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[BCRUA Board of Directors Meeting]
ALL RIGHT.I CALL TO ORDER THE BRUSHY CREEK REGIONAL UTILITY AUTHORITY BOARD MEETING FOR WEDNESDAY, AUGUST 27TH.
TIME IS SIX OH TWO, AND WE'LL CALL THE ROLE VICE PRESIDENT FLORES HERE.
DO WE HAVE ANYONE SIGNED UP TO SPEAK? THANK YOU.
ITEM FOUR A, CONSIDER APPROVAL OF THE B-C-R-U-A MEETING MINUTES OF JUNE 25TH, 2025.
ITEM FIVE A, CONSIDER A STATUS UPDATE FROM GENERAL MANAGER REGARDING DROUGHT CONDITIONS.
MR. ROBERTS, UH, GOOD EVENING, PRESIDENT AND DIRECTORS, AND EVERY, EVERYBODY UP THERE.
THIS IS, AND I WILL SAY WE'RE, WE'RE NOT, WE DON'T HAVE A POWERPOINT TONIGHT, SO, UH, BECAUSE WE REALLY JUST DON'T HAVE ANY ITEMS THAT HAVE GRAPHICAL REFERENCE.
AND, UH, I, I PROBABLY COULD HAVE ONE FOR THE DROUGHT, BUT I JUST, I THINK WE ALL KNOW THIS, BUT THE, UH, ALTHOUGH I'M NOT SURE IF THE TEXAS MONITOR SAYS THAT WE'RE STILL HAVE SOME DROUGHT CONDITIONS AROUND THE STATE, IT PROBABLY DOES.
BUT AS FAR AS YOU KNOW, THE BCRS THAT UA IS CONCERNED, THE LAKE LEVELS IS REALLY WHAT WE FOCUS ON WHEN IT COMES TO DROUGHTS.
AND I, AND AS WE ALL KNOW, WITH THE, UH, JULY 4TH FLOODS, UNFORTUNATELY, UH, UH, FOR THE OUTCOME OF THAT.
AND SO LAKE TRAVIS IS, UH, VERY NEAR, NEAR FULL.
IT'S LIKE 6 73 OR SIX 70, THIS 6 76 74 TODAY.
AND, UH, I THINK IT GOT UP TO 6 75.
BUT ANYWAY, UH, SIX 80 ONE'S FULL AND, AND, UH, IT ROSE 38 FEET, I THINK IT WAS IN JUST A MATTER OF DAYS.
UM, GINA FOUND A CHART THAT SHOWED THE INFLOWS, THE MONTHLY INFLOWS FOR LIKE THE LAST Y YOU KNOW, SIX MONTHS OR EIGHT MONTHS BEFORE.
AND ANYWAY, IT'S THIS, JUST THIS HUGE SPIKE AND, UH, IT'S CRAZY HOW MUCH WATER CAME IN IN SUCH SHORT TIME.
ALRIGHT, MOVE ON TO RESOLUTIONS.
UH, ITEM SIX A, CONSIDER A RESOLUTION ACCEPTING THE B-C-R-U-A QUARTERLY INVESTMENT REPORT PER APRIL 1ST, 2025 TO JUNE 30TH, 2025.
I AM OTIS WILLIAMS, THE CFO FOR THE CITY OF LEANDER.
I'M GONNA REPORT TO YOU TONIGHT ON THE JUNE 30TH, 2025 INVESTMENT REPORT.
UH, SOME OF THE KEY OBSERVATION AND EXPECTATIONS FOR 2025.
THE LABOR MARKET STILL HOLDS SOLID, BUT IT'S SLOWING DOWN, AND THAT'S PRIMARILY DUE TO THE UNEMPLOYMENT, UH, WHICH IS BELOW AVERAGE AT THIS POINT.
UH, THE FEDS HAVE, UH, RATES ARE STEADY, BUT PROJECT TWO CUTS IN OCTOBER, AND THEN ANOTHER THREE CUTS NEXT YEAR.
