MONTGOMERY COUNTY MUNICIPAL UTILITY DISTRICT NO. 8
MINUTES OF REGULAR MEETING
April 8, 2026

The Board of Directors (the “Board” or “Directors”) of Montgomery County Municipal Utility District No. 8 (the “District” or “MUD 8”) met in regular session, open to the public, on Wednesday, April 8, 2026, at 9:00 a.m., at the Walden Yacht Club, 13101 Melville Drive, Montgomery, Texas 77356, a designated meeting place located inside the boundaries of the District, and the roll was called of the duly constituted officers and members of the Board, to-wit:

John Tryon President
John L. Patton Vice President
Margie Barlow Secretary
Randolph C. Moravec Treasurer/Investment Officer
Michael White Assistant Secretary

All members of the Board were present, thus constituting a quorum. Also attending were Mr. Mark Miller of Municipal Accounts & Consulting L.P. (“Bookkeeper” or “MAC”); Michael Others of McCall Gibson Swedlund Barfoot Ellis PLLC (“Auditor”); Mr. Justin Abshire of Quiddity Engineering (“Engineer” or “Quiddity”); Mr. Philip Wright of Hays Utility North Corporation (“Operator” or “Hays North”); Mr. Jim McClellan, General Manager of Walden Community Improvement Association (“WCIA”); Mr. Ray Geiselhart, Director for Montgomery County Municipal Utility District No. 9 (“MUD 9”); Messrs. Elliot M. Barner and Nicholas L. Roberts, attorneys, and Ms. Barbara Hankins, paralegal of Radcliffe Adams Barner PLLC (“Attorney” or “RAB”); and Jeff Hoy and Don Smith, members of the public.

The President, after finding that the notice of the meeting was posted as required by law and determining that a quorum of the Board was present, called the meeting to order at 9:00 a.m. and declared it open for such business as may come before it.

PUBLIC COMMENT

The President opened the meeting to public comment.  

Mr. Hoy introduced himself to the Board and explained that the generator for Lift Station No. 2 (“LS2”) is partially located on his property on Lake Estates Drive. Mr. Abshire stated that Quiddity has confirmed that the generator is currently on a portion of Mr. Hoy’s property and recommended an easement be granted for the encroachment area. 

Mr. Hoy then proposed that the Board consider making certain improvements to the landscaping surrounding LS2. Mr. Hoy stated that he has small children who play adjacent to LS2 and requested certain improvements to the boundary line to restrict access and reduce the accessibility to LS2 from his property. Mr. Hoy stated that he owns a landscaping business and presented a proposal, in the amount of $15,304.39, for the proposed improvements.

A discussion ensued regarding the specifications of the proposed landscaping improvements to the surrounding area of LS2 and the necessity of an easement covering the encroaching generator.  It was the consensus of the Board that the District retain responsibility for making the necessary landscaping improvements to LS2 and requested the Engineer to coordinate with RAB to obtain an easement for the LS2 generator.

There being no further comments, the President directed the Board to proceed with the agenda.

APPROVAL OF MINUTES OF MARCH 11, 2026 REGULAR MEETING MINUTES

The Board reviewed the minutes of March 11, 2026 regular meeting minutes. A discussion ensued.

Upon a motion by Director Moravec, seconded by Director Barlow, after full discussion and with all Directors present voting aye, the Board approved the March 11, 2026 regular meeting minutes, as presented.

AUDIT REPORT FOR FISCAL YEAR ENDED (“FYE”) DECEMBER 31, 2025

Mr. Others presented the draft Audit Report for FYE December 31, 2025 (the “FYE 2025 Audit”) and responded to questions from the Board regarding same. Mr. Others reported that the Auditor has issued a clean audit opinion for the District’s 2025 financial statements.  Mr. Others then stated that the FYE 2025 Audit will be finalized after the Board and consultants have had time to review such audit.

Mr. Barner explained that the District has an ongoing obligation to update, on an annual basis, certain financial information, as required by the District’s Bond Orders, in order to ensure bondholders and other interested parties apprised of the financial status of the District.  Mr. Barner then requested the Board’s authorization to prepare and file such materials with the appropriate agencies, including the Texas Water Development Board (the “TWDB”), the Texas Commission on Environmental Quality (the “TCEQ”), the Electronic Municipal Markets Access (“EMMA”) website and the State Comptroller.

