PUBLIC HEARING ON CONSOLIDATED DRILLING AND PRODUCTION PERMIT FOR DONOHUE INVESTMENTS LLC Call to order at 11:40 a.m. by President McGuairt. Party representing application: Remie Ramos with the Fort Stockton Economic Corporation. Protestant to application: No protestants Public Comment: None. Jerry McGuairt declared the hearing as uncontested. Manager Ty Edwards presented the application to the Board. Donohue Investments, LLC has submitted an application for a consolidated drilling and production permit for 1 well located on 25.87 acres on the corner of 14" Street and Atkins on the East Side of Fort Stockton on Property ID #15739, in Pecos County, Texas. The well is projected to be 200-300 feet in depth and drilled into the Edwards Trinity Aquifer. The purpose of this well is for a Recreational Pond and requests a 1 time use of 10 acre-feet to fill the pond and 40 acre-feet a year for the estimated annual groundwater needs for the recreational pond from the Edwards Trinity Aquifer. Mr. Donohue is wanting to put in an RV park and a recreational pond where the old gravel pit is. They are wanting to drill a new well, and have completed a Notice-of-Intent. Mr. Donohue is registered in the State of Texas. The application is administratively complete. Remie Ramos with the Fort Stockton Economic Corporation was sworn in to give testimony. (Mr. Donohue was out of town on business.) Middle Pecos GCD Minutes for June 19, 2018 Page 9 Mr. Ramos explained that Mr. Donohue approached the Fort Stockton Economic Corporation (EDC) for help with this project. The project did not fall under the funding guidelines. However, for the betterment of the community the Fort Stockton Economic Corporation is able to help them expedite the process to get things done. The EDC is working with Donohue and with the Texas Parks and Wildlife to get permits to stock the pond for recreational fishing. And, to designate some walking paths around the area. Members of the Board questioned how they would handle the overflow in the event of a big rain. Mr. Ramos reported that Donohue owns the property all the way to Comanche Creek, and that the City of Fort Stockton owns Comanche Creek, so they were looking at the over flow drainage going into the creek. There was a lot of concern voiced over the water loss due to evaporation and seepage. Mr. Ramos reported that the pond will be lined, and the ponds floodgate would be set higher to prevent overflow. The evaporation rate may be 50” to 80” annually. Several Board members stated that the City of Fort Stockton does not own the Comanche Springs, and that the canal system belongs to the Pecos County WCID#1. The hearing was recessed at 12:04 p.m. and reconvened at 1:01 p.m. ii} Adjourn hearing and consider and/or act on Application for a Consolidated Drilling and Production Permit for Donohue Investments, LLC. President McGuairt adjourned the hearing at 1:03 p.m. Alvaro Mandujano, Jr. made a motion to approve the application as presented. Motion seconded by Vanessa Cardwell. Motion Carried. 6 For. 3 Oppose. 2 Absent. Note: John Dorris away from the Hearing during the vote on Donohue Investments. And returned during the Parsley Minerals, LLC Hearing.

Bastiat Liberty & Property Rights Analysis

This motion is scored as EXPANDS_GOVERNMENT (Impact Weight: 4.6/10). 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).