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09-16-2021 AgendaAGENDA September 16, 2021 The Schertz /Seguin Local Government Corporation (SSLGC) will meet on Thursday, September 16, 2021 at 1:30 PM. in SSLGC Administrative Building located at 108 W. Mountain Street, Seguin, Texas. All agenda items listed below will be considered for discussion and /or action at said meeting. Call to Order 2. Public Comment 3. Election of Officers — Dudley Wait, President 4. Approval of Minutes for the meeting held August 19, 2021 5. General Manager's Report — Amber Beard, General Manager a. Gonzales County Underground Water Conservation District (GCUWCD) b. Guadalupe County Groundwater Conservation District (GCGCD) c. Region L /GMA 13 d. Operations Update - Valentin T. Ruiz Jr., Assistant General Manager 6. Update Regarding Construction Projects a. Schertz Additional Point of Delivery Project —Joseph Jenkins, Walker Partners b. Parallel Pipeline & Guadalupe Project -Joseph Jenkins, Walker Partners 7. Consideration /Approval of Contract Agreement Extensions (SAWS) with Interlocal Agreement — Valentin T. Ruiz, Jr., Assistant General Manager & Amber Beard, General Manager a. High Service Pump Repair Machinery & Technical /Field Support Service ➢ Resolution #SSLGC R21 -27 b. Well Maintenance Services ➢ Resolution# SSLGC R21 -28 8. Consideration /Approval of Extension of Contract with Evoqua Water Technologies for Sodium Chlorite — Amber Beard, General Manager; Valentin T. Ruiz Jr., Assistant General Manager Resolution # SSLGC R21 -29 9. Consideration/ Approval of Change Order #1 - Contract 4 - Guadalupe Water Treatment Plant — Amber Beard, General Manager; Joe Jenkins, Walker Partners & Valentin T. Ruiz Jr., Assistant General Manager ➢ Resolution # SSLGC R21 -30 10. Legislative Update — Billy Phenix, Phenix Governmental Affairs & .Amber Beard, General Manager 11. Wholesale Water Contract(s) & Well Permit(s) — Amber Beard, General Manager & Valentin T. Ruiz Jr., Assistant General Manager Executive Session Recommended 12. Gonzales County & Guadalupe County Carrizo and Wilcox Water Leases and Property Transactions — Amber Beard, General Manager & Valentin T. Ruiz Jr., Assistant General Manager Executive Session Recommended 13. Executive Session Called under Chapter 551 Government Code, Section 551.071, to seek the advice of its attorney on legal matters, Section 551.072, for deliberations regarding real estate 14. Consider and Take Action as a Result of Agenda Item #13 15. Consideration and /or Action on questions and possible items to be placed on the next agenda 16. Adjournment The listing of an agenda item as a matter to be discussed in open session is not intended to limit or require discussion of that matter in open session if it is otherwise appropriate to discuss the matter in executive session, such as consultation with its attorneys (Tex. Gov't Code, section 551.071), deliberations regarding real estate (Tex. Gov't Code, section 551.072), deliberations regarding a specific officer or employee (Section 551.074), deliberations regarding security (Tex. Gov't Code, section 551.076), and information relating to risk or vulnerability assessment (I "ex. Gov't Code, section 418.183(f)). If, during the discussion of any agenda item, a matter is raised that is appropriate for discussion in executive session the Board may, as permitted by law, adjourn into executive session to deliberate on the matter. The posting of an agenda item as a matter to be discussed in executive session is not intended to limit or require discussion of that matter in executive session. 'T'he Board may discuss in open session any matter for which notice has been given in this notice of open meeting, including an agenda item posted for executive session. In no event, however, will the Board take action on any agenda item in executive session, whether it be posted for open or executive session discussion. SCHERTZ/SEGUIN GOVERNMENT LOCAL BOARD OF DIRECTORS TERMS August , 2021 Place Name Appointment ISchcrtz Term Length Current Office Held Dates of Terms D1 Dudley Wait 5 Years President 01 -01 -2020 through 12 -31 -2024 D2 Jack Hamlett Seguin 5 Years Treasurer 01 -01 -2021 through 12 -31 -2025 D3 David Reiley Seguin 5 Years Vice President 01 -01 -2017 through 12 -31 -2021 D4 Vacant Schertz 5 Years Secretary 01 -01 -2018 through 12 -31 -2022 D5 Robin Dwyer Seguin 5 Years Assistant Secretary 01 -01 -2021 through 12 -31 -2023 M MINUTES OF THE SCHERTZ /SEGUIN LOCAL GOVERNMENT CORPORATION THE STATE OF TEXAS COUNTY OF GUADALUPE SCHERTZ /SEGUIN LOCAL GOVERNMENT CORPORATION On this the 19,' day of August, 2021 the Schertz /Seguin Local Government Corporation (SSLGC) convened at 1:30 PM at SSLGC Administrative Building located at 108 W. Mountain Street, Seguin, Texas. The following board members being present through video and /or audio conference: Dudley Wait President David Reiley Vice- President Robin Dwyer Assistant Secretary Jack Hamlett Treasurer David Scaghola Ex- Officio Donna Dodgen Ex- Officio (phone) The following members were absent: constituting a majority of the persons appointed to the Board and a quorum for the transaction of business, and notice of such meeting having been duly given in 'accordance with the provisions of Texas law. Also in attendance through video and /or audio conference were: Mark Browne City Manager (City of Schertz) (arrived 1:36 P.M.) Charles Kelm Assistant City Manager (City of Schertz) Steve Parker City Manager (City of Seguin) (Arrived 1:32 P.M.) Rick Cortes Deputy City Manager (City of Seguin) Richard Lindner General .Counsel (Davidson, Troilo, Ream & Garza) Tim Howe Director of Water /Wastewater (City of Seguin) Susan Caddell Finance Director (City of Seguin) Stephen Mayfield Public Works (City of Schertz) Jed Walker Consultant (Walker Partners) Joe Jenkins Consultant (Walker. Partners) William "Hunter" Garza ` Consultant (Walker Partners) Bill Klemt Consultant Will Temple Consultant (phone) Steven Siebert San Antonio Water System (phone) Amber Beard General Manager (SSLGC) Valentin T. Ruiz Jr. Assistant General Manager (SSLGC) Clarissa Barrientes Office Administrator (SSLGC) President Wait called the meeting to order at 1:30 PM The second order of business was Recognition of Ken Greenwald or his Services to the Schertz /Seguin Local Government Corporation and the Community 1of5 SSLGC MINUTES 7/15/2021 (5 Pages) Date /Time Printed: 9/10/2021 9:29 AM President Wait expressed