Upon a motion by Director Moravec, seconded by Director Barlow, after full discussion and with all Directors present voting aye, the Board approved the FYE 2025 Audit, subject to a ten (10)-day review and comment period by the Board and the District’s consultants and authorized the Auditor and Attorney to file the FYE 2025 Audit and the required continuing disclosure materials with the appropriate agencies, including the TWDB, TCEQ, EMMA and the State Comptroller.

TAX ASSESSOR-COLLECTOR’S REPORT

Mr. Miller reviewed with the Board the Tax Assessor-Collector’s Report for the month of February 2026, a copy of which is attached hereto, including past monthly collections and credits as reported by the Tax Assessor-Collector.

Mr. Miller went on to note that 92.63% of the 2025 taxes have been collected as of
February 28, 2026.

Upon a motion by Director Patton, seconded by Director Tryon, after full discussion and with all Directors present voting aye, the Board approved the Tax Assessor-Collector’s Report, as presented.

BOOKKEEPER’S REPORT

Mr. Miller next reviewed with the Board the Bookkeeper’s Report for the period ending March 31, 2026, a copy of which is attached hereto, including the current fund balances, expenditures and investments of the District.  A discussion ensued. Upon a motion by Director Moravec, seconded by Director Barlow, after full discussion and with all Directors present voting aye, the Board approved the Bookkeeper’s Report, as presented.

ENGINEER’S REPORT

Mr. Abshire then presented the Engineer’s Report, a copy of which is attached hereto.

Mr. Abshire updated the Board regarding the Lift Station Rehabilitation Project, Phase II (“Phase II”) and stated that Quiddity is completing the design of such Phase; the scope of which includes Lift Station Nos. 1 through 4 and No. 8.  Mr. Abshire requested that the Board authorize Quiddity to publish notice that the District is soliciting bids for Phase II.  Director Moravec requested that Quiddity provide notice to those customers that will be affected by Phase II either by written correspondences or other direct communication.

Mr. Abshire next explained that certain components of Lift Station Nos. 1 and 2 are located on property adjacent to such stations. Mr. Abshire went on to explain that in order to ensure such components are on property owned or controlled by the District, Quiddity is preparing legal descriptions for two (2) easements that will be provided to RAB for use in easement agreements.

Regarding MUD 9’s Buckingham Water Treatment Plant Generator Project, Mr. Abshire explained that Texan Municipal and Industrial (“TMI”) intends to begin constructing such generator’s foundation in May 2026 so that it is completed before such generator’s anticipated delivery in July 2026.  Mr. Abshire then presented Change Order No. 1 from TMI in the amount of $48,855.00, and explained that it is for the costs associated with additional fuel storage. 

Regarding MUD 9’s efforts to improve stormwater drainage in certain areas of their district, Mr. Abshire informed the Board that those property owners that Quiddity has requested stormwater easements from are unwilling to provide such easements and that unless directed otherwise, will take no more action on this item.

Regarding the Annual Water Plant Inspection, Mr. Abshire reported that Quiddity has completed such inspection and will present its findings and recommendations at the May 13th Board meeting.

Mr. Abshire reminded the Board that the 2026 Stormwater Line Inspection Report identified several outfalls for such lines that need repair.  Mr. Abshire then reviewed with the Board a memorandum on the scope and estimated costs of such repairs. Discussion ensued. Mr. Abshire noted that Quiddity needs the Board’s authorization to proceed with design of repairs to Stormwater Line Outfall No. 32.

Upon a motion by Director Patton, seconded by Director Barlow, after full discussion and with all Directors present voting aye, the Board approved the Engineer’s Report, including: 1) authorize advertisement for solicitation of bids for Phase II; 2) approve Change Order No. 1 from TMI in the amount of $48,855.00; and 3) authorize design of repairs to Stormwater Line Outfall No. 32 in accordance with Quiddity’s recommendation.

OPERATOR’S REPORT

Mr. Wright presented the Operator’s Report, a copy of which is attached hereto.

Mr. Wright then reported that 803 customers are currently receiving electronic billing statements.  Mr. Wright added that since the last billing cycle, ten (10) new customers selected the automatic payment option and only one (1) such customer selected the paperless billing option.  A discussion ensued.

Mr. Wright next noted that the Water Accountability Ratio for the District and MUD 9 was 94.40% for the last billing cycle.

Regarding water well testing reports, Mr. Wright then noted that such reports did not identify any areas of concern.

