fort bend county municipal utility district no. 26 … · 2020. 5. 20. · page 1 of 2 93026-002...

OF 293026-002 474699v1

FORT BEND COUNTY MUNICIPAL UTILITY DISTRICT NO. 26

NOTICE OF PUBLIC MEETING

Notice is hereby given to all interested parties that the Board of Directors of the captioned District will hold a public meeting by telephone conference call. Members of the public may access the meeting by following the instructions listed at the bottom of this notice.

The meeting will be held at 5:30 p.m. on Wednesday, May 20, 2020.

The subject of the meeting is to consider and act on the following:

1. Public Comment

2. Approve certificates of election; approve qualifications of newly elected directors; accept oaths and statements of elected officials; election of officers; Public Information Act training; conflicts disclosure; disclosure of personal information

3. Minutes of April 15, 2020 Board of Directors Meeting

4. Tax Assessor/Collector’s Report; Payment of Bills; Requests for Payment Agreements; take action, as necessary

5. Bookkeeper’s Report; Payment of Bills; Developer Deposits

6. Operator’s Report; Authorize Repairs and Maintenance, as necessary; MS4 Reporting; take action, as necessary; Agreements for Out of District Service; Consumer Confidence Reporting; Electricity Contract; Demand Response

7. Request for Out-of-District Service; Sanitary sewer line extension

8. Developer’s Report; Lift Station to Serve Mustang Trails; Water, Sanitary Sewer and Drainage Facilities, Paving and Appurtenances to Serve Mustang Trails

9. Drainage Channel Improvements and Mustang Bayou Sub-Regional Detention Facility; Consider waiver in exchange for payment from Pulte Homes

10. Engineer’s Report; Authorize Engineering and Advertisement for Bids; Approve Contractor Pay Applications and Change Orders, as necessary; Municipal Setting Designation(s); Utility Commitments; Costs related to provision of out of district service

11. Code of Ethics

12. Reimbursement of Expenditures Incurred in the Performance of Duties

13. Pending Business

J. Davis Bonham, Jr., Attorney for the District

1

OF 293026-002 474699v1

Instructions for accessing telephone conference call:

On March 16, 2020, in accordance with section 418.016 of the Texas Government Code, Governor Abbott has suspended various provisions of the Texas Open Meetings Act that require government officials and members of the public to be physically present at a specified meeting location (the “Proclamation”). In accordance with the Proclamation, the District has implemented procedures to allow members of the public to participate and address the Board of Directors during the telephone conference meeting. To participate in the telephone conference meeting:

1. Please call 1-866-773-8424 and use access Code 909540# to access the meeting and announce your name to the meeting host.

2. The agenda packet will be available at the following web site:

https://2618compliance.wordpress.com/board-meeting-packets/

3. The audio of the meeting will be recorded.

2

93026-002 474277v1

Fort Bend County Municipal Utility District No. 26

FORT BEND COUNTY, TEXAS

CERTIFICATE OF ELECTION

In the name and by the authority of the State of Texas, this is tocertify that by Order of the Board of Directors, the election scheduled to beheld on May 2, 2020, for the purposes of electing new directors wascanceled, as there were no challengers of office and that by such Order,

Demonica Johnson

was duly elected to the position of Director of Fort Bend County MunicipalUtility District No. 26.

In testimony whereof, I have hereunto signed my name andcaused the seal of the District to be affixed, this ______________________.

President, Board of DirectorsFort Bend County MunicipalUtility District No. 26

[District Seal]

3

93026-002 474278v1





Charles Benton




[District Seal]

4

93026-002 474279v1





Kevin Wheeler




[District Seal]

5

93026-002 474277v1

In the Name and by the Authority of


Fort Bend County, TexasIn and For the State of Texas

STATEMENT OF OFFICER

I, Demonica Johnson, do solemnly swear (or affirm) that I have not directly or

indirectly paid, offered, promised to pay, contributed, or promised to contribute any money or

thing of value, or promised any public office or employment for the giving or withholding of a

vote at the election at which I was elected or as a reward to secure my appointment or

confirmation, whichever the case may be, so help me God.

UNDER PENALTIES OF PERJURY, I DECLARE THAT I HAVE READ THEFOREGOING STATEMENT AND THAT THE FACTS STATED THEREIN ARE TRUE.

____________________Date Demonica Johnson

Director, Fort Bend County MunicipalUtility District No. 26Fort Bend County, Texas

6

93026-002 474277v1


FORT BEND COUNTY MUNICIPAL UTILITYDISTRICT NO. 26

In and For the County of Fort Bendand the State of Texas

OATH OF OFFICE

I, Demonica Johnson, do solemnly swear (or affirm), that I will faithfully execute

the duties of the office of director of Fort Bend County Municipal Utility District No. 26 of the

State of Texas, and will to the best of my ability preserve, protect, and defend the Constitution

and laws of the United States and of this State, so help me God.

____________________________________Demonica Johnson

State of Texas §

County of Fort Bend §

Sworn to and subscribed before me on this ______ day of

________________________, 2020.

Notary Public in and for the State of TEXAS

7

93026-002 474278v1





I, Charles Benton, do solemnly swear (or affirm) that I have not directly or






____________________Date Charles Benton


8

93026-002 474278v1




OATH OF OFFICE

I, Charles Benton, do solemnly swear (or affirm), that I will faithfully execute the

duties of the office of director of Fort Bend County Municipal Utility District No. 26 of the State

of Texas, and will to the best of my ability preserve, protect, and defend the Constitution and

laws of the United States and of this State, so help me God.

____________________________________Charles Benton

State of Texas §



________________________, 2020.


9

93026-002 474279v1





I, Kevin Wheeler, do solemnly swear (or affirm) that I have not directly or






____________________Date Kevin Wheeler


10

93026-002 474279v1




OATH OF OFFICE

I, Kevin Wheeler, do solemnly swear (or affirm), that I will faithfully execute the

duties of the office of director of Fort Bend County Municipal Utility District No. 26 of the State

of Texas, and will to the best of my ability preserve, protect, and defend the Constitution and

laws of the United States and of this State, so help me God.

____________________________________Kevin Wheeler

State of Texas §



________________________, 2020.


11

5/19/2020

BBVAUSA

BALANCE FROM LAST REPORT

ADDED: DEPOSITS

TRANSFER FROM TEXPOOL

VOIDED CK

OTHER

LESS: BANK SERVICE CHARGES

LESS: CHECKS PREVIOUSLY APPROVED

NONE

LESS: CHECKS FOR APPROVAL

3823 KASMANICONSTRUCTONLLC

3824 HOME SFRBORROWER, LLC

3825 GALINIS, JAMES

3826 PAREDES, SANORA

3827 PHAGAN, MA LISA

3828 GOODMAN, JONATHAN

3829 NOWLIN, MYRTLE

3830 ABRAHAM, THOMAS

3831 HOWARD, MICHELLE

3832 FORBES, LANCE E.

3833 GRANT, CA ROL

3834 MANAGERENTHOUSES.COM

3835 ELAM, JESSE

3836 PENNIE, MICHELLENE

3037 WILLIAMS, K.R.

3838 ENRIQUEZ. GABRIEL

3839 SPEARS, EDGAR JR

3840 DOMINGUEZ, MIGUEL & ELIZABETH

3841 PULTE GROUP

3642 PULTE GROUP

FORT BEND COUNTY MUD 26

CHK 1002 OTO 3·25-2020 ENGINEERING FEES INV201919284, 201916958, 201914618. & 201921700 BOND ISSUE #5

INTEREST INCOl4!;

8ANK CHARGES

NONE

; 1818 RIPPLE CREEK OR

; 2631 INOl"-N TRAIL DR

; 1403 GREEN M"-NSIONS

910 TURTLE CREEK DR

1507 QREENDALE DR

; 1l>22 CARTWRIGl-IT RD

1830 FRESHME!AOOW OR

; 1850 FREA13HMEADDW DR

1911 RIPPLE CREEK DR

1742 MEADOW GREEN OR

1719 MEAOOWGREEN DR

• 6 ; 2011 HIGHCfl.ES'T OR

• 2015 LAZY LN

l; 2023 KITTY HAWK DR

'911 GREENWEST DR

, 2315 QUAIL PLACE DR

1607 SPRING GREEN CT

~ 2023 GREEN COURT OR

, 2702 SUMMER LN

1831 GRAY HAWK RD

FMUD26 CHECK LIST 05-20-2020

$ 72,482.20

0.00

100,000.00

46,175.36

8.89 146,1 04.25

(4347)

0.00

0.00

{186 59)

(5 25)

(84 54)

(6914)

(39 22)

(145 20)

{1 17 31)

(137 98 )

(67.22)

(131 06}

(119 .97)

(374 03)

(203 31)

(130 21)

(1 37 30)

(225 67)

{27 38)

{177 10)

(90 46)

(10·1 7'1)

1117

30

5/19/2020


3843 PULTE GROUP

3844 PULTE GROUP

3845 PULTE GROUP

3846 PULTE GROUP

3847 PULTE GROUP

3848 PULTE GROUP

3849 PULTE GROUP

3850 PULTE GROUP

3851 PULTE GROUP

3852 PULTE GROUP

3853 PULTE GROUP

3854 JOSE, SIJU

3855 PULTE GROUP

3856 PULTE GROUP

3857 PULTE GROUP

3858 PULTE GROUP

3859 PULTE GROUP

3860 D & J CONSTRUCTION, INC

3861 GEXA ENERGY

3862 GRANITE TELECOMMUNICATIONS

3863 GRANITE TELECOMMUNICATIONS

3664 OFF CINCO

3865 CITY OF MISSOURI CITY

3888 THUNDERBIRD UTILITY DISTRICT

3867 SMITH, MURDAUGH, UTILE & BONHAM, L.L.P.

3868 SAUGER ENGINEERING CORPORATION

3870 SALIGER ENGINEERING CORPORATION

3871 CLAUDIA REDDEN &ASSOCIATES, LLC

3872 QUAIL VALLEY UTILITY DISTRICT

3873 CHARLES BENTON

. 1827 GRAY HAWK RO

t; 1619 GRAYHAWKRD

1815 GRAY HAWK RO

; 2731 LAPWING DR

2719 1.Al'WING DR

2711 LAPWING DR

1; 2602 lAPWING DR

2606 LAPWING DR

2616 lAPWING DR

>: 2706 V.PWING DR

, 2710 lAPWING DR

2710 LAPWING OR

~ 2718 LAPWING DR

; 2722 LAPWING OR

•; 2731 LAPWING DR

; 271 1 LAPWING DR

1830 CORMORANT CRESCENT

.600AVOCEYWAY

UTILITIES- 0311312020-0411412020

LAZY SPRING; INV. 466431177, OTO. 05101120211

09, FRESHMEADOW OR; INV. 486431664, OTil. 05/01/2020

INV. 7496, OTO, 05/01/2020; W EBSITE DESIGN & MAINTENANCE

APRrL 2020. GRP FEES, TOTAL PUMPAGE 11, 161),000@ $1 72 FEE ($11000 GAL)

INV. TB-05113/2020, OTO, 05h3l:l020; MONTHLY 6TP BLUNO·APRIL 2020

APRIL 2020· LEGAL SERVICES· INV 37232, OTO, 0510412020

INV. 4817. OTO, 0411MOZO; PROJ 40~40·

45/WWCSR&RCOM81NGING.PH2,3&4 PB,CIP,MHR&RINTD 1 PROJ.

