 2010 $ 128 $ 1,593 $ 1,721 $ 1,122 $ 2,843 2011 $ 132 $ 1,463 $ 1,595 $ 748 $ 2,343 2012 $ 140 $ 1,471 $ 1,611 $ 276 $ 1,887 2013 $ 144 $ 1,346 $ 1,490 $ 565 $ 2,055 2014 $ 247 $ 1,285 $ 1,532 $ 686 $ 2,218 2015 $ 71 $ 1,082 $ 1,153 $ 812 $ 1,965 2016 $ 67 $ 1,142 $ 1,209 $ 742 $ 1,951 2017 $ 63 $ 549 $ 612 $ 349 $ 961 2018 $ 138 $ 1,213 $ 1,351 $ 746 $ 2,097 2019 $ (210) $ (1,888) $ (2,098) $ (1,061) $ (3,159) 2020 $ 66 $ 601 $ 667 $ 333 $ 1,000 2021 $ 196 $ 1,828 $ 2,024 $ 995 $ 3,019 $ 1,330 $ 12,556 $ 13,886 $ 7,145 $ 21,031 FY FY FY FY FY Property valuations (in 000's) 20/21 19/20 18/19 17/18 16/17 Land $ 823,775 $ 800,425 $ 667,906 $ 620,210 $ 562,280 Improvements 1,159,708 1,042,035 981,366 908,581 798,401 Personal property 101,998 109,764 103,985 105,783 99,772 Exemptions (152,776) (140,704) 81,906) (82,556) (57,745) $ 1,932,705 $ 1,811,520 $ 1,671,351 $ 1,552,018 $ 1,402,708 Tax rate per $100 valuation Operations 0.00709 0.00748 0.00765 0.00788 0.00438 Fire department 0.06476 0.06738 0.06719 0.06870 0.07445 Debt service 0.03589 0.03787 0.04134 0.04363 0.04839 Tax rate per $100 valuation 0.10774 0.11273 0.11618 0.12021 0.12722 Tax levy: $ 2,056,855 $ 2,052,305 $ 1,919,984 $ 1,870,008 $ 1,779,098 Percent of taxes collected to taxes levied 99.71% 99.76% 45 98 of 110 99.48% 99.75% 99.60% January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 TSI -4 TAXES LEVIED AND RECEIVABLE SEPTEMBER 30, 2022 Tax rate for any other special district which (a) encompass less than a county, (b) provides water, wastewater collection, drainage or roads to property in the district and (c) taxes property in the district. Name of Special Districts Service Provided Tax Rate None $ Total rate(s) of special districts $ Tax rates (per $100 net taxable value) for all overlapping jurisdictions. Include any taxing entities which overlap 10% or more of the District. Denton County Tarrant County County Denton/Tarrant 0.233086 0.229 City Town of Trophy Club 0.445 0.445 School District Northwest ISD/Carroll ISD 1.292 1.2686 1.970086 1.9426 Special Districts not included above Hospital District 0 0.224429 Tarrant County Comm. College 0 0.13017 Total Special Districts 0 0.354599 MUD 1 District Tax Rate 0.10588 0.10588 Total Overlapping Tax District 2.075966 2.403079 46 99 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO.1 TSI -5 LONG-TERM DEBT SERVICE REQUIREMENTS - BY YEARS SEPTEMBER 30, 2022 All Bonded Debt Series Due During Fiscal Principal Due Interest Due Years Ending 1 -Sep Mar 1/ Sep 1 Total 2023 $ 1,665,000 $ 601,322 $ 2,266,322 2024 1,235, 000 563,128 1,798,128 2025 1,265,000 538,296 1,803,296 2026 1,285,000 511,556 1,796,556 2027 1,325,000 482,948 1,807,948 2028 1,360,000 452,287 1,812,287 2029 1,400,000 419,307 1,819,307 2030 1,440,000 383,809 1,823,809 2031 1,485,000 344,703 1,829,703 2032 1,400,000 304,049 1,704,049 2033 1,440,000 263,749 1,703,749 2034 1,500,000 221,124 1,721,124 2035 1,130,000 175,675 1,305,675 2036 515,000 142,612 657,612 2037 250,000 129,538 379,538 2038 255,000 122,038 377,038 