INTEREST RATES ACROSS THE YIELD CURVE WERE LOWER FOR THE MONTH OF JUNE.
UH, INFLATION HAS BEEN TRENDING HIGHER SINCE EARLIER THIS YEAR, AND ECONOMISTS PREDICT INFLATION WILL KEEP RISING BECAUSE OF THE TARIFFS.
UM, WE'VE ALL HEARD ABOUT THE TARIFFS, THEY'RE SORT OF UNKNOWN.
UM, SO WE, WE DON'T KNOW WHAT TO EXPECT, UH, IN THAT PARTICULAR INSTANCE.
CORE PERSONAL CONSUMPTION EXPENDITURES.
SO THE PEC IS CURRENTLY AT 2.7%, UH, NOT QUITE AT THE FED'S TARGET, AND IT'S MOVED A LITTLE BIT HIGHER, UH, LAST MONTH.
INFLATION IS, IS EXPECTED TO MOVE HIGHER LATER THIS YEAR IN OUR TREASURY RATES AND MARKET PERFORMANCE.
UH, THE US TREASURY CURVE SHOWED MIXED RESULTS, UH, IN THE MONTH OF JUNE WITH A SLIGHT DECREASE IN SHORT TERM AND IMMEDIATE TERM INTEREST RATES.
MARKET PARTICIPANTS ARE DEMANDING HIGHER RATES DUE TO FAILURE, UH, FUTURE, UH, INFLATION UNCERTAINTY CAUSED BY THE TERRORISTS IN OUR PORT PORTFOLIO COMPLIANCE AND PERFORMANCE METRICS.
UH, JUST TO LET YOU KNOW THAT THIS REPORT COMPLIES WITH
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THE TEXAS PUBLIC FUNDS INVESTMENT ACT, UH, WITH A WEIGHTED AVERAGE OF ABOUT 3.5%.THE PORTFOLIO'S EFFECTIVE DURATION IS 0.06 YEARS, UH, REFLECTED OF A SHORT TERM INVESTMENT STRATEGY.
MOVING ON TO THE QUARTERLY PERFORMANCE SUMMARY.
UH, THE PORTFOLIO MARKET DECREASED FROM 166 MILLION TO 164 MILLION.
THAT'S ABOUT A $1.5 MILLION, UM, DECREASE.
UH, WE ALSO HAD AN INVESTMENT INCOME FOR, FOR THE SAME PERIOD OF ABOUT 1.4 MILLION.
UH, SO IT SORT OF BALANCES ITSELF OUT.
THE QUARTERLY, UH, PORTFOLIO SUMMARY FOR THE YEAR, UM, TOTAL MARKET DECREASED BY 1.8 MILLION, BUT THE TOTAL EARNINGS, UH, FOR THE QUARTER AGAIN, WAS 1.4.
IN SUMMARY, BY INVESTMENT TYPE, UH, WE HAVE BANK DEPO DEPOSITS, UH, MONEY MARKET FUNDS, AND COMMERCIAL PAPER.
UH, WE ALSO HAVE THOSE INVESTMENT POOLS AND TREASURIES.
UH, THE AVERAGE YIELD ACROSS INVESTMENTS, IT'S ABOUT 3.5%.
AND ONCE AGAIN, THE TOTAL EARNINGS FOR THE QUARTER CAME IN AT $1.4 MILLION.
THAT CONCLUDES MY PRESENTATION.
ANY QUESTIONS? LAURA, DO YOU HAVE ANY QUESTIONS? OKAY.
RESOLUTIONS BEFORE US? THANK YOU.
THANK YOU, MR. WILLIAMS. MOTION TO APPROVE.
CALL ITEM SIX B, CONSIDER RESOLUTION AUTHORIZING THE PRESIDENT TO EXECUTE A SWIFT 2025 LEANDER FINANCING AGREEMENT.