INV. 41!20, OTO. 05/15/2020; PROJ -408-01JMUO 26

INV. 4201 ; DTD: 05101/2020, BOOKKEEPING FEES

APRIL 2020· OPERATOR FEE.$ ANO EXPENSES

0.ll20/2020 FEES Of OFFICE LESS WITHfiOLI:llNGS


(1n aa)

{170 98)

( 170 94)

(22 2'1)

{587i

(36 55)

(160.')8)

{27 061

(160 05)

(73 51)

("J47 10)

(125 89)

(170 90)

(69 83}

(81 57)

(9.28)

(13 92)

(9 DO)

(5,358 98)

(82 11)

(51 36}

{265 .00)

(19, 195 20)

(13,787 56)

(8,084 34)

(9,540 DO)

(15,505 00)

(1,943 72j

(97.(40.48)

(138 52)

2117

31

5/19/2020

FORT BENO COUNTY MUD 26

3874 DEMONICA JOHNSON

3875 FREDERICK L WALKER, SR.

3876 KEVIN M WHEELER

3877 TOXIE R COCKRELL

ENDING BALANCE 1N DEMAND ACCOUNT

SAVINGS ACCOUNT FROST NATIONAL BANK · STAFFORD

ENDING BALANCE FROM LAST CHECK LIST

ADDEO: ACCOUNTS RECEIVABLE & WIRE TRANSFERS ADDED: OTHER

05/20/2020 f EE.S OF OFFICE LESS WITHHOLDINGS

0512012020 FE.ES OF OFflCE LESS WITHHOLDINGS

05/20l2020 FEES OF OFFICE LESS WITHHOLOINGS

05120/2020 FEES OF OFFICE LESS WI THHOLDINGS

(138 53)

(138 53)

(138 57.)

(138 52)

(176,394 82)

$ 42,228.16

$ 1,262.83

110,253.20

0 .00

ADDED: INTEREST EARNINGS 4/3lll2020 0.82

ADDED: NET TRANSFER FROM DEMAND LESS: BANK SERVICE CHARGES & RETURNED CHECKS & TRANSFERS BY OPERATOR LESS: CREDIT CARD COMPANIES CHARGES FOR COLLECTIONS OF CUSTOMER ACCOUNTS LESS: WIRE TRANSFER TO TEXPOOL ENDING BALANCE

INVESTMENTS;

TEXPOOL. ENDING BALANCE FROM LAST CHECK LIST ADDED: WIRE TRANSFER ADDED; WIRE TRANSFER ADDED: WIRE TRANSFER ADDED: INTEREST EARNINGS ADDED: WIRE TRANSFER LESS: WIRE TRANSFER ENDING BALANCE

TOTAL OPERATING FUNDS

LESS; SECURITY DEPOSITS

NET FUNDS AVAILA.BLE FOR DISTRICT

FROM FROST NATIONAL BANK - MONEY MARKET

MAINTEl-W'ICE TAX TRANSFER - 04/15/2020

MAINTENANCE TAX TRANSFER · 05/20/2020

Apf-20

TO DEM.ot.NO ACCOUNl


0.00 (2,276 98)

0 .00 (109.000.00)

$ 239 .87

$ 1,269,931 .43 109,000.00

8 ,701 .67 1,678.89

489.49 0.00

(100,000.00) $ 1,289 ,801.48

$ 1,332.269.51

$ (254 .855 00)

$ 1,077,414.51

3/17

32

5/19/2020


1seR•E~ ·~Qo1::~AP(t~li::PRO.~e~r$·~:u~:: ... ·:·::::::::::::· .:::::::::::::::::::::::::::::::::· ··:·::::::::::::::-::::::::::: . ::::::::::::;:;::::ePNQ::1$sv,~-NP;:~ .1

BBVA USA

BALANCE FROM LAST REPORT $ 64.139.16

LESS: TRANSFER T O TEXPOOL

NET TRANSFERS 0.00

ADDED: INTEREST EARNED ON ACCOUNT 13.58

LESS: SERVICE CHARGES (13 SS)

LESS; PREVIOUSLY APPROVED CHECKS

0.00 LESS: CHECKS

0.00

ENDING BALANCE IN DEMAND ACCOUNT $ 64,139.16

INVESTMENTS:

TEXPOOL ENDING BALANCE FROM LAST CHECK UST $ 15,834.03 ADDED: WIRE FROM DEMAND ACCOUNT 0.00

ADDED: INTEREST EARNINGS Apr-20 5.92

LESS: WIRE TRANSFERS 0.00 LESS: WIRE TRANSFERS 0.00 LESS: WIRE TRANSFERS 0.00 ENDING BALANCE $ 15,839.95

TOTAL SERIES 2007 CAPITAL PROJECTS FUND $ 79,979 11

4117 FMUD26 CHECK LIST 05-20-2020

33

5/19/2020

FORT BENO COUNTY MUD 26

ALL ESCROWS HAVE BEEN RELEASED ESCROWED ITEMS:

A.) $2,858,000 PLUS $258,500 CONTINGENCIES FOR CONSTRUCTION OF WATER PLANT NO. 2

B.)

PENDING COMMISSION STAFF APPROVAL WHICH rs CONTINGENT UPON THE COMMISSION

STAFF'S RECEIPT AND REVIEW OF PLANS AND SPECIFICATIONS APPROVED BY ALL - -

CONVEYING THE PL.ANT SITE IN THE DISTRICT.

$142,164 PLUS $14,216 CONTINGENCES FOR CONSTRUCTION OF THE 12 INCH WATER LINE ALONG COLUMBIA BLUE DRIVE PENDING COMMISSION STAFF'S APPROVAL WHICH IS CONTINGENT UPON THE COMMISSION STAFF'S RECEIPT AND REVIEW OF PLANS AND SPECIFICATIONS APPROVED BY ALL AUTHORITIES HAVING JURISDICTION.

TOTAL ESCROWED AMOUNT

Released from Escrow: 12/28/2016 $2,858,000 PLUS $258,500 CONTINGENCIES FOR CONSTRUCTION OF WATER PLANT NO. 2 PENDING COMMISSION STAFF APPROVAL WHICH IS CONTINGENT UPON THE COMMISSION STAFF'S RECEIPT AND REVIEW OF PLANS AND SPECIFICATIONS APPROVED BY ALL AUTHORITIES HAVING JURISDICTION, A CURRENT WELL PERMIT AND A RECORDED DEED CONVEYING THE PLANT SITE IN THE DISTRICT

10/10/2014 CHANGE OF SCOPE OF 12 IN WATER LINE TO GST REPLACEMENT ATWATER PLANT NO. 1

TOTAi. REI.EASED FROM ESCROW

FUNDS REMAINING IN ESCROW


$ 2,843,500.00

$ 156,380.00

$ 2,999,880.00

$ (2,843,500.00}

$ (156,380.00} s (2,999,880.00}

$

5/17

34

511912020


(SERIES 2020 CAPfT AL PROJECTS FUND

BBVA USA

BALANCE FROM LAST REPORT

ADDED: TRANSFER FROM TEXPOOL

TRANSFER FROM OPERATING ACCOUNT

ADDED: INTEREST EARNED ON ACCOUNT

LESS: SERVICE CHARGES

LESS: PREVIOUSLY APPROVED CHECKS

LESS: CHECKS

ENDING BALANCE IN DEMAND ACCOUNT

INVE§TMENTS;

TEX POOL ENDING BALANCE FROM LAST CHECK LIST ADDEO: PROCEEDS FROM BOND SALE ADDED: INTEREST EARNINGS LESS: WIRE TRANSFERS LESS: WIRE TRANSFERS

BONO ISSUE NO. 5j

$ 60,643.05

PERFORMED ON 0312$12020

NET TRANSFERS 0.00

18.97

{18.00)

0.00

0.00

$ 60,644.02

$ 11,740,439.25 0.00

Apr-20 4,392.35 0.00 0.00

LESS: WIRE TRANSFERS TO SERIES 2020 DEMAND ACCOUNT 0.00 ENDING BALANCE

TOTAL SERIES 2020 CAPITAL PROJECTS FUND

FUNDS TO BE DISBURSED AT CLOSING:

TEXAS COMMISSION ON ENVIRONMENTAL QUALITY MASTERSON ADVISORS LLC

MOODY'S INVESTOR SERVICE SMITH. MURDAUGH, UTILE & BONHAM. LLP THE BANK OF NEW YORK MELLON TRUST CO .. NA

NOTE: UNDERWRITER DISCOUNT


$ 11 ,744,831.60

$ 11 ,805,475.62

$ 34,187.50 278.186.20

23,000.00 289,507.95

750.00

s 410,250.00

6/17

35

5/19/2020


to~a:r:$~~v.1:c~:FOND.::.::::;:;:;:;::::::::::::::::::::::::::::::::: ::: :::;:::;::::::::::: : : ::::: ::::::::::: ::::::: ::::::::::::: ::::::: :::;:::: :::::: ::::·:::::·:·:·;·::;:::::::;:; : : : ::;:; ::: :::: ::::: : : :::;:;:::::::-I

BBVA USA BALANCE FROM LAST REPORT ADDED: DEPOSITS

ADDEO: INTEREST EARNED ON ACCOUNT LESS: WJRE TRANSFERS

LESS: BANK FEES LESS: CHECKS APPROVED PREVlOUSL Y

L ESS: CHECKS

ENDING BALANCE IN DEMAND ACCOUNT

INVESTMENTS:

TEXPOOL ENDING BALANCE FROM LAST CHECK LIST ADDED: WIRE TRANSFER ADDED: WIRE TRANSFER ADDED: INTEREST EARNINGS

LESS: WIRE TRANSFER LESS: WIRE TRANSFER LESS: WIRE TRANSFER ENDING BALANCE

TOTAL DEBT SERVICE FUNDS

TO TEXPOOL

TAX TRANSFER · 04/15i2020

TAX TRANSFER • 05120/2020

Apr-20

SERIES 2014 - ee&T aovr FINANCE

SERIES 2016 • l HE BANK OF NEW YORK MELLON

NEXT SONO PAYMENT 09/0112020


$

$

$

$

$

$

32,312.16

0.00 4.11 0.00

\4 11)

0.00

32,312.16

2,841,119.62 35,000.00 15,000.00

1,069.22 0.00 0.00 0.00

2,s92, 1 aa.a4

2,924,501 .00

(263,100 13)

7/17

36

5/19/2020 FORT BEND COUNTY M.U.D. NO. 26 DEBT SERVICE FUND REQUIREMENlS

Principal llltereat Total P & 1 Interest Total Total due 03/01 due 03/01 due 03/01 due 09/01 due 09/01 Requirement

Year 2020 Series 2014 • BB&T Govt Fina<Jce 44,709.50 44,709.50 .. 4.709.50 Series 2016 · Bk of New York 60,993.75 60,993.75 60,993.75 Series 2020 · The BNY Mellon 157 396.88 157,396.88 157 396.88

0.00 0.00 0.00 263 100.13 263, 100.13 263 100.13

Year 2021 Series :Z014 · BB&T Govt Finance 690,000.00 44,709.50 734,709.50 36,360.50 36,360.50 771,070.00 Series 2016 · Bk of New York 365,000.00 60,993.75 425,993.75 55,518.75 55,518.75 481,512.50 Series 2020 • The BNY Mellon 0.00 157,390.88 157,396.88 157,396.88 157,396.88 314,793.76

1.055,000.00 263,100.13 1.318, 100.13 249,276.13 249,276.13 1,567,376.26

Year 2022 Series 2014 ·BB&T Govt Finance 710,000.00 36,360.50 746,360.50 27,769.50 27,769.50 774,130.00 Seties 2016 · Bk of New York 385,000.00 55,518.75 440,518.75 49.743.75 49,743.75 490,262.50 Series 2020 • The BNY Mellon 0.00 157,396.88 157,396.88 157 396.88 157,396.88 314 793.76

1,0951000.00 249,276.13 1,344,276.13 234,910.13 234,910.13 1,579, 186.26

Year 2023 Setias 2014 - BB&T Govt Finance 740,000.00 27,769.50 767,769.50 18,815.50 18,815.50 786,585.00 Series 2016 · Bk of New York 380,000.00 49,743.75 429,743.75 43,093.75 43,093.75 472,837.50 Series 2020 · The BNY Mellon 0.00 157,396.88 157,396.88 157,396.88 157,396.88 314,793.76

1, 120,000.00 234,910.13 1,354,910.13 219,306.13 219,306.13 1,574,216.26

Year 2024 Series 2014 · BB&T Govt Finance 765,000.00 18,815.50 783,815.50 9,559.00 9,559.00 793,374.50 Series 2016 · Bk of New York 375,000.00 43,093.75 418,093.75 39,343.75 39,343.75 457,437.50 Series 2020 - The BNY Menon 0.00 157,396.88 157,396.88 157,396.88 157,396.88 314,793.76