his appreciation for Mr. Greenwald's services to the community and the Schertz /Seguin Local Government Corporation. Assistant Secretary Dwyer, Treasurer Hamlett, Vice- President Reiley, Councilman Scagliola, and Schertz City Manager, Mark Browne, added a few words of the time shared with Mr. Greenwald and expressed their appreciation and sadness for the sudden loss of their board member and colleague. Job well done good and faithful servant. The third order of business was Public Comment No Public Comment Valentin T. Ruiz Jr., SSLGC Assistant General Manager, requested to correct the language on item 8 to a north -south partition as recommended by legal counsel. Vice - President Reiley made a motion to approve the July 15, 2021 meeting minutes with the amended language. Treasurer Hamlett seconded. Upon a vote being called, the motion carried by unanimous decision. Mrs. Beard updated the Board on the following: • GCUWCD The monthly meeting was held August 10, 2021. A copy of the agenda was included in the board packet. The next monthly meeting is scheduled for September 14, 2021. • GCGCD The monthly meeting was held August 12, 2021. A copy of the agenda packet was included in the board packet. The next monthly meeting is scheduled for September 9, 2021. • Region L Region L held a virtual meeting on August 5, 2021. A copy of the agenda was included in the board packet. Elections to fill vacancies were held and Amber Beard was elected to fill the voting member position in the Water Utilities interest area. The agenda item to select a technical consultant firm for the 2026 Regional Water Plan was tabled to the next meeting. The next meeting is scheduled for November 4, 2021. • GNU 13 The next meeting is scheduled for September 17, 2021. • Operations Update Mr. Ruiz went over the operations report that was included in the board packet. • Water Production Seasonal pumping and monthly water sales charts were included in the board packets. Water production for the month of June was 62.1% of the Gonzales County Underground Water Conservation District's monthly allowable. The sixth order of business was Consideration /Approval of Contract 2 — Roads and Wells Collection Piping Project — Joe Jenkins, Walker Partner; Amber Beard, General Manager; Valentin T. Ruiz Jr., Assistant General Manager President Wait made a motion to approve Resolution # SSLGC R21 -25. Assistant Secretary Dwyer seconded. Upon a vote being called, the motion carried by unanimous decision. The seventh order of business was Update Regarding Construction Projects 2of5 SSLGC MINUTES 7/15/2021 (5 Pages) SIGNED ORIGINAL(S): 2 Date /Time Printed: 9/10/2021 9:29 AM A. Schertz Additional Point of Delivery Project — joseph Jenkins, Walker Partners; Amber Beard, General Manager & Valentin T. Ruiz Jr., Assistant General Manager Joseph Jenkins provided an update regarding the project. B. Parallel Pipeline & Guadalupe Project —Joseph Jenkins, Walker Partners, Amber Beard, General Manager & Valentin T. Ruiz Jr., Assistant General Manager Joseph Jenkins provided an update regarding the project. — Susan Caddell. F Beard, General Manager a. Financial statement for the quarter ending June 30, 2021 Included in the board packet you will find the financial reports for the nine months ended June 30, 2021. The first two pages are the balance sheets for all the SSLGC funds. The next four pages following the balance sheet are the income statements for all the SSLGC funds, along with budgetary comparison of the operating fund. Finally, following those statements are the balance sheet and income statement for the SAWS I &S Fund. Behind those, you will find the comparative statement for the SSLGC Operating Fund as well as the working capital chart. First, we will review the balance sheet for the SSLGC funds. The first column is for the Operating Fund. This fund consists of cash and investments of $4,509,038:29. The second column is for the balance of the SWIRFT funds. The cash and investments °balance in this fund is now up to $24,396,156.39. In May, another $23.9 million was released from escrow. You will also notice about halfway down the first page, are the amounts still held; in escrow for the SWIRFT Funds which is now $38,752,944.96. The third column is for the Interest and Sinking Fund. The cash and investment balance in this fund is $3,140,519.63. The first bond payments were made out of this fund in February. The fourth column is for the Repair and Replacement Fund. The cash and investment balance is now $6,700,106.95. This amount is prior to the additional transfer approved by the board of $1,000,000. That amount was transferred in July. The fifth column is for the Future Development Fund. The cash and investment balance is $2,434,769.91. The sixth column is for the Impact Fund. The cash and investment balance in this fund is $5,419,643.64. The seventh column is for the Reserve Fund. The required amount to maintain in the Reserve Fund according to bond covenants is $1,275,621.10. The cash and investment balance in this fund is $1,362,078.84. The eighth column is the 2010 Bond Fund. All the funds have now been spent out of this fund. The ninth column is for the Rate Stabilization Fund. The cash and investment balance in this fund is $1,525,716.29. This fund has been established to provide funds in order to prepare for volatile periods, which can greatly affect the rates the customers pay. These funds were used during the snowstorm in February to help offset the increased water usage to each entity. We will now review the income statement for the SSLGC funds. The first column is the Operating Fund.. The net income before transfers is $1,350,466.32. After the budgeted transfers to the Repair and Replacement Fund and Future Development Fund, the net income is $925,466.32. The second column is the income statement for the SWIRFT funds. The expenditures to date are for legal services in relation to the bond funds, right -of -way acquisition services, and engineering. The third column is I &S Fund. As mentioned earlier, the first bond payments came out in February. The fourth column is for the Repair and Replacement Fund. The expenditures which have occurred in this fund are for repairs to wells, the high service pump repair and replacement, replacement of a flowmeter, instrumentation and automation, pump 2 check valve replacement at Plant 1, replacement of a compressor, and the SH 123 bridge pipeline crossing project. The fifth