HomeMy WebLinkAboutMinutes (04-17-2015)MINUTES
BRAZOS COUNTY MUNICIPAL UTILITY DISTRICT NO. 1
April 17,2015
The Board of Directors (the "Board") of Brazos County Municipal Utility District
No. L (the "District") met in regular sessiorL open to the public, on the 17th day of April,
2A15, at 17777 State Highway 6 S, Tower Ccnference Room, C<lllege Station, Texas,
inside the boundaries of the Dislrict, and the ro11 was called of the members of the
Board:
R. Hunter Coodwin
Charles Moreau
L. B. Hodges ]r.
Kyle Davis
Brian C. Fisher
President
Vice President
Secretary
Assistant Secretary
Assistant Vice President
and all oI the abnve were present except Director Goodwin, thus ccnstitlrting a quorum.
Also present at the meeting were Bill Mather of Grid Raceplex Holdings, Ltd.;
Tami Martin of Texas World Speedway; Adam Brumbaugh of Jones & Carter, Inc.; Avik
Bonnerjee of B&A Municipal Tax Service, LLC; Rose Montalbano of F. Matuska,lnc;
and Annette Stephens and Kristen Hogan of Allen Boone Humphries Robinson LLP.
MINUTES
The Board considered approving the minutes o{ the January 29, 2A15,
organizational meeting. Following review and discussion, )irector Davis moved to
approve the organizaticnal meeting minutes as submitted. Director Hodges seconded
the motion, which passed unanimously.
ENGAGE AUDITOR
The Board reviewed an engagement letter from Mccrath & Co., PLLC for
preparation of annual audits and developer reimbursement repcrts for the District, as
necessary. After review and discussion, Directr:r Fisher moved to engage McGrath &
Co., PLLC as the District's auditor and authorize execution af the engagement letter.
Directcr Hodges seconded the motion, which passed unanirnously.
AGREEMENT OF COLLECE STA
Ms. Stephens discussed the developrnent agreement between the City of College
Station (the "City") and the owner of the land within the District. She then discussed
the proposed Utility Agreement between the Disfrict and the City, copies of which were
distributed at the last meeting. Ms. Stephens noted that the City will provide water and
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sewer service as the retail utility provider for District customers. After review and
discussiory Director Davis moved to approve and authorize execution of the Utility
Agreement with the City. Director Fisher seconded the motion, which passed
unanimously.
STRATEGTC P A AGREEM}INT WTT}{THE CITY OF COLLEGE STATION
Ms. Stephens and Mr" Mather discussed the propased Skategic Partnership
Agreement between the Diskict and the City, copies o{ which were distributed at the
last meeting. Ms. Stephens stated that the District is required to hold fwo public
hearings to receive public comments on the praposed Strategic Partnership Agreement.
After discussion, Director Davis maved to appnint Ms. Hogan as its hearing examiner
to conduct a public hearing in the Dislrict at noon on May 8, 2A15, and to hold the
second public hearing at the District's next regular meeting. Director Fisher seconded
the motion, which carried by unanimetus vote.
FTN ANCIAL AND BCK)MATTERS
Ms. Montalbano distributed and reviewed the bookkeeper's report, including the
list of checks presented {or approval, a copy of which is attached. She noted that the
Diskict's operating account was opened at Compass Bank, but added that an acceptable
form of depository pledge agreement was subsequently negotiated with Guaranty Bank
& Trust for future District accounts.
Ms. Montalbano reviewed a proposed budget for the fiscal year ending
November 30, 2015r a copy oI which is attached to the bookkeeper's report. She noted
that the budget may be amended by the Board at any tirne during the fiscal year.
Ms. Stephens discussed the requirements of the Public Funds Investment Act
and the Public Funds Collateral Act in connection with the )istrict's investments. She
then reviewed an Investment Policy with the Board.
Ms. Stephens stated the Board must appoint an Investment Officer for the
District. She reviewed a proposed Resolution Appointing Investment Officer for the
Board's consideratiory which refiects Fran Matuska of F. Mafuska, Inc. as the District"s
Investment Officer.
Ms. Stephens stated that Ms. Matuska, as the District's Invesfment Officer, and
Ms. Montalbano, as the District's bookkeeper, are required to execute disclosure
statements that disclose their relationships with banks and brokers who seek to sell
investments to the District. She added that the disclosure statements will be filed with
the Texas Ethics Commission and updated whenever necessary. Ms. Montalbano
presented the executed disclosure statements for the Board's consideration.
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Ms. Stephens reviewed a Resolution Establishing Authorized Depository
Institutions for the Diskict and Adopting List of Qualified Srokerf Dealers with Whom
the Diskict May Engage in Investment Transactions. She noted the list of qualified
broker/dealers provided by the District's bookkeeper and attached as an exhibit to the
Resolution"
Ms. Stephens then discussed the District's operating account that was opened at
Compass Bank and presented a Depository Pledge Agreement between the District and
Compass Bank for the Board's consideration.
After review and discussion, Director Fisher moved to take the following actions
and direct that these documents be filed appropriately and retained in the District's
of{icial records: (t) approve the bookkeeper's report and payment of the bil}s; (2) adopt
the budget for the fiscal year ending November 30, 2A15; (3) adopt a Resolution
Adopting Investment Policy; (4) adopt the Resolution Appointing Investment Officer
reflecting the appointment of Ms. Matuska as the Diskict's Investment Officer; (5)
accept the disclosure statements from Ms. Matuska and Ms. Montalbano; (6) adopt the
Resolution Establishing Authorized Depository Institutions for the District and
Adopting List of Qualified Broker/Dealers with Whom the Dislrict May Engage in
Investment Transactions; and (7) approve the Depository Pledge Agreement with
Cornpass Bank. Director Davis seconded the motion, which passed by unanimous vote.