UH, THIS, THIS FINANCIAL AGREEMENT IS THE FIRST BOND TAKE DOWN BY LEANDER UNDER THE SWIFT COMMITMENT APPROVED BY THE TEXAS WATER DEVELOPMENT BOARD, UH, THIS PAST SUMMER, UH, JULY 25.
THE TOTAL AMOUNT FOR THIS, UH, COMMITMENT IS $72,480,000.
UH, LEANNE IS TAKEN, AND IT'S GONNA BE TAKEN DOWN IN TWO, TWO TRANCHES ONCE ONE THIS YEAR, ONE NEXT, PRESUMABLY NEXT YEAR, ALTHOUGH I THINK IT HAS AN OPTION TO BE PUSHED IF THEY WANT TO.
BUT YEAH, THIS, THIS TAKE DOWNS FOR $36,240,000.
UH, FUNDS ARE BEING USED FOR THE CONTINUATION OF THE BRUSHY CREEK PROJECT, SPECIFICALLY THE, UH, PHASE TWO, A EXPANSION OF THE WATER TREATMENT PLANT.
UH, AND THIS, THIS ACTION TONIGHT RELATES ONLY TO THE CITY OF LEANDER.
THE, I I, I DON'T THINK I'M GONNA GO IN A WHOLE LOT MORE DETAIL AS FAR AS THE SCHEDULE GOES.
WE, WE'VE ALL BEEN THROUGH THAT, BUT GREGORY MILLER, UH, LEANERS BOND COUNSEL FROM, UH, AFF HEATH DEDO IS HERE TONIGHT, AND I THINK HE MIGHT WANT TO SAY A FEW, FEW WORDS TO Y'ALL.
THIS IS GREGORY MILLER WITH, UH, BICKER STAFF HEAT DELGADO ACOSTA.
UH, AS, AS MR. ROBERT SAID, I'M BOND COUNSEL FOR LEANDER.
UM, A LOT OF YOU HAVE BEEN ON THE BOARD, UM, WHEN WE'VE DONE THESE PREVIOUS TRANSACTIONS.
SO AS MR. ROBERTS ALLUDED TO, UM, Y'ALL KIND OF KNOW THE PROCESS FOR HOW THESE WORK.
UM, TONIGHT'S ACTION ITEM IS TO APPROVE THE FINANCING AGREEMENT.
UM, YOU WILL BE SIGNING MADAM PRESIDENT, UM, THE WATER BOARD WILL BE ROUTING, UH, DOCUMENT THE FINANCING AGREEMENT TO YOU, UH, FOR DOCUMENT, UH, DOCUSIGN.
UM, FOLLOWING THAT, UH, THE WATER BOARD WILL AUTHORIZE THE ISSUANCE OF THE BONDS, AND THEN LEANDER WILL APPROVE YOUR ISSUANCE OF THOSE.
SO THERE'LL BE, UH, TWO MORE STEPS, UM, FOR THE PROJECT.
UM, I DON'T KNOW IF THERE'S ANY QUESTIONS, UM, THAT Y'ALL WANT TO GO OVER.
UM, THIS COMES, THIS COMES BACK TO Y'ALL IN OCTOBER WHEN Y'ALL WILL APPROVE THE, UH, THE ACTUAL BOND RESOLUTION.
AND LEE, WHICH I, I DON'T THINK IT'S, WE'VE GOT THE DATES EXACTLY WORKED OUT, BUT LEANDER WILL APPROVE THE EL PASS, THE RESOLUTION AUTHORIZING THE BCRA TO ADOPT THE BOND RESOLUTION'S, PROBABLY THE, THE WEEK BEFORE.
UH, SO KIND OF ALL THAT'S CONDITIONED UPON THE WATER BOARD CLOSING ON THEIR BONDS AND EVERYTHING.
AND THEN AS YOU'LL NOTE, I THINK PROBABLY ONE OF THE MORE IMPORTANT ITEMS OF THIS IS ON THE FINANCING AGREEMENT, THE, UH, TERMS OF REPAYMENT, THE INTEREST RATES, AND THIS DEBT SERVICE SCHEDULE FOR OR ATTACHED.
