9. Engineer’s Report. Mr. Wilson recognized Ms. Evans, who presented to and reviewed with the Board the Engineer’s Report, a copy of which is attached hereto as Exhibit H. Ms. Evans reported on the Water Plant Improvements and Filtration Expansion. She stated that the plans are approved and that Quiddity will advertise the project for bid after the bonds have sold. Ms. Evans reported on Bond Application Report No. 4. She stated that the bond application was approved by the TCEQ on February 6, 2025. She noted that the sale of the bonds will commence once the prior fiscal year end audits are finalized. Mr. Wilson presented to and reviewed with the Board the Resolution Requesting Extension of Time to Sell Bonds (the “Resolution”), a copy of which is attached hereto as Exhibit I. He stated that the Resolution is to request an extension of 12 months for the District to issue bonds. Upon motion by Director Higgins, seconded by Director Jacobs, after full discussion and the question being put to the Board, the Board voted unanimously to approve the Resolution. Ms. Evans reported on the WWTP Improvements Project. She stated that Quiddity held a pre-construction meeting with the contractor on December 18, 2025 and issued the notice to proceed the same day. She noted that the substantial completion date is June 21, 2026. Ms. Evans reported on the MS4 Phase II Storm Water Management Program. She stated that Quiddity prepared the District’s Storm Water Management Plan and Notice of Intent. She noted that the Notice of Intent is currently under review by the TCEQ. Ms. Evans reported on Commercial Development. She stated that Quiddity received a third set of construction plans for the proposed build out of the pizza shop. She noted that Quiddity completed their review and provided Quiddity’s comment letter on January 12, 2026 and informed the District’s general manager. Upon motion by Director Higgins, seconded by Director Smith-Boards, after full d

Bastiat Liberty & Property Rights Analysis

This motion is scored as RESTRAINS_GOVERNMENT (Impact Weight: 2.2/10). Under the Bastiat Liberty Watchdog Index, voting YES on measures that cap or reduce ad valorem tax burdens, expand taxpayer exemptions, retire debt early, enforce competitive bidding caps, or remove regulatory/zoning barriers to private property rights earns a positive Pro-Liberty score.