2039 265,000 114,069 379,069 2040 275,000 105,788 380,788 2041 285,000 96,850 381,850 2042 290,000 87,588 377,588 2043 300,000 78,163 378,163 2044 310,000 68,413 378,413 2045 320,000 58,338 378,338 2046 330,000 47,538 377,538 2047 345,000 36,400 381,400 2048 355,000 24,756 379,756 2049 365,000 12,775 377,775 $ 22,390,000 $ 6,386,811 $ 28,776,811 47 100 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO.1 TSI -5 LONG-TERM DEBT SERVICE REQUIREMENTS - BY YEARS (CONTINUED) SEPTEMBER 30, 2022 General Obligation Bonds - Series 2012 (2,355,000) Due During Fiscal Principal Due Interest Due Years Ending 1 -Sep Mar 1/ Sep 1 Total 2023 $ 250,000 $ 7,500 $ 257,500 $ 250,000 $ 7,500 $ 257,500 General Obligation Bonds - Series 2013 (1,905,000) Due During Fiscal Principal Due Interest Due Years Ending 1 -Sep Mar 1/ Sep 1 Total 2023 $ 215,000 $ 7,525 $ 222,525 $ 215,000 $ 7,525 $ 222,525 48 101 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO.1 TSI -5 LONG-TERM DEBT SERVICE REQUIREMENTS - BY YEARS (CONTINUED) SEPTEMBER 30, 2022 Due During Fiscal Years Ending 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 Due During Fiscal Years Ending 2023 2024 2025 2026 2027 2028 2029 2030 2031 General Obligation Bonds (5,765,000) Principal Due 1 -Sep $ 280,000 290,000 295,000 305,000 315,000 325,000 335,000 345,000 360,000 370,000 385,000 400,000 $ 4,005,000 - Series 2014 Interest Due Mar 1/ Sep 1 $ 118,613 112,313 105,063 97,688 90,063 81,400 72,463 62,413 51,200 39,500 27,475 14,000 $ 872,188 Unlimited Tax Refunding Bonds, Series 2020 Refunded Bond: M1 Series 2010 (1,220,000) Principal Due 1 -Sep $ 115,000 120,000 120,000 115,000 120,000 125,000 125,000 125,000 125,000 $ 1,090,000 Interest Due Mar 1/ Sep 1 $ 14,170 12,675 11,115 9,555 8,060 6,500 4,875 3,250 1,625 $ 71,825 49 102 of 110 Total $ 398,613 402,313 400,063 402,688 405,063 406,400 407,463 407,413 411,200 409,500 412,475 414,000 $ 4,877,188 Total $ 129,170 132,675 131,115 124,555 128,060 131,500 129,875 128,250 126,625 $ 1,161,825 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO.1 TSI -5 LONG-TERM DEBT SERVICE REQUIREMENTS - BY YEARS (CONTINUED) SEPTEMBER 30, 2022 Revenue Bonds - Series 2015 (9,230,000) Due During Fiscal Principal Due Interest Due Years Ending 1 -Sep Mar 1/ Sep 1 Total 2023 $ 420,000 $ 184,238 $ 604,238 2024 435,000 175,838 610,838 2025 450,000 167,138 617,138 2026 460,000 157,013 617,013 2027 475,000 145,513 620,513 2028 490,000 133,638 623,638 2029 510,000 120,163 630,163 2030 525,000 106,138 631,138 2031 545,000 90,388 635,388 2032 565,000 74,038 639,038 2033 585,000 57,088 642,088 2034 610,000 39,538 649,538 2035 630,000 20,475 650,475 $ 6,700,000 $ 1,471,200 $ 8,171,200 Revenue Bonds - Series 2016 (4,635,000) Due During Fiscal Principal Due Interest Due Years Ending 1 -Sep Mar 1/ Sep 1 Total 2023 $ 220,000 $ 55,139 $ 275,139 2024 220,000 53,115 273,115 2025 225,000 50,893 275,893 2026 225,000 48,463 273,463 2027 230,000 45,875 275,875 2028 230,000 42,862 272,862 2029 235,000 39,619 274,619 2030 240,000 35,671 275,671 2031 