TAX AND COLLECTIO N MATTERS
Mr. Bonnerjee reported on ef{orts to work with the Brazos Central Appraisal
District to activate the Diskict {or preparation of the District's tax roll for the future levy
o{ taxes.
Ms. Stephens presented and reviewed a Resolution Designating Agent for
Issuance of Notice tc Purchasers reflecting that the District's agent for issuance of
Notices to Purchasers will be the District's tax assessor/ccllector, Avik Bonnerjee of
B&A MunicipaL ?ax Service, LLC.
lollowing review and discussion, Director Fisher moved to adopt the Resolution
Designating Agent for Issuance of Notice to Purchasers. Director Davis seconded the
motiory which passed unanimously.
IN
Mr. Mather discussed deveiopment plans for the )istrict and responded to
questions from the Board.
REPORT ON ENGINEERING MATTERS
Mr. Brumbaugh presented the engineer's report, a copy of which is attached.
R
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Ms. Stephens stated that the District is required to post District name signs at two
main entrances to the District. She recommended that the Soard authorize the engineer
to ensure the signs are ordered and installed.
Ms. Stephens next reviewed letters to the Texas Commission on Environmental
Quality ("TCEQ") and the U.S. Environmental Protection Agency ("EPA") designating
the District's engineer, ]ones & Carter, Inc., as the District's agent in dealing with the
lwc agencies.
Ms. Stephens stated that the District is authorized. by Section A9.271(c) of the
Texas lYater Code to establish minimum criteria for acceptability of a surety company
issuing payment and performance bonds in connection with construction of District
facilities. She then reviewed a Resolution Establishing Criteria {or Sureties Issuing
Payment and Performance Sonds reflecting the District requirements that a surety (1) be
certiJied to do business in the State o{ Texas, (2) be certified by the State Board of
Insurance to issue payrnent and performance bclnds in the contract amount, and (3)
have a minimum rating of B+ in the Best Key Rating Guide.
Ms. Stephens stated that the District is required to adopt a prevailing wage rate
scale for engineering consfruction. She discussed the engineer's recommendation that
the Board adopt the prevaiiing wage rates o{ Srazos Ccunty for classes of workers
employed on engineering conskuction projects in the locality of the District. Ms.
Stephens reviewed a Resolution Adopting Prevailing Wage Rate Scale for Engineering
Construction {or the Board's consideration.
Mr. Brumbaugh discussed three design contracts between ]ones & Carter, Inc.
and the developer, on behalf of the District, for (1) mass grading and demolition, (2)
master drainage study, and (3) offsite kunk water and sanitary sewer improvements,
phase L Ms. Stephens noted that an item will be added to next month's agenda lor the
Board to consider accepting an assignment of such contracts lrorn the developer to the
District.
After review and discussion, Director Fisher moved to take the fcllowing actions
and direct that these documents be filed appropriately and retained in the District's
official recards: (1") approve the engineer's report; (2) authorize posting of District name
signs; (3) authorize execution of the letters to the TCEQ and the EPA designating Jones& Carter, lnc. as the Disfrict's agent in dealing with the agencies; (4) adopt the
Resolution Establishing Criteria for Sureties Issuing Payment and Performance Bonds;
and (5) adopt the Resolution Adopting Prevailing Wage Rate Scale for Hngineering
Construction reflecting the District's adoption of Brazos County's prevailing wage rates.
Director Davis seconded the motion, which passed unanimr:usly.
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ATTORNEY'S REPORT
Ms. Stephens reviewed with the Board an Order Establishing a Records
Management Program and Designating a Reccrds Management Officer for
rnana&ernent of the District's records. She said the Order reflects the designation of
Allen Boone Humphries Robinson LLP as the District's records management officer.
Ms. Stephens next reviewed with the Board the proposed Code of Ethics, Travel,
Professional Services and Managernent Policy ("Code of Ethics") for the District and the
proposed Travel Reimbursement Guidelines to establish guidelines for Directors
traveling on District business. She then discussed the appointment of a Diskict Audit
Committee, pursuant to the Code af Ethics.
The Board next considered authorizing the execution of an updated District
Registration Form reflecting the District's auditor and agent {or issuance of notices to
purchasers. Ms. Stephens stated that the updated District Registration Form wlll be
filed with the TCEQ.
After review and discussior; Director Davis moved to take the following actions
and direct that these documents be filed appropriately and retained in the District's
of{icial records: (1) adopt the Order Estabtishing a Records Management Program and
Designating a Records Management Officer; (2) adopt the Code of Ethics and the Travel
Reimbursement Guidelines and appoint the Dislrict's Audit Committee comprised of
the entire Board; and (3) authorize execution and filing of the updated District
Registration Form. )irector Xodges seconded the motion, which passed unanimously.
ER CAN TION
BOND E},FCTIC)NS.AND OPERATION ANN }\,{ATNTEN ANCE TAX ELECT1ONS
The Board considered canceling the Confirmation Election, Directors Ilection,
Bond Elections, and Operation and Maintenance Tax Elections called at the previous
meeting to be held on May 9, 2A15. After review and discussion, Director Fisher rnoved
to adopt an Order Cancelllng Con{irmation Election, Director Election, Bond Elections,
and Operation and Maintenance Tax Elections and direct it be filed and posted
appropriately and retained in the District's official records. Director Davis seconded
the motion, which passed by unanimous vote.
MEETINC SC}{EN ULE AND ITEMS FOR INCT,USTON ON THE NEXT AGENDA
There being no further business to come belore the Board, the meeting was
adjaurned tt
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Secretary,
LIST OT ATTACHMINTS TO MINUTES
Minutes
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Bookkeeper's report
Engineer's report.....
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