column is the Future Development Fud. The expenditures in this fund are for the renovations to the treatment plant office building, the water model services, the owner's representation services, and professional services related to the solar power project. You will 3of5 SSLGC MINUTES 7/15/2021 (5 Pages) SIGNED ORIGINAL(S): I Date /Time Printed: 9/10/2021 9:29 AM notice a negative in the Buildings account. This is due to the fact any expenditures that have been charged here were transferred to the 2010 Bond Fun in order to close that fund out. The sixth column is the Impact Fund. The expenditures in this fund are for the Schertz Additional Point of Delivery Project. The eight column is for the 2010 Bond Fund. Finally, the ninth column is interest earnings in the Rate stabilization Fund. You will see in this column the expenditure for the winter weather credit. The total column indicates net income of $2,887,267.43. You will now find the report for the budgetary comparison of the operating fund. All categories are under budget. As indicated earlier, the reports following the SSLGC Fund reports are those for the SAWS I &S Fund. You will now find the Comparative Income Statement for the Operating Fund towards the back of the report. Revenue has increased by $255,659.93, with the largest increase being sales to Springs Hill of $119,008.24 due to them taking more than their minimum usage for several months. Expenditures have increased by $625,471.54. This is largely due to the increased electric charges from the winter storm. Our net income before transfers decreased from last year by $369,811.61. Finally, you will fid the working capital trend chart. Working capital has increased since March 31, 2021, by $24,354,367. This was largely due to TWDB releasing additional funds from the SWIRFT funds. Please note that the escrow funds for the SWIRFT funding is not included in this calculations. Assistant Secretary Dwyer made a motion to approve SSLGC's financial statements for the quarter ending June 30, 2021. Vice - President Reiley seconded. Upon a vote being called the motion carried by unanimous decision. b. Investment Report for the quarter ending June 30, 2021 Mrs. Caddell presented the Investment Report for April 1, 2021 through June 30, 2021. Interest earnings for the quarter ending June 30, 2021 were $7,322. Treasurer Hamlett made a motion to approve SSLGC's investment report for the quarter ending June 30, 2021. Vice - President Reiley seconded. Upon a vote being called the motion carried by unanimous decision. A presentation was given regarding current and future project funding. Ruiz In. Assistant General Manager: Patrick Lindner. Davidson Troilo Ream & Garza: Amber Mr. Ruiz gave an update. The eleventh order of business was Discussion /Action Regarding Construction Services Contract 4 — Water Treatment Plant — Joe Jenkins, Walker Partners; Valentin T. Ruiz Jr.,, Assistant General Manager; Amber Beard, General Manager Treasurer Hamlett made a motion to approve Resolution # SSLGC R21 -26. Vice - President Reiley seconded. Upon a vote being called, the motion carried by unanimous decision. 4of5 SSLGC MTNUTES 7/15/2021 (5 Pages) SIGNED ORIGINAL(S): I Date /Time Printed: 9/10/2021 9:29 AM The twelfth order of business was Legislative Update — Will Temple, Phenix Governmental Affairs & Amber Beard, General Manager Mr. Temple gave an update on this item. The thirteenth order of business was Wholesale Water Contract(s) & Well Permits — Amber Beard, General Manager & Valentin T. Ruiz Jr., Assistant General Manager Mrs. Beard gave an update on this item regarding Wholesale Water Contracts. W 111:UX W ULCI LCA,CJ Al1U 1 LU -)City t Laub at.; Elul — 1'1111UCi "yarU, 1TC11Craj. 1Vldll''dA T. Ruiz Jr., Assistant General Manager No update. for Deliberations Regarding Real Estate Number Thirteen Items to be Placed on the Next Agenda ➢ Next SSLGC Board Meeting is scheduled for Thursday, September 16, 2021. The eighteenth order of business was Adjournment President Wait declared the meeting adjourned at 3:19 PM. MINUTES APPROVED THIS 16`h DAY OF September 2021. 5of5 SSLGC MINUTES 7/15/2021 (5 Pages) STGNED t1IZI:CIN.A (S) 'I Date /Time Printed: 9/10/2021 9:29 AM Date: September 10, 2021 To: SSLGC Board of Directors From: Amber Beard, General Manager Valentin T. Ruiz Jr., Assistant General Manager Re: Board of Directors Meeting Memorandum 2. Public Comment 3. Election of Officers — Dudley Wait, President This item was requested to be placed on the agenda at the last regular Board meeting to fill the office of the Secretary on the Board. 4. Approval of Minutes for the Meeting held August 19, 2021 Staff recommends approval S. General Manager's Report A. Gonzales County Underground Water Conservation District: The meeting was held September 14, 2021. A copy of the agenda is included in the board packet. The next monthly meeting is scheduled for October 12, 2021. B. Guadalupe County Groundwater Conservation District: The monthly meeting was held September 9, 2021. A copy of the agenda is included in the board packet. The next monthly meeting is scheduled for October 14, 2021. C. Region L: There will be a special meeting on September 21, 2021 for the selection of the technical consultant for the 2026 Regional Water Plan. The next regular meeting is scheduled for November 4, 2021. GMA 13: The next GMA 13 meeting is scheduled for September 17, 2021. D. Operations Update: Well #11— Pump and motor replacement = $63,747.79. Booster P4 — Pending check valve replacement and gaskets. Entity Contract Monthly Sales 2021Total Blend Monthly Total Blend ac -ft! % YTD ac -ft % Total ac -ft % Total ac -ft ac -ft % Total Schertz* 7,583 8.09% 613.65 57.28% 613.65 8.56% 5.28 618.92 0.85% Seguin* 7,583 30.39% 319.81 29.85% 2,304.38 32.16% 0.00 319.81 0.00% SAWS T -2 500 58.04% 8.42 0.79% 290.22 4.05% Selma 1,050 18.17% 42.43 3.96% 190.76 2.66% Universal City 800 0.00% 0.00 0.00% - 0.00% Springs Hill 840 68.62% 86.93 8.11% 576.39 8.04% Total ( -loss) 18,355 1071.21 100.00% 7,165.74 55.5% SAWS T -1 11,080 57.78%,1032.01 6,401.8 6. Update Regarding Construction Projects A. Schertz Additional Point of Delivery Project — Joseph Jenkins, Walker Partners 1 5 MEMORANDUM An update on the project will be provided at the board meeting. B. 36" Parallel Pipeline & Guadalupe Project — Joseph Jenkins, Walker Partners An update will be provided by Walker Partners at the Board meeting. 