1, 140,000,00. 219,306.13 1 !359,306.13 206,299.63 206,299.63 1,565,605. 76

Year 2025 Series 2014 • BB&T Govl Finance 790,000.00 9,559.00 799,559.00 0.00 0.00 799,559.00 Series 2016 · Bk of New York 370,000.00 39,343.75 409,343.75 35,412.50 35,41 2.50 444,756.25 Series 2020 - The BNY Mellon 0.00 157,396.88 157,396.88 157,396.88 157 396.88 314,793.76

1, 160,000.00 206;299.83 1,366,299.63 192,809.38 192.809.38 1,559,109.01

Year 2026 Series 2016 • 81< of New York 550,000.00 35,412.50 685,412.50 29,225.00 29,225.00 614,637.50 Series 2020 • The 8NY Mellon 75,000.00 157,396.88 232,396.88 156,646.88 156,646.88 389,043.76

625,000.00 192,809.38 817,809.38 185,871.88 185,871.88 1,003,681.26

Year 2027 Series 2016 - Bk of New York 550,000.00 29.225.00 579,225.00 19,600.00 19,600.00 598,825.00 Series 2020 • The BNY Mellon 100,000.00 156,646.88 256,646.88 155,646.88 155,646.88 412,293.76

6501000.QO 185,871.88 835,871,88 175,246.88 175,246.88 1,01 1,118.76

Year2026 Series 2016 • Bk of New Yori\ 555,000.00 19,600.00 574,600.00 9,887.50 9,887.50 584,487.50 Series 2020 • The BNY Mellon 100 000,00 155,646.88 255 646.88 154,646.88 154,646.88 410,293.76

655,000.00 175,246.88 830,246.88 164.534.38 164,534.38 994,781.26

Year 2029 Series 2016 • Bk of New York 565,000.00 9,887.50 574,887,50 0.00 0.00 574,887.50 Series 2020 • The BNY Mellon 100,000.00 154,646.88 254,646.88 153,646.88 153,646.88 408,293.76

6651000.00 164,534.38 829,534.38 153,646.88 153,646.88 983.181.26

Year 2030 Series 2020 • The BNY Mellon 640,000.00 153,646.88 793,646.88 147,246.88 147,246.88 940,893.76

640,000.00 153,646.88 793,646.88 147,246.88 147.248.88 940,893.76

Year 2031 Series 2020 ·The BNY Mellon 670 000.00 147,248.88 817,246.88 140,546.88 140,546.88 957,793.76

670,000.00 147,246.88 817,246.88 140,546.88 140,546.88 957,793.76

Year 2032 Series 2020 • The BNY Mellon 700,000.00 140,546.88 840,546.88 133,546.88 133,546.88 974,093.76

700,000.00 140,546.88 840,546.88 133,546.88 133,546.88 974,093.78

Year 2033 Series 2020 . The BNY Mellon 730,000.00 133,548.88 863,546.88 125,790.63 125,790.63 989.337.51

730,000.00 133,546.88 863,546.88 125,790.63 125,790.63 989,337.51

FMUD26 CHECK LIST 05-20-2020 10 8117

37

5/19/2020 FORT BEND COUNTY M.U.D. NO. 26 DEBT SERVICE FUND REQUIREMENTS

Year 2034 Series 2020 - The BNY Mellon 760,000.00 125,790.63 885,790.63 117 715.63 117,715.63 1,003,506.26

760,000.00 125,790.63 885,790.63 117,715.63 117,715.63 1 003,506.26

Year 2035 Series 2020 - The BNY Menon 795,000.00 117,715.63 912,715.63 109,268.75 109,268.75 1 021,984.38

795,000.00 117,715.63 912,715.63 109,268.75 109,268.75 1,021,984.38

Year 2036 Series 2020 - The BNY Menon 835,000.00 109,268.75 944,268.75 99,875.00 99,875.00 1,044,143.75

835,000.00 109,268,75 944,268.75 99,875.00 99,875.00 1,044, 143.75

Year 2037 Series 2020 - The BNY Mefton 870,000.00 99,875.00 969,875.00 90,087.50 90,087.50 1,059,962.50

8701000.00 99,875.00 969,875.00 90,087.50 90,087.50 1,059,962.50

Year 2038 Series 2020 - The BNY Melon 910,000.00 90,087.50 1,000,087.50 79,281.25 79,281.25 1,079,368.75

910,000.00 90,087.50 1,000,087.50 79,281.25 79,281 .25 1,079,368. 75

Year 2039 Series 2020 - The BNY Mellon 950,000.00 79,281.25 1,029,281.25 68,000.00 68,000.00 1.097,281.25

950,000.00 79,281.25 1,029,281.25 68,000.00 68,000.00 1,097,281.25

Year 2040 Series 2020 - The BNY Mellon 995,000.00 681000.00 1,063,000.00 55,562.50 55,562.50 1, 118,562.50

995,000.00 68,000.00 1,063,000,00 55,562.50 55,562.50 1,118,562.50

Year 2041 Series 2020 - The BNY Mellon 1,040,000.00 55,562.50 1,095,562.50 42,562.50 42,562.50 1,138,125.00

1,040,000.00 55,562.50 1,095,562.50 42,562.50 42,562.50 1,138,125.00

Year 2042 Series 2020 · The BNY Mellon 1,085,000.00 42,562.50 1, 127,562.50 29,000.00 29,000.00 1, 156,562.50

1,0851000.00 42,562.50 1, 127,562.50 29,000.00 29,000.00 1, 156,562.50

Year 2043 Series 2020 - The BNY Mellon 1, 135,000.00 29,000.00 1,164,000.00 14,812.50 14,812.50 1, 178,812.50

1,135,000.00 29,000.00 1, 164,000.00 14,812.50 14,812.50 1, 178,812.50

Year2044 Series 2020 - The BNY Mellon 1,185,000.00 14,812.50 1,199,812.50 0.00 0.00 1,199,812.50

1,185 000.00 14,812.50 1, 199,812.50 0.00 0.00 1,199,812.50

Total 21 .465,000.00 3,.298.298.45 2.4, 763,298.45 3,298,298.45 3,298,298.45 28,061.596.90

TOTAL PRINCIPAL AND INTEREST DUE ON SERIES: Series 2014 - BB&T Govt Finance 3,695,000.00 137,214.00 3,832,214.00 137,214.00 137,214.00 3,969,42S.OO Series 2016 - Bk of New York 4,095,000.00 342.818.75 4,437,818.75 342,818.75 342.818.75 4,780,637.50 Serles 2020 - The BNY Mellon 13,675,000.00 2,818,265,70 16,493.265.70 2,818,265.70 2,618,285.70 191311 ,531 .40 Total $ 2,,4651000.00 s 3,298,298.45 $ 24.78U98.46 s 3,298,298.45 $ 3,298.298 45 $28,061,596.90

FMUD26 CHECK LIST 05-20-2020 11 9/17

38

Fort Bend Co. Municipal Utility District 26 Energy Consumption- Electricity

Month kWh Used Amount Paid Cost I kWh January 94,874 $7,375.55 $0.078 February 89,012 $7,250.42 $0.081 March 81,863 $6,719.06 $0.082 April 83,273 $6,832.45 $0.082 May 83,931 $6,820.55 $0.081

~ June 89,938 $7,246.70 $0.081 ~ July 83,300 $6,754.03 $0.081

August 81,418 $6,663.07 $0.082 September 91 ,837 $7,580.65 $0.083 October 80,097 $6,805.40 $0.085 November 80,885 $6,758.50 $0.084 December 93,928 $7,538.96 $0.080

1,034,356 $ 84,345.34 $0.082


~ June 84,653 $7,260.83 $0.086 ~July 80,070 $6,320.87 $0.079

August 82,033 $6,225.23 $0.076 September 81,501 $6,122.19 $0.075 October 75,988 $6,389.20 $0.084 November 76,966 $6, 154.40 $0.080 December 90,388 $6,448.29 $0.071

1,009,850 $ 81,531 .15 $0.081


~ June 78,184 $5,722.79 $0.073 ~ July 83,931 $6,037.23 $0.072

August 83,661 $5,806.35 $0.069 September #DIV/O! October 76,317 $5,587.73 $0.073 November 81 ,968 $5,741.41 $0.070 December 80,820 $5,749.76 $0.071

895,094 $ 64,732.35 $0.072

Month kWh Used Amount Paid Cost I kWh January 93,095 $6,148.39 $0.066 February 77,854 $5,683.36 $0.073 March #DIV/O! April 83,977 $5,970.41 $0.071 May June July August September October November December

254,926 $ 17.802.1 6 $0.070

10/17

------- --

39

5/19/2020 FORT BEND COUNTY MUD 26

INVESTMENT REPORT 0411612020 0512012020

CURREN-T· l~VES™EN:CS<· > :< · : · : -:-:-:-:.:.:.;.;.;.;.;.:-;.:-:: ;.;.;.:-:-:-:-: :·:·'.-:·:·::·:. : ·> '.-":-:·:· .. ·.· - .. . .. ' . ' .. ,',' '.'. '.'<-'.·"">:-:-:-: >>>>>~<·>'->>.·.·>: :-: : : :-:-:-:-:-:-:-· ... TYPE OF INVESTMENT MATURITY DATE RATE BOOK VALUE VALUE LAST

REPORT ADDED VALUE

MARKET VALUE

OPERATING ACCOUNT TEXP00 l - PODLIW FUND -RATING AAJl,,n -AVG MTH RAT€ XXXX0003

DEBT SERVICE FUND TE.XPOOL • l'OOlC-OFU¥.l -AATIHG AMm . AVG 1mi RATE >OO<XX0001

SERIES 2007 CAPITAL PROJECTS FUND TEXPOOL · POOLED FlJND - RATl"IGMAm- AVG MTH RATE

NON-ESCROW (xXl<x0005)

SERIES 2020 CAPITAL PROJECTS FUND TEX POOL • POOlSO FUND· RATING AAAm . AVG MTfi RATE NON-ESCROW (loocx0005 )

TOTALfUNDSINVESTED

11.PRIL 0.4552% $

0.4552% $

0.4552% $

0 4552%

s

s

1.2611.801 48 $

2.892,188.64 $

15.639.95 s

11.744,931.60 $

4.197,830.27 $

1,269,931 -43 s 489 49 $ 1,289,801 48

2,841,119 62 $ 1.069 22 $ 2.892.'188.84

15.834.05 $ 592 $ 15.839.95

11.740,439 25 $ 4,392 35 $ 11.744,831.60

4, 126,885.08 $ 1.564.63 :s 4,197,830.27

i;O!.i~AtiONAi;~!lQUIRl:MIH'ffs':-:-··:·:·:::::.: · ··:· . ·:·:::::.:-:·:·:::::-:-:·:··-::;:;.;.-.· .. ·:·:-:::-:·:·:···:·:·:··-:-: . . . ·.·.·.·.·.;.·.:-:·:-:-.-::·.··:·:·:::::·:·:·:::·:·:::.:·:·:·:::::::::.:·:·:::.:·::: :-:·:·:::·:·:·:·: 07/'17, SIX HOURS, INVESTMENT TRAINING, BY TRWA, SUMMER 2007 CONFERENCE, GALVESTON. 4hrs 1110712009 MCCell Gibson Swedlund Barfoot PLLC. 06/0912011 6 HRS INVESTMENT TRAINING AWBD & UNIV OF N TEXAS. 10/2612013 4 HRS MCCALL

CLAUDIA REDDEN GIBSON. 10/1712015 4 hrs McCall Gibson, 4 HRS TEXAS CLASS 05-24-2018

CHARLES BENTON 10/21/2017, MCCALL GIBSON'S INVESTMENT TRAINING 8HRS 001:.1:.11.TERAt:-Pl:.EilGEO:·:·:·:···:·:·:·:·:·:·:·:-:·:·:·:···: ·.;.·.· :-:·:·:·:·:·:·:·:·:·:·:·:-:-:·:·:·:·:·'.-:·:·:·:-:·:·:·:·:·:·:->:·:·:·:·:-:-:-:-:-:·:·:·:·:·:·:·:·:·:·:·:-:-:·:·:·:·:·:-:-:-· .·:-:-:-:-:·:·· .·:-:·:·:·:·:·:·:·:·:·:·:·:·:·: BBVA USA 30.Ap<-20 AGENCY: FHLB-A-LO, CUSTODIAN CH, CUSIP 153111, MATURITY 04/ 1512021, $500,000.00

