WEBVTT 00:00:05.070 --> 00:00:08.079 Will begin momentarily. On this date Thursday, 00:00:14.849 --> 00:00:17.239 October 12, 2023. President Reynolds will convene the meeting uh, shortly. If you wish to speak 00:00:17.250 --> 00:00:21.600 during the public comment period. Please unmute your phone, and press *1 00:00:21.609 --> 00:00:24.318 and record your first and last name slowly and clearly 00:00:24.329 --> 00:00:27.469 when prompted. You will be placed in the queue 00:00:27.638 --> 00:00:30.179 in the order that you have identified yourself. 00:00:30.190 --> 00:00:35.359 When it comes time for you to speak. I will announce your name and open your line. 00:00:39.399 --> 00:00:42.700 You will have 1 minute to speak. Good morning everyone, and welcome to the 00:00:42.709 --> 00:00:46.039 California Public Utilities Commission Voting Meeting. I'm calling 00:00:46.048 --> 00:00:48.969 this meeting of October 12, 2023 00:00:48.978 --> 00:00:51.810 Public Agenda No. 00:00:51.819 --> 00:00:55.348 3534 to order. We need to start by establishing a 00:00:55.359 --> 00:00:57.560 quorum. And I did want to note that uh, 00:00:57.569 --> 00:01:00.569 Commissioner Houck is necessarily absent today. 00:01:00.579 --> 00:01:04.418 So Agenda Clerk, could you please call the role? Commissioner Douglas? 00:01:04.430 --> 00:01:08.010 Here. Commissioner John Reynolds? Here. 00:01:08.019 --> 00:01:12.319 Commissioner Shiroma? Here. President Alice Reynolds? Here. 00:01:12.329 --> 00:01:20.168 We have a quorum. Today we're meeting at the San Joaquin County Administration Building in Stockton, California. And I do wanna thank the County of 00:01:20.180 --> 00:01:23.799 San Joaquin for offering the use of their facilites, and for 00:01:24.329 --> 00:01:28.650 giving us such a warm welcome today. It's really great to be here and we appreciate 00:01:28.969 --> 00:01:31.019 uh, the opportunity. 00:01:31.019 --> 00:01:33.879 This meeting is also being livestreamed at 00:01:33.888 --> 00:01:39.099 www.adminmontior.com/ca/cpuc 00:01:39.109 --> 00:01:41.549 And for those watching the livestream, 00:01:41.558 --> 00:01:47.019 close captioning is available in English and Spanish. I do have uh, some administrative 00:01:47.028 --> 00:01:50.129 just housekeeping matters to go over first. And then we'll go into 00:01:50.138 --> 00:01:53.459 the public comment period of today's agenda. 00:01:53.459 --> 00:01:55.838 So on the closed captioning, to view closed captioning. 00:01:55.849 --> 00:01:59.028 Under the instructions are click on the green 00:01:59.040 --> 00:02:02.000 button beneath the webcast video player and follow the instructions 00:02:02.180 --> 00:02:05.969 that appear on screen. Spanish interpretation 00:02:05.980 --> 00:02:09.409 is also available during the public comment portion of today's meeting. 00:02:09.419 --> 00:02:12.659 For Spanish interpretation, dial 1-800- 00:02:12.879 --> 00:02:16.520 857-1917, 00:02:16.528 --> 00:02:20.258 and enter passcode 00:02:21.270 --> 00:02:25.929 3799627#. And follow the instructions 00:02:25.939 --> 00:02:29.020 to be connected to the Spanish line. 00:02:29.028 --> 00:02:33.179 I ask that my colleagues and today's speakers, speak clearly and slowly to 00:02:33.189 --> 00:02:36.360 allow for interpretation. At today's meeting, 00:02:36.800 --> 00:02:39.618 the public will have the opportunity to make 00:02:39.629 --> 00:02:42.520 public comments in-person or by telephone. 00:02:42.528 --> 00:02:46.080 If you wish to make an in-person public comment, please 00:02:46.088 --> 00:02:49.139 visit the Public Advisor's table. Located 00:02:49.149 --> 00:02:52.419 in the back of the conference room, 00:02:52.429 --> 00:02:54.770 back there. Um, uh to add your 00:02:54.979 --> 00:02:57.740 name to the public comment list. If you wish to 00:02:57.750 --> 00:03:01.308 make a public comment by telephone. Please dial 00:03:01.319 --> 00:03:05.020 1-800-857-1917 00:03:05.028 --> 00:03:07.778 and enter passcode 00:03:07.788 --> 00:03:10.669 9899501 00:03:10.679 --> 00:03:13.258 and # 00:03:13.270 --> 00:03:17.629 and then press *1. You will be placed in a queue 00:03:18.000 --> 00:03:20.990 and the operator will take your name and information. You will then be called 00:03:21.000 --> 00:03:24.229 upon to speak when we get to the public comment period in 00:03:24.240 --> 00:03:27.860 today's agenda. Please note that if there are many callers 00:03:27.868 --> 00:03:30.588 the wait to speak maybe long. If you 00:03:30.599 --> 00:03:33.319 encounter difficulty calling into the public telephone 00:03:33.330 --> 00:03:36.189 line. Please dial votingmeetinghelp@ 00:03:36.199 --> 00:03:39.679 cpuc.ca.gov 00:03:39.689 --> 00:03:42.520 For those of you who are not able to provide oral 00:03:42.528 --> 00:03:45.500 public comments at today's public voting meeting. 00:03:45.508 --> 00:03:49.808 Or for those who would like to submit more lengthy comments, you 00:03:49.819 --> 00:03:53.308 may submit written comments. Written comments can be sent 00:03:53.319 --> 00:03:57.659 to us in two ways. One via an online form found in 00:03:57.669 --> 00:04:00.669 each proceedings online docket card. Or two, 00:04:00.679 --> 00:04:02.800 directly to our Public Advisor's. 00:04:02.808 --> 00:04:06.788 Or you may call 1-866- 00:04:06.800 --> 00:04:09.819 849-8390. 00:04:09.830 --> 00:04:13.550 You can also visit our website and click on the make a comment 00:04:13.558 --> 00:04:15.719 icon. 00:04:15.729 --> 00:04:18.259 Um, I did want to 00:04:18.269 --> 00:04:21.410 take a moment, before we start public comment. To note and 00:04:21.420 --> 00:04:25.269 recognize, celebration of National Disability 00:04:25.278 --> 00:04:28.548 Employment Awareness Month in October. 00:04:28.559 --> 00:04:31.639 Uh, National Disability Employment Awareness Month was 00:04:31.649 --> 00:04:36.449 created in 1988. To help raise awareness regarding 00:04:36.459 --> 00:04:38.528 ways to better achieve meaningful 00:04:38.540 --> 00:04:41.970 inclusion and celebration of individuals with disabilities 00:04:41.980 --> 00:04:45.629 in the American workforce. Today, we continue that 00:04:45.639 --> 00:04:48.709 tradition by recognizing this year's National theme. 00:04:48.720 --> 00:04:53.178 of Advancing Access in Equity. Advancing Access 00:04:53.189 --> 00:04:56.459 in Equity means supporting works with mental health 00:04:56.470 --> 00:04:58.670 issues. Um, 00:04:58.678 --> 00:05:03.608 promoting accessible workplace technology and fostering competitive integrated 00:05:03.619 --> 00:05:07.928 employment opportunities. National Disability Employment 00:05:07.939 --> 00:05:11.129 Awareness Month provides an annual opportunity to 00:05:11.139 --> 00:05:13.790 00:05:13.798 --> 00:05:17.678 00:05:17.689 --> 00:05:22.649 00:05:22.660 --> 00:05:26.569 00:05:26.579 --> 00:05:31.209 them y'all. So, um anyways, uh a little Aggie sound 00:05:31.220 --> 00:05:34.014 that y'all make who I think it's fitting for that, 00:05:34.024 --> 00:05:36.454 right? Everyone want to whoop. No, I'm not gonna make 00:05:36.463 --> 00:05:39.095 you do it. Um No, but we had a, we had a 00:05:39.105 --> 00:05:42.415 very successful bond sale and I think it's just a testament 00:05:42.423 --> 00:05:46.894 to Texas water and to the good work that uh Georgia 00:05:46.903 --> 00:05:50.673 and D PM do every day. Um They are very deliberate 00:05:50.684 --> 00:05:53.375 in who they pick to be in our syndicate and who that 00:05:53.384 --> 00:05:57.535 seniors and Wells Fargo did an incredible job. So, 00:05:57.545 --> 00:06:02.509 um well done and snaps and you know, all good things 00:06:02.519 --> 00:06:07.079 So, and with that item number two, chairwoman, item 00:06:07.088 --> 00:06:10.389 number two is consider authorizing the publication 00:06:10.399 --> 00:06:14.730 of notices of intent to review rules in 31 Texas administrative 00:06:14.738 --> 00:06:21.709 code chapters 3 57 58 59 60 63 64 67 71 75 00:06:21.720 --> 00:06:26.189 and 77. And Kendall Kal is here to present to the board 00:06:26.199 --> 00:06:29.619 on this item today. Good morning, chairwoman Pop director 00:06:29.629 --> 00:06:32.079 Payton, Director Stephanie, I'm Kendall Kowal of the 00:06:32.088 --> 00:06:35.119 executive administrator staff. This item includes the 00:06:35.129 --> 00:06:37.920 proposed publication of notices of intent to review 00:06:37.928 --> 00:06:41.259 rules in various chapters of the agency's administrative 00:06:41.269 --> 00:06:44.838 rules in December of 2022 the board approved a schedule 00:06:44.850 --> 00:06:47.488 of review for the agency's rules and according to that 00:06:47.500 --> 00:06:50.528 schedule, this item proposes to publish a notice of 00:06:50.540 --> 00:06:53.879 intent to review review rules for 10 chapters. Chapter 00:06:53.889 --> 00:06:57.509 3 57 Regional Water Planning, Chapter 3 58 state water 00:06:57.519 --> 00:07:00.689 Planning guidelines. Chapter 3 59 water banking which 00:07:00.699 --> 00:07:04.399 includes the Water Trust as well. Chapter 3 60 designation 00:07:04.410 --> 00:07:08.199 of river and coastal basins. Chapter 3 63 financial 00:07:08.209 --> 00:07:10.608 assistance programs which governs our state funded 00:07:10.619 --> 00:07:15.139 programs. Chapter 3 64 model subdivision rules. Chapter 00:07:15.149 --> 00:07:18.619 3 67 agricultural water Conservation program. Chapter 00:07:18.629 --> 00:07:22.100 3 71 drinking water State revolving fund. Chapter 3 00:07:22.108 --> 00:07:26.139 75 Clean Water State Revolving Fund and Chapter 3 77 00:07:26.149 --> 00:07:29.220 the Hydrographic survey program, uh staff will review 00:07:29.230 --> 00:07:31.819 these rules to determine whether the factual legal 00:07:31.829 --> 00:07:34.428 and policy reasons for adopting the rules continue 00:07:34.439 --> 00:07:37.750 to exist and whether the rules should be repealed, 00:07:37.759 --> 00:07:40.869 readopted or readopted with amendments. Um If staff 00:07:40.879 --> 00:07:43.350 recommends any changes to the rule chapters, pursuant 00:07:43.358 --> 00:07:46.600 to staff review or public comments, uh those changes 00:07:46.608 --> 00:07:49.199 will be brought to you in a separate board item. Um 00:07:49.209 --> 00:07:51.939 If approved, these notices will be filed with the Texas 00:07:51.949 --> 00:07:54.600 register and open for a 30 day public comment period 00:07:55.269 --> 00:07:57.798 The executive administrator recommends approval of 00:07:57.809 --> 00:08:01.048 this item and I'm available for any questions. Thanks 00:08:01.059 --> 00:08:06.119 Kendall questions, comments. Yeah, it no comments from 00:08:06.129 --> 00:08:09.459 me and uh thanks. It's just, I I understand it's 10 00:08:09.470 --> 00:08:12.069 chapters. So a heavy lift for staff. So thank you very 00:08:12.079 --> 00:08:14.259 much. We look forward to the feedback. It's a team 00:08:14.269 --> 00:08:17.278 effort. So I can't take all the credit. It's a lot 00:08:17.290 --> 00:08:19.889 Um 18 years in state government and I've worked at 00:08:19.899 --> 00:08:22.439 a lot of different agencies. I really feel like we 00:08:22.449 --> 00:08:25.410 have the best General Councils division in the state 00:08:25.420 --> 00:08:28.019 and I brag on this agency all the time. But y'all just 00:08:28.028 --> 00:08:30.858 do an extraordinary job and you're very thorough. You 00:08:30.869 --> 00:08:34.460 have a really small team, but y'all are just um excellent 00:08:34.469 --> 00:08:37.830 at what you do. So, Ashley, congratulations on all 00:08:37.840 --> 00:08:42.840 your your team. So, with that, yeah, Director Peyton 00:08:42.849 --> 00:08:45.940 do you have a motion uh madam chair? I move, we authorized 00:08:45.950 --> 00:08:48.830 the publication of notices of intent to review rules 00:08:48.840 --> 00:08:52.719 in 31 Texas administrative code chapters 3 57 3 58 00:08:52.729 --> 00:08:58.250 3 59 3 63 63 3 64 3 67 3 71 3 00:08:58.259 --> 00:09:02.889 75 and 3 77. As recommended by our executive administrator 00:09:03.229 --> 00:09:05.729 Is there a second a second? All those in favor. Say 00:09:05.739 --> 00:09:11.019 hi, hi, the motion passes. Thanks kind. 00:09:11.019 --> 00:09:14.908 Ashley Adam. Number three, please. 