7. Consideration /Approval of Contract Agreement Extensions (SAWS) with Interlocal Agreement In May 2021, the SSLGC Board approved staff's request to "ride" five SAWS annual repair contracts for immediate access to service and repair high service pumps /motors, well pumps /motors, supply of chlorine, general motor repairs, and electrical assistance. That approval for the contracts only extended to the end of the SSLGC fiscal year of September 30, 2021. In an effort to properly prepare and advertise our own SSLGC annual contracts, the Seguin Purchasing Department has requested more time. In order to provide this extra time, SSLGC staff requests that the service and repair contracts for the high service pumps /motors and the well maintenance service contracts be extended to December 31, 2021. A. High Service Pump Repair Machinery & Technical /Field Support Service Resolution # SSLGC R21 -27 B. Well Maintenance Services Resolution # SSLGC R21 -28 Staff Recommends Approval 8. Consideration /Approval of Extension of Contract with Evoqua Water Technologies for Sodium Chlorite Evoqua is requesting a one -year extension to the current contract as a price of $0.580/lb. This is an increase of $0.038/lb from the current price of $0.542/lb. A copy of the renewal letter is included in the board packet. Resolution # SSLGC R21 -29 Staff Recommends Approval 9. Consideration /Approval of Change Order #1— Contract 4 — Guadalupe Water Treatment Plant On August 19, 2021 the Board authorized the creation of an Owner's Contingency in an amount of $515,045.08 for material price increase claims. CSA Construction, Inc. has submitted Change order #1 in an amount not to exceed $515,045.08. Further Board approval will be required for change orders for any portion of this amount that exceeds the General Manager's $50,000 purchasing authority. Resolution # SSLGC R21 -30 Staff Recommends Approval 10. Legislative Update An update will be provided at the board meeting. 11. Wholesale Water Contract(s) & Well Permit(s) An update will be provided at the board meeting. 12. Gonzales County & Guadalupe County Carrizo and Wilcox Water Leases and Property Transactions 2 MEMORANDUM 13. Executive Session 14. Consider and Take Action as a Result of Agenda Item #13 15. Consideration and /or Action on Questions and Possible Items to be Placed on Next Agenda 16. Adjournment 5A REGULAR BOARD MEETING GONZALES COUNTY UNDERGROUND WATER CONSERVATION DISTRICT MEETING OF THE BOARD OF DIRECTORS The Directors of the Gonzales County Underground Water Conservation District will meet in a public session on September 14, 2021, after the public hearing at 5:30 p.m. at the Gonzales County Underground Water Conservation District Office located at 522 Saint Matthew Street, Gonzales, Texas. Note: Members of the public wishing to comment must attend the meeting in- person. However, any person may view or listen to the meeting via audio and video conference call. No participation or public comments will be allowed via video or conference call. The Audio and Video Conference Opens 5 minutes before the 5:30 p.m. beginning of the meeting. GCUWCD September 14, 2021 Public Hearing & Regular Board Meeting Tue, Sep 14, 2021 5:30 PM - 7:30 PM (CDT) Please join my meeting from your computer, tablet or smartphone. https:.//�Iobal..gotomeetiny.com/join/641476277 You can also dial in using your phone. United States (Toll Free): 1 866 899 4679 United States: +1 (571) 317 -3116 Access Code: 641 -476 -277 New to GoToMeeting? Get the app now and be ready when your first meeting starts: https:// �,,Iobal. gotomeetinp-.com /install/641476277 The agenda is as follows: 1. Call to Order. 2. Public Comments. Limit to 3 minutes per person. 3. Consent Agenda (Note: These items may be considered and approved by one motion of the Board. Directors may request to have any consent item removed from the consent agenda for consideration and possible action as a separate agenda itern): a. Approval of minutes of August 10, 2021 Regular Board Meeting. b. Approval of the Financial Report. c. Approval of the District's bills to be paid. d. Approval of the Mitigation Fund bills to be paid. e. Approval of the Monitoring Well Project bills to be paid. f Approval of District Manager, Administrative Staff, Board Member, Field Technician, and Mitigation Manager Expenses. g. Approval of Manager's Report (monthly report, transporter usage, drought index). h. Approval of Well Mitigation Manager's Report (well mitigation progress). i. Approval of Field Teelmician's Report (well registrations, water levels, water quality). 4. Discuss and possibly take action on any item removed from Consent Agenda. 5. Discuss and possibly take action on hiring a General Manager for the District. 6. Discuss and possibly take action on a resolution narning the Interim District General Manager bank signatory authority. 7. Discuss and possibly take action on appointing a Board Member for District 2. 8. Discuss and possibly take action on setting the tax rate for the 2021 -- 2022 fiscal year. 9. Discuss and possibly take action on the District's fiscal year 2021 — 2022 Budget. 10. Discuss and possibly take action on the District's Western Mitigation Fund fiscal year 2021 — 2022 REGULAR BOARD MEETING GONZALES COUNTY UNDERGROUND WATER CONSERVATION DISTRICT MEETING OF THE BOARD OF budget. 11. Discuss and possibly take action on the District's Eastern Mitigation Fund fiscal year 2021 — 2022 budget. 12. Discuss and take action on approving the Virtualis, and GVTC contract renewals. 13. Discuss and possibly take action on the District's enforcement action against Leon Davis Water Well Service Company. 14. Presentation of legislative /legal updates from legal counsel. 15. Discussion of other items of interest by the Board and direction to management based on the items set forth above. 