Mr. Wright next reminded the Board that a property owner adjacent to the Wastewater Treatment Plant (“WWTP”) site inadvertently removed trees from such site and damaged the fencing around such site.  Mr. Wright then explained that such property owner paid Hays North for the necessary repairs to such fencing.

In response to a question, the Operator and Engineer confirmed that they will verify the location of the WWTP site’s property lines to determine if there are any trees on such site that need to be removed.  

Mr. Wright next reported that Hays North coordinated with Red Tiger on the cybersecurity firewall installation and stated all was operating properly.

Mr. Wright then noted that costs associated with chemicals necessary for treatment of water and wastewater have increased as a result of global supply chain disruptions and increasing transportation costs.

Upon a motion by Director White, seconded by Director Barlow, after full discussion and with all Directors present voting aye, the Board approved the Operator’s Report, as presented.

EMERGENCY/HURRICANE PREPAREDNESS PLAN

Mr. Wright then reviewed the Emergency/Hurricane Preparedness Plan (“EPP”). Mr. Wright reported that in preparation for hurricane season, Hays North will inspect all of the District’s generators, check the power at the District’s water and wastewater facilities, and verify the District’s fuel supply.  Mr. Wright went on to explain that Hays North had no recommended changes to the EPP, absent any need to update contact information that may have changed.

WATER CONSERVATION PLAN (“WCP”) AND DROUGHT CONTINGENCY PLAN

Director Moravec’s reminded the Board that he has fully reviewed the WCP and will provide his revisions to such plan to Ms. Hankins so that such plan may be updated.

Upon a motion by Director Moravec, seconded by Director Patton, after full discussion and with all Directors present voting aye, the Board approved Director Moravec’s revisions to the WCP.

UPDATE ON CYBERSECURITY ASSESSMENT

Regarding certain improvements to the District’s cybersecurity system that were necessitated by Red Tiger’s recent assessment, Director White reported that Red Tiger has completed such improvements and will provide updates on the performance of such system once each quarter of the year.

MISCELLANEOUS REPORTS

Mr. Abshire noted that Quiddity will review the Risk and Resilience Assessment and Emergency Response Plan, which must be certified and submitted to the TCEQ every five (5) years.  Mr. Abshire added that Quiddity will present an updated Risk and Resilience Assessment and Emergency Response Plan at the May 13th Board meeting.

Mr. Wright then reviewed an announcement from the Environmental Protection Agency (“EPA”) regarding the designation of microplastics in drinking water as an unregulated contaminant that should be monitored through sampling and testing of the District’s drinking water.

Mr. Wright went on to explain that the District also received a notice from the EPA that as of 2023, the District was not registered in the EPA’s web-based reporting system, which is required pursuant to the EPA’s Fifth Unregulated Contaminant Monitoring Rule.  Mr. Wright reported that Hays North will register the District in such system and provide the requisite information.

In response to a question, a discussion then ensued regarding the allocation of costs of property insurance for water treatment facilities serving both the District and MUD 9. Mr. Geiselhart added that MUD 9’s Board is also reviewing insurance costs.

Mr. McClellan then provided an update on the WCIA’s recent activities and events.

UPDATE ON THE OLD WALDEN FIRE STATION PROPERTY (“OWFS”)

Director Moravec reported that Mr. Lynch, who was present before the Board’s meeting, had to leave unexpectedly and that an update would be provided at a later time.

ATTORNEY’S REPORT

Mr. Barner reported that RAB had made the revisions to the Interlocal Agreement for Alternative Water Supply (“AWS”) Facilities requested by Director Patton and Mr. Geiselhart and that MUD 9’s Board had approved such agreement in its previous meeting. 

Upon a motion by Director Patton, seconded by Director Barlow, after full discussion and with all Directors present voting aye, the Board approved the Amended and Restated Interlocal Agreement for AWS Facilities.

ELECTION AGENDA

Mr. Barner then reminded the Board that no applications for place on ballot were submitted to the District for the May 2, 2026 Directors Election other than those applications submitted by directors whose term were expiring. Mr. Barner further reminded the Board that as a result, those directors are re-elected and that RAB will present oaths of office and statements of qualifications to such directors at the May 13, 2026 meeting.

THERE BEING NO FURTHER BUSINESS BEFORE THE BOARD, the meeting was adjourned at 10:46 a.m.

PASSED AND APPROVED this the 13th day of May 2026.

Secretary, Board of Directors

(DISTRICT SEAL)