00:09:14.908 --> 00:09:17.779 Chairman item number three is considered adopting with 00:09:17.788 --> 00:09:22.080 changes the previously proposed amendments to 31 Texas 00:09:22.090 --> 00:09:26.440 administrative code chapters 3 61 and 3 62 relating 00:09:26.450 --> 00:09:29.808 to regional and state flood planning. And Rem Zun is 00:09:29.820 --> 00:09:37.168 here to present to the board on this item today. 00:09:37.168 --> 00:09:40.080 Good morning, Chairman pop Director Payton and Director 00:09:40.090 --> 00:09:43.440 Stephanie for the record. And in June of the executive 00:09:43.450 --> 00:09:47.129 administrators, staff uh the 2019 Texas legislature 00:09:47.139 --> 00:09:50.250 and Governor Abbott greatly expanded TWD BS role in 00:09:50.259 --> 00:09:53.918 flood planning making the TW DB responsible for administering 00:09:53.928 --> 00:09:56.979 the state and regional flood planning process with 00:09:56.989 --> 00:10:00.000 flood planning regions based on river basins. With 00:10:00.009 --> 00:10:02.658 the near completion of the first cycle of regional 00:10:02.668 --> 00:10:05.479 flood planning. There was a need to modify the rules 00:10:05.489 --> 00:10:08.450 prior to the second cycle of planning. The goal of 00:10:08.460 --> 00:10:10.779 this amendment process was to make the regional flood 00:10:10.788 --> 00:10:13.200 planning process more efficient while providing the 00:10:13.210 --> 00:10:15.989 level of information needed to compile a comprehensive 00:10:16.000 --> 00:10:20.099 state flood plan. As 1st, 1st step of the rulemaking 00:10:20.109 --> 00:10:23.899 update process. The TW DB solicited preliminary input 00:10:23.908 --> 00:10:26.349 from a wide variety of regional flat mining group of 00:10:26.359 --> 00:10:29.178 stakeholders to better inform the development of the 00:10:29.190 --> 00:10:32.548 draft proposed amendments to the rules. Uh The preliminary 00:10:32.558 --> 00:10:35.979 input received was incorporated into the draft proposed 00:10:35.989 --> 00:10:39.989 amendments to the rules on April 6th 2023. The board 00:10:40.000 --> 00:10:43.080 authorized the publication of the draft proposed amendments 00:10:43.090 --> 00:10:46.320 to the rules which were published in the Texas register 00:10:46.330 --> 00:10:50.678 on April 21st 2023. Public comment was accepted for 00:10:50.690 --> 00:10:55.359 30 days until May 22nd of 2023 comments were received 00:10:55.369 --> 00:10:58.899 from entities comprising 26 pages of written comments 00:10:59.298 --> 00:11:02.219 Uh tw DB appreciated the comments and made a number 00:11:02.229 --> 00:11:05.440 of changes as a result. The proposed changes to the 00:11:05.450 --> 00:11:10.080 rules in chapter 3 61 includes but are not limited 00:11:10.090 --> 00:11:12.759 to the following. The amendment rules require that 00:11:12.769 --> 00:11:15.479 as part of the technical memorandum of deliverable 00:11:15.489 --> 00:11:18.950 the RFPGS provide a summary and maps of locations that 00:11:18.960 --> 00:11:22.340 are considered to be the greatest flood risk. Uh The 00:11:22.349 --> 00:11:25.418 amendment require public meeting to uh meetings to 00:11:25.428 --> 00:11:28.279 take public comment related to the draft regional flood 00:11:28.288 --> 00:11:31.960 plan to be held in a central location in the flood 00:11:31.969 --> 00:11:36.200 planning region. This was required by the statute based 00:11:36.210 --> 00:11:38.599 on the preliminary feedback from the RFPGS and the 00:11:38.609 --> 00:11:41.570 technical consultants that some requirements were overly 00:11:41.580 --> 00:11:44.840 burdensome and impractical. The proposed rule amendments 00:11:44.849 --> 00:11:47.668 removed the requirements that the regional flood plans 00:11:47.678 --> 00:11:51.899 included the future conditions analysis for the 0.2% 00:11:51.908 --> 00:11:54.229 an all chance flood plain and the requirement of an 00:11:54.239 --> 00:11:57.000 equitable comparison and consistent assessments of 00:11:57.009 --> 00:12:00.830 all potentially visible if flood media projects and 00:12:00.840 --> 00:12:04.330 flood management strategies. However, TW DB received 00:12:04.340 --> 00:12:07.418 significant input during the formal public input period 00:12:07.428 --> 00:12:10.408 recommending the restoration of both of these requirements 00:12:10.629 --> 00:12:15.460 and they were restored. Uh The the proposed amendment 00:12:15.469 --> 00:12:17.960 move the flood mitigation need analysis before the 00:12:17.969 --> 00:12:20.619 development of flood mitigation and flood management 00:12:20.629 --> 00:12:22.840 goals. 00:12:22.840 --> 00:12:27.389 Um The proposed amendment uh requires uh clarifies 00:12:27.440 --> 00:12:31.519 a clarification that the TW DB ranking of flood mitigation 00:12:31.950 --> 00:12:35.649 strategies will only include those that have non recurring 00:12:35.658 --> 00:12:40.090 non capital cost changes to Chapter 3 62 was minor 00:12:40.099 --> 00:12:43.908 and correctional in Na Nature. Uh The attached preamble 00:12:43.918 --> 00:12:48.639 to chapter 3 61 and uh chapter 3 62 provides further 00:12:48.649 --> 00:12:51.859 rule context and describes the public comments received 00:12:51.869 --> 00:12:56.529 and changes made in response to the comments upon adoption 00:12:56.538 --> 00:12:59.149 of the final regional flood planning rules. The executive 00:12:59.158 --> 00:13:02.139 administrators will begin updating the CD guidance 00:13:02.149 --> 00:13:04.599 document including the regional flood planning scope 00:13:04.609 --> 00:13:08.058 of work. Uh This will inform the development of the 00:13:08.070 --> 00:13:11.058 updated contracts which will TW DB will enter into 00:13:11.070 --> 00:13:15.019 the planning group sponsors expecting in um early next 00:13:15.029 --> 00:13:18.210 year, the input received from the stakeholders were 00:13:18.219 --> 00:13:21.469 thoughtful and constructive and resulted in beneficial 00:13:21.479 --> 00:13:25.369 changes to 31. Texas administrative code chapters 3 00:13:25.379 --> 00:13:29.489 61 and 3 62. We'd like to thank all the stakeholders 00:13:29.500 --> 00:13:33.288 who took the time to provide feedback. Um On our end 00:13:33.298 --> 00:13:35.649 I would like to take this opportunity to acknowledge 00:13:35.658 --> 00:13:39.029 flood planning. Staff members specifically began ingram 00:13:39.038 --> 00:13:42.349 and our dedicated attorney and mass. We look forward 00:13:42.359 --> 00:13:44.798 to the second cycle of regional flood planning being 00:13:44.808 --> 00:13:47.889 supported by this enhanced and updated rules based 00:13:47.899 --> 00:13:50.649 on regional flood planning groups and public feedback 00:13:51.129 --> 00:13:53.399 Uh The executive administrator recommends that the 00:13:53.408 --> 00:13:56.580 board adopt which changes the previously proposed amendments 00:13:56.590 --> 00:14:01.609 to 31 Texas administrative code chapters 3 61 and 3 00:14:01.619 --> 00:14:04.678 62 relating to regional and estate flood planning. 00:14:04.869 --> 00:14:07.969 This concludes my presentation and I can take questions 00:14:09.158 --> 00:14:12.219 Thanks for any questions, comments, ream thank you 00:14:12.229 --> 00:14:15.139 so much for the update and uh the work of your staff 00:14:15.149 --> 00:14:17.879 and many others across the agency on this project. 00:14:18.168 --> 00:14:20.038 Uh I just a couple of things I want to point out 00:14:20.048 --> 00:14:22.969 number one, you know, we're ultimately trying to, trying 00:14:22.979 --> 00:14:26.580 to mitigate risk associated with um impacting life 00:14:26.590 --> 00:14:30.469 and property. So this is just a great effort. Uh Two 00:14:30.479 --> 00:14:32.719 things to point out there was quite a bit of coordinating 00:14:32.729 --> 00:14:36.109 with our sister agencies on the, the guidance document 00:14:36.119 --> 00:14:40.109 which I think it's great for, you know, for us to, 00:14:40.119 --> 00:14:43.690 you know, talk across um across the a not across the 00:14:43.700 --> 00:14:46.548 aisle, but with other agencies. I think that's really 00:14:46.558 --> 00:14:49.308 a great thing that your team has done. And then secondly 00:14:49.889 --> 00:14:54.428 you use the example of the 0.2% annual chance floodplain 00:14:54.440 --> 00:14:58.450 um factor and I guess we were going one way and then 00:14:58.460 --> 00:15:00.719 we have significant comments and we turned back around 00:15:00.729 --> 00:15:03.899 and I think that's really the very important point 00:15:03.908 --> 00:15:06.639 that our staff are actually listening to comments and 00:15:06.649 --> 00:15:09.168 responding to the comments and making adjustments as 00:15:09.178 --> 00:15:11.609 necessary. So I just applaud your effort. Thank you 00:15:13.349 --> 00:15:15.399 Yeah, II, I would echo that and I would commend the 00:15:15.408 --> 00:15:17.950 process in general, not only your, your team doing 00:15:17.960 --> 00:15:20.190 a fantastic job, but also just the process of going 00:15:20.200 --> 00:15:23.440 out and soliciting um stakeholder feedback and being 00:15:23.580 --> 00:15:26.599 able uh to appreciate and listen to that feedback and 00:15:26.609 --> 00:15:29.019 incorporate it where appropriate, so great job and 00:15:29.029 --> 00:15:32.548 and great process. Thank you, re you have an excellent 00:15:32.558 --> 00:15:36.820 team. Um Again, TW DB is transparent and we're stakeholder 00:15:36.830 --> 00:15:40.070 driven and we wanna hear from everyone who's impacted 00:15:40.320 --> 00:15:44.989 um by our programs and I, you always thank your team 00:15:45.070 --> 00:15:48.298 I'm gonna thank you today. Um You managed to get uh 00:15:48.308 --> 00:15:53.619 this flood program up and running and a herculean effort 00:15:53.629 --> 00:15:57.080 of three years. And we're gonna deliver the first uh 00:15:57.090 --> 00:16:01.729 statewide flood plan to the ledge next year. It's incredible 00:16:01.739 --> 00:16:06.529 and really thank you and all of your, your staff for 00:16:06.538 --> 00:16:09.788 the efforts. It's, it's a really big deal. So 500 million 00:16:09.798 --> 00:16:15.250 committed right now, 100 and 40 130 flood mitigation 00:16:15.259 --> 00:16:24.599 projects. Um 600 600 now, 600 now mitigation. 