PLEDGED 04115/2020, 700,000 UNITS FROST BANK 11-May-20 SEE ATTACHED $147,852.20

BANK OF NEW YORK MELLON · THIRD PARTY ;AOl'HORIZATION:S'tA'fEMENT-·:: · :-:-:-:-:: : ·: ·: < < ·: ·::::: :.; .; .;-:::::·:-:-:-:· :-:-:-:-: · :-:-:::·:::-:-:· :.:::-:-:-:-:-;. :: : : '. -:-:.; ·:-:-:-:;:-:-:-:-:-:·:::-:-:-;.;.; .; .;.; ·;. ::: : : ·: ·>;. > .-;. : ·>;.: . ·;. .-:-:-:-: : : : : '. : : :

THE INVESTMENT OFFICE AUTHORIZES CLAUDIA REDDEN & ASSOCIATES, INC. TO COMPLETE CERTAJN 20-May-20 ACTIONS DURING THE UPCOMING PERIOD IN COMPLIANCE WITH THE DISTRICrS INVESTMENT POLICY

AND THE FOLLOWING SPECIAL INSTRUCTIONS: OPERATING ACCOUNT IF MONEY IS NEEDED TO PAY BILL NEXT MONTH, AUTHORIZE TO TRANSFER

AMOUNT NEEDED FROM TEXPOOL BEFORE MEETING TRANSFER SURPLUS FUNDS FROM DEMAND TO TEXPOOL

DEBT SERVICE FUND SEND TAX MONEY TO TEXPOOL EXTRA MONIES IN RIVERWAY BANK TO TEXPOOL PAY BOND PAYMENTS FROM TEXPOOL.

CONSTRUCTION FUND TRANSFER ANY MONIES FROM TEXPOOL TO PAY BILLS THIS REPORT ANO THE DISTRICT'S INVESTMENT POLICY ARE SUBMITTED TO THE BOARD FOR ITS REVIEW ANO TO MAKE ANY CHANGES THERETO AS DETERMINED BY THE BOARD TO BE NECESSARY ANO PRUDENT FOR THE MANAGEMENT OF THE DISTRICT'S FUNDS, THE INVESTMENTS ARE IN COMPUANCE WITH THE INVESTMElllT POLICY ANO RELEVANT PROVISIONS OF CHAPTER 2256 OF THE LOCAL GOVERNMElllT CODE.

I. CHARLES BENSON, HEREBY CERTIFY THAT, PURSANT SENATE Bill 253 AND IN CONNECTION WITH THE PREPARATION OF THIS INVESTMENT REPORT, I HAVE REVIEWED THE DIVERSTMENT UST PREPARED AND IMINTAJNEO BY THE TEXAS COMPTROUER OF PUBUC ACCOUNTS, ANO THE OlSTRICT DOES NOT OWN DIRECT OR INDIRECT HOl.OINGS IN ANY COMPANIES IDENTIFIED ON SUCH UST.

INVESTMENT OFFICER'S SIGNATURE BOOKKEEPER'S SIGNATURE

(C~IAALES BENTON, APP04NTEO

11117 9

40

TEXPOOL l\!.A.V. and AVERAGE INTEREST RAYES

$value/sh Avg % rate $value/sh Piyg % r11te $ valua/s !J Avg% rate

Dec-06 1.000100 5.2859% Nov-13 1.000030 0.0771% Nov-06 1.000060 5.2780% Oct· 13 1.000060 0.0498% Oct·06 0.999990 5.2831 % Sep-1 3 1.ooooao 0.0394% Sep-06 1.000020 5.3760% Aug·13 1.000100 0.0437% Aug.06 0.999960 5.2355% Jul-13 1.000060 0.0531% Juf-06 0.999000 5.2258%

Jun-13 1.000040 0.0576% Jun-06 1.000200 5.0021o/o May-13 1.000080 0 .0715% May.00 0.999830 4.9024%

Apr-20 1.000410 0.4552"/o Apr-13 1.000110 0.1022% Apr-06 0.999770 4.7397% Mar-20 1.000660 1.0034% Mar-13 1.000090 0 .1047% Mar-OG 0 .999800 4.5697% Feb-20 1.000350 1.5908% Feb-13 1.000060 0 ,0935% Feb-06 0 .999830 4 .4a33% Jan-20 1.000080 1.5925% Jan-13 1.000090 0.0986% Jan-06 0.999840 4.2714% Dec-19 1.000070 1.6226% Dec-12 1.000090 0 .1506% Dec-05 0.999850 4.1676% Nov-19 1.000070 1.6774% Nov-12 1.0000(30 0.16 54% Nov-OS 0 .999750 3.9aBa% Oct-19 1.000100 1.9115% Oct-12 t.000080 0.1657% OCt-05 0.999800 3.7823% Sep-19 1.000070 2.1635% Se1>·12 1.000080 0 .1572% Se f)-05 0 .999850 3.6026% Aug-19 1.000110 2. 1715% Aug-12 1.000060 0. 1313% Aug-05 1.000000 3.45 12% Jul- 19 1.000050 2.3876% JIJl. 12 1.000700 0 .1316% Jt•-05 0.999870 3.2577% Jun-19 1.000110 2.3812% Jun-12 1.000070 0.1366% Jun-05 0.999910 3.0583%

May-19 1.000100 2.4005% May-12 1.000070 0.1246% May-05 0.999960 2.9563% Apr-19 1.000000 2.4344% Apr-12 1.000070 0.11 10'h Apr-05 0 .999950 2.7591% Ma r-19 0.999970 2,4164% Mar-12 1.000070 0.1150% Mar-05 0 .999900 2.5708% Feb-19 0.99995 2.3972% Feb-12 1.00080 0.0903% Feb-OS 0.9 9988 0 2.4406% Jan-19 0.999960 2.3892% Jan-12 1.000110 0 .08 750A. Jan-05 0.999990 2.2325%

Deo-18 0.999940 2.2872% Oec-11 1.000080 0.0810% Dec-05 0.999850 4.1676% Nov-18 0.999870 2.2030% Nov-11 1.000080 0 .1080% Nov·05 0.999750 3.9888% Oct-16 0.999880 2.1438% Oct-11 1.000070 0 .0839% Ocl-05 0.999800 3.7823% Sep-18 0.999800 1.9953% Sep-11 1.000030 0.092.9% Sep-05 0.999850 3.6028% Aug-18 0.999940 1.9205% AUg·11 1.000070 0.0 651% Aug·05 1.000000 3.4512% Jul-18 0 .99996 1.8896% Jul-11 0.999990 0.0665% Jul-05 0.999870 3.2577%

Jun-18 0.999980 1.8110"/o Jun-11 1.000050 0 .0793% Jun-05 0.999910 3.0583% May-18 0.999940 1.7159% May-11 1.000120 0 .0838% May-05 0.999960 2.9563% Apr-18 0.999910 1.6704% Apr-11 1.000110 0.1122% Apr·05 0 .999950 2.7591 % Mar-18 0.999610 1.5156% Ma r-11 1.000120 0.1461% Mar-05 0.999900 2.5708% Feb-18 0999860 1.3436% Feb-11 1.000040 0.1470% Feb· OS 0 .999880 2.4406% Jan·18 0.999940 1.2989% Jan-11 1.000030 0.1537% Jan-Os 0.999990 2.2325%

Dec-17 0.999900 1.1764% Oec-11 1.000020 0.1677% Dec-04 0.999860 2.061l5% Nov-17 0 .999900 1.0506% Nov-10 1.000010 0.1719% Nov-04 0.999750 1.9586% Oct-17 0 .999980 1.0361% Oct-1 0 1.000070 0.2036% Ocl-04 0.999760 1.71 29% Sep-1 7 1.000020 1.0151% S@p-10 1.000040 0.2165% Sep-04 0.999720 1.5424% Aug-17 1.000030 0.9989%. Aug-10 1.000050 0.2279% Aug-04 0.999780 1.4980% Jul-1 7 1.000010 0.9714% Jul-10 1.000110 0.2259% Jul-04 0.999710 1.2557%

Jun-17 0.999970 0.8817% Jun-10 1.000110 0.2078% Jun-04 0.99971 0 1.0623% May-1 7 1.000040 0 .7689% May-10 0.999S90 0.1935% May-04 0.999740 1.0240'~ Apr-17 1.000000 0.7121% Apr· 10 0.999930 0.1662% Apr-04 0.999690 1.0162.% Mar-17 1.000080 0.6222% Mar-10 0.999920 0.1577% Mar-04 1.0000 20 1.0280% Feb-17 1.000100 0.5591% Fe b-10 1.000040 0.1512% Feb-04 1.000100 t.0270".{, Ja n-1 7 1.000230 0 .5385% Jan-10 1.000110 0.1630% Jan-04 1.000070 1.0167%

Dec-16 1.000140 0.4497% Dec-09 1.000160 0.2090% Dec-04 0 .999860 2.0685% Nov-16 1.000130 0.3987% Nov-09 1.000350 0.2112% Nov-04 0 .999750 1.9 586% Oct-16 1.000310 0,3828% Oct-09 1.000370 0.2095% Oct-04 0.999760 1.7129% Sep-16 1.000290 0.3799% Sep.09 1.000430 0.2822% Sep-04 0.999720 1.5424% AtJg-16 1.000240 0.3737% Aug-09 1.000470 0.3226% Aug-04 0.999780 1.4980% Jul-16 1.000000 0 .3690% Jul-09 1.000490 o,~4% Jul-04 0.999710 1.2557% Jun-1 6 1.000130 0.3633% Jun-09 1.000520 0.3939% J un-04 0 ,999710 1.0623%

May-16 1.000060 0.3399% May-09 1.000590 0.4326% May·04 0.999 740 1.0240% Apr-16 1.000120 0.3380% Apr-09 1.00 0680 0.47B2°Ai Apr-04 0.999890 1.0162% Mar-18 1.0000'".>D 0.3273% Mar-09 1.000480 0.5788% Mar-04 1.000020 1.0280% Feb-18 1.000010 0.3010% Feb-09 1.000380 0.6690% Feb-04 1.000100 1.0270% Jan-16 0.999980 0.2674% Jan-09 1.000630 0.9529% Jan-04 1.000070 1.0187%

Dec-15 0.999920 0.1863% Dec·08 1.001050 1.4855% Dec-03 1.000500 1.0327% Nov-15 0.999920 0 .1105% Nov-08 1.001 270 1.820 7% Nov-03 0.999980 1.0344% Oct-15 0.999950 0.0966% Oct-08 1.000000 1.9 762% Oct-03 1.000020 1.0302% Sep-15 1.000070 0.0850% Sep-08 0.9$9560 2.4068% Se p-03 1.000050 1.0308% Aug-15 1.000000 0.0716% Aug-06 0.999770 2.2678% Aug-03 1.000040 1.0408% Jul-15 1.000060 0 .0630% Jul-08 0.999820 2.2460% Jul-03 1.000100 1.0604%

Jun-15 1.000050 0 .0575% Jun-08 0 .999880 2.2635% Jun-03 1.000200 1.1973% M3y-15 1.000070 0.0553% May-08 0.999980 2.2812% May-03 1.000150 1.2326% Apr-1 5 1.000050 0 .0524% Apr-08 1.000010 2.4471% Apr-03 1.000 160 1.2G29% Mar-15 1.000030 0.0480% Mar-OB 1.000290 2 .9 723% Mar-03 1.()00220 1.32.98% Feb-15 1.000070 0.0441% Feb-08 1.000340 3 .4374% F~b-03 1.000210 1.3472% Jan-15 1.000070 0.0465% Jan-08 1.000540 4.2460% Jan-03 1.000350 1.3891%

