M. R. Gonzalez Secretary/Treasurer, Precinct 2 Janet Groth Precinct 1 Weldon Blackwelder Precinct 3 Alvaro Mandujano, Jr. Precinct 4 Ronald Cooper Precinct 4 Vanessa Cardwell City of Fort Stockton Jeff Sims City of lraan Allan Childs, Jr. At Large Quorum Present. Board members absent: Puja Boinpally Others present: Ty Edwards, Mike Gershon, Allan Standen, Dr. Bill Hutchison, Bill Dugat, Gail Reeves, Harvey Gray, Melissa Mills, Paula McGuairt, Brock Thompson, Eddie McCarthy Ill, Ed McCarthy, Jr., Mike Thomhill, Jeff Williams, Glenn Honaker, Buck Benson, Geoff Pike, Sam Cruse, Tommy Soriero, Jr. Mark Harral, Patrick Wilkenson, Garry Dent, Darrell Peckham, Marty Jones, Shanam McGaughy, Jock Allen, Gerald “Dee” Lyda, Gene & Shay Lyda, Gil Van Deventer, Drew Miller, James Cravens, Mark Bradley Davis, and Bob Beal, and Jeremy Gonzalez/Fort Stockton Pioneer. REGULAR BOARD MEETING ! Call to order regular Board meeting at 10:01 a.m. by President Jerry McGuairt. Wl Comments from public and media. See public comments on page 5. Middle Pecos GCD Minutes for July 18, 2017 Page 2 of 18 PUBLIC WORKSHOP ON PROPOSED RULES Call to order at 10:02 a.m. by Board President Jerry McGuairt. The Middle Pecos Groundwater Conservation District (District) will receive public input at a hearing on proposed amendments to the District's rules intended to (1) change Management Zone 1 boundaries and operating conditions to recognize hydrogeological differences between South Coyanosa and Belding areas; and (2) establish (A) acceptable aquifer level fluctuations and (B) thresholds for pro rata cutbacks when aquifer level declines in certain monitoring wells. As a matter of record: An informal meeting was held at the Middle Pecos GCD office on July 17, 2017. In attendance on behalf of Fort Stockton Holdings, LP: Mike Thornhill, Ed and Eddie McCarthy, Brock Thompson, James Beach, Jeff Williams, and Darrell Peckham. In Attendance on behalf of Cockrell Investment: Buck Benson, Geoff Pike, Sam Cruse, Tommy Soriero, Jr, Kaveh Khorzad, and Glenn Honaker. In attendance on behalf of Middle Pecos GCD: Ty Edwards, Mike Gershon, Allan Standen, and Dr. Bill Hutchison. In attendance on behalf of Pecos County: Drew Miller. In attendance on behalf of Republic Water Company of Texas, LLC: Garry Dent and Marty Jones. The purpose of this meeting was to discuss upcoming changes to the Middle Pecos GCD rules regarding re- defining management zone one containing the Leon-Belding area, and the water level management criteria that is part of the settlement proposal between Fort Stockton Holdings, L.P. and Middle Pecos GCD. Dr. Bill Hutchison gave a PowerPoint presentation entitled “Proposed Changes to Management Zone 1 and Proposed Monitor Well Data and Comparisons with Model Simulations (Draft 1)". A copy of the presentation is attached to the minutes of 06-20-2017 because the presentation was given on that day also. Dr. Hutchison explained that this is a first cut at Management Zone 1 boundaries, Desired Future Conditions, and Special Permit Conditions for the upcoming Fort Stockton Holdings, LP permit application. Note: This presentation was given with the original Table 6. Later in this meeting, there is a hearing for Fort Stockton Holdings, LLC and a new table 6 is offered during discussions regarding the Settlement Special Conditions. Public Comment: Buck Benson/Legal Representative for Cockrell Investment Partners, L.P./i.e. Belding Farms. Mr. Benson requested to be on the record that recommendations were submitted to the District on Friday afternoon, July 14, 2017. The recommendations were then briefly commented on by Cockrell’s hydrologist, Wet Rock Groundwater Resources, on July 17, 2017, at the District’s office. Upon reviewing the Middle Pecos GCD Minutes for July 18, 2017 Page 3 of 18 information submitted for the rulemaking hearing today by MPGCD General Manager to the Board of Directors, Mr. Benson has noticed that none of their recommendations were

Bastiat Liberty & Property Rights Analysis

This motion is scored as EXPANDS_GOVERNMENT (Impact Weight: 5.1/10). Under the Bastiat Liberty Watchdog Index, measures that increase tax rates or fee schedules, issue new debt or Certificates of Obligation, expand regulatory/zoning restrictions on private land use, or authorize unbudgeted spending expansions reduce an official's Freedom Score when voted YES (and reward dissenting NO votes).