00:16:24.599 --> 00:16:30.119 Yes, we move up and our uh statewide flood plan has 00:16:30.129 --> 00:16:36.369 a new capital cost of almost $40 billion. Um Flood 00:16:36.379 --> 00:16:38.889 mitigation is real for the state of Texas and we're 00:16:38.899 --> 00:16:43.119 putting uh the best and the brightest behind it and 00:16:43.129 --> 00:16:46.678 I can't thank you enough. So, with that director Stephanie 00:16:46.690 --> 00:16:49.168 do you have a motion? Yes, madam chair, we adopt the 00:16:49.178 --> 00:16:52.979 changes, the previously proposed amendments to 30 Texas 00:16:52.989 --> 00:16:56.548 administrative code chapters 361 and 362 relating to 00:16:56.558 --> 00:16:59.048 regional and state flooding planning. As recommended 00:16:59.058 --> 00:17:01.349 by our executive administrator. Is there a second? 00:17:02.149 --> 00:17:05.949 All those in favor say the motion passes. Thank you 00:17:06.140 --> 00:17:10.180 Thank you so much. Ashley. Item number four, please 00:17:10.459 --> 00:17:13.809 Chairwoman. Item number four is consider approving 00:17:13.818 --> 00:17:18.640 internal audits fiscal year 2024 audit plan and Nicole 00:17:18.650 --> 00:17:21.549 Campbell is here to present to the board on this item 00:17:21.559 --> 00:17:29.039 today. 00:17:29.039 --> 00:17:32.890 Um Good morning chair pop director Payton and director 00:17:32.900 --> 00:17:35.380 Stepney for the record. I'm Nicole Campbell. I'm the 00:17:35.390 --> 00:17:38.559 board's internal audit director. This item is to consider 00:17:38.568 --> 00:17:40.890 approving the internal audit division's fiscal year 00:17:40.900 --> 00:17:44.380 2024 audit plan. Before I begin, I just want to take 00:17:44.390 --> 00:17:47.019 the opportunity to express our sincere appreciation 00:17:47.029 --> 00:17:50.239 to staff management, executive administration and to 00:17:50.250 --> 00:17:52.750 each of you for participating in this year's risk assessment 00:17:52.759 --> 00:17:55.500 process and contributing towards the development of 00:17:55.509 --> 00:17:58.650 the plan. I also want to confirm that the board's internal 00:17:58.660 --> 00:18:02.219 audit program is carried out with objectivity and independence 00:18:02.459 --> 00:18:05.049 and that the division currently has the resources necessary 00:18:05.059 --> 00:18:08.130 to do the work outlined in the plan, the Internal Auditing 00:18:08.140 --> 00:18:10.449 Act and professional auditing standards require the 00:18:10.459 --> 00:18:12.489 development of an audit plan based on a systematic 00:18:12.500 --> 00:18:15.108 assessment of risk. The Act also requires that the 00:18:15.118 --> 00:18:17.650 plan be presented to the board for review and approval 00:18:18.199 --> 00:18:21.900 The fiscal year 2024 plan allocates resources to complete 00:18:21.910 --> 00:18:25.868 risk based and statutorily required audits, carry forward 00:18:25.880 --> 00:18:29.180 audits and follow up on prior audits, administrative 00:18:29.189 --> 00:18:31.500 responsibilities and requirements as well as other 00:18:31.838 --> 00:18:34.920 uh audit activities anticipated for the year were also 00:18:34.930 --> 00:18:38.549 included in the plan. And additionally, uh contingency 00:18:38.559 --> 00:18:41.368 projects were selected and can be performed if our 00:18:41.380 --> 00:18:44.578 allocated to the planned audits are not fully expended 00:18:44.588 --> 00:18:48.199 or agency priorities change. This concludes my presentation 00:18:48.209 --> 00:18:51.150 and I'm available for any questions, Nicole questions 00:18:51.160 --> 00:18:54.670 comments. Thank you, Nicole and I support the audit 00:18:54.680 --> 00:18:56.900 plan. I just want to say that I think internal audit 00:18:56.910 --> 00:19:00.880 provides an a very critical function for our agency 00:19:00.890 --> 00:19:04.259 Um always providing great input to improve our effectiveness 00:19:04.269 --> 00:19:07.328 and our overall governance and to mitigate risk. And 00:19:07.338 --> 00:19:11.269 when you're an agency as large as ours um with a portfolio 00:19:11.279 --> 00:19:14.219 like ours and then with daily day operations is really 00:19:14.229 --> 00:19:17.489 important and not only does Nicole's group um conduct 00:19:17.500 --> 00:19:19.969 internal audits, but she also coordinates with I'll 00:19:19.979 --> 00:19:22.868 say external auditors that come to audit our functions 00:19:22.880 --> 00:19:25.189 And so I just appreciate your effort and your team's 00:19:25.199 --> 00:19:28.108 effort. Thank you so much. I, I would, I would echo 00:19:28.118 --> 00:19:31.699 that as well. Um The role y'all play is critical. Um 00:19:31.709 --> 00:19:34.848 The professionalism that you all and your team carry 00:19:34.858 --> 00:19:38.479 out um is, is top notch. Uh I think I speak for 00:19:38.489 --> 00:19:40.549 all of us when it allows us to sleep better at night 00:19:40.559 --> 00:19:44.289 knowing that y'all are uh on top of things um and carrying 00:19:44.299 --> 00:19:47.769 out a, a very professional and well run internal audit 00:19:47.779 --> 00:19:53.750 service, so great job. Yeah, but a again echo our two 00:19:53.759 --> 00:19:57.739 board members sentiments. Um Not every agency really 00:19:57.750 --> 00:20:02.858 likes their internal auditors. Um It's um you know 00:20:02.880 --> 00:20:07.108 a peak behind the curtain is sometimes never um never 00:20:07.118 --> 00:20:11.670 appreciated. But um our internal audit is not adversarial 00:20:11.680 --> 00:20:15.479 and you work so well with the agency and um you know 00:20:15.489 --> 00:20:20.469 the the work product is, is really, really uh necessary 00:20:20.479 --> 00:20:24.900 and um you do a great job. So, um you know, kudos 00:20:24.910 --> 00:20:27.489 to you 00:20:27.489 --> 00:20:30.529 with that uh Director Peyton, is there a motion madam 00:20:30.539 --> 00:20:33.469 chair? I move, we approve the fiscal year 24 internal 00:20:33.479 --> 00:20:36.439 audit plan as recommended by our executive administrator 00:20:36.449 --> 00:20:38.910 Is there a second a second? All those in favor. Say 00:20:38.920 --> 00:20:44.219 I I the motion passes. Thanks Nicole. All right. Item 00:20:44.229 --> 00:20:48.199 number five, please. Ashley, 00:20:48.199 --> 00:20:50.689 the chairwoman. Item number five is considered approving 00:20:50.699 --> 00:20:53.848 by resolution. The establishment of the lending rate 00:20:53.858 --> 00:20:57.009 scales for the Swed financing structures to be effective 00:20:57.019 --> 00:21:01.130 October 5th 2023 and David Duran is here to present 00:21:01.140 --> 00:21:04.420 to the board on this item today. Good morning chair 00:21:04.430 --> 00:21:07.229 own pop director Peyton and director Sty for the record 00:21:07.430 --> 00:21:09.939 I'm David Duran. The executive administrative staff 00:21:10.420 --> 00:21:12.640 the executive administrator is recommending the adoption 00:21:12.650 --> 00:21:15.150 of lending rate scales for borrowers receiving funds 00:21:15.160 --> 00:21:17.318 from the state water implementation and revenue fund 00:21:17.328 --> 00:21:21.618 for Texas revenue bonds series 2023 A and taxable series 00:21:21.630 --> 00:21:26.029 2023 B on Wednesday, September 27th. The board priced 00:21:26.039 --> 00:21:29.420 the bonds to provide new money proceeds for borrowers 00:21:29.430 --> 00:21:32.189 closing on board committed projects in the state water 00:21:32.199 --> 00:21:35.729 plan. The board will issue just over 1 billion of bonds 00:21:35.739 --> 00:21:38.459 to generate approximately 1 billion of proceeds to 00:21:38.469 --> 00:21:41.049 provide to borrowers. And the bonds were issued at 00:21:41.059 --> 00:21:45.699 a 4.69% all in true interest cost. The boards bonds 00:21:45.709 --> 00:21:48.380 will close on October 12th and Swift borrowers will 00:21:48.390 --> 00:21:51.640 have until December 7th to close on their bonds in 00:21:51.650 --> 00:21:55.009 board participation master agreements. The proposed 00:21:55.019 --> 00:21:57.088 lending rates are calculated based upon the yield of 00:21:57.098 --> 00:22:00.189 maturity on the board's bonds less the applicable subsidies 00:22:00.199 --> 00:22:03.088 previously adopted by the board in April of this year 00:22:03.098 --> 00:22:07.689 plus four basis points for the series 2023 A bonds 00:22:07.699 --> 00:22:12.699 and plus 19 basis points for the 2023 B bonds representing 00:22:12.709 --> 00:22:15.640 the board's cost of issuance with the adoption of the 00:22:15.650 --> 00:22:18.588 proposed lending rates. Staff has estimated that entities 00:22:18.598 --> 00:22:22.250 will realize savings of approximately 100 and $33 million 00:22:22.259 --> 00:22:25.618 by utilizing the Swift Program and inclusive of all 00:22:25.630 --> 00:22:29.019 previous swift bond sales, swarf bond sales savings 00:22:29.029 --> 00:22:32.989 of approximately $1.5 billion. The executive administrator 00:22:33.000 --> 00:22:35.108 recommends approval and I'm happy to answer any questions 00:22:35.118 --> 00:22:37.279 You have 00:22:37.279 --> 00:22:40.108 questions, comments. 