July 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, August 12, 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”); Messrs. Justin Abshire and Conner Murphy 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. Robert Ginandt, Director for Montgomery County Municipal Utility District No. 9 (“MUD 9”); Mr. Trevor Konopka of The GMS Group, LLC (“Financial Advisor” or “GMS”); Mr. Nicholas L. Roberts, attorney, and Ms. Barbara Hankins, paralegal of Radcliffe Adams Barner PLLC (“Attorney” or “RAB”); and Mr. Don Smith, a member 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 9:01 a.m. and declared it open for such business as may come before it.

PUBLIC COMMENT

The President then opened the meeting to public comment.

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

APPROVAL OF MINUTES OF JULY 8, 2026 REGULAR MEETING

The Board next reviewed the minutes of the July 8, 2026 regular meeting.

In response to a question from Director Moravec regarding the entry in such minutes pertaining to the District’s use of certain laboratory testing services, Mr. Wright confirmed that Hays North submits water and wastewater samples for requisite laboratory testing services, including the samples for the District to Southern Petroleum Laboratories, formerly known as North Water District Laboratory Services, Inc.

Upon a motion by Director Moravec, seconded by Director Patton, after full discussion and with all Directors present voting aye, the Board approved the minutes of July 8, 2026 regular meeting.

TAX ASSESSOR-COLLECTOR’S REPORT

Mr. Miller then presented the Tax Assessor-Collector’s Report for July 2026, a copy of which is available upon request, and reviewed monthly tax revenue collections for the prior collection period and credits issued to certain property owners’ accounts. Mr. Miller noted that 97.77% of the 2025 taxes have been collected as of July 31, 2026.

Upon a motion by Director Moravec, seconded by Director Barlow, 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 presented the Bookkeeper’s Report, a copy of which is available upon request, and reviewed current fund balances, expenditures and investments of the District.  A discussion then ensued regarding information in such report.

Mr. Miller informed the Board that MAC received an invoice dated August 4, 2026, from WCIA for mowing services of the District’s facilities, including two (2) water plants and six (6) lift stations.  Mr. Wright reminded the Board that Hays North is responsible for landscaping maintenance invoicing for the District’s facilities, including mowing services.  A discussion ensued and it was the consensus of the Board to withhold payment of the August 4, 2026, invoice received from WCIA.

Mr. Miller presented the Quarterly Investment Report for the period ending June 30, 2026.

Director Moravec then inquired about the status of the information that detailed insurance payments made for the joint facilities over the previous five (5) years.  An extensive discussion ensued as to the common cost obligations for insurance shared between the District and MUD 9.  Director Moravec requested the Bookkeeper separate the insurance costs as a separate line-item going forward and stated he would coordinate with Mr. Ginandt to resolve his concerns, regarding common cost obligations.

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

ENGINEER’S REPORT

Mr. Murphy then presented the Engineer’s Report, a copy of which is available upon request.

Mr. Murphy first updated the Board regarding the status of Phase II of the Lift Station (“LS”) Rehabilitation Project that was awarded to McDonald Municipal & Industrial (“McDonald”).  Mr. Murphy confirmed that rehabilitation of LS No. 1 is scheduled to begin August 25, 2026, and that rehabilitation of LS No. 2 is scheduled to be completed by October 2026. 
Mr. Murphy reminded the Board that the terms of the contract for such project require that it be completed within 250 calendar days and confirmed that McDonald is aware of the economic incentives and liquidated damages for completing such project.

Regarding MUD 9’s Buckingham Water Treatment Plant Generator Project, Mr. Murphy explained that Texan Municipal and Industrial (“TMI”) has completed construction of the foundation for the generator, installed such generator, and completed the diesel tank pad.  Mr. Murphy informed the Board that TMI is installing the fuel pump connection and electrical items and stated that MUD 9’s Board approved TMI’s Pay Estimate No. 2 in the amount of $189,725.40 for the installation of such items.  Mr. Murphy then recommended that the Board concur with MUD 9’s approval of TMI’s Pay Estimate No. 2.

Mr. Murphy next updated the Board regarding the 2026 Storm Sewer Outfalls Rehabilitation Project (“2026 Outfalls Project”).  Mr. Murphy reminded the Board that Allteam Solutions, LLC (“Allteam”), who submitted the lowest bid in the amount of $343,000.00 for a term of 90 calendar days, was awarded the 2026 Outfalls Project.  Mr. Murphy stated that Allteam has executed the contract and recommends Board approval and execution of the contract with Allteam, subject to RAB’s review.  Mr. Murphy further stated that Quiddity intends to issue the Notice to Proceed to Allteam within the next week.