16. Adjourn. The above agenda schedule represents an estimate of the order for the indicated items and is subject to change at any time. These public meetings are available to all persons regardless of disability. If you require special assistance to attend the meeting, please call 830.672.1047 at least 24 hours in advance of the meeting to coordinate any special physical access arrangements. At any time during the meeting and in compliance with the Texas Open Meetings Act, Chapter 551, Government Code, Vernon's Texas Codes, Annotated, the Gonzales County Underground Water Conservation District Board may meet in executive session on any of the above agenda items or other lawful items for consultation concerning attorney - client matters (§ 551.071); deliberation regarding real property (§ 551.072); deliberation regarding prospective gift (§ 551.073); personnel matters (§ 551.074); and deliberation regarding security devices (§ 551.076). Any subject discussed in executive session may be subject to action during an open meeting. POSTED THIS THE 8th DAY OF SEPTEMBER 2021 AT O'CLOCK by POSTED SEP U GCGCD AGENDA MEETING OF THE GUADALUPE COUNTY GROUNDWATER CONSERVATION DISTRICT 200 N. Austin St. # 301 t Seguin, TX 78155 Tuesday, September 7, 2021 @ 4:30 PM All agenda items listed below will be considered for discussion and /or action at said meeting. CALL TO ORDER PLEDGE OF ALLEGIANCE DETERMINE A QUORUM 1. Invitation of citizens or Directors to speak in advance of District's regular business (limited to 3 minutes each — agenda items /non- agenda items) 2. Discussion and possible action to approve the Minutes of August 12, 2021 meetings 3. Review Palmer Drought Index, TWDB Drought Report and Rain Fall in GCGCD area 4. Review Production data August 2021 5. Report from Public Funds Investment Officer — Kelley Vickers, GM 6. Discussion and possible action to approve Financial Reports for August 2021 7. Discussion and possible action to cancel General Election 8. Discussion and possible action to approve GCGCD report: Findings of Monitor Wells in the Carrizo Sand Outcrop of Guadalupe County, Texas for dissemination /publication 9. REPORTS A. Kelley Vickers: General Manager Report o Association updates o Other District business B. Omar Maldonado — Report o Field Report o Controlling and Preventing Waste of Groundwater (31 TAC 356.52(a)(1)(B); TWC §36.1071(a)(2)) C. William B. Klemt, PG - Consulting Hydrogeologist D. CRWA E. SSLGC F. SHWSC G. CCSUD 10. Possible items for discussion /consideration at next meeting 11. Perales, Allmon & Ice P.C. (Executive Session Recommended) 12. ADJOURNMENT NOTE: The Board reserves the right to retire into executive session concerning any of the items listed on this Agenda whenever it is considered necessary and legally justified under the Opens Meeting Act (Chapter 551 of the Texas Government Code). The District is committed to compliance with the Americans with Disabilities Act (ADA) and accommodations. Please contact the District office at (830) 379 -5969 at least 48 hours in advance if special assistance is needed. 1900 1700 1500 1300 1100 900 700 500 300 SSLGC Seasonal Pumping Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec ----------------------------------- - - -------------------------- - ------------------------- ----- - ----------- Permit Limit --w-2017 —2018 —2019 —2020 . ........ qa ... . :2021 2M--- Z I/ im AGM 1400 1200 1000 800 000 400 200 O '200 Schertz Total --s—Seguin --AP—Springs Hill —&—, SAWS T2 --*—Total Sold --*--Selma 2 0 1.1 � � SAWS Delivery 1800.0 1600.0 1400.0 1200.0 23.7 038.4 1047.2 037.0 1016.7 1040.4 1032.0 1000.0 875. 940.7 956.5 963.3 960.8 6 901.2 6 871.1 800.0 76.2 2- - ----- 722.6 728.8 T1 62.6 600.0 T2 ( Total 400.0 ----------------------------------- 200.0 ________________________________________________________________________________________________________________ _ _ _ _ __ _ _ _ _ _ __ 0.6 5. 0.0 ... _. _ .. _._..__.. -200. -400.0 ---- N N N N N N N N N N N N N do Q N W Q t o Q Z Q 7A Resolution # SSLGC R21 -27 SCHERTZ /SEGUIN LOCAL GOVERNMENT CORPORATION STATE OF TEXAS COUNTY OF GUADALUPE A RESOLUTION APPROVING AND AUTHORIZING THE USE OF MONIES BY SCHERTZ /SEGUIN LOCAL GOVERNMENT CORPORATION FROM THE REPAIR AND REPLACEMENT FUND AND /OR THE OPERATING FUND FOR THE ANNUAL CONTRACT FOR HIGH SERVICE PUMP REPAIR, MACHINERY & TECHNICAL SUPPORT SERVICE WITH PEERLESS EQUIPMENT IN THE AMOUNT UP TO $200,000.00 FOR THE PERIOD OF OCTOBER 1, 2021 THROUGH DECEMBER 31, 2021; AUTHORIZING THE GENERAL MANAGER OR THEIR DULY APPOINTED DESIGNEE TO EXECUTE A CONTRACT WITH PEERLESS EQUIPMENT WHEREAS, the Schertz /Seguin Local Government Corporation (SSLGC) Board recognizes the immediate requirement for the repair /replacement of High Service Pumps in the system; and WHEREAS, on September 4, 2019, the San Antonio Water System approved the award of Bid No. 19 -7033 for High Service Pump Repair, Machining & Technical /Field Support Service with Peerless Equipment for the period of September 4, 2019 through December 31, 2020 with four additional one -year renewals; and WHEREAS, on October 21, 2020, the San Antonio Water System and Peerless Equipment mutually agreed to a contract extension from January 1, 2021 through December 31,,2021 with all purchases subject to the terms and conditions of the applicable bid documents; and WHEREAS, through Government Code, chapter 791 and the Interlocal Participation, SSLGC can acquire the goods and services in the San Antonio Water System Bid. No. 19 -7033, at the prices stated .in the bid, and may enter into a separate contract directly with Peerless Equipment for the period of September 4, 2019 through December 31, 2020, as extended and up to four additional ore -year extensions; and WHEREAS, on May 20, 2021, the Schertz /Seguin Local Government Corporation (SSLGC) Board approved Resolution #SSLGC R21 -17 for the annual contract for High Service Pump Repair, Machinery & Technical Support Service with Peerless Equipment not to exceed $500,000.00 for the period of October 1, 2020 through September 30, 2021; and WHEREAS, this resolution authorizes funding from the Repair and Replacement fund and /or the Operating Fund for Fiscal Year 2022 in the amount not to exceed $200,000.00; and WHEREAS, the SSLGC Board acknowledges the intended use of the monies in the Repair and Replacement Fund and /or Operating Fund to be for such conditions; and WHEREAS, the Schertz /Seguin Local Government Corporation (SSLGC) utilizes the City of Seguin's Purchasing Department through the Management Services Agreement and repair items greater than $50,000.00 are normally submitted to the SSLGC Board before the vendor is authorized to pursue a repair, the use of this annual contract and authorization will allow SSLGC General Manager or their appointed designee to authorize the vendor to proceed with repairs greater than $50,000.00 as long as the repair line items are within the confines of the contract documents and such repairs must be ratified by the SSLGC Board after successful repair and installation of equipment; and NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE SCHERTZ /SEGUIN LOCAL GOVERNMENT CORPORATION: 1. The use of monies from the Repair and Replacement Fund and /or Operating Fund for the purpose of the Annual Contract for High Service Pump Repair, Machining & Technical /Field Support Service with PeerlessEquipment in the amount up to $200,000.00 is hereby approved and adopted. 