00:22:40.108 --> 00:22:42.818 Um So thank you. Thank you for the effort on the swift 00:22:42.828 --> 00:22:47.239 of course, is um just so important for water infrastructure 00:22:47.250 --> 00:22:50.299 in Texas. And uh I really don't have any common 100 00:22:50.309 --> 00:22:54.348 and $30 million savings for entities. This is extraordinary 00:22:54.358 --> 00:22:58.039 Thank you. Yeah. Cornerstone program, I mean, I, I've 00:22:58.049 --> 00:23:00.939 said it time and time again. This is a fantastic program 00:23:00.949 --> 00:23:03.598 Um It's fantastic to see it hit price. Um where it 00:23:03.608 --> 00:23:06.368 did we, how are we relative to, to treasuries? We're 00:23:06.380 --> 00:23:10.318 kind of right on top of treasuries. Was there a we 00:23:10.328 --> 00:23:13.328 had a spread to treasuries? Yeah, I should have a bit 00:23:13.338 --> 00:23:16.189 of a spread but, but not too far, right. I mean, I 00:23:16.199 --> 00:23:20.318 think it was in line with our prior spreads. Um Yeah 00:23:20.979 --> 00:23:24.380 M MD and, and, and, and treasuries, you know, maybe 00:23:24.390 --> 00:23:26.680 we're tightening, but I think we still had a sizable 00:23:26.689 --> 00:23:30.449 spread because that's our normal pricing range. Yeah 00:23:30.459 --> 00:23:32.920 I, I will, I will say it's pretty impressive to see 00:23:32.930 --> 00:23:35.650 the state of Texas having AAA AAA, you know, credit 00:23:35.660 --> 00:23:38.509 rating above the sovereign, which you don't see that 00:23:38.519 --> 00:23:41.400 often. Um It was fantastic. And again, I, I mean, I 00:23:41.430 --> 00:23:43.348 think the service that we're providing and the, and 00:23:43.358 --> 00:23:45.949 the function of the swift and how it actually mechanically 00:23:45.959 --> 00:23:50.449 works for communities is just tremendous. Um So great 00:23:50.459 --> 00:23:54.279 job. These are great rates. Yep, it's the gold standard 00:23:54.289 --> 00:23:56.739 of infrastructure lending programs in the country. 00:23:56.979 --> 00:24:01.939 Uh 1.5 billion now. Um of savings to our, our borrowers 00:24:01.949 --> 00:24:05.630 That's, that is absolutely extraordinary. Um The, the 00:24:05.640 --> 00:24:08.469 swift is, is working, it's doing exactly what it was 00:24:08.479 --> 00:24:12.848 supposed to do. Um Excited to see um what it holds 00:24:12.858 --> 00:24:16.469 in the future. Um Bond sales sometimes aren't fun. 00:24:16.910 --> 00:24:21.588 Uh This one was pretty jovial and pretty fun. Um for 00:24:21.598 --> 00:24:25.858 the day. Um So I think that's because Georgia and D 00:24:25.868 --> 00:24:29.779 PM put in so much work uh beforehand, so got there 00:24:29.789 --> 00:24:34.108 and just, you know, did what Texas water does so well 00:24:34.118 --> 00:24:37.949 done. 11 more thing to quickly chairwoman that, that 00:24:37.959 --> 00:24:41.170 1.5 billion you referenced comes at an ultimate taxpayer 00:24:41.180 --> 00:24:44.380 cost of only a couple $100 million. Um Which is, which 00:24:44.390 --> 00:24:46.729 is incredible. You talk about one of the best uses 00:24:46.739 --> 00:24:50.309 of taxpayer funds. Awesome. How can you, we've used 00:24:50.318 --> 00:24:53.449 $300 million or so, maybe a little bit more to save 00:24:53.459 --> 00:24:59.279 taxpayers 1.5 billion. Uh Incredible and the swift 00:24:59.289 --> 00:25:02.420 is working. Um It's doing exactly what the ledge really 00:25:02.430 --> 00:25:04.838 wanted it to do and it's because we've got a great 00:25:04.848 --> 00:25:07.400 team behind it, so appreciate it and appreciate the 00:25:07.410 --> 00:25:10.709 trust as well. Um Couldn't do it without uh the controller's 00:25:10.719 --> 00:25:14.759 office and the trust. So, is there a motion director 00:25:14.769 --> 00:25:18.880 Stephanie Yes madam chair I move, we adopt the proposed 00:25:18.890 --> 00:25:22.049 resolution. The establishment of the lending rate scale 00:25:22.059 --> 00:25:25.098 for the swf financing structure to be effective. October 00:25:25.108 --> 00:25:28.289 5th 2023 is recommended by our executive administrator 00:25:28.588 --> 00:25:32.880 Is there a second? All those in favor say the passes 00:25:35.279 --> 00:25:39.500 Ashley. Item number six, please. Uh Item number six 00:25:41.338 --> 00:25:44.380 I number six is considered approving the adopted minor 00:25:44.390 --> 00:25:48.650 amendment to the 2021 region h regional water plan 00:25:48.660 --> 00:25:51.608 and authorizing the executive administrator to hold 00:25:51.618 --> 00:25:55.219 the associated 2022 state water plan public hearing 00:25:55.410 --> 00:25:57.539 And Heather Rose is here to present to the board on 00:25:57.549 --> 00:26:01.670 this item today. Good morning, chairwoman pop director 00:26:01.680 --> 00:26:04.328 Stephanie and director Peyton for the record. My name 00:26:04.338 --> 00:26:07.858 is Heather Rose of the executive administrator staff 00:26:08.318 --> 00:26:11.719 The adopted minor amendment to the 2021 regional region 00:26:11.729 --> 00:26:14.789 H regional water plan adds an additional recommended 00:26:14.799 --> 00:26:18.380 water management strategy and project. The Lower Neches 00:26:18.390 --> 00:26:22.568 Valley diverse pump station relo relocation. This project 00:26:22.578 --> 00:26:25.390 sponsored by the Lower Inches Valley Authority will 00:26:25.400 --> 00:26:28.880 replace an existing raw water pump station with a higher 00:26:28.890 --> 00:26:31.779 capacity pump station, a new intake structure on the 00:26:31.789 --> 00:26:35.588 Trinity River and discharge structures. The amendment 00:26:35.598 --> 00:26:39.779 adds a capital cost of approximately $17.6 million 00:26:39.789 --> 00:26:43.390 to the plan. The new facility will provide approximately 00:26:43.400 --> 00:26:47.019 9000 acre feet per year in additional water supply 00:26:47.029 --> 00:26:50.289 to address water supply needs of the irrigation water 00:26:50.299 --> 00:26:53.759 user groups. This amendment was previously reviewed 00:26:53.769 --> 00:26:56.219 by the executive administrator and determined to be 00:26:56.229 --> 00:27:00.088 a minor amendment. A determination response was provided 00:27:00.098 --> 00:27:04.150 to the Planning group on July 7th 2023. The region 00:27:04.160 --> 00:27:06.509 h planning group held a public meeting and adopted 00:27:06.519 --> 00:27:09.479 this amendment on August 3rd of this year and no public 00:27:09.489 --> 00:27:12.930 comments were received on the amendment. 00:27:12.930 --> 00:27:15.759 If the board approves this amendment authorization 00:27:15.769 --> 00:27:18.989 is also requested to hold a public hearing for a proposed 00:27:19.000 --> 00:27:22.410 amendment to the 2022 state water plan. After a 30 00:27:22.420 --> 00:27:25.559 day notice period, the board will be asked to consider 00:27:25.568 --> 00:27:28.640 approving a state water plan amendment at a future 00:27:28.650 --> 00:27:32.049 board meeting. The executive administrator recommends 00:27:32.059 --> 00:27:35.229 approval of this item. This concludes my presentation 00:27:35.239 --> 00:27:38.449 and I am happy to answer any questions. Thanks, Heather 00:27:38.459 --> 00:27:43.969 questions, comments. Thank you. Um Heather, as I understand 00:27:43.979 --> 00:27:46.229 it, this is an important project to the AG users in 00:27:46.239 --> 00:27:50.068 that area. So and also you did a great job going over 00:27:50.078 --> 00:27:54.189 the process. So um the region has the regional group 00:27:54.199 --> 00:27:57.289 has approved and then one more step to get it approved 00:27:57.299 --> 00:28:00.959 by the board for the state plan. So no comments. Payton 00:28:01.269 --> 00:28:04.479 Yeah, I I would just applaud the the flexibility um 00:28:04.489 --> 00:28:07.769 and willingness of of not only our agency but region 00:28:07.779 --> 00:28:11.809 h uh to incorporate new projects um and then get them 00:28:11.818 --> 00:28:14.459 added to their regional plan and the state water plan 00:28:14.578 --> 00:28:18.858 Um I think that flexibility, you know, um shows some 00:28:18.868 --> 00:28:22.189 adaptability and things aren't set in stone when, when 00:28:22.199 --> 00:28:24.088 great projects come up, that are that are beneficial 00:28:24.098 --> 00:28:26.390 for the area they can be included in and added in and 00:28:26.400 --> 00:28:28.789 eligible for for funding from the agency from swift 00:28:28.799 --> 00:28:32.269 So, yeah, well said um the water planning process is 00:28:32.279 --> 00:28:35.289 not a static process. It's a living breathing process 00:28:35.299 --> 00:28:38.858 where we work with all the 16 regional water plans 00:28:38.868 --> 00:28:41.029 and make sure that they have the projects they need 00:28:41.289 --> 00:28:44.279 in the state water plants. So this just goes to show 00:28:44.289 --> 00:28:48.170 that we're flexible and, and we can evolve as needed 00:28:48.459 --> 00:28:52.239 So, uh Heather, thank you very much, Director Peyton 00:28:52.250 --> 00:28:54.759 Do you have a motion madam chair? I move, we approve 00:28:54.769 --> 00:28:58.459 the adopted minor amendment to the 2021 region uh H 00:28:58.469 --> 00:29:01.519 regional water plan and authorize the executive administrator 00:29:01.660 --> 00:29:04.519 to hold the associated 2022 state water plan public 00:29:04.529 --> 00:29:07.140 hearing as recommended by our executive administrator 00:29:07.150 --> 00:29:09.779 Is there a second a second? All those in favor say 00:29:09.789 --> 00:29:13.539 I the motion passes. Thanks, Heather, appreciate you 00:29:14.500 --> 00:29:18.519 Ashley. Item number seven, please, chair and item seven 00:29:18.529 --> 00:29:21.779 is considered authorizing the executive administrator 00:29:21.949 --> 00:29:25.039 to execute multiple contracts in a total amount not 00:29:25.049 --> 00:29:29.769 to exceed $1,300,000 for Lidar data collection and 00:29:29.779 --> 00:29:32.750 quality control in Texas under the Strategic Mapping 00:29:32.759 --> 00:29:36.039 program and their associated contracts at the Texas 00:29:36.049 --> 00:29:39.479 Department of Information Resources. Uh Richard Wade 00:29:39.489 --> 00:29:41.959 is here to present to the board on this item today 00:29:42.989 --> 00:29:45.828 Good, good morning chairwoman Pop Director Peyton, 00:29:45.838 --> 00:29:47.769 Director Stephanie for the record. My name is Richard 00:29:47.779 --> 00:29:52.229 Wade of your executive staff uh text geo primary role 00:29:52.239 --> 00:29:55.650 is to develop statewide data layers uh for the state 00:29:55.660 --> 00:29:58.709 agencies and for the public. Our primary role is for 00:29:58.719 --> 00:30:01.689 the completeness, accuracy and integrity of that information 00:30:02.309 --> 00:30:04.699 Light R is probably one of the most important data 00:30:04.709 --> 00:30:08.289 sets that we have at the state level. Um It's primarily 00:30:08.299 --> 00:30:11.338 uh developed by using