Oec-14 1.000060 0 .0418% Dec-07 1.000290 4 .5565% Dec-02 1.000590 1.4629% Nov-1 4 1.000060 0.0286% Nov-07 1.000200 4.7144% Nov-02 1.000640 1.5622% Oct-14 1.000060 0.0266% Oct-07 1.000260 4.9280% Oct-02 1.000670 1.8609% Sep-14 1.000090 0 .0333% Sep-07 1.000010 5.1330% Sep-02 1.000720 1.8693'.4 Aug-1 4 1.000070 0.0353 % Aug·07 1.000140 5.2473% A<1g-02 1.000710 1.6709% Jul-14 1 000040 0.0313% Jul-07 1.000000 5.2760% Jul-02 1,000740 1.8936%

Jun-1 4 1.000050 0.0284% Jun-07 0.999920 5.2884% Jun-02 1.005500 1.8320% May-1 4 1.000040 0.0244% May-07 0.99991".>0 5.2865% May.02 1.000000 1.8211% Apr-14 1.000050 0.0336% Apr-07 0.999990 5.2738% Apr-02 1.000200 1.6341% Mar-14 1.000030 0.0299% Mar-07 1.000020 5.2933% Mar-02 0.999922 1.7615% Feb- 14 1.000040 0.0283% Fel>-07 1.000400 5.2802% Feb-02 1.000259 1.8577% Jan-14 1.000050 0.0273% Jan-07 0.999980 5.2718% Jan-02 1.000276 2.0548% 12/l 7

FMUD26 CHECK LIST 05-20-2020 e

41

FORT BEND COUNTY MUD 26-0PERATING ACCOUNT Revenues & Expenditures

October 2019 through May 2020

Oct 19 Nov 19 Dec 19 Jan 20 Feb 20 Ma r 20 Apr20 May 20 TOTAL - · - - - --·- ·-- -

Ordinary Income/Expense Income

41000 ·WATER SERVICE REVENUE 28,144 31,415 28,505 33,795 32,465 29,1 90 32.219 (4, 148) 211 ,584 41200 ·WATER RECONNECTION FEES 900 900 1,275 925 1,350 0 0 0 5,350 42000 ·SEWER SERVICE REVENUES 32,350 30,473 29,554 33,389 31,832 29,463 32,385 0 219,446 43300 ·PENAL TY & INTEREST INCOME 3,378 3,063 2,913 2,822 2,662 (10) 0 0 14,828 44000 · TRANSFER FEES 1,000 600 1,350 1,200 1,000 1,150 1,500 0 7,800 45000 · GWR FEE 18,257 16,032 14,743 19,033 16,256 14,952 19,028 0 118,300 46000 · M CITY G 24,734 24,799 26,090 26,363 26,380 26,551 26,841 0 181.757 53800 · MISCELLANEOUS INCOME 29,647 7,305 1,570 793 2,1 34 1,213 1,888 0 44,550 53910 · INTEREST INCOME 1,884 1,665 1,739 1,809 1,809 1,209 499 0 10,613 53980 · MAINTENANCE TAXES 515 4,862 10,301 237,766 91,244 5,668 8.702 1,679 360,737 53990 · RETENTION POND MAINTENANCE 2,009 0 0 0 0 0 0 0 2,009 54000 · REGULATORY ASSESSMENT INCOME 31 0 289 279 322 302 281 314 0 2,097

- - -·· - - - --- - - - -Total Income 143, 128 121,402 118,319 358,217 207,434 109,666 123,376 (2,470; 1, 179,072

Expense 61260 ·WATER PERMIT FEES 0 0 3,680 0 0 0 0 0 3,680 61270 · GRP FEES 0 17,441 16,085 17,718 18,588 15,676 18,358 19,195 123,061 61320 · WTR MONTHLY SERVICE 0 0 11 ,773 5,919 5,796 6,039 6,707 7,635 43,869 61350-5 · FIVE YEAR PLAN 0 0 3,038 3,968 1,370 0 4,830 4,060 17,265 61350·M · METER CHANGEOUT 0 0 490 0 0 0 0 0 490 61350 · WTR-REPAIRS & MAINTENANCE 0 0 8,716 11,207 7,454 9.860 3,162 7,685 48,083 61420 · WTR-CHEMICALS 0 0 2,250 190 69 2,1 82 0 1,405 6,095 61520 · WTR-UTILITIES EXPENSE 0 5,31 3 0 2,671 2,832 5,606 5.292 2,649 24,364 61710 ·TAP CONNECTION EXPENSE 0 0 14,940 0 4,150 12,800 0 19,320 51,210 61800 · RECONNECTION EXPENSES 0 0 1,71 1 1,303 1,000 1.264 452 150 5,880 62010 ·PURCHASED SEWER SERVICE D 32,531 8,342 10,248 20,649 11,478 17,563 13,788 114,599 62260 · SEWER PERMIT FEES 0 2,91 9 0 0 0 0 0 0 2,919 62270 ·STORM WATER PERMIT & MGMT 0 0 0 0 115 0 0 0 115 62320 · SWR-MONTHL Y SERVICES 0 0 11 ,637 5,751 5,765 5,838 6,479 5,845 41.314 62350-5 - 5YR PLAN FOR SEWER 0 0 7,648 1,265 5,060 0 1,610 2,806 18,389 62350 · $WR-MAINTENANCE & REPAIRS 0 0 22.205 10,221 14,014 26 ,91 9 8,854 6, 151 88,364 62420 ·$WR-CHEMICALS 0 0 0 972 115 115 2.889 125 4 ,216 62520 • SWR-UTIUTIES 0 6,250 0 3,187 3,445 6,474 6,052 2,710 28, 118 62570 ·SLUDGE REMOVAL 0 0 8,336 5,265 8,775 8,775 10,968 6,142 48.260 62750 · SEWER INSPECTION EXPENSES 0 0 1,644 752 752 1,867 1,422 787 7,222 63000 ·REGULATORY ASSESSMENT 0 0 0 0 3,679 0 0 D 3,679 63100 ·DIRECTOR FEES 750 1,800 750 750 1,650 1,050 750 750 8,250 63200·0 · LEGAL FEES-CONVERSION & FILE MT 0 250 250 250 250 250 250 250 1,750 63200 · LEGAL FEES 0 5,474 4,838 5,251 14,724 7,920 12,643 7,834 58,684 63210 · AUDITING FEES 0 0 0 0 19,300 0 0 0 19,300 63220 · ENGINEERING 5 ,875 56,279 10,005 25,030 30,879 35,730 43,900 25,045 232,743 63240 ·LABORATORY FEES 0 0 176 603 505 430 480 804 2,997 63300 · BOOKKEEPING FEES 1,425 1,500 1,500 1,425 1,350 1,425 1,425 1,500 11 ,550 63400 ·PRINTING & OFFICE SUPPLIES 433 443 2,905 2,693 ........ 1,925 1,935 679 2,643 13,657

w -1--' '-...J

42

~ ..i;:.. ......... 1--' -.......r

FORT BENO COUNTY MUD 26 - OPERA TING ACCOUNT Revenues & Expenditures

October 2019 through May 2020

Oct19 Nov19 Dec19 Jan 20 Feb20 Mar20 - - - - --- - - - - -63500 ·POSTAGE 18 16 85 158 49 51 63510 • TELEPHONE EXPENSES 0 136 136 134 134 134 63530 · INSURANCE & SURETY BONDS 0 15,905 0 0 0 0 63580 • RENT ON MEETING PLACE 0 0 100 50 50 50 63590 · OTHER EXPENSES 1,133 1,456 2.443 3,689 2,956 2,372 63990 · GARBAGE EXPENSES 0 0 49,620 24,637 26,570 25,883 65600 ·PAYROLL EXPENSES 57 138 57 57 126 80 -- - - - - - - - -- --- --- - - --

Total Expense 9,692 147,850 195.359 145,363 204,094 192,204 --- - - - - ---Net Ordinary Income 133,436 (26,448) (77,041) 212,854 3,340 (82,538)

Other Income/Expense Other Income

39450 · TRANSFER FROM CONSTRUCTION 0 291 ,541 0 0 0 0 ---· - - - - - - - - -- - -- ---

Total Other Income 0 291.541 0 0 0 0 -·-- - --- - - - ·- - - -Net Other Income 0 291 ,541 0 0 0 0 - - - - - - - - - - - ---

Net Income 133,436 265,093 {77,041} 212,854 3,340 (82,538)

Apr20 May 20 TOTAL - - - · - - - -

145 50 571 134 133 941

0 0 15,905 50 0 300

2,653 277 16,980 24,168 28,509 179,387

57 57 631 --- - ·-- -181,969 168,305 1,244,837 ---- - - ·- - - - -(58,593) (1 70,775) (65,764)

0 0 291 ,541 - - - - ·- - - - ----0 0 291 ,541

- - -· - - - - --- - -0 0 291 .541 -·-- - -- - - - - - ·-

(58,593) (170,775) 225,776

43

FORT BEND COUNTY MUD 26 - OPERATING ACCOUNT Revenues & Expenditures Budget Performance

April 2020

Apr20 Budget $ Over Budget % of Budget Oct '1 9 - Apr 20 YTO Budget $ Over Budget %ofBudget Annual Budget ----- -Ordinary Income/Expense

Income 41000 ·WATER SERVICE REVENUE 32,219 33.333 .,\ .11Sj 97"- 215,733 233.333 \17 !>C·1) 9Z% 400,000 41100 · TAP CONNECTION FEES 0 2,500 ( i. s~;::i; 0% 0 17,500 ("; /.5::.:; 0% 30,000 41200 ·WATER RECONNE<:TION FEES 0 1,667 (1 .687) 0% 5,350 11,667 (6317i 46% 20,000 42000 · SEWER SERVICE REVENUES 32.385 30,833 1,552 105% 21 9,446 215,833 3.613 102% 370,000 43300 • PENAL TY~ INTEREST INCOME 0 2,917 (/.,917) 0% 14,828 20,417 :5.509) 73% 35.000 44000 · TRANSFER FEES 1,500 833 667 180% 7,800 5,633 1,967 134% 10,000 45000 • GWR FEE 19,028 17,&17 1,112 106% 118,300 125,41 7 ~·/ 1 '16) 94% 215,000 46000 . M crrv G 26,841 23,333 3,508 115% 181,757 163,333 18,42~ 111% 200,000 53800 • MISCELLANEOUS INCOME 1,&86 2,500 (6~2) 76% 44,550 17,500 27,050 255% 30,000 63910 · INTI:REST INCOME 499 2.917 (2,41 7) 17% 10,613 20,417 ~$.003) 52% 35,000 53980 · MAINTENANCE TAXES 8,702 30,167 {21 ,4€5} 29% 359,058 211,167 147,892 170% 362.000 53990 · RETENTION PONO MAINTENANCE 0 1.250 (1250j 0% 2,009 8,750 :s 74~; 23% 15,000 54000 · REGULATORY A SSESSMENT INCOME 314 300 14 105% 2,097 2,100 {:>; 100% 3,600

Total Income 123,376 150.467 (27.'l9i) 82% 1.18 1.542. 1,053,267 128.Z75 112% 1.605,600