Mr. Wright informed the Board that upon inspection of the manhole near LS No. 3, a contractor has bored through the manhole and cables of unknown origin approximately eight feet (8′) underground.  Mr. Wright stated that he will coordinate with the responsible contractor to repair the manhole so that such cables are not interfering with the rehabilitation of LS No. 3.  Mr. Wright stated that he would provide information to RAB regarding realignment of the manhole and provide contractor the costs associated with this repair.

Mr. Murphy informed the Board that the Texas Commission on Environmental Quality requires all wastewater treatment plants (“WWTP”) permitted above 1.0 MGD to update their Stormwater Pollution Prevention Plan (“SWPPP”) every five (5) years.  Mr. Murphy reminded the Board that Quiddity is proceeding with updating the District’s SWPPP and submitting the WWTP Multi-Sector General Permit (“MSGP”) due by November 11, 2026.

Mr. Murphy informed the Board that Quiddity met with Messrs. Moravec, Patton and Geiselhart to review the SCADA system and the required routine maintenance of WWTP control systems, which includes reactive monitoring and troubleshooting services for the SCADA system.  A discussion ensued regarding Director White coordinating with Red Tiger to resolve the fire wall block issue, the static IP notifications (to be received by the Operator), and the new proposed VT SCADA software updates.  Mr. Murphy then recommended the Board approve the authorization of the VT SCADA software updates in the amount of $12,836.99.

Mr. Murphy then requested that a separate expense line item be included in the bookkeeper’s report moving forward to reflect Quiddity’s monthly monitoring, and quarterly on-site monitoring, of the SCADA system and requested the upcoming budget reflect approximately $20,000.00 annually for such services.

Upon a motion by Director White, seconded by Director Barlow, after full discussion and with all Directors present voting aye, the Board approved the Engineer’s Report, including:
1) concur with MUD 9 approval of TMI’s Pay Estimate No. 2 in the amount of $189,725.40; 2) execution of Allteam’s contract for the 2026 Outfalls Project in the amount of $343,000.00, subject to RAB’s review; and 3) proceeding with VT SCADA software updates in the amount of $12,836.99.

Mr. Konopka entered the meeting at this time.

FINANCIAL ADVISOR’S REPORT

Mr. Konopka presented to and reviewed with the Board the Financial Advisor’s tax rate study for the proposed 2026 tax rate (the “Tax Rate Study”), a copy of which is attached hereto.  Mr. Konopka noted that according to Montgomery Central Appraisal District, the average median taxable value of property within the District decreased from $410,863.00 in 2025 to $410,368.00 in 2026. Mr. Konopka explained that GMS recommends the Board publish a proposed total ad valorem tax rate of $0.2935 per $100 assessed valuation, which is the maximum amount the District can adopt without triggering a rollback election.  Mr. Konopka further recommended that next month, the Board consider setting a total tax rate of $0.2935 per $100 assessed valuation, comprised of $0.1655 per $100 assessed valuation for debt service purposes and $0.128 per $100 assessed valuation for operation and maintenance purposes at the September 9, 2026, Board meeting. Mr. Konopka added that, based on a total tax rate of $0.2935, the average homeowner’s tax bill would increase by approximately $21.00.

Mr. Konopka then stated if the District were to adopt a total ad valorem tax rate of $0.2935 per $100 assessed valuation, GMS would also recommend that the Board transfer $195,000.00 from the General Operating Fund to the District’s debt service fund.  Extensive discussion then ensued regarding the Tax Rate Study, including the proposed tax rate to be published in the Conroe Courier, as is required by Texas Water Code, Section 49.236(b)(1).

Upon a motion by Director Barlow, seconded by Director Tryon, after full discussion and with all Directors present voting aye, the Board: 1) authorized publication of a proposed 2026 tax rate at $0.2935 per $100 of assessed value in the Conroe Courier; and 2) schedule the public hearing regarding setting such rate at the regular meeting of Wednesday, September 9, 2026, at 9:00 a.m.

OPERATOR’S REPORT

Mr. Wright presented the Operator’s Report, a copy of which is available upon request.

Mr. Wright informed the Board that increased flushing of the systems has occurred in the last month to ensure unobstructed movement through the lines.