aircraft to create a three dimensional 00:30:11.348 --> 00:30:14.318 model of the earth's surface. And it's uh highly uh 00:30:14.328 --> 00:30:17.489 accurate engineering grade level for use for all applications 00:30:17.500 --> 00:30:21.529 Primarily things like uh uh flood planning, flood mitigation 00:30:21.539 --> 00:30:26.140 Also to coastal erosion, coastal hurricane uh storm 00:30:26.150 --> 00:30:28.390 surge modeling, watershed modeling facilities just 00:30:28.400 --> 00:30:33.479 to name a few. Um This particular item um is focused 00:30:33.489 --> 00:30:36.439 on an area uh uh four watersheds primarily of 7000 00:30:36.449 --> 00:30:40.489 square miles in North Central and East Texas uh extending 00:30:40.500 --> 00:30:43.618 primarily across the Sabine Red Lake Texoma, Upper 00:30:43.630 --> 00:30:47.759 Trinity and Little basin watersheds. The counties involved 00:30:47.769 --> 00:30:49.568 in that the primary counties involved with that are 00:30:49.578 --> 00:30:54.009 Archer Jack Lampasas in Smith County. These data are 00:30:54.019 --> 00:30:56.680 starting to become aged uh after eight years, they 00:30:56.689 --> 00:30:59.348 lose their integrity when it comes to the federal quality 00:30:59.358 --> 00:31:03.640 specifications. Uh They become what is uh considered 00:31:03.650 --> 00:31:07.489 not, not valid after about eight years. Smith County 00:31:07.500 --> 00:31:11.358 is plan to uh to contribute slightly to, to this project 00:31:11.368 --> 00:31:13.019 not a lot, but they have a little area. They wanted 00:31:13.029 --> 00:31:14.848 us to make sure that we got. So we're gonna do that 00:31:14.858 --> 00:31:17.588 Their contribution is, is probably not to exceed about 00:31:17.598 --> 00:31:21.789 $20,000. In addition, we have a 3d elevation program 00:31:21.799 --> 00:31:26.719 grant from the US GS of a of approximately $272,000 00:31:26.848 --> 00:31:29.180 which we will apply to this program. And it's, it'll 00:31:29.189 --> 00:31:33.539 just be a pass through. Um The other thing to mention 00:31:33.549 --> 00:31:36.568 is that liar isn't just for, for the, the things I've 00:31:36.578 --> 00:31:39.318 mentioned, it also yields residual products that we 00:31:39.328 --> 00:31:42.739 create, uh things like our buildings database. Uh It's 00:31:42.750 --> 00:31:45.789 primarily used for, you know, uh stream restoration 00:31:45.799 --> 00:31:49.719 change detection. 911 level information is really, 00:31:49.729 --> 00:31:51.719 really critical specifically when you extract those 00:31:51.729 --> 00:31:54.150 building data out of light. R. So anything that's eight 00:31:54.160 --> 00:31:56.709 years old, that data becomes aged quickly when you 00:31:56.719 --> 00:32:00.900 when you have those data products. Um So with, with 00:32:00.910 --> 00:32:04.000 that, the executive administrator uh recommends approving 00:32:04.009 --> 00:32:06.039 this item and I'm happy to take any questions you may 00:32:06.049 --> 00:32:10.400 have. Thanks, Richard questions, comments. You know 00:32:10.410 --> 00:32:13.358 I'm just happy that we're investing in. Um this technology 00:32:13.368 --> 00:32:16.400 lidar has just really been a game changer and I really 00:32:16.410 --> 00:32:19.979 liked um your presentation because it highlights uh 00:32:19.989 --> 00:32:22.709 how many uses there are for this type of data, not 00:32:22.719 --> 00:32:26.779 just water related, right? You talked about 911 building 00:32:26.789 --> 00:32:30.078 for um and other agencies and private entities use 00:32:30.088 --> 00:32:34.750 the data or the public. So I support the item paint 00:32:35.189 --> 00:32:38.400 Yeah. No, th this falls squarely in the, in the aspect 00:32:38.410 --> 00:32:41.848 of TGO and, and the agency being a science repository 00:32:41.858 --> 00:32:45.269 for this type of information. So it's incredibly impactful 00:32:45.299 --> 00:32:48.348 Um, can you remind me just how many different contractors 00:32:48.358 --> 00:32:51.400 we typically use? Is it one contractor that, that flies 00:32:51.410 --> 00:32:54.250 liar for these? Usually depending on the size of the 00:32:54.259 --> 00:32:57.368 project, it could be multiple contractors. And so that 00:32:57.380 --> 00:33:00.140 that gets depend, that's depending on um the timing 00:33:00.150 --> 00:33:01.969 that it takes for us to do that. If we feel like 00:33:01.979 --> 00:33:04.189 one contractor can do it from start to finish in the 00:33:04.199 --> 00:33:07.108 time frame, we will usually award to the one, there's 00:33:07.118 --> 00:33:09.390 usually two contractors though one to actually do the 00:33:09.400 --> 00:33:12.509 project and one to do the quality control. Um, so they 00:33:12.519 --> 00:33:15.650 can check each other and there, there's no, uh, there's 00:33:15.660 --> 00:33:18.739 no issues with that, but if it's a big project and 00:33:18.750 --> 00:33:20.598 we still need it done within a particular time frame 00:33:20.608 --> 00:33:23.630 we could do multiple contracts. Yes. And it's typically 00:33:23.640 --> 00:33:25.920 done in the fall winter when the leaves have dropped 00:33:26.170 --> 00:33:30.338 That is preferred. Yes. Ok, great. No, it, it, I mean 00:33:30.348 --> 00:33:33.650 this, this is again core function of the agency. Uh 00:33:33.660 --> 00:33:37.709 a, a very well, um, planned use of funds so supportive 00:33:37.719 --> 00:33:40.289 of it. Yep, the, the better, the data, the better the 00:33:40.299 --> 00:33:43.449 science, the better the planning. Um, I'd like to applaud 00:33:43.459 --> 00:33:46.568 Smith County. I know $20,000 doesn't seem like a lot 00:33:46.578 --> 00:33:50.368 but for a county that has a lot of different budgetary 00:33:50.380 --> 00:33:53.969 um, issues, I mean, it, it just shows that they are 00:33:53.979 --> 00:33:57.920 they see the value in the liar. So um again, I'm not 00:33:57.930 --> 00:34:00.509 allowed to call you tener anymore according to Patrick 00:34:00.519 --> 00:34:04.199 he and Brian. Um but you have the coolest job in the 00:34:04.209 --> 00:34:07.650 state of Texas and you do um a great service for us 00:34:07.660 --> 00:34:11.090 So thank you. And with that uh director Stephanie, 00:34:11.099 --> 00:34:13.289 do you have a motion? Yes, madam chair, I move. We 00:34:13.300 --> 00:34:15.639 authorize the execution of multiple contracts and the 00:34:15.648 --> 00:34:19.668 total amount not to exceed $1.3 million for light our 00:34:19.750 --> 00:34:23.250 data collection and quality control in Texas using 00:34:23.260 --> 00:34:25.599 the Strategic Mapping program and their associated 00:34:25.610 --> 00:34:29.019 contracts at the Texas Department of Information Resources 00:34:29.030 --> 00:34:31.688 As recommended by our executive administrator. Is there 00:34:31.699 --> 00:34:35.628 a second? All those in favor. Say hi, hi, the motion 00:34:35.639 --> 00:34:39.688 passes. Thanks Richard Ashley. Item number eight, please 00:34:39.809 --> 00:34:43.099 Uh Chairwoman item number eight is consider authorizing 00:34:43.108 --> 00:34:46.608 the executive administrator to execute contracts as 00:34:46.617 --> 00:34:50.018 approved and directed by the federal Emergency Management 00:34:50.028 --> 00:34:54.838 agency in a total amount not to exceed $65 million 00:34:55.018 --> 00:34:58.717 for sub grants from the fiscal year 2021 flood mitigation 00:34:58.728 --> 00:35:02.407 assistance grant program upon notification and a board 00:35:02.809 --> 00:35:05.467 and Cathy Hopkins is here to present to the board on 00:35:05.478 --> 00:35:10.619 this item today. Um Good morning chairwoman pop director 00:35:10.628 --> 00:35:14.360 Peyton directors. Um Stephanie for the record. I'm 00:35:14.369 --> 00:35:16.889 Cathy Hopkins of this thing is really bothering me 00:35:16.898 --> 00:35:21.079 Sorry, I'm short. They're tall. Um For the record. 00:35:21.090 --> 00:35:24.128 I'm Cathy Hopkins of the executive administrator staff 00:35:24.360 --> 00:35:27.039 The Texas Water Development Board is the state agency 00:35:27.050 --> 00:35:29.869 tasked with administering the flood mitigation assistance 00:35:29.878 --> 00:35:33.110 grant program. On behalf of Fe Ma, the flood mitigation 00:35:33.119 --> 00:35:36.110 assistance grant program assists states and communities 00:35:36.119 --> 00:35:39.769 by providing federal funds for cost-effective measures 00:35:39.780 --> 00:35:42.449 to reduce and eliminate the long term risk of flood 00:35:42.458 --> 00:35:45.829 damage and repetti flood damage to repetitive and severe 00:35:45.840 --> 00:35:49.590 repetitive loss, structures and other structures insurable 00:35:49.599 --> 00:35:52.610 Under the national flood insurance program for federal 00:35:52.619 --> 00:35:56.000 fiscal year 2021 the Texas Water Development Board 00:35:56.010 --> 00:35:59.208 forwarded 13 flood mitigation assistance community 00:35:59.219 --> 00:36:02.360 sub applications along with the Texas Water Development 00:36:02.369 --> 00:36:05.199 Board's management cost of application to Fe Ma for 00:36:05.208 --> 00:36:09.329 review and selection. The TW DB was notified by F MA 00:36:09.340 --> 00:36:12.800 that nine of the 13 community sub applications were 00:36:12.809 --> 00:36:16.789 identified for further review. Sub applications selected 00:36:16.800 --> 00:36:22.148 by FA by FF MA work for the city of Athens Conroe 00:36:22.159 --> 00:36:25.539 in Houston, the County of Orange and Montgomery County 00:36:25.550 --> 00:36:28.849 Jefferson County Drainage District. Number six and 00:36:28.860 --> 00:36:32.340 number seven, these sub applications have a total project 00:36:32.349 --> 00:36:37.079 cost of approximately $61.48 million of which approximately 00:36:37.090 --> 00:36:42.438 51.53 million in federal funding with a total community 00:36:42.449 --> 00:36:49.570 match requirement of roughly 9.95 million. Selected 00:36:49.579 --> 00:36:53.489 sub applications anticipate to mitigate 3500 and 90 00:36:53.500 --> 00:36:57.289 flood prone structures. Um complete a scoping project 00:36:57.300 --> 00:37:01.090 and update a community hazard mitigation plan. In addition 00:37:01.099 --> 00:37:04.478 to the nine community sub applications FEMA also selected 00:37:04.489 --> 00:37:08.228 TWD BS management cost application in the amount of 00:37:08.239 --> 00:37:12.250 approximately $4.5 million in federal funding which 00:37:12.260 --> 00:37:17.500 requires the state match of a roughly 759,000. Summary 00:37:17.510 --> 00:37:20.418 of each of these sub applications proposed mitigation 00:37:20.429 --> 00:37:25.128 activities are included in