245,000 31,303 276,303 2032 250,000 26,624 276,624 2033 250,000 21,749 271,749 2034 260,000 16,749 276,749 2035 265,000 11,262 276,262 2036 270,000 5,724 275,724 $ 3,365,000 $ 485,048 $ 3,850,048 50 103 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO.1 TSI -5 LONG-TERM DEBT SERVICE REQUIREMENTS - BY YEARS (CONTINUED) SEPTEMBER 30, 2022 Revenue Bonds - Series 2019 (7,080,000) Due During Fiscal Principal Due Interest Due Years Ending 1 -Sep Mar 1/ Sep 1 Total 2023 $ 165,000 $ 214,138 $ 379,138 2024 170,000 209,188 379,188 2025 175,000 204,088 379,088 2026 180,000 198,838 378,838 2027 185,000 193,438 378,438 2028 190,000 187,888 377,888 2029 195,000 182,188 377,188 2030 205,000 176,338 381,338 2031 210,000 170,188 380,188 2032 215,000 163,888 378,888 2033 220,000 157,438 377,438 2034 230,000 150,838 380,838 2035 235,000 143,938 378,938 2036 245,000 136,888 381,888 2037 250,000 129,538 379,538 2038 255,000 122,038 377,038 2039 265,000 114,069 379,069 2040 275,000 105,788 380,788 2041 285,000 96,850 381,850 2042 290,000 87,588 377,588 2043 300,000 78,163 378,163 2044 310,000 68,413 378,413 2045 320,000 58,338 378,338 2046 330,000 47,538 377,538 2047 345,000 36,400 381,400 2048 355,000 24,756 379,756 2049 365,000 12,775 377,775 $ 6,765,000 $ 3,471,525 $ 10,236,525 51 104 of 110 Interest rate Date interest payable Maturity date Bonds outstanding at beginning of year Retirements of principal Bonds outstanding at end of fiscal year Retirements of interest Paying agent's name & city: Bond Authority Amount authorized by voters Amount issued Remaining to be issued Series 2012 GO Bonds 2.00-3.00% January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 TSI -6 CHANGES IN LONG-TERM BONDED DEBT SEPTEMBER 30, 2022 Series 2013 Series 2014 M1 GO Series 2020 Series 2015 Series 2016 Series 2019 GO Bonds GO Bonds GO Bonds Revenue Bonds Revenue Bonds Revenue Bonds 2.00-3.50% 1.50-3.50% 1.3% 2.0-3.25% 0.53-2.12% 3.00-3.50% 3/1 & 9/1 3/1 & 9/1 3/1 & 9/1 3/1 &9/1 3/1 & 9/1 3/1 & 9/1 3/1 & 9/1 9/1/2023 9/1/2023 9/1/2034 9/1/2031 9/1/2035 9/1/2036 9/1/2049 $ 490,000 $ $ 240,000 $ $ 250,000 $ $ 14,700 $ Total 425,000 $ 4,275,000 $ 1,205,000 $ 7,110,000 $ 3,585,000 $ 6,925,000 $ 24,015,000 210,000 $ 270,000 $ 115,000 $ 410,000 $ 220,000 $ 160,000 $ 1,625,000 215,000 $ 4,005,000 $ 1,090,000 $ 6,700,000 $ 3,365,000 $ 6,765,000 $ 22,390,000 13,825 $ 124,013 $ 15,662 $ 192,438 $ 56,965 $ 218,938 $ 636,541 The Bank of New The Bank of New The Bank of TX York Mellon York Mellon Corporate Trust Newark, NJ Newark, NJ Austin, TX General Obligation Bonds $ 34,859,217 $ 34,855,000 $ 4,217 The general obligation bonds were authorized on October 7, 1975 Debt Service Fund cash and cash equivalents balance as of September 30, 2022: Average annual debt service payment (principal & interest) for remaining term of debt: JP Morgan Chase New York, NY $ 988,507 $ 2,288,833 52 105 of 110 The Bank of TX Corporate Trust Austin, TX The Bank of TX Corporate Trust Austin, TX The Bank of TX Corporate Trust Austin, TX REVENUE Ad valorem property