2. The General Manager is authorized to enter into a contract with Peerless Equipment in accordance with the Bid Documents approved by SAWS pursuant to the interlocal purchasing agreement. 3. The Schertz /Seguin Local Government Corporation authorizes and directs the City of 'Seguin Purchasing Department to process these repair purchase orders greater than $50,000.00 such that they are ratified by the SSLGC Board after successful repair and installation of equipment. The use of monies from the Repair and Replacement Fund and /or the Operating Fund for the purpose of the Annual Contract for High Service Pump Repair, Machinery & Technical Support Service with Peerless Equipment with Peerless Equipment in the amount up to $200,000.00 is hereby approved and adopted. Passed and approved this the 16" day of September 2021. Dudley Wait, President r May 7, 2021 Dent "Pruett- Peerless Equipment 313 Hwy 90 East Hondo, Texas 78$61 Deference. San Antonio Water System Annual Contract for High service Pump repair, Machining Technical/Field Support Service, SAWS Bid Into. 19-703 Interlocal Agreement Rider For This Yoder is attached to the San Ai tonio Water System bid for the benefit of the agency listed below. SAWS assumes no responsibility in the evaluation and award of any contracts that result from this rider. Any contract resulting from this rider is strictly between the individual Bove Went entity lasted hereon and the bidder.. BIDDER SHOULD INDICATE BELOW THEIR LLINGNES"S TO dT T WITH THE FOLLOWING RESPE 'TI E AGENCY Schertz Seguin Local Government Corporation (SSL ) 'DES O The terms and conditions of the SANS contract will apply, with the following exceptions; A. Delivery location, delivery schedules and billing instructions will be made by the contracting governmental entity. B. Contract will be between the bidder and the respective governmental entity, at the governmental cntity9s discretion, T Ec AILi E T SI7 IT IS ' I E ILL This replaces all pricr . riders naming the same public entity.- 240 81 • P M BbX 24o Antonio, + •a a t org ­61V T.EKY11 I 111111� . C-71 iTATE OF TEXAS COUNTY OF GUADALUPE MaS, the contract *includes the availability of four one-year extensions, however, staff will return to the Boaf8 l of future contract extensions and funding as part of the annual budget process; and E, ! I I! I III 'I III I !!I I � I I I I I III I III I 1 111111 1 � I III I III I I III I I 'I III I I 111 111111111111 OF Me I I - a a 6 . WHEREAS, the Schertz/Seguin Local Government Corporation (SSLGC) utilizes the City of Seguin's Purchasing Department through the Management Services Agreement and repair items greater than $50,000.00 are normally submitted to the SSLGC Board before the vendor is authorized to pursue a repair, the use of this annual contract and W. Resolution # SSLGC R21 -28 SCHERTZ /SEGUIN LOCAL GOVERNMENT CORPORATION STATE OF TEXAS COUNTY OF GUADALUPE A RESOLUTION APPROVING AND AUTHORIZING THE USE OF MONIES BY SCHERTZ /SEGUIN LOCAL GOVERNMENT CORPORATION FROM THE REPAIR AND REPLACEMENT FUND AND /OR THE OPERATING FUND FOR THE ANNUAL CONTRACT FOR WELL MAINTENANCE SERVICES WITH PEERLESS EQUIPMENT IN THE AMOUNT UP TO $200,000.00 FOR THE PERIOD OF OCTOBER 1, 2021 THROUGH DECEMBER 31, 2021; AUTHORIZING THE GENERAL MANAGER OR THEIR DULY APPOINTED DESIGNEE TO EXECUTE A CONTRACT WITH PEERLESS EQUIPMENT WHEREAS, the Schertz /Seguin Local Government Corporation (SSLGC) Board recognizes the immediate requirement for the repair /replacement of Well pumps and motors in the system; and WHEREAS, on September 4, 2019, the San Antonio Water System approved the award of Bid No. 19 -7031 for Well Maintenance Services with Peerless Equipment for the period of September 4, 2019 through December 31, 2020 with four additional one -year renewals; and WHEREAS, on October 21, 2020, the San Antonio Water System and Peerless Equipment mutually agreed to a contract extension from January 1, 2021 through December 31, 2021 with all purchases subject to the terms and conditions of the applicable bid documents; and WHEREAS, through Government Code, chapter '791 and the Interlocal Participation, SSLGC can acquire the goods and services in the San Antonio Water System Bid No. 19 -7031, at the prices stated in the bid, and may enter into a separate contract directly with Peerless Equipment for the period of September 4, 2019 through December 31, 2020, as extended until December 31, 2021 and up to three additional one -year extensions; and WHEREAS, on May 20,2021 , the Schertz /Seguin Local Government Corporation (SSLGC) Board approved Resolution #SSLGC R21 -18 for the annual contract for Well Maintenance Services with Peerless Equipment not to exceed $500,000.00 for the period of October 1, 2020 through September 30, 2021; and WHEREAS, this resolution authorizes funding from the Repair and Replacement fund and /or the Operating Fund for Fiscal Year 2021 in the amount not to exceed of $200,000.00; and WHEREAS, the SSLGC Board acknowledges the intended use of the monies in the Repair and Replacement Fund and /or the Operating Fund to be for such conditions; WHEREAS, the Schertz /Seguin Local Government Corporation (SSLGC) utilizes the City of Seguin's Purchasing Department through the Management Services Agreement and repair items greater than $50,000.00 are normally submitted to the SSLGC Board before the vendor is authorized to pursue a repair, the use of this annual contract and authorization will allow SSLGC General Manager or their appointed designee to authorize the vendor to proceed with repairs greater than $50,000.00 as long as the repair line items are within the confines of the contract documents and such repairs must be ratified by the SSLGC Board after successful repair and installation of equipment; and NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE SCHERTZ /SEGUIN LOCAL GOVERNMENT CORPORATION: 1. The use of monies from the Repair and Replacement Fund and /or Operating Fund for the purpose of the Annual Contract for Well Maintenance Services with Peerless Equipment in the amount up to $200,000.00 is hereby approved and adopted. 