your board. Memo F MA has 00:37:25.139 --> 00:37:29.010 awarded six of the nine sub application within the 00:37:29.019 --> 00:37:33.030 past 45 days. These awards were delayed by a year due 00:37:33.039 --> 00:37:36.708 to Fema's processing and system issues. The remaining 00:37:36.719 --> 00:37:39.688 three will be awarded after Fema's environmental assessment 00:37:39.699 --> 00:37:44.250 process has been completed. F MA may ward um increase 00:37:44.260 --> 00:37:47.438 in the federal funds due to overages caused by inflation 00:37:47.590 --> 00:37:51.699 and increased costs. Staff is requesting $65 million 00:37:51.708 --> 00:37:55.469 instead of the $61.8 million to allow the executive 00:37:55.478 --> 00:37:58.909 administrator flexibility to execute contract amendments 00:37:58.918 --> 00:38:03.699 As awarded by F MA. The executive administrator recommends 00:38:03.708 --> 00:38:06.938 approval by the board to execute contracts with these 00:38:06.949 --> 00:38:10.840 entities as approved and directed by F MA for a total 00:38:10.849 --> 00:38:14.519 federal amount of $65 million for sub applications 00:38:14.800 --> 00:38:18.510 from the Fema's flood mitigation assistance grant program 00:38:18.728 --> 00:38:22.320 This concludes my presentation and I'm here to answer 00:38:22.329 --> 00:38:25.148 any questions you might have. Thanks, Cathy questions 00:38:25.159 --> 00:38:29.750 comments. Um Thank you so much. Just a quick question 00:38:29.760 --> 00:38:33.489 Just to clarify the difference between the 65 61 million 00:38:33.500 --> 00:38:36.250 and the 65 million is we're just trying to account 00:38:36.260 --> 00:38:38.760 for any potential cost overruns which we're seeing 00:38:38.769 --> 00:38:42.030 a lot of. Yes. So um but no comments. Thank you for 00:38:42.039 --> 00:38:44.188 your work. 00:38:44.188 --> 00:38:47.849 You know, this is fantastic. Um uh you know, ability 00:38:47.860 --> 00:38:51.159 to kind of leverage um federal funds. And um we, we 00:38:51.168 --> 00:38:55.360 love taking advantage of that um cognizant of any complications 00:38:55.369 --> 00:38:57.869 that can arise from that funding. Are there any new 00:38:57.878 --> 00:39:01.530 requirements regarding any federal funding that than 00:39:01.539 --> 00:39:03.300 there have been in previous years past? Or is this 00:39:03.309 --> 00:39:07.918 kind of business is normal? Kind of business is normal 00:39:07.929 --> 00:39:11.168 I mean, every funding cycle fe ma I say likes to put 00:39:11.179 --> 00:39:14.570 little treasures in the notice of funding opportunity 00:39:15.000 --> 00:39:17.418 Yeah, little little treasures that we like to find 00:39:17.429 --> 00:39:20.349 to dig out. But there hasn't really been any major 00:39:20.360 --> 00:39:25.378 um overhauls to the the grant program. Um One of the 00:39:25.389 --> 00:39:27.878 the biggest things right now is the additional funding 00:39:27.889 --> 00:39:30.090 that's out there that's available. So we went from 00:39:30.099 --> 00:39:34.889 about 100 and 60 million to 200 million a year to 800 00:39:34.898 --> 00:39:37.909 million a year. So, 00:39:37.909 --> 00:39:40.409 yeah, yeah, that's fantastic. Yeah, your shop's busy 00:39:41.219 --> 00:39:44.559 Um a huge pet peeve of mine is leaving federal dollars 00:39:44.570 --> 00:39:47.128 on the table because another state will just take them 00:39:47.139 --> 00:39:50.519 So um you do a great job, Kathy. Thank you. Thank you 00:39:51.039 --> 00:39:53.228 Uh Director Peyton. Do you have a motion madam chair 00:39:53.300 --> 00:39:55.699 I move, we authorized the executive administrator to 00:39:55.708 --> 00:39:58.869 execute contracts as approved and directed by the Federal 00:39:58.878 --> 00:40:01.809 Emergency Management Agency in a total amount not to 00:40:01.820 --> 00:40:04.909 exceed 65 million for sub grants for the fiscal year 00:40:04.918 --> 00:40:08.570 2021 flood mitigation assistance grant program upon 00:40:08.579 --> 00:40:12.239 notification of award is there a second. All those 00:40:12.320 --> 00:40:14.688 in favor say 00:40:14.688 --> 00:40:17.728 thank you, 00:40:17.728 --> 00:40:21.090 Ashley. Item number nine, please, chairwoman. Item 00:40:21.099 --> 00:40:23.539 number nine is considered the appointment of eight 00:40:23.550 --> 00:40:27.329 members to the Water Conservation Advisory Council 00:40:27.398 --> 00:40:29.849 and John Sutton is here to present to the board on 00:40:29.860 --> 00:40:34.128 this item today. Uh Good morning chairwoman pop director 00:40:34.139 --> 00:40:36.378 Stephanie, Director Peyton for the record. I'm John 00:40:36.389 --> 00:40:39.228 Sutton with the executive administrator staff. This 00:40:39.239 --> 00:40:42.510 item is to fill six expired in two vacant positions 00:40:42.519 --> 00:40:45.989 on the water conservation Advisory council. Uh councils 00:40:46.000 --> 00:40:49.320 comprised of 23 volunteers representing different interest 00:40:49.329 --> 00:40:52.628 groups and provides expertise in water conservation 00:40:52.639 --> 00:40:56.010 to the Texas legislature, Texas Water Development Board 00:40:56.019 --> 00:40:58.360 Texas Commission on environmental quality, as well 00:40:58.369 --> 00:41:01.688 as to other political subdivisions in the public. Two 00:41:01.699 --> 00:41:04.579 of the main responsibilities of the council include 00:41:04.639 --> 00:41:07.958 developing water conservation, best management practices 00:41:08.378 --> 00:41:11.269 and a legislative report every two years that provides 00:41:11.280 --> 00:41:14.769 an overview of conservation in Texas with recommendations 00:41:14.780 --> 00:41:18.628 to further conservation in the state to fill the vacancies 00:41:18.639 --> 00:41:22.090 Staff sought no uh nominations through correspondence 00:41:22.099 --> 00:41:25.079 with interest groups, professional organizations, regional 00:41:25.090 --> 00:41:28.148 water planning groups and notice on the council's website 00:41:28.159 --> 00:41:32.489 Save Texas water. 11 nominations were received. The 00:41:32.500 --> 00:41:35.280 executive administrator recommends the following appointments 00:41:35.289 --> 00:41:38.809 to the advisory council with terms expiring August 00:41:38.820 --> 00:41:44.239 31st, 2029 Troy Hill Environmental Protection Agency 00:41:44.250 --> 00:41:48.260 to represent federal agencies, Karen Goose San Antonio 00:41:48.269 --> 00:41:51.458 Water System to continue to represent municipalities 00:41:51.679 --> 00:41:55.840 Donna, how capital area, suburban ex suburban exchange 00:41:55.849 --> 00:41:59.179 to continue to represent mu Municipal utility districts 00:41:59.789 --> 00:42:04.619 and with terms expiring August 31st 2027 Whitney Milberger 00:42:04.809 --> 00:42:08.139 North Fort Bend, uh Water authority to represent landscape 00:42:08.148 --> 00:42:12.469 irrigation and horticulture, Stacy Pandy Lower Colorado 00:42:12.478 --> 00:42:16.289 River Authority to represent river authorities as well 00:42:16.300 --> 00:42:18.750 as several state agencies are also represented on the 00:42:18.760 --> 00:42:22.128 council and designate their own representatives um 00:42:22.139 --> 00:42:27.378 for, for this round. Uh The um excuse me that for the 00:42:27.389 --> 00:42:30.800 Texas Commission on Environmental Quality uh has designated 00:42:30.809 --> 00:42:35.188 Leslie Patterson, uh the Texas Department of Agricultural 00:42:35.389 --> 00:42:39.668 uh Doctor David Villarreal and for Texas Water Development 00:42:39.679 --> 00:42:43.228 Board. Uh Sam Hermit, be glad to answer any questions 00:42:43.719 --> 00:42:46.760 Thanks, John, questions, comments. Thank you, John 00:42:46.769 --> 00:42:48.889 Um First of all, thanks for working to get all of the 00:42:48.898 --> 00:42:51.489 nominations. And I just wanted to say thank you to 00:42:51.500 --> 00:42:54.148 all of the volunteers for providing their service. 00:42:54.159 --> 00:42:56.309 Conservation is important. And so thank you for your 00:42:56.320 --> 00:42:58.429 service. 00:42:58.429 --> 00:43:01.148 Yes. No, II I would say the exact same thing. Thank 00:43:01.159 --> 00:43:04.139 you um to, to every to all the nominees for um for 00:43:04.148 --> 00:43:06.938 their willingness to serve on the council and conservation 00:43:06.949 --> 00:43:08.949 makes up roughly a third of the state water plan. So 00:43:08.958 --> 00:43:14.579 it's a, it's a massive uh massive impact. Yep. Um No 00:43:14.590 --> 00:43:19.079 we, we depend a lot on our volunteer army. Um You know 00:43:19.090 --> 00:43:22.179 these are people professionals that have jobs and families 00:43:22.188 --> 00:43:24.619 and they're stepping up to, to ensure that the state 00:43:24.628 --> 00:43:27.659 of Texas has the water it needs. So we're very appreciative 00:43:28.030 --> 00:43:30.239 and with that director, Stephanie, do you have a motion 00:43:30.329 --> 00:43:32.579 Yes, ma'am madam chair and we we approve the appointment 00:43:32.590 --> 00:43:35.389 of eight members to the Water Conservation Advisory 00:43:35.398 --> 00:43:37.500 Council. As recommended by our executive administrator 00:43:37.628 --> 00:43:41.469 Is there a second? All those in favor say I unless 00:43:41.599 --> 00:43:45.289 you can. Thank you, John Ashley. Item number 10, please 00:43:45.708 --> 00:43:49.219 Chairwoman. Item number 10 is consider approving by 00:43:49.228 --> 00:43:53.260 resolution a request from the chat Water Supply Corporation 00:43:53.489 --> 00:43:56.958 for $3 million in financing from the Texas Water Development 00:43:56.969 --> 00:43:59.610 Fund for planning design and construction of a water 00:43:59.619 --> 00:44:03.320 system improvements project. And Tom Barnett is here 00:44:03.329 --> 00:44:06.739 to present to the board on this item today. Hey, good 00:44:06.750 --> 00:44:09.989 morning chairman P director Peyton, Director Stepney 00:44:10.050 --> 00:44:12.320 uh for the record. I'm Tom Barnett of the executive 00:44:12.329 --> 00:44:15.489 administrator. Staff Chat Water Supply Corporation 00:44:15.500 --> 00:44:18.840 provides water service to approximately 725 residents 00:44:19.090 --> 00:44:21.860 across a large rural service area in southern Hill 00:44:21.869 --> 00:44:25.780 County, south of the metroplex. The corporation's existing 00:44:25.789 --> 00:44:28.500 water sources include one groundwater well in the Trinity 00:44:28.510 --> 00:44:31.849 aquifer and treated surface water purchased from Aquila 00:44:32.059 --> 00:44:35.090 Water Supply district with these supplies, they are 00:44:35.099 --> 00:44:37.918 unable to meet the minimum supply capacity requirement 00:44:37.929 --> 00:44:41.599 of 0.6 gallons per minute per connection. Uh That is 00:44:41.610 --> 00:44:43.958 required by the Texas Commission on environmental quality 00:44:44.628 --> 00:44:46.889 Additional water supplies needed for the corporation 00:44:46.898 --> 00:44:49.648 to adequately serve its existing customers and to be 00:44:49.659 --> 00:44:51.958 positioned to take on new customers in the future. 