taxes Water and wastewater charges Inspection and tap fees Interest earned Debt proceeds Transfers In Proceeds from Sale of Assets Capital Lease Financing Miscellaneous and other Total revenue EXPENDITURES Administrative Water operations Wastewater operations Contribution to Trophy Club Fire Dept Capital outlay Transfers Out and Debt Service Total expenditures Excess (deficiency) of revenues over (under) expenditures Total active retail water and/or wastewater connections January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 TS1-7 COMPARATIVE SCHEDULES OF REVENUES AND EXPENDITURES -FIVE YEARS GENERAL FUND SEPTEMBER 30, 2022 2022 $ 1,434,197 10,809,305 8,099 66,251 21,001 377,827 $ 12,716,680 $ 1,424,573 4,025,300 1,530,667 918,658 2,000,049 1,823,389 $ 11,722,636 $ 994,044 2021 $ 1,378,844 9,222,445 12,500 18,386 23,975 359,189 $ 11,015,339 $ 1,405,997 2,982,828 1,508,659 839,816 1,034,637 2,858,279 $ 10,630,215 $ 385,124 Amounts 2020 $ 1,371,466 9,109, 566 20,300 81,518 12,520 300,746 $10,896,116 $ 1,388,918 2,919,210 1,252,392 738,348 931,856 2,405,409 $ 9,636,133 $ 1,259,983 2019 $ 1,231,580 8,539,760 6,900 139,388 (7,080) 32,080 52,600 204,004 376,822 $10,576,054 $ 1,304,577 3,001,947 1,048,445 692,347 2,036,172 1,619,062 $ 9,702,550 2018 2022 $ 1,197,949 11.3% 9,286,714 85.0% 8,000 0.1% 61,283 0.5% 0.0% 797,834 0.0% 15,400 0.2% 358,600 0.0% 245,392 3.0% $11,971,172 100.0% $ 1,275,394 11.2% 3,173,225 31.7% 1,026,693 12.0% 625,637 7.2% 665,773 15.7% 1,522,582 14.3% $ 8,289,304 92.2% $ 873,504 $ 3,681,868 7.8% 3,379 3,374 3,371 3,330 3,284 53 106 of 110 Percent of total revenue 2021 2020 2019 12.5% 12.6% 11.6% 83.7% 83.6% 80.7% 0.1% 0.2% 0.1% 0.2% 0.7% 1.3% 0.0% 0.0% -0.1% 0.0% 0.0% 0.3% 0.2% 0.1% 0.5% 0.0% 0.0% 1.9% 3.3% 2.8% 3.6% 100.0% 100.0% 100.0% 2018 10.0% 77.6% 0.1% 0.5% 0.0% 6.7% 0.1% 3.0% 2.0% 100.0% 12.8% 12.7% 12.3% 10.7% 27.1% 26.8% 28.4% 26.5% 13.7% 11.5% 9.9% 8.6% 7.6% 6.8% 6.5% 5.2% 9.4% 8.6% 19.3% 5.6% 25.9% 22.1% 15.3% 12.7% 96.5% 88.4% 91.7% 69.2% 3.5% 11.6% 8.3% 30.8% January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 TSI -7 COMPARATIVE SCHEDULES OF REVENUES AND EXPENDITURES -FIVE YEARS (Continued) DEBT SERVICE FUND SEPTEMBER 30, 2022 Amounts Percentage REVENUE 2022 2021 2020 2019 2018 2022 2021 2020 2019 2018 Ad valorem property taxes $ 704,644 $ 688,651 $ 693,604 $ 677,477 $ 679,678 30.8% 30.5% 31.0% 31.8% 32.5% Penalties and interest - - 2,010 2,010 0.0% 0.0% 0.0% 0.1% 0.1% Transfers in from other funds 1,574,226 1,565,786 1,535,035 1,413,156 1,390,151 68.8% 69.4% 68.6% 66.3% 66.4% Interest earned 7,980 286 6,776 37,255 21,903 0.3% 0.0% 0.3% 1.7% 1.0% Miscellaneous and other 1,220 - 0.0% 0.0% 0.1% 0.0% 0.0% Total revenue 2,286,850 2,254,723 2,236,635 2,129,898 2,093,742 100.0% 100.0% 100.0% 100.0% 100.0% EXPENDITURES Principal retirement 1,625,000 1,580,000 1,370,000 1,350,000 1,315,000 71.1% 70.1% 61.3% 63.4% 62.8% Interest and fiscal charges 636,539 665,987 837,477 543,396 569,530 27.8% 29.5% 37.4% 25.5% 27.2% Bond admin fees 2,600 3,350 3,292 2,950 