Expense 61260 ·WATER PERMIT FEES 0 333 (~) 0% 3,680 2,333 1,347 158% 4,000 61270 · GRP FEES 16,358 18,333 24 100% 103,866 128,333 t'.!4 .:ea; 81% 220,000 61320 · WTR MONTHLY SERVICE 6,707 8,333 i.'l.f\2?l 80'.l. 36,234 58,3.'.;3 122.009) 62% 100.000 61350-5 • FIVE YEAR PLAN 4,830 13,205 61350-M · METER CHANGEOUT 0 417 (417) 0% 490 2,91 7 ~L.4~7j 17% 5,000 61350 • WTR· REPAIRS & MAINTENANCE 3,162 8,333 ~5, 171) 38% 40,399 58,3:33 i,17 t~~·) 69% 100,000 61420 • WTR.CHEMICALS 0 f ,250 (1 25f.) 0% 4,691 8,750 ::~.os~:' 54% 15,000 61520 · WTR-UTllJTlES EXPENSE 5,292 4,583 709 115% 21 ,714 32.003 ~liJ.3€9) 68% 55,000 61710 · TAP CONNECTION EXPENSE 0 31,690 61800 ·RECONNECTION EXPENSES 452 1,667 (1,215j 27% 5,73a 11.667 ,5;~;7) 49% 20,000 62010 · PURCHASED SEWER SERVICE 17.563 13,333 4,230 132% 100,812 93,333 7,476 108% 160,000 62260 · SEWER PERMIT FEES 0 41 7 {41/:1 0% 2,919 2.917 3 100% 5,000 62270 · STORM WATER PERMIT & MGMT 0 115 62320 · SWR-MONTHL Y SERVICES S.479 B.333 0;·1 R55) 78% 35,469 68,333 (22,865) 61% 100,000 62350·5 · SYR PLAN FOR SEWER 1 ,610 15,583 62350 · SWR-MAINTENANCE & REPAIRS 8,854 10,41 7 {1 ,CCi~~~ 85% 62,213 72,917 9,296 113% 125,000 6Z420 · $WR-CHEMICALS 2,88~ 500 2,389 578% 4,09 1 3,500 59 1 117% 6,000 62520 • SWR-UTILITlES 6,052 3,750 2,302 161% 25,408 26,250 ;s.:.:;; 97% 45,000 62570 · SLUDGE REMOVAL 10.968 10,000 968 110% 42,118 70,000 ~27.882) 60% 120,000 62750 · SEWER INSPECTION EXPENSES 1,422 706 713 201% 6,436 4,958 1,4n 13011. 8,500 63000 ·REGULATORY ASSESSMENT 0 333 (3~3; 0% 3,679 2,333 1,346 158% 4,000 63100 · DIRECT OR FEES 750 1,333 ~583! 56% 7,500 9,333 l1,E.33\ BO% 16,000 63200-0 · LEGAL FEES-CONVERSION & FILE MT 250 1,125 (S'l5j 22% 1,500 7,875 {5.:5/S; 19% 13,500

63200-E • LEGAL - ELECTION 0 625 :a25l 0% 0 4,375 (4,'.375} 0% 7,500

&3200 · LEGAL FEES 12,643 7,542 5,101 168% 50,650 52,792 1.1.SL~~ 96% 90,500 63210 · AUDITING FEES 0 1,417 {~ .41 !"} 0% 19.300 9,917 9,383 195% 17,000 63220 · ENGINEERING 43.900 12.083 31.817 363% 207,698 84,583 123,115 246% 145,000 63240 ·LABORATORY FEES 480 1,000 (G?.vj 48% 2,193 7,000 ~4.0Uil 31% 12,000

63250 · ELECTION EXPENSES 0 208 (2:6) 0% 0 1,458 (1.ASC'j 0% 2.500 6331>0 · BOOKKEEPING FEES 1,425 1,417 8 101% 10,050 9,917 13:) 101% 17,000 63350·L · LANDSCAPE BEAUTIFICATION 0 833 (633) 0% 0 5,833 (5 5:;3j 0% 10,000 63350 ·REPAIRS & 114AINTENANCE 0 0 0 0 0% 0 63380 ·LEGAL NOTICES 0 417 (4"1 7~ 0% 0 2,917 :.i,91' ) 0% 5,000 63400 · PRlNTING & OFFICE SUPPLIES 679 1,667 ~988j 41% 11,01 3 11,667 :~) 94% 20,000

63500 ·POSTAGE 145 125 20 116% 521 875 (3~-1; 60% 1,500 63510 · TELEPHONE EXPENSES 134 133 1 100% 807 933 ~ " :>~~ 86% 1,600 1>3530 · INSURANCE & SURETY BONDS 0 1.583 i 1,st!S) 0% 15,905 11,083 4,622 144% 19,000 63580 · RENT ON MEETING PLAC! 50 so 0 100% 300 350 (50) 86% 600 63590 · OTHER EXPENSES 2.653 2,500 153 106% 16,703 17,500 {79?; 95% 30,000 63990 · GARBAGE EXPENSES 24,1 66 24,167 1 ! 00% 150,878 169,1 67 ( 11).;,'8 !1) 89% 290,000 65600 · PAYROLL EXPENSES 57 172 ~1 ~ 5) 33% 574 1,205 1<;3· ; 46% 2,065

Total Expense 181.969 149,439 32,531 122% ~.076,532 1,046,071 30,460 103% 1,793,265 - - -- - - - --- - -- - - - - - - - - -- - - - - - --- ·--· - ----- - · - - ·- - -,_, U'1 -~ -...J

44

Net Ordinary Income

Other lncome/Eltpense Olher Income

39460 • TRANSFER FROM CONSTRUCllON

Total Other Income

Net Other Income

Net Income

........

°' -........ .......,

FORT BEND COUNTY MUD 26 - OPERATING ACCOUNT Revenues & Expenditures Budget Performance

April 2020

Apr20 Budget $ Over Budget 'Iii of Budget Oct '19 - Apr 20

(56,593) 1,028 (59,621) (5,700)% 105,010

0 291,541

0 291,541

0 291,541

(58,593) f,028 (59,621 ) (5,700)% 396,551

YTOBudget $ Over Budget %of Budget Annual Budget

7,196 97,S15 1.459% 12,335

7,196 389,356 5,511% 12,,335

45

Income and Expense by Month October 1, 2019 through May 20, 2020

'• Incomel I • Expens9

$in l,OOO's 500

-lOO Oct19 Decl9 Nov19

Expense Summary

Jan20

October 1, 2019 through May 20, 2020

By Account

Feb20 Apr20 Mar20 Mayl-20,20

~----- - - ---------. 63220 · ENGINEERING 18.70% . 63990 · GARBAGE EXPENSES

61270 · GRP FEES . 62010 · PURCHASED SEWER SERVICE . 62350 · SWR-MAINTENANCE & REPAIR~ . 63200 · LEGAL FEES • 61710 · TAP CONNECTION EXPENSE . 62570 · SLUDGE REMOVAL . 61350 · WTR-REPAIRS & MAINTENANCE . 61320 · WTR MONTHLY SERVICE

14.41 9.89 9.21 7.10 4.71 4.11 3.88 3.86 3.52

•other Total

20.61 $1,244,836.69

17117

46

March 18, 2020FORT BEND CO. MUD #261618 Flicker Dr. Out of District Service Request

Based on note dated 7/19/2017Water Capacity: 350 @ $5.25/gal. $1,837.50Sewer Capacity: 320 @ $13.58/gal. $4,345.60

Conditional to taking both water and sewer (where practical)

Tap Fees: 3 times in-district rate

Monthly fees: Out of District Rates

Fee Estimate for 1618 Flicker based on 7/19/2017:

RESIDENTIAL SERVICE:

WATER ONLY WATER & SEWERCAPACITYWater Capacity: 350 @ $5.25/gal. $1,837.50 $1,837.50Sewer Capacity: 320 @ $13.58/gal. $4,345.60

(Not Practical – no sewer line in place)Total Capacity Fees: $1,837.50 $6,183.10

TAP FEES: ¾ Meter Service 1,600 x 3 $4,800.00 $4,800.00

Deposit: $ 225.00 $ 225.00Sewer Inspection: N/A $ 112.50

TOTAL TAPPING FEES: $6,862.50 $11,320.60

OTHER: Extension of sewer line at owner’s expense (3 lots away)

Monthly Fees: 1.5 times in-district rates

NOTE: SERVICE CHANGE TO COMMERCIAL SERVICE WILL REQUIRE PLAN SUBMITTALS AND RE-EVALUATION OF CAPACITIES AT THAT TIME.

81

Barron Contractors, Inc.4208 Horseshoe Dr.Needville, TX 77461

Phone: 281-330-02544/16/2020

FLICKER DR

PROPOSAL

INVOICE 20024

RE: BORE & INSTALL SEWER MAIN LINE

• TO INSTALL 210’ OF SEWER MAIN LINE , BORE 8” SEWER MAIN, ALL

NEEDS, ALL PIPE INCLUDED, ALL TYPES OF SOIL , ALL DEPTHS

$25,200.00

TOTAL: $25,200.00

ALL MATERIAL IS GUARANTEED TO BE, AS PER SPECIFICATIONS. THE ABOVE WORK

IS TO BE PERFORMED IN ACORDANCE WITH VERBAL INSTRUCTIONS AND

COMPLETED IN A WORK MAN LIKE MANNER.

ECXCLUDES METERS, PERMIT/ BOND, ENGENEER FEES , LAB/ TEST , SURVIYING,

TRAFFIC CONTROL , LANDSCAPE , DAMAGE OF REPLACEMENT OF TREES , BUSHES

OR FENCES, MOVING ANY EXISTING UTILITIES , BYPASSING.

PLEASE CONTACT ME FOR ANY QUESTIONS, BARRON CONTRACTORS

82

SINCERELY,

MARIO BARRON

.

83

005711.000016\4830-0881-5036.v1

LETTER AGREEMENT

This Letter Agreement is effective as of May 20, 2020 by and between Fort Bend County

Municipal Utility District No. 26 (the “District”) and Pulte Homes of Texas, L.P., a Texas

limited partnership (“Pulte”).

The District and Pulte executed a Water, Sewer and Drainage Improvement Financing

and Construction Contract dated April 19, 2017 (the “Reimbursement Agreement”) and pursuant

to the Reimbursement Agreement Pulte entered into a contract with Burnside Services

(“Contractor”) to construct a storm water lift station and detention channel improvements (the

“Facilities”) pursuant to a contract for “Mustang Trails Drainage Channel Improvements and

Mustang Bayou Sub-regional Detention Facility” pursuant to plans prepared by LJA

Engineering, Inc. and approved by the District and Pulte (the “Contract”).

The plans for the Facilities required at least 3’ of clay as a liner for the detention channel

and as completed, there is less than 3’ of clay in certain places and the District is concerned it

will have higher maintenance costs associated with the detention channel in the future as a result.

The District and Pulte have agreed between themselves as follows:

1. Pulte will pay the District of even date herewith $20,000.00 to offset anticipated

higher maintenance costs of the detention channel.

2. Pulte will pay the District of even date herewith $156,200.00, which is the cost

under the Contract to install the 3’ clay linering (“Liner Reimbursement”) to

offset future repairs and maintenance.

3. The District hereby accepts the Facilities for maintenance and waives any claim

against Pulte that the Facilities were not constructed in accordance with the plans

approved by the District.

3.

4. The amounts paid by Pulte for the Facilities, including the amount paid by Pulte

to the Contractor for the installation of the 3’ clay liner, are reimbursable pursuant

to the terms of the Reimbursement Agreement. In the event Pulte and Contractor

approve a change order to the Contract to remove the 3’ clay liner or a portion

thereof, or if Pulte refuses to pay Contractor for same, the District shall reimburse

Pulte for an operating advance of the same amount pursuant to the terms of the

Reimbursement Agreement. In no event shall the sum of the operating advance

and the construction costs reimbursed to Pulte for the construction of the 3’ clay

liner exceed the amount of the Liner Reimbursement.

Formatted: Indent: Left: 0.5", Hanging: 0.5",Numbered + Level: 1 + Numbering Style: 1, 2,3, … + Start at: 1 + Alignment: Left + Alignedat: 0.5" + Indent at: 0.75"

Formatted: Indent: First line: 0"

84

2 005711.000016\4830-0881-5036.v1

Executed effective as of the date first set forth above.