00:44:52.860 --> 00:44:55.188 The corporation's proposed project includes drilling 00:44:55.199 --> 00:44:58.559 a new well in the Trinity, Trinity aquifer, a new chlorine 00:44:58.570 --> 00:45:02.208 disinfection system to treat the new raw, raw groundwater 00:45:02.219 --> 00:45:07.309 supply, a new 10,000 gallon ground storage tank and 00:45:07.320 --> 00:45:10.050 a new pump station and piping to connect the new supply 00:45:10.059 --> 00:45:12.269 to the corporation's existing distribution system. 00:45:13.309 --> 00:45:16.199 The executive administrator recommends approval approval 00:45:16.208 --> 00:45:18.918 of this item and that includes my presentation. I'm 00:45:18.929 --> 00:45:21.199 happy to answer any questions next time, questions 00:45:21.208 --> 00:45:26.369 comments. Um Hi Tom. Yeah. So certainly this project 00:45:26.378 --> 00:45:31.000 is important because they have some compliance issues 00:45:31.010 --> 00:45:34.369 and we want it where we can be of assistance in helping 00:45:34.378 --> 00:45:38.429 them provide um safe water for their, for their residents 00:45:38.438 --> 00:45:41.500 is really important. Um Can you just talk about a little 00:45:41.510 --> 00:45:45.239 bit about the, the financials and the uh the rate increases 00:45:45.250 --> 00:45:48.159 that are, that have taken place and that are needed 00:45:48.889 --> 00:45:53.659 Sure. Um They have had some, the corporation has implemented 00:45:53.668 --> 00:45:59.510 um $30 in rate increases earlier this year. Um And 00:45:59.570 --> 00:46:02.300 we, we project, they'll need another small additional 00:46:02.309 --> 00:46:05.228 rate increase of about $6 a month to meet our add additional 00:46:05.239 --> 00:46:10.128 bonds test. Um So that is, that does have a significant 00:46:10.139 --> 00:46:14.030 impact on customers. Um However, this project we think 00:46:14.039 --> 00:46:16.168 will put the corporation in a better position going 00:46:16.179 --> 00:46:20.610 forward. Um They've, they've added 42 connections since 00:46:20.619 --> 00:46:24.530 2019. Um They project and they expect to add 70 more 00:46:24.539 --> 00:46:27.750 new connections once this new well is uh completed 00:46:27.760 --> 00:46:31.938 and online. Um And having a second well, will also 00:46:31.949 --> 00:46:34.340 help them with flexibility and their maintenance and 00:46:34.349 --> 00:46:38.148 operations. Give them better resiliency. Um They'll 00:46:38.159 --> 00:46:41.219 still have the surface, the contract with Aquila for 00:46:41.228 --> 00:46:44.619 the surface water, uh which costs them money, but they 00:46:44.628 --> 00:46:46.760 might, they won't have to use it as much if they have 00:46:46.769 --> 00:46:50.340 more self supplied groundwater. Um So in the big picture 00:46:50.349 --> 00:46:53.728 um the project should put the corporation in a, in 00:46:53.739 --> 00:46:57.079 a better financial position in the long term. And this 00:46:57.090 --> 00:46:59.070 financing the, I guess the way we have it laid out 00:46:59.079 --> 00:47:02.289 will result in a quite a bit of savings for them. Um 00:47:02.300 --> 00:47:06.590 I was just, it just kind of, um, I was high, it 00:47:06.599 --> 00:47:08.800 was high. This one was highlighted for me because they're 00:47:08.938 --> 00:47:10.958 two C but they're kind of at the edge of two C 00:47:10.969 --> 00:47:14.969 like a 49 on our, our risk evaluation. But you're sad 00:47:14.978 --> 00:47:17.599 I mean, you've looked at it and we're comfortable with 00:47:17.610 --> 00:47:21.989 um, them being able to repay the debt. Uh, we are and 00:47:22.000 --> 00:47:24.639 the corporation has an existing loan they're paying 00:47:24.648 --> 00:47:28.030 back. They, um, they got funding from us through the 00:47:28.039 --> 00:47:30.780 rural water assistance fund, uh, back in the around 00:47:30.789 --> 00:47:34.610 2009. Um, and they've completed that project and they're 00:47:34.619 --> 00:47:37.918 they're paying off that loan. Thank you. No more questions 00:47:38.699 --> 00:47:40.780 Payton. Um Yeah, just a couple of questions when you 00:47:40.789 --> 00:47:42.679 when you say they're, they're projecting to add 70 00:47:42.688 --> 00:47:45.610 new customers and you're talking about the small $6 00:47:45.619 --> 00:47:48.280 rate increase, is that $6 rate increase? Assuming they 00:47:48.289 --> 00:47:51.769 don't add those 70 or is that assuming they do add 00:47:51.780 --> 00:47:53.958 And then there's the rate increase on that, it's projecting 00:47:53.969 --> 00:47:56.728 no, no change. So new customers coming online will 00:47:56.739 --> 00:48:01.449 help um alleviate pro reduce that needed rate increase 00:48:01.699 --> 00:48:05.378 Ok. Ok, good to know. Um And then, so this is this 00:48:05.389 --> 00:48:07.978 is going through the defund. Uh Was that the best place 00:48:07.989 --> 00:48:10.148 for them? Was it just a timing thing they needed to 00:48:10.159 --> 00:48:13.099 get this done? Why defund versus some of our other 00:48:13.110 --> 00:48:15.728 programs that may have afforded a cheaper cost of capital 00:48:16.119 --> 00:48:18.849 I think it was a timing issue. Um That as you know 00:48:18.860 --> 00:48:23.688 the SRFS are so competitive and um oversubscribed that 00:48:23.969 --> 00:48:26.139 um 00:48:26.139 --> 00:48:28.398 there's, there's not enough of those dollars to go 00:48:28.409 --> 00:48:30.909 around and they, they wanted to move forward due to 00:48:30.918 --> 00:48:33.469 the many issues that we're facing right now, there's 00:48:33.478 --> 00:48:35.989 assurance of, of getting defund dollars, you know, 00:48:36.000 --> 00:48:38.269 um quickly when you need them. That's, that's certainly 00:48:38.280 --> 00:48:41.590 the case. Um ok, great. That, that answers my questions 00:48:41.599 --> 00:48:44.280 Thanks Tom. Ok. Yeah, that's great. Yeah, Defund is 00:48:44.360 --> 00:48:46.750 really flexible when you really need to get a project 00:48:46.760 --> 00:48:49.869 done fast. And I mean, as you know, our SRFS are eight 00:48:49.878 --> 00:48:53.070 times oversubscribed right now. The the need for those 00:48:53.079 --> 00:48:56.905 dollars is extraordinary. So I'm glad we have a program 00:48:56.914 --> 00:49:00.434 that is as flexible and is not easy. None of our programs 00:49:00.445 --> 00:49:04.994 are easy but um more accessible to um smaller communities 00:49:05.003 --> 00:49:07.965 that can get these projects done faster. And you know 00:49:07.974 --> 00:49:10.974 this is a public health issue. So I'm glad that we're 00:49:10.985 --> 00:49:14.043 able to step in with defund and they're putting in 00:49:14.054 --> 00:49:17.614 half a million dollars of, of their, the WS CS capital 00:49:17.625 --> 00:49:20.514 here. So they see the need for this project immediately 00:49:20.603 --> 00:49:24.750 So, and with that director Peyton is there motion madam 00:49:24.760 --> 00:49:27.059 chair I move, we adopt the proposed resolution from 00:49:27.070 --> 00:49:29.989 the Chat Water Supply Corporation for $3 million in 00:49:30.000 --> 00:49:32.769 financing from the Texas Water Development Fund for 00:49:32.780 --> 00:49:35.300 planning design and construction of a water system 00:49:35.309 --> 00:49:37.958 improvements project. As recommended by our executive 00:49:37.969 --> 00:49:40.760 administrator. Is there a second a second? All those 00:49:40.769 --> 00:49:44.800 in favor. Say hi, hi, the motion passes. Thank you 00:49:45.079 --> 00:49:49.590 Thanks Tom. Item number 11. Ashley, chairwoman item 00:49:49.599 --> 00:49:53.329 number 11 is considered amending by resolution. The 00:49:53.340 --> 00:49:56.840 previously adopted Texas Water Development Board resolution 00:49:56.849 --> 00:50:02.389 number 20-064 to transfer a multiyear commitment from 00:50:02.398 --> 00:50:04.949 the North Texas Municipal Water District's Clean Water 00:50:04.958 --> 00:50:07.978 State revolving fund, Rowlett Creek Regional wastewater 00:50:07.989 --> 00:50:11.110 treatment plant project to the North Texas Municipal 00:50:11.119 --> 00:50:13.668 Water District's Clean Water State Revolving fund, 00:50:13.679 --> 00:50:16.750 Sister Grove Regional water resource recovery facility 00:50:16.760 --> 00:50:20.579 project. Ashley, before we start, Joe, um I've been 00:50:20.590 --> 00:50:22.668 told by my chief of staff that I got some of my 00:50:22.679 --> 00:50:26.398 stats wrong and I need to clarify. Um The statewide 00:50:26.409 --> 00:50:29.659 flood plan has a estimated costs that are north of 00:50:29.668 --> 00:50:35.728 $50 billion not $40 billion. Um I think it, yeah, Patrick 00:50:35.739 --> 00:50:38.958 was irritated with me for getting my, my numbers, my 00:50:38.969 --> 00:50:42.829 numbers wrong. So $50 billion for the statewide flood 00:50:42.840 --> 00:50:47.119 plan. That chippy, I know, I know it's like gotta fix 00:50:47.128 --> 00:50:50.099 this and with that. Go ahead. All right. Thank you 00:50:50.110 --> 00:50:53.289 Uh Good morning. My name is Joe Cohen of the executive 00:50:53.300 --> 00:50:58.349 administrator, staff, North Texas municipal water district's 00:50:58.360 --> 00:51:02.050 Upper East Fork Interceptor system service area treats 00:51:02.059 --> 00:51:06.280 wastewater from 12 cities in north central Tex Texas 00:51:06.289 --> 00:51:11.340 providing service to more than 750,000 residents and 00:51:11.349 --> 00:51:17.168 is expected to grow to over 1.2 million by 2040. In 00:51:17.179 --> 00:51:21.829 2020. TW DB approved a commitment to the district for 00:51:21.840 --> 00:51:25.320 the construction of the Sister Grove regional water 00:51:25.329 --> 00:51:30.219 resource recovery facility and a multiyear commitment 00:51:30.228 --> 00:51:34.938 for the expansion of the Rale Creek uh regional wastewater 00:51:34.949 --> 00:51:38.619 treatment plant in order to meet these projected needs 00:51:39.449 --> 00:51:42.989 Construction is underway of the um at the Sister Grove 00:51:43.000 --> 00:51:48.860 facility to date. TW DB has approved over $407 million 00:51:49.059 --> 00:51:52.809 in contracts for this project. However, the district 00:51:52.820 --> 00:51:56.969 has uh experienced construction cost