2,950 0.1% 0.1% 0.1% 0.1% 0.1% Total expenditures 2,264,139 2,249,337 2,210,769 1,896,346 1,887,480 99.0% 99.8% 98.8% 89.0% 90.1% Excess (deficiency) of revenues over (under) expenditures $ 22,711 $ 5,386 $ 25,865 $ 233,552 $ 206,262 1.0% 0.2% 1.2% 11.0% 9.9% 54 107 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 TSI -8 BOARD MEMBERS, KEY PERSONNEL, AND CONSULTANTS September 30, 2022 Complete District Mailing Address: 100 Municipal Drive, Trophy Club, Texas 76262 District Business Telephone Number: Metro (682) 831-4600 Limit of Fees of Office that a Director may receive during a fiscal year: $0 (Set by Board Resolution - TWC Section 49.060) Name and Address Board Members: Term of Office Fees of Expense Title Elected/Expires Office Paid Reimbursements at or Date Hired FY2022 FY2022 Year End Kevin Carr 15 Edgemere Drive Trophy Club, TX 76262 11/20-5/24 $ $ - President William Rose 219 Inverness Drive Trophy Club, TX 76262 11/20-5/24 $ $ Director Doug Harper 16 Fair Green Drive Trophy Club, TX 76262 5/22-5/26 $ $ Secretary/Treasurer Ben Brewster 222 Fresh Meadow Drive Trophy Club, TX 76262 5/22-5/26 $ $ Vice -President Tracey Hunter 19 Monterrey Drive Trophy Club, TX 76262 5/22-5/26 $ - $ - Director Steve Flynn 417 Ramsey Trail Trophy Club, TX 76262 5/18-5/22 $ - $ Director Kelly Castonguay 402 Parkview Drive Trophy Club, TX 76262 5/18-5/22 $ $ Director Mark Chapman 197 Durango Dr Trophy Club, TX 76262 5/18-5/22 $ $ Director 55 108 of 110 January 18, 2023 Regular Meeting Agenda Packet TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 TSI -8 BOARD MEMBERS, KEY PERSONNEL, AND CONSULTANTS (Continued) SEPTEMBER 30, 2022 Name and Address Consultants/Legal: Date of Contract Total Paid Out Type of or Vendor Created FY 2022 Vendor Denton Central Appraisal District P.O. Box 2816 Denton, TX 76202 4/1/1981 $ 9,084 Appraiser Tarrant Appraisal District 2500 Handley-Ederville Rd. Fort Worth, TX 76262 10/1/2007 $ 5,498 Appraiser CliftonLarsonAllen LLP P.O. Box 679342 Dallas, TX 75267-9487 8/27/2020 $ 25,375 Auditors Halff Associates, Inc. P.O. Box 678316 Dallas, TX 75267-8316 1/1/2017 $ 184,303 Engineers Garver P.O. Box 736556 Dallas, TX 75373-6556 12/3/2021 $ 195,731 Engineers McLean & Howard, L.L.P. 901 S. Mopac Expressway Building 2, Suite 225 Austin, TX 78746 3/1/2017 $ 22,565 Legal/Bond Counsel Whitaker Chalk Swindle & Schwartz PLLC 301 Commerce St, Suite 3500 Fort Worth, TX 76102-4186 4/30/2018 $ 33,325 Legal Counsel New Gen Strategies & Solutions 1300 E. Lookout Dr. Suite 100 Richardson, TX 75082 7/1/2013 $ 9,175 Rate Consultant 56 109 of 110 Trophy Club Municipal Utility District No. 1 Calendars Board Room Committee Meetings Elections MUD Audits Office Closed Holiday Staff Events February 2023 Sun 5 Jan 29, 2023 6 5 7 12 8 19 9 Mon January 18, 2023 Regular Meeting Agenda PailIt rle Slaght Tue Wed Th. Sat 30 31 6 7 13 14 0 21 Presidents Day - 0 r 15 rJ Board of Director 22 26 27 28 Mar 1 Printed on: 01/11/202312:52pm 110 of 110 4 11 16 17 18 23 24 25 2 3 4 0 Central Time US & Ca Powered by _ teamup