“DISTRICT”

FORT BEND COUNTY MUNICIPAL

UTILITY DISTRICT NO. 26

By:

Its:

“PULTE”

PULTE HOMES OF TEXAS, L.P.,

a Texas limited partnership

By: Pulte Nevada I LLC,

its general partner

By:

Its:

85

1

Stephanie Pena

From: Davis Bonham

Sent: Monday, May 04, 2020 12:41 PM

To: Stephanie Pena

Subject: FW: Mustang Trails Detention Channel

Attachments: Mustang Bayou Sub-Regional Det Letter.pdf

Email and attachment to be included in the meeting packet. Thanks

From: Patrick Duggan [mailto:[email protected]] Sent: Friday, May 01, 2020 3:21 PMTo: Davis BonhamCc: John G. Cannon ([email protected]); Chris Forrest; Alan McKeeSubject: Mustang Trails Detention Channel

Davis,

I am following up on our conversation from earlier this week regarding FBCMUD 26 . Although we do not believe the absence of a full 3’ of clay lining along the entire detention area will lead to any increased maintenance costs, or is even necessary, in an effort to move forward and have FBCMUD 26 accept the Mustang Trails Detention Channel, we propose as a compromise onetime payment of $20,000 to be used as the MUD feels appropriate for future Channel maintenance items. We based that amount on the attached letter from Stormwater Solutions (SWS). They stated that they don’t anticipate issues with the channel because of the maintenance, seeding and fertilization program that we’ve established, but at our request established budgets for unforeseen erosion for year one and two. SWS estimate for year one is $10,000 and year two is $5,000.

We offer the payment of $20,000 to cover the unforeseen repairs plus an additional $5,000 for miscellaneous items. The offer is contingent on FBCMUD 26 informing Missouri City that it has no objection to the City accepting the channel and that FBCMUD 26 is prepared to assume maintenance responsibilities.

Thank you for your help.

PULTE GROUPPatrick Duggan Vice President- Land Development 713-962-3249

CONFIDENTIALITY NOTICE: This email may contain confidential and privileged material for the sole use of the intended recipient(s). Any review, use, distribution or disclosure by others is strictly prohibited. If you have received this communication in error, please notify the sender immediately by email and delete the message and any file attachments from your computer. Thank you.

87

©2020 Storm Water Solutions, LLC Page 1 of 1

Mr. Pat DugganVice PresidentPulte Group1311 Broadfield Rd, Suite 100Houston, Texas 77084

April 30, 2020

Re: Drainage Channel Improvements and Mustang Bayou Sub-Regional Detention FacilityFort Bend County Municipal Utility District No. 26 (“District”)City of Missouri City, Fort Bend County, Texas

Mr. Duggan:

Pulte Group has contracted with Storm Water Solutions for ongoing maintenance for the above referenced project. The maintenance program includes monthly mowing and handwork as well as seasonal overseeding and fertilization. Based on our experience with the project, we do not anticipate any additional costs associated with the regular maintenance of the facility.

We have recently made improvements and completed repairs on the project related to slope issues and are familiar with the soils present. There are no causes for concern that any additional repairs will be necessary outside of those commonly performed on any given detention basin in and around the Houston area. There is nothing specific to this detention basin that makes it more prone to experiencing issues and/or requiring repairs than any other typical drainage facility. Based on other projects of this size, to be conservative, you could budget for 1-2 issues in the first year at costs of $5,000/repair. After the first year and as turf stabilization continues to improve, you could reduce that by 50%. As we move forward with ongoing maintenance and monitoring, these numbers could be further reduced and/or removed from the budget.

Please feel free to contact us with any questions or comments.

Sincerely,

Blake KridelVice President

Turnkey Storm Water Pollution Control16110 Hollister Street Houston, Texas 77066 (281) 587-5950 Fax: (281) 587-5999

www.stormwatersolutions.com

88

93026-002 468608v1

FORT BEND COUNTY MUNICIPAL UTILITY DISTRICT NO. 26

Order Establishing Code of Ethics,Policies and Procedures for

District Financial Affairs and Management

At a meeting of the board of directors (the “Board”) of Fort Bend County Municipal

Utility District No. 26 (the “District”) held on May 20, 2020, at which a quorum of said Board

was present, as follows:

Demonica Johnson, PresidentCharles Benton, Vice PresidentKevin Wheeler, SecretaryFred Walker, Assistant SecretaryToxie Cockrell, Director/Treasurer

and the following absent:

None

the following business was transacted:

The Order set out below (“Order”) was introduced for consideration of the Board. It was

duly moved and seconded that said Order be adopted; and, after due discussion, said motion

carried by the following vote:

Ayes: All directors present.

Noes: None

The Order thus adopted is as follows:

Any order and amendments thereto, heretofore adopted by the Board, providing for

establishing a code of ethics, policies and procedures for District financial affairs and

management, is hereby revoked upon the effective date of this Order.

The Order hereafter set forth shall become effective on May 20, 2020.

89

2

93026-002 468608v1

ORDER ESTABLISHING CODE OF ETHICS, POLICIES AND PROCEDURES FORDISTRICT FINANCIAL AFFAIRS AND MANAGEMENT

ARTICLE I

CODE OF ETHICS

Section 1.1 Policy Statement

(a) It is the policy of the District that no officer, director or employee of the District

shall have any interest, financial or otherwise, direct or indirect, or engage in any business

transaction or professional activity or incur any obligation of any nature which is in substantial

conflict with the proper discharge of his or her duties for the District in the public interest.

(b) To implement this policy and to strengthen the faith and confidence of the

residents and property owners of the District in the District’s officials and employees, the Board

of the District has adopted the following standards of conduct to be observed by all members of

the Board in the performance of their official duties.

Section 1.2 Dual Office Holding

Directors shall not hold or exercise at the same time more than one civil office of

emolument.

Section 1.3 Open Meetings Act

(a) The Board of the District shall conduct all the affairs and proceedings of the

District in accordance with the requirements of the Texas Open Meetings Act.

(b) Every regular, special or called meeting of the Board of the District shall be open

to the public, unless, in accordance with the Open Meetings Act, the subject matter of the

meeting requires consideration by the Board in a closed meeting or executive session.

Section 1.4 Director Qualifications

(a) To be qualified to serve as a director, a person shall be at least 18 years old, a

resident citizen of the State of Texas, and either own land subject to taxation in the District or be

a qualified voter within the District.

(b) A director shall not serve as a member of the Board of the District if he or she is

related within the third degree of affinity or consanguinity to a developer of property in the

90

3

93026-002 468608v1

District, any other member of the Board, or the manager, engineer, attorney, or any other person

providing professional services to the District.

(c) A director shall not be an employee of any developer of property in the District or

any other director, manager, engineer, or attorney for the District.

(d) A director shall not be a developer of property in the District.

(e) A director shall not serve as an attorney, consultant, engineer, manager, architect,

or in some other professional capacity for the District or a developer of property in the District in

connection with the District or property within the District.

(f) A director shall not be a party to a contract with or along with the District except

for the purchase of public services furnished by the District to the public generally.

(g) A director shall not be a party to a contract with a developer of property in the

District relating to the District or to property within the District (except for contracts limited

solely to purchasing or conveying real property for permanent residence, or commercial

business, or qualifying as a director).

(h) A director shall be disqualified if, during the term of the director’s office, the

director fails to maintain the qualifications required by law to serve as a director.

(i) The Board shall replace a disqualified director within 60 days of determining that

a director is disqualified with a person who would not be disqualified.

(j) Any person who willfully occupies an office as director and exercises the powers

and duties of that office when disqualified under the provisions of this section is guilty of a

misdemeanor under Texas law, and on conviction, shall be fined not less than $100 nor more

than $1,000.00.

Section 1.5 Removal of Director for Failure to Attend Meetings

(a) The Board, by unanimous vote of its remaining members, may remove an

otherwise qualified director if that director has missed one-half or more of the regular meetings

scheduled during the prior twelve (12) months.

(b) Any director removed under Section 1.5(a) above may file a written appeal with

the Texas Commission on Environmental Quality within thirty (30) days after receiving written

notice of the Board action, pursuant to the procedure set forth by Section 49.052(6)(g), Texas

Water Code.

91

4

93026-002 468608v1

Section 1.6 Conflicts of Interest

(a) A director who is financially interested in any contract with the District, or a

director who is an employee of a person who or firm which is financially interested in any

contract with the District, shall disclose that fact to the other directors, and the disclosure shall be

entered into the minutes of the meeting.

(b) An interested director may not vote on the acceptance of such contract or

participate in the discussion on the contract.

(c) If a director or a person related to that director has a substantial interest in a

business entity or in real property that would be pecuniarily affected by an official action taken

by the Board, the director shall file an affidavit with the official record keeper of the district

stating the nature and extent of the interest and shall abstain from further participation in the

matter.

(d) A director commits a criminal offense if the director knowingly fails to provide

the affidavit as described in Subsection (c) hereof or participates in a vote or decision on a matter

if (i) in the case of a business entity in which the director or a person related to that director has a

substantial interest, it is reasonably foreseeable that an action on the matter would confer an

economic benefit on the business entity that is distinguishable from the effect on the public; or

(ii) in the case of a substantial interest in real property, it is reasonably foreseeable that an action

on the matter will have a special economic effect on the value of the property distinguishable

from its effect on the public.

Section 1.7 Conflicts Disclosure

(a) In this Section, the following terms and phrases shall have the following

meanings:

“Agent” means a third party who undertakes to transact some business or manage some

affair for another person by the authority or on account of the other person. The term includes

employee.

“Business Relationship” means a connection between two or more parties based on

commercial activity of one of the parties but does not include the following: a) a transaction that

is subject to rate or fee regulation by a federal, state or local government entity; b) a transaction

conducted at a price and subject to terms available to the public; or c) a purchase or lease of

92

5

93026-002 468608v1

goods or services from a person that is chartered by a state or federal agency and that is subject

to regular examination by, and reporting to, that agency.

“Contract” means a written agreement for the sale or purchase of real property, Goods, or

Services.

“Director” means a Director and any Agent of the District who exercises discretion in the

planning, recommending, selecting, or contracting of a Vendor.

“Family Member” means and includes the following relatives of a Director: mother and

her spouse; father and his spouse; son and his spouse; daughter and her spouse; spouse; and

spouse’s mother, father, son and daughter.

“Family relationship” means and includes the following relatives of a Director: mother

and her spouse; father and his spouse; son and his spouse; daughter and her spouse; grandmother

and her spouse; grandfather and his spouse; brother and his spouse; sister and her spouse;

grandson; granddaughter; aunt; uncle; niece; nephew; great-grandson; great-granddaughter;

great-grandmother; great-grandfather; spouse; spouse’s mother; spouse’s father; spouse’s son;

spouse’s daughter; spouse’s grandmother; spouse’s grandfather; spouse’s grandson; spouse’s

granddaughter; spouse’s brother; or spouse’s sister.

“Gift” means any item(s) with an aggregate value of more than $100 but does not include

the following: a gift given by a Family Member of the person accepting the gift; a political

contribution as defined by Title 15, Election Code; or food accepted as a guest.

“Goods” means personal property.

“Investment Income” means dividends, capital gains, or interest income generated from a

personal or business checking or savings account, share draft or share account, or other similar

account; a personal or business investment; or a personal or business loan.

“Services” means skilled or unskilled labor or professional services, as defined by

Section 2254.002, Government Code (Professional Services Procurement Act).

“Vendor” means any person or the person’s Agent who enters or seeks to enter into a

Contract with the District.

(b) Conflicts Disclosure of Directors and Agents of the District

A Director shall file with the District’s records administrator a conflicts disclosure

statement in the form prescribed by the Texas Ethics Commission (“Ethics Commission”) with

respect to a Vendor if:

93

6

93026-002 468608v1

(1) the Vendor has a Contract with the District or the District is considering

entering into a Contract to do business with the Vendor; and

(2) (i) the Vendor has an employment or other Business Relationship

with the Director or a Family Member of the Director that results in the Director or a

Family Member of the Director receiving taxable income, other than Investment Income,

that exceeds $2,500 during the twelve month period preceding the date that the Director

becomes aware that the Contract has been executed or that the District is considering

entering into a Contract;

(ii) the Vendor has given to the Director or a Family Member of the

Director one or more Gifts in the twelve month period preceding the date the Director

becomes aware that the District is considering entering into a Contract or a Contract has

been executed; or

(iii) the Vendor has a Family Relationship with the Director.

A Director shall file the required conflicts disclosure statement not later than 5:00 p.m. on

the seventh business day after the date the Director becomes aware of facts that require the filing

of the statement. A Director commits an offense, the degree of which is dependent upon the

amount of the Contract, if he or she knowingly violates this subsection. As of the date of

adoption of this Code of Ethics, Chapter 176 of the Texas Local Government Code governs

conflict of interest disclosures of Directors and Vendors.