I THINK THAT'S ONE OF THE IMPORTANT, UH, PARTS TO LOOK AT.
ANY QUESTIONS FOR MR. MILLER? NO.
SO WHERE'S THE, I SAW THE, UH, DESCRIPTION OF BORROWER BONDS, BUT ARE YOU, DID YOU JUST SAY THAT THE RATE IS DISCLOSED IN THERE? UH, YES SIR.
IT'D BE ON THE FINANCING AGREEMENT.
WHAT, WHAT RATE ARE WE LOOKING AT?
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I'M SORRY.UM, I WAS JUST CURIOUS ON THE RIGHT.
I JUST DIDN'T SEE IT THERE, SO, OKAY.
AND IT MIGHT BE THERE, I'M JUST, THAT'S SEE, DISCOVER AMATEURIZATION SCHEDULE, BUT I DON'T SEE ANYTHING ABOUT THE RATE.
THE WAY THAT THIS WILL WORK IS THAT AS WE GET CLOSER TO CLOSING THE WATER BOARD, UM, WILL LOCK THEIR RATES IN AND THEY GIVE THOSE TO US.
UM, THEY GET THEIR FUNDS IN TURN, JUST LIKE PRETTY MUCH ANALOGOUS TO WHAT THE B-C-R-U-A IS DOING.
THEY'RE GONNA SELL BONDS TO THE FEDERAL GOVERNMENT.
ANY OTHER QUESTIONS? MOVE TO APPROVE.
ITEM SIX C, CONSIDER RESOLUTION AUTHORIZING THE PRESIDENT TO EXECUTE AN AGREEMENT WITH SMITH PUMP COMPANY FOR BOOSTER PUMP NUMBER THREE, REPAIR PROJECT.
THIS, UH, THIS IS A, BASICALLY AN EMERGENCY REPAIR AGREEMENT WITH A SMITH COM SMITH PUMP COMPANY, WHICH IS A LARGE PUMP COMPANY BASED IN WACO, HEADQUARTERED IN WACO.
UH, THE, UH, B-C-R-U-A EXPERIENCED A, UH, WE HAD A LARGE BOOSTER PUMP, A WATER BOOSTER PUMP THAT HAD A MECHANICAL FAILURE ABOUT FOUR WEEKS AGO NOW.
AND, AND, UH, THAT FAILURE CAUSED KIND OF THIS, UH, THIS DOMINO DAMAGE EFFECT TO THE PUMP WHEN IT HAPPENED.
IT WAS STARTED WITH ONE, ONE BUSHING THAT WENT OUT AND, AND, AND IT CAUSED A LOT OF DAMAGE TO THE PUMP.
AND, AND THIS, THIS PUMP DELIVERS TREATED WATER, UH, TO THE ELEVATED STORAGE TANK.
AND IT'S PART OF A THREE PUMP SYSTEM THAT'S DESIGNED TO BE ABLE TO DELIVER ALL OF, ALL THE MAXIMUM DAY FLOWS WITH THE LARGEST PUMP OUTTA SERVICE.
UH, WHICH IS, UH, WHICH MEANS THAT WITHOUT THIS PUMP, WE'RE STILL FINE.
WE'RE, WE HAVE, UH, ADEQUATE CAPACITY FOR THE MAXIMUM DAY.
HOWEVER, WE DON'T HAVE OUR STANDBY PUMP, THEREBY THAT, THAT'S WHAT CREATES KIND OF AN EMERGENCY OR AN URGENT SITUATION TO GET IT REPAIRED.
AND, UH, SO WE, UH, WE, WE ENGAGED SMITH PUMP TO, TO, TO REMOVE THE PUMP IN CEDAR PARK PUMPING MOTOR.