Mr. Wright reported that the Water Accountability Ratio for the District and MUD 9 was 93.93% for the last billing cycle.  Mr. Wright noted that the monthly directional flushing performed for the month of July was 2,300,000 gallons.

Mr. Wright then reported that 808 customers are currently receiving electronic billing statements.  Mr. Wright added that since the last billing cycle, 18 new customers have selected the automatic payment option, and four (4) customers have selected the paperless billing option.

Mr. Wright updated the Board regarding the Aqua Aerobic’s cloth media filters in the chlorine basin, which are in poor condition and need to be replaced.  A discussion then ensued and it was the consensus of the Board to request that Hays North provide the District with quotes for replacing the cloth media filters.

Mr. Wright next updated the Board regarding the landscaping and structural updates for LS No. 2, stating that he obtained quotes for a new metal frame gate (in the amount of $5,400.00), and replacement of landscaping hedges (in the amount of $2,500.00) around the LS No. 2 and the related generator.  Mr. Roberts stated he will present to Mr. Jeff Hoy, owner of the property adjacent to LS No. 2, the District’s proposed landscaping and gate installation and update the easement agreement to reflect same.

Mr. Wright then reported to the Board that on July 15, 2026, Hays North received an alert from LS No. 2’s automated alarm, which indicated potential infiltration.  Mr. Wright informed the Board that, due to heavy rainfall, red dirt clay soil located on Mr. Hoy’s property had runoffs and covered LS No. 2 with 18″ of mud.  Mr. Wright confirmed that there were no silt fences implemented between Mr. Hoy’s property and LS No. 2.  A discussion ensued regarding expenses related to cleaning up, reassembling and disassembling various components of LS No. 2, which amounted to $5,666.98 in overall expenses.  It was the consensus of the Board that RAB notify Mr. Hoy of such expenses and request reimbursement.

Mr. Wright updated the Board that Hays North is addressing the recoating/rehabilitation recommendations listed on the June 2026 Water Well Nos. 1 and 2 Inspection Report.  Mr. Wright presented for approval the proposals for recoating, touch-up painting, pressure washing/grouting at Water Plant No. 1 and Water Plant No. 2 in the amounts of $25,000.00 and $16,250.00, respectively.

Mr. Wright next updated the Board regarding dead trees identified at the WWTP. 
Mr. Wright stated that over 20 dead trees need to be removed before damage is incurred to the District facilities.  Mr. Wright presented for approval a proposal in the amount of $9,500.00 to remove the dead trees.

Upon a motion by Director Barlow, seconded by Director Tryon, after full discussion and with all Directors present voting aye, the Board approved the Operator’s Report, including: 1) recoating, touch-up painting, pressure washing/grouting of Water Plant No. 1 in the amount of $25,000.00 and Water Plant No. 2 in the amount of $16,250.00; 2) removal of dead trees at the WWTP in the amount of $9,500.00; and 3) authorize RAB to prepare letter regarding reimbursement of LS No. 2 expenses.

MISCELLANEOUS REPORTS

Mr. McClellan then provided an update on the WCIA’s recent activities and events, including open positions on the WCIA Board.

Mr. Ginandt stated that the concerns of MUD 9 regarding payments of insurance premiums for the shared plant facilities between the District and MUD 9 were already addressed and had no further comments.

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

Director Moravec informed the Board that he has no updates from JT Lynch Company, LLC (“JT Lynch”) on potential buyers for the OWFS property.

ATTORNEY’S REPORT

Mr. Roberts updated the Board regarding easements for LS Nos. 1 and 2.  Mr. Roberts informed the Board that Mr. Benitez, the property owner adjacent to LS No. 1 is waiting for his mortgage servicer and lienholder’s approval of the easement agreement prior to execution.  Mr. Roberts confirmed that RAB would continue to follow up with Mr. Benitez regarding such approval.

Regarding LS No. 2, Mr. Roberts reminded the Board that upon receipt of the proposed Operator’s costs and designs for landscaping improvements to LS No. 2, as discussed in the Operator’s Report, RAB will coordinate with Mr. Hoy to execute the Generator Easement agreement related to LS No. 2.

THERE BEING NO FURTHER BUSINESS BEFORE THE BOARD, the meeting was adjourned at 10:49 a.m.

PASSED AND APPROVED this the 9th day of September, 2026

Secretary, Board of Directors

(DISTRICT SEAL)