2. The General Manager is authorized to enter into a contract with Peerless Equipment in accordance with the Bid Documents approved by SAWS pursuant to the interlocal purchasing agreement. 3. The Schertz /Seguin Local Government Corporation authorizes and directs the City of Seguin Purchasing Department to process these repair purchase orders greater than $50,000.00 such that they are ratified by the SSLGC Board after successful repair and installation of equipment. The use of monies from the Repair and Replacement Fund and /or the Operating Fund for the purpose of the Annual Contract for Well Maintenance Services with Peerless Equipment in the amount up to $200,000.00 is hereby approved and adopted. Passed and approved this the 16`h day of September 2021. Dudley Wait, President Attest: Robin Dwyer, Assistant Secretary , INN May 5, 2021 Kent Truett Peerless Equipment 313 Hwy 90 East Hondo, Texas 78861 Reference: San Antonio Water System Annual Contract for Well Maintenance Services, SAWS Bid No. 19-703 J ECTIVE AGENCY Schertz Seguin Local Government Corporation (SSLGC) YFS_IZ NO The terms and conditions of the SAWS contract will apply, with the following exceptions: )laces all prior riders naming the same public entity. Resolution # SSLGC R21 -29 SCHERTZ /SEGUIN LOCAL GOVERNMENT CORPORATION STATE OF TEXAS COUNTY OF GUADALUPE A RESOLUTION APPROVING THE CONTRACT EXTENSION and PRICE INCREASE WITH EVOQUA WATER TECHNOLOGIES, LLC FOR SODIUM CHLORITE WHEREAS, the Schertz /Seguin Local Government Corporation must purchase chemicals for the treatment of water; and WHEREAS, the original contract offers a one (1) year extension to the existing contract subject to acceptable performance by the Contractor and contingent upon the appropriation of sufficient; and WHEREAS, price revisions will be based upon a price index or industrial standard for base pricing; and WHEREAS, the price increased from $0.542/lb. to $0.580/lb.; and WHEREAS, the cost for the quantity of sodium chlorite that SSLGC must purchase annually exceeds the amount of purchasing authority of the General Manger and requires Board approval. NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE SCHERTZ /SEGUIN LOCAL GOVERNMENT CORPORATION: Approve the Contract Extension and Price Increase for Sodium Chlorite with Evoqua Water Technologies, LLC and authorize the signatures necessary to execute the contract. Passed and approved this the Dudley Wait, President SIGNED ORIGINAL(S): 1 ri I CUUROOOOSAOCUUSOOGOSAO Not Seasonally Adjusted SeriesTitle. All items in U.S. city average, all urban consumers, not seasonally adjusted U.S. city averages I All items Sue Period: 2982- 84`I00 Mac�a- MTTTTT� M I 0 PCU4841--4841— PPI industry group data for General freight trucking, not seasonally adjusted General freight trucking General freight trucking 200312 15L6 1 1503; 1,48.4 144.21 1,46.11150.3 1 ,150,81 151.9 155A! 157.6! 158.7, F. - -N TIMMMIff". Maa�t ._ Series Id: PCU32518-32518- Series Title: PPI industry data for Other basic inorganic chemical manufacturing, not seasonally adjusted Industry: Other basic inorganic chemical manufacturrng Product: Other basic inorganic chemical manufacturing ease Date. 200312 ME I Month This represents a 12% increase in this PPI, and we expect this to continue increasing. wwwa-voqua.corri 02108=801 Page 2 of 3 �t o � d Fitz Moles Technical Sal a r en ative Resolution # SSLGC R21 -30 SCHERTZ /SEGUIN LOCAL GOVERNMENT CORPORATION STATE OF TEXAS COUNTY OF GUADALUPE A RESOLUTION TO AUTHORIZE THE SCHERTZ /SEGUIN LOCAL GOVERNMENT CORPORATION GENERAL MANAGER TO SIGN CHANGE ORDER # 11 IN THE AMOUNT NOT TO EXCEED $515,045.08 PROVIDED BY CSA CONSTRUCTION, INC. WHEREAS, the Schertz /Seguin Local Government Corporation awarded CSA Construction, Inc. for construction of the Water Treatment Plant using a Competitive Sealed Proposal method which allows for negotiation; and WHEREAS, on August 19, 2021, the Board of Directors authorized the creation of an Owner's Contingency in an amount of $515,045.08 for material price increase claims to be used only when certain conditions are satisfied; and WHEREAS, CSA Construction, Inc. has submitted Change Order #1 in an amount not to exceed $515,045.08; and NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE SCHERTZ /SEGUIN LOCAL GOVERNMENT CORPORATION: Authorize the Schertz /Seguin Local Government Corporation General Manager to sign Change Order #1 in the amount not to exceed $515,045.08 prodded by CSA Construction, Inc. Passed and approved this the 1of1 SIGNED ORIGINAL(S), 1 Dudley Wait, President M EJCDC:!2P ENGINEERS JOINT CONTRACT DOCUMENTS COMMETEE Change Order No. 01 Date of Issuance: Effective Date: Owner: Schertz Seguin Local Government Corporation Owner's Contract No.: Contractor: CSA Construction, Inc. Contractor's Project No.: Engineer: Walker Partners, LLC Engineer's Project No.: 1 -03153 Project: SSLGC Contract No 4 WTP No 2 Contract Name: The Contract is modified as follows upon execution of this Change Order: Description: Due to the unexpected and verified material price increases occurring after the procurement of this contract, the CONTRACTOR and OWNER have agreed compromise as to not delay the project and execute this change order. This change order establishes a maximum not to exceed allowance that will be used to cover accepted adjustments in project costs related to material price increases. This allowance can only be used through further change order agreements with supporting documentation showing the difference between the bid price and the actual cost, approval of which shall not be unreasonably withheld by OWNER. Any further costs associated with this item beyond the allowance will be the responsibility of the CONTRACTOR. Any remaining budget at the end of the project in the allowance will be returned to the OWNER and parties shall execute a change order to reduce the contract price by the unused balance, if any, of this allowance. CONTRACTOR HEREBY RELEASES AND WAIVES ANY CLAIMS AGAINST OWNER, OTHER THAN THOSE INTENTIONALLY OR RECKLESSLY CAUSED BY OWNER, FOR MATERIAL PRICE INCREASES AND /OR ESCALATIONS IN EXCESS OF THE HEREIN CREATED ALLOWANCE INCLUDING BUT NOT LIMITED TO THE THOSE RELATED TO THE NOTICE TO PROCEED ISSUANCE, FORCE MAJEURE, ACTS OF GOD, COVID -19 OR SIMILAR, TARIFFS, INFLATION, OR MATERIAL OR SUPPLY CHAIN DISRUPTIONS. Attachments: Attachment 1 will be baseline document that will be used to negotiate the future change order