THEY, THEY, UH, THEY, THEM AS AND SMITH PUMP PULLED THIS MASSIVE PUMP, IT'S LIKE, IT'S GIGANTIC.
IT'S LIKE 28 FEET LONG WITH A 10,000 POUND MOTOR THAT SITS ON TOP OF IT.
AND, AND BOTH TEAMS DID A REALLY GOOD JOB PULLING IT AND TOOK IT TO WACO.
AND IT TOOK, IT TOOK 'EM A WEEK TO TEAR IT APART AND TO DIAGNOSE IT.
AND, AND, AND THE GOOD NEWS IS THEY DETERMINED THEY COULD, THEY COULD REPAIR IT.
AND, UH, BECAUSE TO GET A NEW PUMP, THESE ARE CUSTOM MADE PUMPS, IT TAKES, UH, MONTHS AND MONTHS, SOMETIMES UP TO A YEAR.
SO ANYWAY, UH, SO YEAH, WE, SO WE, WE WORKED WITH THEM ON A CONTRACT.
THEY, THEY, THEY PUT TOGETHER A, A QUOTE AND THE, UH, THE, THE COST ESTIMATE, THAT QUOTE IS $89,855.
AND THIS, UH, THERE'S AN AGREEMENT IN YOUR PACKET THAT'S GOT, UM, YOU KNOW, IT'S GOT A PERFORMANCE, A PAYMENT BOND THAT'S REQUIRED FOR THE CON FOR THE, UH, COMPANY AND INSURANCE AND, UH, ALL, ALL THE DOCUMENTATION FOR PROPER CONTRACT.
AND, UM, AND, UH, IT'S, IT'S GOT AN ESTIMATED 13 WEEK, UH, UH, REPAIR, UH, TIMELINE, WHICH, SO WE, UH, WE'RE RECOMMENDING APPROVAL TONIGHT, AND THEN WE WILL, WE WILL, UH, GIVE THEM NOTICE TO PROCEED TOMORROW.
AND THAT I'D BE HAPPY TO ANSWER ANY QUESTIONS.
IS THERE ANY ANTICIPATED, UM, DELAY OR DISRUPTION IN SERVICE WHEN IT'S AFTER IT'S READY TO BE REINSTALLED? UH, YOU MEAN AS FAR AS WATER DELIVERY GOES? MM-HMM
SO I JUST, FOR INFORMATION'S SAKE, UM, I KNOW THAT THERE'S ONLY A FEW COMPANIES THAT CAN PRODUCE PUMPS THIS LARGE IN THE WORLD.
UM, IF YOU HAD TO BUY A NEW ONE, UM, WHAT WOULD IT COST? YOU KNOW, WE'RE NOT A HUNDRED PERCENT SURE, BUT IT'S PROBABLY THREE TO FOUR TIMES WHAT WE'RE PAYING TO REPAIR IT.
TWO, TWO TO $300,000 IS THE ESTIMATE.
UH, ONE PERSON GAVE ME, AND THEN PROBABLY YEAR FOR CONSTRUCTION, ALL THE SHIPPING DELAYS, THE TARIFFS, EVERYTHING ELSE IS INVOLVED.
AND JUST FYI WITH PHASE TWO A, WHICH IS, WE'RE OUT FOR BIDS RIGHT NOW ON IT.
WE'RE ACTUALLY PUTTING A, ANOTHER NEW
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PUMP IN IS A BOOSTER PUMP.SO WE'LL HAVE EVEN MORE REDUNDANCY AT THAT TIME.
I MOVE TO APPROVE SECOND MOTION AND A SECOND.
ITEM 60, CONSIDER A RESOLUTION DETERMINING THAT COMPETITIVE SEALED PROPOSAL IS THE DELIVER METHOD, WHICH PROVIDES THE BEST VALUE FOR PHASE TWO, A WATER TREATMENT PLANT EXPANSION EXPANSION PROJECT.
