OCTOBER 23, 2017 MINUTES MEETING OF THE BOARD OF DIRECTORS OF

TRAVIS COUNTY WATER CONTROL & IMPROVEMENT DISTRICT NO. 18

A special meeting of the Board of Directors of Travis County Water · Control and Improvement District No. 18 was held on the 23rd day of October 2017, beginning at 7 :3 0 p.m. at the District's administrative office located at 1502 San Juan Drive, Austin, Texas. Notices of the time, place and the subject of the meeting, and the actions to be taken at the meeting, were posted at the places and for the time required by the laws of the State of Texas.

Agenda Item 1 : Call to order

The meeting was called to order at 7:32 p.m. with the following directors present: President Paul Despres, Vice-President Kim Kaufman, Secretary Jennifer Sullivan and Assistant Secretary Ashley Troy. Also present were Anthony Corbett, legal counsel for the District; Alexia Kolmodin, District Bookkeeper; Robby Callegari and Felix Manka of CMA Engineering (District Engineer); Mike Morin of Crossroads Utility Services, LLC; and members of the public.

Agenda Item 1 : Public Comment

None.

Agenda Item 2: Approval of September 11, 2017 Meeting Minutes

After discussion, Director Despres moved that the Board approve the September 11, 2017 meeting minutes as presented. Director Sullivan seconded the motion, which carried unanimously ( 4-0).

Agenda Item 3: Bookkeepers Report

Alexia Kolmodin presented the monthly Bookkeepers Report. After discussion, Director Sullivan moved that the Board approve the payment of bills and invoices as presented in the Supplemental Bookkeepers Report. Director Kaufman seconded the motion, which carried unanimously.

Agenda Item 4: Resolution Relating to Bookkeepers Account

After a brief summary by Mr. Corbett, Director Troy moved that the Board adopt Resolution No. 17-1023-1 amending the District Bookkeeper's expenditure authority. Director Sullivan seconded the motion, which carried unanimously.

Agenda Item 5: Amendment to District Information Form

Director Sullivan moved that the Board approve the Amendment to District Information Form to reflect the District's 2017 adopted tax rate. The motion was seconded by Director Troy and carried unanimously.

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Agenda Item 6: Utility Operator's Report Regarding Water Service Operations

Mr. Morin presented his monthly report regarding water system repairs and operations. Among other matters, he summarized customer billing adjustments. Mr. Morin also presented delinquent customer accounts to send to collections. After discussion, Director Kaufmann moved that the Board approve the following: (i) write-off of both the $6, 102.48 Accounts Receivable referenced on Page 6 of the Monthly Operations Report, and of the delinquent former customer account sums referenced on Pages 9 and 10 of the Operations Report; and (ii) to send to collections the former delinquent customer account sums referenced on Page 10 of the Operations Report. Director Sullivan seconded the motion, which carried unanimously.

Mr. Morin reported that 149 termination of service notices would be sent to current delinquent customers. The Board directed him to proceed.

Agenda Item 7: Expenditures for District Property, Facility and Equipment Repairs, Maintenance and Improvements

Mr. Morin requested authorization to retain contractors to clean up three District properties as follows: (i) the District's lot adjacent to the administrative office at a cost of $2,500; (ii) the District's Bal Harbor facility at a cost of $750; and (iii) the Woodlake facility at a cost of $350. Director Troy moved that the Board authorize the clean up projects to proceed and to approve payment. Director Sullivan seconded the motion, which carried unanimously.

Agenda Item 8: Water Quality Testing and Compliance Matters

Mr. Morin provided a report regarding the status of water quality testing activities and results. He described different operational practices undertaken to improve the TTHM compliance. Mr. Morin noted that a TCEQ quarterly sampling event would be conducted at the end of October and expressed confidence that the results would be below 80 parts per billion, but did not know whether the results would be low enough to bring the District's running annual average below the same level.

Agenda Item 9: Internet and Phone Service

After discussion, Director Sullivan moved that the Board approve payment of the Windstream Invoice for service termination. Director Troy seconded the motion, which carried unanimously.

Agenda Item 10: Proposal by CMA Engineering

The Board discussed a proposal from CMA Engineering to prepare a water system model. After discussion, Director Sullivan moved that the Board approve the proposal. Director Kauffman seconded the motion, which carried unanimously.

Agenda Item 11: Engineer's Status Report Regarding Pending Engineering Projects

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(a) Waterline Location and Easement Matters- Mr. Callegari reported that the waterline surveying project was ongoing.

(b) Site Plan- Mr. Callegari reported that City of Austin staff would not support the District's request for grandfathering, and would not support a request for variance to the impervious cover restrictions applicable to the District's water treatment facility lot. He noted that he had a meeting scheduled with legal counsel to discuss alternative strategies to secure authorization to construct a chemical storage facility on the site.

Agenda Item 12: Service Extension Policies

Mr. Corbett presented a draft Service Extension Policy for review and comment by the Board. The Board provided feedback, but took no final action.

Agenda Item 13: District Website and Communications

The Board discussed general communication and website issues. After discussion, the Board concurred that Mr. Morin should serve as the District' s designated spokesperson in connection with any formal public communications. The Board then discussed the benefits of directors having official email addresses. After discussion, Director Despres moved that the Board authorize the creation of District email addresses for each director to discuss District business with members of the public. Director Sullivan seconded the motion, which carried unanimously. The Board also discussed purchasing nameplates for the directors and consultants to be used at Board meetings to allow members of the public to identify District representatives. After discussion, Director Sullivan moved that the Board approve the purchase of nameplates. Director Kauffman seconded the motion, which carried unanimously.

Agenda Item 14: Resignation of Director Bob Breihan

After discussion, Director Sullivan moved that the Board accept the resignation of Director Breihan subject to receipt of proper documentation evidencing his resignation. Director Kauffman seconded the motion, which carried unanimously. The Board directed legal counsel to prepare a draft communication to residents regarding the vacancy.

Agenda Item 13: Adjournment

At 10: 14 p.m., Director Sullivan moved to adjourn the meeting. The motion was seconded by Director Kaufman and passed unanimously. The meeting adjourned at 10: 15 p.m.

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