request related to this item. CHANGE IN CONTRACT PRICE CHANGE IN CONTRACT TIMES [note changes in Milestones if applicable] Original Contract Price: Original Contract Times: Eighteen million dollars and no cents Substantial Completion: February 15, 2023 (540 days) $ 18 000 000.00 Ready for Final Payment: April 16, 2023 (600 days) days or dates [Increase] [Decrease] from previously approved Change [Increase] [Decrease] from previously approved Change Orders No. N/A to No. N/A: Orders No. N/A to No. N/A NA Substantial Completion: 0 $ 0.00 Ready for Final Payment: 0 days Contract Price prior to this Change Order: Contract Times prior to this Change Order: Eighteen million dollars and no cents Substantial Completion: February 15, 2023 (540 days) $ 18 000 000.00 Ready for Final Payment: April 16, 2023 (600 days) days or dates Increase of this Change Order: Increase of this Change Order: Five hundred fifteen thousand and forty -five dollars and Substantial Completion: 30 eight cents $ 515 045.08 Ready for Final Payment: 30 days or dates EJCDC® C -941, Change Order. Prepared and published 2013 by the Engineers Joint Contract Documents Committee. Page 1 of 2 EJCDC:!2P ENGINEERS JOINT CONTRACT DOCUMENTS COMMETEE Contract Price incorporating this Change Order: Contract Times with all approved Change Orders: Eighteen million five hundred fifteen thousand and forty- Substantial Completion: March 17, 2023 (570 days) five dollars and eight cents $ 18,515,045.08 Ready for Final Payment: May 16, 2023 (630 days) days or dates RECOMMENDED: By: Engineer (if required) Title: Date: Approved by Funding Agency (if applicable) By: Title: ACCEPTED: By: By: Owner (Authorized Signature) Title Title Date Date Date: ACCEPTED: Contractor (Authorized Signature) EJCDC® C -941, Change Order. Prepared and published 2013 by the Engineers Joint Contract Documents Committee. Page 2 of 2 c a Se uin SSLGC VV7P #2 CSA Construction Revised i ricin 8/18/21 Date of Revised Revised Quote Date of Alt. Alt. Bid Bid Item Date Required Original Quote Revised Quote Quote Difference Alternate Bid Bid - Difference- foments ebar - Sep-21 vy $159,807.54 $189,628.62 , - 6/15/2021 $29,82108 $173,678.00 7/29/2021 $13,876.45 Copper Wire Fall -22 $248,699.00 $363,896.00 7/23/2021 $115,197700 etal Buildings Spring -22 1 ,604.00 $262,308.00 8/9/2021 77,7 0 $i7,704.06' Backwash Pump St. Pumps �� .� :�.� .:w. Fall -22 � _ -- -m.,_ $50,000.00 � v._...._ $54,645.00 .... -- 7/17/2021 ..w.,. ...u.._. __ � 4 645.00 _ , N� __......_ Backwash pumps combined increase _. -- ._ m _ �.. . �..__ Backwash Pump St. FRP Well fall -21 $15,617.00 $19,472.00 7/17/2021 $3,855.00 equals $8,500 Electrical Swtichgear Agreed to Hold Quote ,�_._ ....... �... _�.,.�_.. -,.�. um s S it Iit Ca Pumps Split -._ .. p Precast Concrete Tank Agreed to Hold Quote Backwash Clarifier Equipment _ 3 .., reed to Hold Quote Process Pi ing M rt Fall -21 $900,000.00 $1,042,8 .00 8%2/2021 $142,864.00 Electrical PVC Conduit S rin -22 P g $11,570.00 Hollow Metal rs Fail -22 $22,485.00 $24,453.00 8/5/2021 $1,968,00 FRP Doors _..,,_....�.�� Fail -22 .N.�..- ....- _ _ $20,215.00 $20,976.00' - � � 8/5j2021 $761.Q0 Concrete Ready Mix 21-Se p . $288,00000 $ 298, 540.00 8/5j2021. -.. $1 0,540,00 ridge Crane - y Fall -22 $35,505.00 $36,770.00 8/5/2021 w $1,265.00 Plumbing Fall -21 $31,800.00 $51,800.00 8/9/2021 $20,000.00 Painiing --� Agreed to Hold Quote wm�m�:n.m Buildin Finshes .,.m - ...... ..,... Fall -22 $56,786.00 $69,303.00 8/4/2021 $12,517.00 HVAC Fall-22 $179,000.00 $194,000.00 8/6/2021 15 0 0.00 Precast Concrete Trench Fall -22 $17,136.00 $17,680.00 8/6/2021 4.00 Chain link Fencwn inter -22 $86,844.00 $92,766.00 8/21/2021 _ $5,922.00 Changed fence from 9' overall to 7' see sketch Septic System Fall -22 $27,750.00 $39,250.00 8/17/2021 $11,500.00 ason rY Summer -22 $51,668.00 $54,250.00 8/12/2021 $2,582.00 Overhead Doors Winter -22 $30,297.00 $39,094.00 ; 8/17/2021 $8,797.00 Static Mixer - Summer -22 $18,000.00 $23,800.00 8/10/2021 $5,800.00 Chemical Feed System �... �.�..�,.�, -�.� weed to Hold Quote - Flume Winter -22 $4,500.00 $5,500.00 8/9/2021 $1,000.00 Building sheathing /Damproofing Summer -22 $8,35800 _ $9,525.00 8/9/2021 $1,16J.00 Miscellaneous Metals Fall -21 $119,248.00 l $140,134.00 8/10/2021 $20,886.00 GFC FI ring w inter -22 $25,497.00 $27,026.00 8/4/2021 $1,529.00 SubTotai� ,- - $507,4 .08 w_Mm CSA Bond & Insurance: 11 /2 96 $7,611.00 CSA Overhead &Fee $0.00 Total: RE: Notice of Contract Expiration Dear Springs Hill Water Supply Corporation, In addition, under federal tax code, in order for SSLGC's bonds to remain tax-exempt ' revenue received from private entities must remain under ten percent of total revenue. A new contract and additional water sales to SHWSC may be contingent on SHWSC converting from a water supply corporation to a special utility district or other public entity to prevent SSLGC's bonds from becoming taxable. SHWSC remains a valued customer of SSLGC. We appreciate your attention to these matters and look forward to continuing to work with you in the future. 0 L 0 C A L G M E N T C 0 R P 0 A A T 1 0 V Amber Briggs Beard General Manager Schertz/Seguin Local Government Corporation 108 W. Mountain St. Seguin, TX 78155 December 5, 2019 Dear Mr. Aguero, The Schertz/Seguin Local Government Corporation (SSLGC) would like to open a dialogue with Springs Hill Water Supply Corporation (SHVVSC) regarding the taking of water at the Contract Point of Delivery pursuant to our Regional Water Supply Contract dated 29 August 2003 and renewed 29 August 20134 Although the provisions of our Regional Water Supply Contract were met, SSLGC continued its effort to assist SHWSC with its need for more water. In doing so, SSLGC was able to assist SHVVSC by increasing the pressure at the Contract Point of Delivery above the required 20 psi. SSLGC is willing to make operational adjustments when able to assist SHWSC, however SSLGC strongly encourages SHWSC to evaluate their infrastructure and make necessary changes allowing for SHWSC to take the volume of water it needs up to the contracted amounts related to volume and flow rates. In the future. SSI-GC,*izv unable to wheel the water, SHWSC would need to make a connection directly to SSLGCs infrastructure or take the additional water from the existing Contract Point of Delivery. We appreciate your attention to these matters. Please contact me at (830) 386-2567 or at 2,beard@seguintexas.gov if you have any questions.