UH, THIS IS A, A RELATIVELY HOUSEKEEPING PROJECT TO, UH, TO STAY IN COMPLIANCE WITH THE STATE PURCHASING REQUIREMENTS THAT WHENEVER YOU, WHENEVER YOU USE THE COMPETITIVE STEEL PROPOSAL METHOD FOR A DELIVERY METHOD, YOU HA NEED TO, UH, DESIGNATE IT, UH, BY RESOLUTION OR APPROVAL OF THE BOARD AS BEING, AS BEING THE, UH, THE DELIVERY METHOD THAT PROVIDES THE BEST VALUE.
NOW, UH, I THINK AT SOME POINT IN TIME, WE MAY LOOK AT FINDING A WAY TO DO A BLANKET UH, ADOPTION OF THAT, BECAUSE I KNOW SOME OF THE OTHER CITIES DO THAT.
UH, BUT WE DON'T HAVE THAT MANY PROJECTS.
AND SO IT'S NOT REALLY THAT BIG A DEAL TO DO THAT.
BUT ANYHOW, THIS IS A FAIRLY ROUTINE ITEM, UH, TO APPROVE THIS RESOLUTION.
'CAUSE THE, THE C COMPETITOR SEE A PROPOSAL OTHERWISE KNOWN AS CSP, IS PRETTY MUCH WHAT ALL THE CITIES USE AND HAVE USED FOR QUITE SOME TIME.
'CAUSE IT GIVES YOU MUCH MORE FLEXIBILITY IN SELECTING YOUR CONTRACTOR BECAUSE YOU DON'T HAVE TO SELECT IT BASED ON PRICE ALONE.
YOU CAN SELECT IT ON OTHER QUALIFICATIONS, LIKE QUALIFICATIONS, UH, UH, REPUTATION, UH, THINGS LIKE THAT.
SO THIS IS RECOMMENDED FOR APPROVAL.
CON SIX E CONSIDER A RESOLUTION AUTHORIZING THE PRESIDENT TO EXECUTE A SUPPLEMENTAL CONTRACT WITH TERRACON CONSULTANT INCORPORATED FOR THE PROVISION OF CONSTRUCTION MATERIALS TEST, CMT SERVICES FOR PHASE TWO RAW WATER DELIVERY SYSTEM.
THIS IS, UH, TERRACON IS, IS A, UH, IT'S A PROFESSIONAL, IT'S AN ENGINEERING COMPANY THAT PROVIDES, SPECIALIZES IN, UH, GEOTECHNICAL SERVICES FOR, FOR CONSTRUCTION PROJECTS LIKE CONCRETE TESTING AND SOIL TESTING, THINGS LIKE THAT.
AND ON A PROJECT LIKE, UH, ON, ON, ON A PROJECT LIKE THIS, THE, THE, UH, OWNER RETAINS, WE HAVE THE CONTRACT WITH THESE CON WITH THE, THE, THE STATE STATUTE ACTUALLY REQUIRES THAT FOR THE, UH, TESTING WORK THAT THAT CON THAT WORK HAS TO BE CONTRACTED DIRECTLY WITH THE OWNER.
UH, WELL, FOR THE PHASE TWO PROJECT, OF COURSE, THAT'S A FIVE YEAR PROJECT.
AND, AND, UH, AND SO IT'S A, IT'S A VERY LONG AND PRETTY LARGE CONTRACT.
WELL, THE FIRST COMPANY WE HAD, Y'ALL MAY RECALL, WE, WE HAD SOME, SOME PRETTY SIGNIFICANT QUALITY PROB PROBLEMS WITH THEM AND HAD TO TR TO TO RELEASE THEM FROM THAT CONTRACT LAST YEAR.
AND WE, WE ENGAGED, UH, WITH, WITH, WITH, UH, TERRACON LAST YEAR, UH, WHO IS A VERY REPUTABLE, LARGE GEOTECHNICAL FIRM.