increases due 00:51:56.978 --> 00:52:01.659 to unanticipated site conditions and inflation. The 00:52:01.668 --> 00:52:04.750 district will need additional funding to complete this 00:52:04.760 --> 00:52:09.309 project. At the same time, the district has experienced 00:52:09.320 --> 00:52:12.239 delays in the planning and design phases of the Rale 00:52:12.260 --> 00:52:16.438 Creek project and does not expect these issues to be 00:52:16.449 --> 00:52:21.760 resolved before their commitments expire. The district 00:52:21.769 --> 00:52:25.010 is requesting to transfer the Rale Creek Multiyear 00:52:25.019 --> 00:52:29.079 commitments to the Sister Grove project. This amendment 00:52:29.090 --> 00:52:32.309 will provide additional funds needed for the construction 00:52:32.320 --> 00:52:36.030 of the Sister grove project allow the district to better 00:52:36.039 --> 00:52:39.389 utilize their commitments and to help the district 00:52:39.398 --> 00:52:43.320 meet their service needs. The executive administrator 00:52:43.329 --> 00:52:46.708 recommends approval of this request. This concludes 00:52:46.719 --> 00:52:50.019 my presentation and I'm available for any questions 00:52:50.659 --> 00:52:53.610 show questions comments. Yeah. Do you mind just explaining 00:52:53.619 --> 00:52:56.820 that the, the whole no equivalency and non equivalency 00:52:56.829 --> 00:53:03.239 piece. Yeah. So the equivalency are um the federal 00:53:03.250 --> 00:53:06.688 dollars of the SRF program and the, so there's a few 00:53:06.699 --> 00:53:11.750 more uh requirements associated with that uh such as 00:53:11.760 --> 00:53:19.500 the uh um DB E requirements uh for that uh program 00:53:19.769 --> 00:53:24.849 Uh where and you get a little bit better of a subsidy 00:53:24.860 --> 00:53:30.148 rate for, for equivalency. Ok. Um Nothing else, Doctor 00:53:30.159 --> 00:53:35.110 Payton. Ok. Yeah. So no, no change in our um you know 00:53:35.119 --> 00:53:38.030 loan backing, guarantee any of that from a financial 00:53:38.039 --> 00:53:40.958 security standpoint. Everything. That's correct. It's 00:53:40.969 --> 00:53:43.878 all the same there. Great. No happy to provide the 00:53:43.889 --> 00:53:47.610 flexibility. I think it's a smart move for them. Director 00:53:47.619 --> 00:53:51.409 step. Do you have a motion? Yes, madam chair, I move 00:53:51.418 --> 00:53:55.570 Um We um madam chair, I move, we adopt the proposed 00:53:55.579 --> 00:53:59.148 resolution to amend, previously adopted TW DB resolution 00:53:59.159 --> 00:54:03.269 number 20-064 to transfer a multiyear commitment for 00:54:03.280 --> 00:54:05.739 North Texas municipal Water District's Clean Water 00:54:05.750 --> 00:54:08.534 State revolving fund, Rollick Creek Regional Water 00:54:08.543 --> 00:54:13.054 treatment plant project number 73881 to the North Texas 00:54:13.074 --> 00:54:15.885 municipal water districts Clean Water State revolving 00:54:15.894 --> 00:54:18.804 fund, Sister Grove Regional Water Resource recovery 00:54:18.813 --> 00:54:22.364 Facility project number 73855. As recommended by our 00:54:22.375 --> 00:54:28.570 executive administrator. 00:54:28.570 --> 00:54:31.809 Is there a second a second? All those in favor say 00:54:31.820 --> 00:54:35.550 I thank you. The motion passes. I got the rules one 00:54:35.559 --> 00:54:39.458 earlier. You get that one. You don't want to mess up 00:54:39.469 --> 00:54:41.728 a number or something, you know, and I know they have 00:54:41.739 --> 00:54:47.128 to redo it. Oh, yes. Tragic. Um Item number 12, Ashley 00:54:47.860 --> 00:54:51.030 uh chairwoman item number 12 is considered approving 00:54:51.039 --> 00:54:54.719 by resolution a request from the city of Menard for 00:54:54.728 --> 00:54:57.840 financing from the drinking water state revolving fund 00:54:58.030 --> 00:55:01.590 for planning design and construction of a water treatment 00:55:01.599 --> 00:55:05.340 and water system improvements project. And Jessie Milanovich 00:55:05.349 --> 00:55:07.958 is here to present to the board on this item today 00:55:09.280 --> 00:55:12.648 Good morning, chairwoman pop director Peyton and and 00:55:12.659 --> 00:55:15.329 director Stephanie for the record. My name is Jesse 00:55:15.340 --> 00:55:19.099 Milanovich of the executive administrator, staff, the 00:55:19.110 --> 00:55:22.739 city of Menard uh provides water service to a population 00:55:22.750 --> 00:55:28.389 of approximately 1348 with 790 service connections 00:55:29.050 --> 00:55:33.050 Um In 2009, the city was notified by the Texas Commission 00:55:33.059 --> 00:55:35.829 on environmental quality that its groundwater supply 00:55:36.010 --> 00:55:39.329 is classified as a, as groundwater under the direct 00:55:39.340 --> 00:55:43.179 influence of surface water and the city was then required 00:55:43.188 --> 00:55:46.050 to meet surface water treatment standards for its water 00:55:46.059 --> 00:55:49.878 source. The city uh received previous commitments of 00:55:49.889 --> 00:55:52.619 funds from the economically distressed areas program 00:55:52.628 --> 00:55:56.099 and drinking water state revolving fund for uh some 00:55:56.110 --> 00:55:58.590 water system improvements but the city has not yet 00:55:58.599 --> 00:56:02.059 completed all all of its necessary improvements. The 00:56:02.070 --> 00:56:05.159 proposed work is a continuation of those efforts. Uh 00:56:05.168 --> 00:56:09.208 The city pro proposes to construct water system improvements 00:56:09.219 --> 00:56:12.769 um including a new filtration system, filtration, building 00:56:12.869 --> 00:56:16.179 chemical feed system modifications, improvements at 00:56:16.188 --> 00:56:20.119 its well field, uh rehabilitation of an exi e existing 00:56:20.128 --> 00:56:23.478 elevated storage tank, uh facility, piping modifications 00:56:23.489 --> 00:56:27.510 and related site work. Uh The city qualifies for principal 00:56:27.519 --> 00:56:30.688 forgiveness as a disadvantaged community. The city 00:56:30.699 --> 00:56:34.489 also qualifies for 0% financing as a disadvantaged 00:56:34.500 --> 00:56:37.719 small rural community. The executive administrator 00:56:37.728 --> 00:56:40.469 recommends approval of this request. Uh This concludes 00:56:40.478 --> 00:56:42.898 my presentation and I am available if you have any 00:56:42.909 --> 00:56:46.148 questions. Thanks, Jesse, questions, comments. Uh I 00:56:46.159 --> 00:56:48.519 think it's great that we can provide financing for 00:56:48.530 --> 00:56:52.110 this because we, we're, we want to help the city get 00:56:52.449 --> 00:56:56.079 in the correct alignment with TCQS requirements um 00:56:56.090 --> 00:56:59.000 and basically provide the correct treatment for their 00:56:59.010 --> 00:57:02.110 water supply for their population and it's, you know 00:57:02.119 --> 00:57:05.699 quite a bit, what is it? Uh four or five or a 00:57:05.708 --> 00:57:10.119 little over 4 million $5 million and either 0% of forgiveness 00:57:10.128 --> 00:57:14.050 It's pretty great. So, thank you. Yeah, it's a fantastic 00:57:14.059 --> 00:57:16.349 package for the uh for the community. Can you tell 00:57:16.360 --> 00:57:19.349 me a little bit about the um the history of the, the 00:57:19.360 --> 00:57:22.639 other a uh funds uh that they were given and, and kind 00:57:22.648 --> 00:57:27.869 of the timeline. Yeah, but back in the 2011, um we 00:57:27.878 --> 00:57:31.349 um they were awarded uh ed A funding uh for planning 00:57:31.500 --> 00:57:35.750 uh, some planning phase work. Um, they did a facil 00:57:35.760 --> 00:57:38.949 uh, pretty sure they did a facility engineering, uh 00:57:38.958 --> 00:57:42.739 plan, uh, for improvements at that time. They were 00:57:42.750 --> 00:57:47.829 looking, um, to, uh, maybe drill another well, um, 00:57:47.849 --> 00:57:50.090 in the hickory aquifer, but as we know, the hickory 00:57:50.300 --> 00:57:53.809 aquifer might get radionuclides, you probably will 00:57:53.820 --> 00:57:57.309 get radionuclides in the water. Um, and they determined 00:57:57.610 --> 00:58:00.829 um, as they went through, uh, even the drinking water 00:58:00.840 --> 00:58:06.349 um funding uh back in 2012, uh which was more design 00:58:06.519 --> 00:58:11.418 um and some construction uh phase funds. Um They were 00:58:11.429 --> 00:58:15.090 still investigating uh adding a well. Um But then they 00:58:15.099 --> 00:58:19.208 just decided that wasn't gonna work out due to cost 00:58:19.219 --> 00:58:23.570 of radionuclide treatment uh would have to be put in 00:58:23.579 --> 00:58:27.849 and it just um economically wasn't going to be feasible 00:58:27.860 --> 00:58:31.000 for that little community or small community to, to 00:58:31.010 --> 00:58:34.309 handle that at that time. 00:58:34.309 --> 00:58:37.679 Ok. So the, the commitments where those expended where 00:58:37.688 --> 00:58:40.510 those pulled down and expended and, and this is a continuation 00:58:40.519 --> 00:58:44.739 of, of, of work and projects that they just outrun 00:58:44.750 --> 00:58:48.610 their, the capital allocated or uh yes, they, they 00:58:48.619 --> 00:58:52.369 they do have a, a little bit of funds remaining in 00:58:52.378 --> 00:58:56.090 the uh the, the account for um from the previous uh 00:58:56.099 --> 00:59:01.264 drinking water funding um which could be uh put to 00:59:01.273 --> 00:59:05.144 use towards this effort. Um They did some improvements 00:59:05.155 --> 00:59:10.175 with the, the funds with their meters. Um am r uh work 00:59:10.284 --> 00:59:13.885 um basically like water conservation type measures 00:59:13.894 --> 00:59:19.668 Um because uh it, it seemed to make sense to, to implement 00:59:19.679 --> 00:59:22.349 some water conservation measures to then mitigate, 00:59:22.360 --> 00:59:25.800 having to drill another well and, and it's kind of 00:59:25.809 --> 00:59:29.369 all ties together. Ok. Ok, great, thanks. Thanks. Yeah 00:59:29.719 --> 00:59:33.789 thanks, Jesse. I think um I'm pretty cheesy sometimes 00:59:33.800 --> 00:59:36.429 I think it's time to land this plane and get this project 00:59:36.438 --> 00:59:39.500 over the finish line. Um We never like to see stranded 00:59:39.510 --> 00:59:44.050 projects. So, um I, I applaud the additional funds 00:59:44.059 --> 00:59:47.889 to to get it, get it done. Um And they got a 00:59:47.898 --> 00:59:52.030 great deal. So I know Menard is probably pretty thrilled 00:59:52.039 --> 00:59:54.949 with the financial package they got. So thank you. 00:59:55.228 --> 00:59:58.978 Mhm. Dr Peyton, is there a motion madam chair? I move 00:59:58.989 --> 00:59:59.099 We