BRAZOS MUTUAL DOMESTIC WATER CONSUMERS ASSOCIATION, INC.

April 28, 2013 Meeting Minutes

Meeting was brought to order at 8:41 a.m. at the Brazos Volunteer Fire Station

Directors Present: Mike Valdez

Rubel Martinez

Clay Kilmer

Ron Stafford

Paul Walelnciak

Deej Banister

Minutes of October 21, 2012:

Ron Stafford made a motion to accept the minutes as read. Mike Valdez seconded the motion. The motion unanimously carried.

Treasurer’s Report:

Rubel Martinez presented the month-end financial report:

Bills are current.

Bank accounts:

Community Bank checking as of March 31, 2013: $ 7,402.65

Fidelity cash as of March 31, 2013: $ 12,794.40

JASBX as of March 31, 2013: $105,194.43

(Rubel is to check with Fidelity to see if there are investments available with higher dividends.)

Financial Audit:

The financial audit being performed by Griego is at a standstill due to the termination of an employee and loss of materials. The Board discussed the need to change auditors. Mike Valdez made a motion to find another audit agency. Ron Stafford seconded. The motion unanimously carried.

Clay Kilmer is to write a letter to Griego asking for a refund of money since the audit cannot be completed.

Our audits are currently due every year.

Memberships/Transfers:

No membership transfers at this time.

Water Fee Issues:

Clay Kilmer is to correspond with John Holtry regarding his request to clarify amount(s) due for water fees on his properties. Mr. Holtry claims payment of late fee for Lot 29, 30, and 31, Blk 2, Unit 1, BLE has been paid—it has not. This residency is currently being occupied by Paul Shultz. The water payment for this property of $451.50 was received from Mr. Shultz. However, it was paid after the due date, and a late fee incurred. The late fee has not been paid. The consensus of the Board is that there is confusion by the owner as to which property is delinquent.

Sarah Potter purchased the #8 cabin from Ron Stafford; Deej is to contact the new owner regarding the transfer of water membership.

Water Rights Adjudication:

We have approximately 350 plotted lots with 97 acre feet of water rights. Jeff Albright is representing us at State adjudication regarding these rights. If we do not use this amount of acre feet in four (4) years, it could be cancelled. However, Utilities are allowed more time to comply. Since we cannot show use of the 97 acre feet, the Board discussed the possibility of Jeff Albright filing a draft to the adjudication asking that we be issued 45 AF and a planning time to use it within 40 years. After much discussion, Clay Kilmer made a motion that Jeff Albright prepares a draft filing to include 45 AF and a planning time of 40 years for presentation to Association members on May 23, 2013. Ron Stafford seconded. The motion unanimously carried.

Construction/Maintenance Issues:

Repair of the concrete base of the water tank used as a gravity fill by the VFD needs to be completed. Valdez will check with Randy Terrazas for his input on how this repair can be accomplished. The BMDWCA and Volunteer Fire Department will share the cost.

The bullet hole in the upper water tank was repaired both inside and outside. Sediment was vacuumed out of the tank and the bullet was removed. Insurance covered cost of repairs minus our deductable.

Leak detection will be done by Levi Sandoval and Bidal Candelaria this summer. Levi will schedule.

Fire Hydrants on Cielo Azul and in front of Restaurant on SR 512 will be repaired this summer. Levi Sandoval will schedule with Terraras.

The meeting adjourned at 11:01 a.m.

Respectfully submitted,

Deej Banister

Secretary