UH, AND, AND AT THE TIME WHEN WE DID THE CONTRACT, YOU, YOU KNOW, THE, UH, CONSTRUCTION MANAGEMENT TEAM, OUR CONSTRUCTION MANAGE MANAGEMENT TEAM, UH, YOU KNOW, DID A VERY DETAILED ESTIMATE ON HOW, HOW MUCH TESTING'S GONNA BE REQUIRED THROUGH THE END OF THE PROJECT.
AND THAT'S HOW THEY CAME UP WITH THE CONTRACT.
'CAUSE THE EXISTING CONTRACT IS $280,000 AND Y Y'ALL APPROVED THAT LAST YEAR.
AND, AND, BUT IN DOING THAT, THEY, YOU KNOW, IN, UH, IN ESTIMATING HOW MUCH THAT WAS GONNA COST, THEY HAVE TO ASSUME, UH, HOW MANY, HOW MANY TESTS THEY NEED TO HAVE DONE.
YOU KNOW, HOW OFTEN DOES THE COMPANY HAVE TO COME OUT AND TEST AND, AND THEY, WE HAVE THIS RATE SHEET WHERE WE PAY A CERTAIN AMOUNT FOR EACH TEST, AND WE PAY A CERTAIN AMOUNT FOR EACH TYPE OF PERSON THAT COMES OUT AN HOURLY RATE.
IT'S ALL, IT'S A UNIT PRICE CONTRACT.
WELL, IT TURNS OUT THAT CONTRACTOR PERFORMED, THEIR EFFICIENCY OF UTILIZING THE TESTING COMPANY WAS MUCH LESS EFFICIENT THAN WHAT WAS ASSUMED IN THE ESTIMATE.
AND, AND, UH, SO THROUGH NO FAULT OF THE, THE, THE TEAM THAT ESTIMATED THE CONTRACT LAST SUMMER, UH, THEY, THEY, WE'VE RUN OUTTA MONEY ON THAT CONTRACT OR GETTING READY TO, AND, AND, UH, AND THE, UH, OTHER LITTLE INTERESTING THING IS, IS THAT WHILE WE, WE CONTROL THE TESTING, THE, THE WHAT, HOW MUCH TESTING IS DONE AND WHAT GETS TESTED.
SO I WILL SAY THIS, IT IT, AND, AND SO WHEN WE HAVE TO PAY FOR MORE TESTING, UH, THAT'S ON US TO PAY FOR IT.
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AND, BUT THE CONTRACT DOES NOT ALLOW US TO, IT, IT IS KIND OF A MEANS AND METHODS THING.WE, WE CAN'T CONTROL THE EFFICIENCY OF THEIR UTILIZATION OF THE TESTING COMPANY.
'CAUSE BECAUSE IT IS A FUNCTION OF HOW THEY, HOW THEY PLACE THEIR WORK, HOW THEY CAN DO THEIR CONSTRUCTION.
SO, SO IT'S A, AND THAT'S REALLY KIND OF THE BATTLE ON THE CONTRACTOR FOR, FOR NOT BEING EFFICIENT.
BUT I WILL SAY THIS, THAT THE NEW, THE NEWER TEAMS THAT THE CONTRACTOR HAS OUT THERE, UH, THE HOPE IS THAT THEY'RE GONNA BE MUCH MORE EFFICIENT THAN THE OLDER TEAMS BECAUSE A LOT OF, A LOT OF THE TEAMS THIS CONTRACTOR HAD ON THE JOB ARE NOT ON THAT JOB ANYMORE.
SO, BUT ANYWAY, UH, SO THE NEW ESTIMATE TO FINISH THE JOB OUT WAS AN ADDITIONAL $276,700.
SO THIS CONTRACT, UH, IT DOESN'T, IT DOESN'T CHANGE OUR CONTRACT WITH TERRACON.
WE HAVE THE SAME UNIT PRICES, EVERYTHING'S THE SAME.
ALL WE'RE DOING IS INCREASING THE CONTRACT AMOUNT FROM 280,000 TO 556,700.
