Consider and/or act to provide guidance regarding applicability and effect of

Staff Report & Agenda Item Details

Consider and/or act to provide guidance regarding applicability and effect of District's permitting rules regarding voluntary groundwater pumping forbearance program for permit holders within Management Zone 1. MPGCD Attorney Mike Gershon reviewed the issue and a proposed resolution with the Board. Mr. Gershon expressed his legal opinion that the District's rules do not detrimentally affect the status of any groundwater wells and groundwater permits held by landowners that would participate in Texas Water Trade’s groundwater pumping forbearance program, nor would any landowner’s participation in the program. This item is on the agenda to give the landowners and groundwater pumpers in Management Zone 1 the certainty that groundwater permits will not be reduced or taken away if they choose to participate in the forbearance program with Texas Water Trade. Several Board Members expressed their agreement with Mr. Gershon’s interpretation of the rules and did not see the need for the resolution. It was repeatedly declared by the District's General Manager, various Directors and the District's attorney during this agenda item that permits will not be reduced or be taken away if the landowners participate in the forbearance program. Vanessa Cardwell made a motion to approve the resolution. The motion was not seconded. Motion failed. Public comment was offered by Ed McCarthy, Sharlene Leurig and Christina Wisdom. Consider and review 2021-2022 draft budget and draft estimated values. Draft estimated values and draft budget was handed out to the Board. Several new items were discussed including a well plugging item to start addressing the flowing well issues around Imperial. Certified Values are expected to be received within the next week. We will update the budget and have the workshop and proposed tax rate hearings at the next board meeting in August. Update on FSH-MPGCD Joint Study and Implementation. Installation is complete on all 11 Threshold wells associated with FSH permit. The HydroVu link is up and running and all transducers are working properly. We have ordered equipment for two more monitor well sites and anticipate installing transducers in the City of Fort Stockton’s Capitan Reef Monitor well (MPGCD# 2014080601) and FSH Rustler well S-34 (MPGCD# 2005021122) first week of August. Briefing and take action as necessary on Cockrell Investment Partners, L.P. v. MPGCD and its Board President in his official capacity, Fort Stockton Holdings, L.P. and Republic Water Company of Texas, L.P., Case No. 08-21-00017-CV (El Paso Court of Appeals) and/or Cockrell Investment Partners, L.P. v. MPGCD and its General Manager in his official capacity, and Fort Stockton Holdings, L.P., Cause No. P-8277-83-CV (Pecos County District Court). nC “_>} Minutes of July 20, 2021 Page 3 of 4 xl Xl xill XIV

This motion is scored as EXPANDS_GOVERNMENT (Impact Weight: 4.7/10). 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).