(c) Conflicts Disclosure by District Vendors

A Vendor shall file with the District’s records administrator a completed conflicts of

interest questionnaire in the form prescribed by the Ethics Commission if the Vendor has a

Business Relationship with the District and:

(1) has an employment or Business Relationship with a Director or a Family

Member of the Director that results in the Director or Family Member of a Director

receiving taxable income, other than Investment Income, that exceeds $2,500 during the

twelve-month period preceding the date that the Vendor becomes aware that a Contract

had been executed or that the District is considering entering into a Contract;

(2) has given Gifts to a Director or Family Member of a Director; or

(3) has a Family Relationship with a Director of the District.

The questionnaire must be filed not later than the seventh business day after the later of:

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(1) the date the Vendor (a) begins discussions or negotiations to enter into a

Contract with the District or (b) submits to the District an application, a response to a

request for proposals or bids, correspondence or other writing related to a potential

Contract with the District; or

(2) the date the Vendor becomes aware (a) of an employment or Business

Relationship with a Director or Family Member of a Director; (b) that a Gift has been

given by the Vendor; or (c) of a Family Relationship with a Director.

A Vendor commits an offense, the degree of which is dependent upon the amount of the

Contract, if he or she knowingly violates this subsection.

Section 1.8 Doctrine of Incompatibility

(a) A director shall not hold another office or position where one office is

accountable or subordinate to the other, or where there is an overlap of powers and duties such

that the director could not independently serve in both positions.

(b) A director shall not hold another office or position that represents interests in

conflict with those represented by the other office.

Section 1.9 Nepotism

A director shall not appoint or vote for or confirm the appointment or employment of any

relative of any member of the Board to any job or position paid for with public funds.

Section 1.10 Bribery

(a) A director shall not ask for, accept or agree to accept, money or anything of value

as consideration for a decision or other exercise of discretion as a public servant.

(b) A director shall reject any benefit for his or her past official actions in favor of

another person.

Section 1.11 Abuse of Office

(a) A director shall not exercise his or her official powers without authority, fail to

perform a required duty, or improperly take or use any District or public property with the intent

to obtain a personal benefit.

(b) A director shall not unlawfully take advantage of his or her official capacity either

to mistreat or to impede an individual.

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(c) A director shall not misuse information that he or she received, in advance of the

public, because of the director’s official capacity, and shall not engage in any business activity

that might lead to the disclosure of confidential information.

(d) A director shall reject any job, favor, or other benefit that might tend, or is

intended, to impair or influence his or her official conduct or independence.

Section 1.12 Registration as Lobbyist

(a) Pursuant to Chapter 305, Texas Government Code, a director must register with

the Texas Ethics Commission (the “Ethics Commission”) if he or she makes a total expenditure

of an amount determined by Ethics Commission rule, but not less than $200 in a calendar

quarter, not including the director’s own travel, food or lodging expenses or the director’s own

membership dues, on activities to communicate directly with one or more members of the

legislative or executive branch of state government to influence legislation or administrative

action. If required to register under the provisions of this section, a director shall register in

accordance with Chapter 305 and the rules of the Ethics Commission.

(b) If required by Ethics Commission rule, a director who communicates directly with

a member of the legislative or executive branch concerning legislative or administrative action,

other than routine matters, shall file with the Ethics Commission the director’s name, the name

of the District, the subject matter of the communication, and other information the Ethics

Commission considers relevant.

(c) District funds may not be used to compensate or reimburse the expenses over $50

of any person for the purpose of communicating directly with a member of the legislative branch

to influence legislation, unless the person being compensated or reimbursed resides in the district

of the member with whom the person communicates, or files a written statement with the

secretary of state that includes the person’s name, the amount of compensation or

reimbursement, and the name of the District. This $50 limitation does not apply if the person is

registered with the Ethics Commission, holds an elective public office, or is a full-time employee

of the District.

(d) A person commits a criminal offense if the person intentionally or knowingly

violates a provision of Chapter 305, Texas Government Code. A person who fails to register as

required shall pay a civil penalty in an amount determined by Ethics Commission rule.

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Section 1.13 Director Open Meetings Training

A Director shall complete a course of training as prescribed by law of not less than one

and not more than two hours regarding the responsibilities of the District and its Board with

regard to the Open Meetings Act (Texas Government Code Chapter 551). The Director must

complete the training not later than the 90th day after the date the Director takes the oath of

office. The District will maintain and make available for public inspection the record of the

completion of the training by Board members. The failure of one or more members of the Board

of Directors to complete the training does not affect the validity of an action taken by the

District.

Section 1.14 Public Information Act Training

A Director shall complete a course of training as prescribed by law of not less than one

and not more than two hours regarding the responsibilities of the District and its Board, its

officers and employees with regard to the Public Information Act (Texas Government Code

Chapter 552). A Director must complete the training not later than the 90th day after the date the

Director takes the oath of office. The District will maintain and make available for public

inspection the record of the completion of the training by the Board members.

ARTICLE II

POLICY FOR COMPENSATION AND TRAVEL EXPENSES

Section 2.1 Policy

Upon approval by the Board, a director may be reimbursed for travel or other reasonable

expenses incurred on behalf of the District upon presentation of a verified statement showing the

number of days actually spent in the service of the District and a general description of the duties

performed for each day of service.

Section 2.2 Fees of Office

A director shall receive a fee of office which shall be established by the Board in a

separate resolution. In no event shall the fee of office exceed the fees of office permitted under

Chapter 49 of the Texas Water Code. Such fees of office shall not include the amount of any

reimbursement for actual expenses of transportation, meals, lodging or other expenses

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reasonably and necessarily incurred while engaging in activities on behalf of the District. A

director shall not receive fees of office for travel.

Section 2.3 Transportation

The District shall reimburse the actual transportation expenses incurred by a director

while performing duties for the District, except that a director may not be reimbursed for

transportation expenses on a common carrier in an amount exceeding the lowest available fare.

Section 2.4 Meals and Lodging

(a) A director shall be reimbursed only for such actual and necessary expenses for

meals (excluding alcohol) and lodging incurred while performing duties for the District. All

expenses shall require an itemized receipt including the establishment, city and date of the

expense.

(b) The reimbursement for lodging shall not exceed the maximum stated amount for

lodging per night at any conference, based upon hotels or other accommodations established for

such conference. Lodging reimbursement for any other travel purpose shall require separate

approval of the Board.

(c) The reimbursement for meals shall not exceed $75.00 per day.

(e) Expenses incurred by the spouse, children or pets (excluding service animals) of a

director shall not be reimbursable.

(f) A director shall be reimbursed only for expenses for which proper documentation

is submitted within ninety (90) days of the incurrence of such expense.

Section 2.5 Advances for Lodging and Transportation

Directors may request an advance for expenses (lodging and transportation only) after

providing reasonable documentation (lodging costs, mapping technology, common carrier

statements, etc.) prior to issuance of any monies. Advances for meals and director fees shall not

be allowed. All advances will be paid at the Board meeting prior to the activity occurring and

shall require Board review and approval prior to the disbursement of funds. In the event a

director requests an advance for an expense that is not incurred, such amount shall be

immediately refunded to the District. Directors shall submit documentation in accordance with

Section 2.4(a) for all expenses, including those paid by an advance.

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ARTICLE III

POLICY FOR PROFESSIONAL CONSULTANT REVIEW


It is the objective of the Board to ensure that the District is receiving the highest quality

professional services from its various consultants. In that regard, the Board shall review the

performance of its consultants based upon the terms of the consultants’ contracts, if any, and the

customs and standards of the community with respect to the profession of the consultants and the

needs of the District.

Section 3.2 Frequency

The Board shall review the performance and contracts of the District’s professional

consultants, including but not limited to the attorney, engineer, tax assessor-collector,

bookkeeper, operator, financial advisor and any other consultant engaged to perform services for

the District at the time for consideration of renewal of a consultant’s contract or at such other

time and frequency as shall be determined by the Board.

Section 3.3 Criteria for Review

(a) The Board’s review of a District consultant shall include an evaluation of the

specific duties and obligations being rendered by the consultant as called for under the terms of

the consultant’s contract.

(b) The review shall also include an evaluation of the quality, economy,

responsiveness and completeness of the consultant’s performance of regular or special projects

requested by the Board and as to the consultant’s responses to Board requests for reports and

specific information within the consultant’s professional area of responsibility.

Section 3.4 Criteria for Selection

It is the intent of the Board when considering a change in consultants to review a

minimum of two (2) proposals when selecting a new consultant for the District.

Section 3.5 Professional Contracts

(a) The Board shall engage an architect registered in the State of Texas to prepare any

architectural plans and specifications for a new building intended for education, assembly, or

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office occupancy whose construction costs exceed One Hundred Thousand Dollars ($100,000)

and which is to be constructed by the District.

(b) In selecting an attorney, engineer, auditor, financial advisor, or other professional

consultant, the Board shall follow the procedures provided in Chapter 2254, Subchapter A, Texas

Government Code, the Professional Services Procurement Act. In making such a selection, the

Board shall not use a competitive bidding process but instead shall award contracts and engage

services of such professionals on the basis of demonstrated competence and qualifications for the

type of professional services to be performed and at fair and reasonable prices, as long as

professional fees do not exceed any maximum provided by law.

Section 3.6 Faithful Performance Bonds

(a) The District shall require that any officer, employee, or consultant who collects,

pays or handles any funds of the District to furnish or provide a bond, payable to the District, in

an amount determined by the Board to be sufficient to safeguard the District.

(b) Such bond shall be conditioned on the faithful performance of that person’s duties

and on accounting for all funds and property of the District. The bond shall be signed or

endorsed by a surety company authorized to do business in the State of Texas.

(c) The Board may pay the premium on surety bonds required out of any available

funds of the District.

ARTICLE IV

POLICY FOR USE OF MANAGEMENT INFORMATION


It is the objective of the Board to ensure that all appropriate financial data, statistics and

reports are made available to the Board regularly and are effectively used by the Board and the

District’s consultants to achieve the most efficient and economical performance of all District

operations and programs.

Section 4.2 Budgets

The Board shall adopt a detailed budget for the District’s general fund for each fiscal year

prior to commencement of the fiscal year, and the Board shall review the District’s performance

in comparison to the budget on a regular basis. The Board shall utilize accepted budgeting

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practices annually to determine debt service requirements for the following year prior to

establishing the annual ad valorem tax rate for the District.

Section 4.3 Audits

(a) The Board or a committee of one or more directors appointed by the Board shall

serve as an audit committee of the Board of Directors. The audit committee shall review

engagement proposals from auditors for approval by the Board, and the audit committee shall

perform such preliminary review of annual audit reports as may be needed prior to final Board

approval to ensure that the audit process results in presentation of complete and accurate audited

financial statements of the District’s position.

(b) The District’s books and financial statements shall be prepared and maintained

according to accepted principles of municipal finance, including but not limited to “Audits of

State and Local Governmental Units” and “Governmental Accounting and Financial Reporting

Standards.”

The president or vice president is authorized to execute and the secretary or assistant

secretary to attest this Order on behalf of the Board and the District.

[REMAINDER OF THIS PAGE INENTIONALLY LEFT BLANK]

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Passed, ordered and approved, this May 20, 2020.

DEMONICA JOHNSONPresident

ATTEST:

KEVIN WHEELERSecretary

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I, the undersigned secretary of the Board of Directors of Fort Bend County Municipal

Utility District No. 26, hereby certify that the foregoing is a true and correct copy of the Order

Establishing a Code of Ethics, Policies and Procedures for District Financial Affairs and

Management adopted by said Board at its regular meeting of May 20, 2020, together with

excerpts from the minutes of said Board’s meeting on that date showing the adoption of said

Order as same appear of record in the official minutes of the Board on file in the District’s office.

I further certify that said meeting was open to the public, and that notice was given in

compliance with the provisions of Tex. Gov’t. Code Ann. § 551.001 et seq. as adopted, and as

suspended in part by the Governor of Texas on March 16, 2020.

Witness my hand and the official seal of said District, this May 20, 2020.

Secretary

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