AND, UH, SO, UH, WITH THAT IN MIND, I'D, YEAH, I'D BE HAPPY TO ANSWER ANY QUESTIONS AND WE, WE ABSOLUTELY RECOMMEND IT FOR APPROVAL.
UH, JUST ONE LAST THING I WOULD SAY IS YOU, YOU KNOW, WE, IT'S GOOD TO TEST, YOU KNOW, THAT'S HOW WE GET ASSURANCE THAT WE'RE GONNA HAVE A QUALITY PROJECT.
SO ANYWAY, BUT, UH, WE NEVER WANNA SKIMP ON THAT QUESTIONS.
ITEM SIX F, CONSIDER A RESOLUTION DESIGNATED THE GENERAL COUNSEL AND ASSISTANT GENERAL COUNSELS FOR THE BR UUA.
CAN WE DO THAT ONE, STEVE? OKAY.
AS YOU, AS YOU MIGHT RECALL, LAST SPRING, WE DID, WE, UH, AMENDED THE, UH, BYLAWS FOR, TO, UH, ACCOMPLISH SEVERAL THINGS.
UM, ONE OF THE THINGS THAT, THAT, UH, WE, THAT WE ADDED TO THE BYLAWS WAS THE, UH, ABILITY OF THE, THIS BOARD TO DESIGNATE THE GENERAL COUNSEL, OFFICIALLY DESIGNATE THE GENERAL COUNSEL AND ASSISTANT GENERAL COUNSELS, UH, FROM TIME TO TIME, UH, ESPECIALLY WHEN WE'RE DOING BOND, UH, UH, DOCUMENTS AND SO FORTH.
WELL, A LOT OF TIMES THEY WERE, WERE REQUIRE THE SIGNATURE OF A GENERAL COUNSEL.
AND IN THE PAST, YOU KNOW, ONE OF THE ATTORNEYS, UH, INCLUDING MYSELF, HAD, HAD ACTUALLY SIGNED THOSE DOCUMENTS WITHOUT ACTUALLY EVER BEING OFFICIALLY DESIGNATED AS, AS THE GENERAL COUNSEL.
AND WE JUST THOUGHT THAT THE, UH, UM, SAFE THING TO DO IS TO GO AHEAD AND HAVE A PIECE OF PAPER THAT OFFICIALLY SAYS THAT GENERAL COUNSEL IN CASE SOMEBODY EVER ASKED TO SEE OUR AUTHORITY.
SO THAT IS THE, UH, THAT'S WHAT THIS, UH, RESOLUTION WILL ACCOMPLISH.
AND SO IT, UH, THIS DE DESIGNATES MYSELF AS GENERAL COUNSEL, PAIGE AND JP AS ASSISTANT GENERAL COUNSEL.
DO WE NEED TO FORMALLY LIKE, MENTION THE NAMES OR CAN WE JUST PASS IT THE RESOLUTION WAY IT WAS PRESENTED? WE CAN PASS THE RESOLUTION THAT'S PRESENTED.
ANY QUESTIONS? I DON'T THINK SO.
ANY MOTION IN A SECOND? ALL THOSE IN FAVOR? AYE.
WELL, WE'LL KEEP YOU, WE'LL KEEP YOU ON THEN, STEVE, AT LEAST FOR, YOU KNOW,
AND ITEM NUMBER SEVEN, DIRECTOR CLOSING COMMENTS.
UM, I'LL START WITH DIRECTOR SCHAFFNER.
UH, DON'T HAVE ANY COMMENTS,
ALL RIGHT, VICE PRESIDENT FLORES.
UH, WELCOME DIRECTOR SHAFTNER.
THANKS FOR ALL YOUR WORK DIRECTOR KIRKLAND.
EVERYONE HAVE A SAFE TRIP HOME.
AND EVERYONE, ALL THE PRESENTERS ALL YOUR TIME.
UH, HOPE YOU'LL ENJOY IT AS MUCH AS WE DO.