HOBBY AREA MANAGEMENT DISTRICT · 2020. 11. 5. · MINUTES OF THE MEETING OF THE HOBBY AREA...

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HOBBY AREA MANAGEMENT DISTRICT Agenda and Agenda Materials Meeting of the Board of Directors November 12, 2020

Transcript of HOBBY AREA MANAGEMENT DISTRICT · 2020. 11. 5. · MINUTES OF THE MEETING OF THE HOBBY AREA...

  • HOBBY AREA

    MANAGEMENT DISTRICT

    Agenda and Agenda Materials

    Meeting of the Board of Directors

    November 12, 2020

  • *As a result of the current COVID-19 virus epidemic emergency, the convening at one location of a quorum of the Board is difficult or impossible. Therefore, the Board will conduct this meeting by teleconference call rather than by physical quorum pursuant to Texas Government Code Sec. 551.125 and guidance of the Governor of the State of Texas. Members of the public are entitled to participate and address the Board during the telephonic meeting. In all respects, this meeting will be open to the public and compliant with applicable law and guidance of the Governor of the State of Texas. An electronic copy of the agenda packet (which consists of the regular reports presented to the Board by its consultants) can be found at https://hadistrict.org/

    TO: THE BOARD OF DIRECTORS OF THE HOBBY AREA DISTRICT AND TO ALL OTHER INTERESTED PERSONS: NOTICE is hereby given that a regular meeting of the Board of Directors of the Hobby Area District will be held on Thursday, November 12, 2020, at 1:00 p.m., via Zoom videoconference at: https://us02web.zoom.us/j/87890842903?pwd=SmJiQXF1RWRRazVEUUVGRXVIMG5EZz09 or via teleconference at: 1-346-248-7799 US (Houston), Meeting ID: 878 9084 2903, Passcode: 408552, open to the public, to consider, discuss, and make recommendations, and take direct actions as may be necessary, desirable, or convenient with respect to the following matters:

    AGENDA 1. Call to order; determine quorum.

    2. Public comments.

    3. Approve Minutes of Board Meeting held October 8, 2020.

    4. Accept Hearing Examiner’s Report and Proposal for Decision for public hearing regarding supplemental assessment roll.

    5. Adopt Order Supplementing the Assessment Roll; Levying Assessments Against the Property on the Supplemental Assessment Roll for the remainder of the Ten-Year Period; and Setting the Rate of the Assessment for the year 2020.

    6. Receive Bookkeeper’s Report and approve payment of invoices.

    7. Receive Assessments Collection and Delinquency Report.

    8. Authorize Executive Director to prepare and solicit requests for qualifications and proposals for special projects, landscape maintenance and litter abatement services.

    9. Authorize Executive Director to enter into a lease agreement for new office space.

    10. Executive Director’s Report/Board Member or Staff Announcements.

    11. Next Meeting – December 10, 2020.

    12. Adjourn

    ____________________________________ Executive Director

    https://hadistrict.org/https://us02web.zoom.us/j/87890842903?pwd=SmJiQXF1RWRRazVEUUVGRXVIMG5EZz09

  • (HARRIS COUNTY IMPROVEMENT DISTRICT NO. 9) CITY OF HOUSTON

    HARRIS COUNTY, TEXAS

    AGENDA MEMORANDUM

    To: Hobby Area District Board of Directors

    From: Executive Director

    Subject: Agenda Item Materials

    ----------------------------------------------------------------------------------------------------------------------------- -------------------- HOBBY AREA MANAGEMENT DISTRICT

    (HARRIS COUNTY IMPROVEMENT DISTRICT NUMBER NINE) c/o Hawes Hill & Associates LLP

    P.O. Box 22167 Houston TX 77227-2167

    713-595-1200 or FAX 281-888-6314

    3. Approve Minutes of Board Meeting held on October 8, 2020.

  • MINUTES OF THE MEETING OF THE HOBBY AREA DISTRICT

    BOARD OF DIRECTORS

    October 8, 2020

    DETERMINE QUORUM; CALL TO ORDER.

    The Board of Directors of the Hobby Area Management District held a regular meeting on Thursday, October 8, 2020, at 1:00 p.m. via Zoom videoconference and via teleconference, with access available to the public pursuant to Texas Government Code Section 551.125 and Governor Greg Abbott’s emergency disaster declaration dated March 13, 2020, and the roll was called of the members of the Board being present by electronic means, to-wit: Position 1, Danny Perkins, Chair Position 2, Helen Bonsall, Vice Chair Position 3, Liliana Rambo Position 4, Ann Collum Position 5, vacant

    Position 6, Joe Edd Nelson Position 7, Keyur Amin Position 8, Darryl Bailey Position 9, James Brown, Secretary/Treasurer

    and all the above were present, except Directors Rambo and Amin, thus constituting a quorum.

    Also present were Beth Strope, Executive Director; Susan Hill, Josh Hawes, Alan Bernstein, Tony

    Allender, Brian Burks, Buddy Tautenhahn, and Leticia Rodriguez, all of Hawes Hill & Associates, LLP;

    Jack Roland, Governmental Financial Reporting, LLC.; Debbie Bessire, Equi-Tax, Inc.; Tim Austin,

    Allen Boone Humphries Robinson LLP.; Erica Rocha, S.E.A.L. Security; Jason Miller and Brendan

    Cloney, Clark Condon & Associates; Francisco Castillo, HPD; Julian Ochoa and Jennifer Baldwin, Harris

    County Precinct One Commissioner Rodney Ellis’s Office, Chena Karega, Metro; Antonio Gracia.

    Chairman Perkins called the meeting to order at 1:06 p.m.

    PUBLIC COMMENTS.

    There were no public comments.

    APPROVE MINUTES OF BOARD MEETING, AUGUST 13, 2020.

    Upon a motion made by Director Brown, seconded by Director Nelson, the Board voted unanimously to approve the Minutes of the August 13, 2020, Board meeting, as presented.

    RECEIVE BOOKKEEPER’S REPORT AND APPROVE PAYMENT OF INVOICES.

    Mr. Roland presented the Bookkeeper’s Report and went over invoices included in the Board

    materials. Upon a motion made by Director Bonsall, seconded by Director Nelson, the Board voted

    unanimously to accept the Bookkeeper’s financial report and approved payment of invoices, as

    presented.

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    RECEIVE ASSESSMENTS COLLECTION AND DELINQUENT REPORT.

    Ms. Bessire went over the Assessment Collection and Delinquency Report included in the Board

    materials. She reported a 99% collection rate on the 2019 assessments: a total revenue of $2,737.81

    for the month, and $3,447,321.00 in uncertified value for 2019. Upon motion made by Director

    Collum, seconded by Director Bonsall, the Board voted unanimously to accept the Assessment

    Collection and Delinquency Report as presented.

    DISCUSS CLARK CONDON’S UPDATED COST ESTIMATE RELATING TO THE UNDERPASS

    PROJECT.

    Mr. Miller presented an overview of the underpass project; a copy of the presentation is included in

    the Board materials. He reported meeting with the Community and Economic Development

    Committee and agreeing to provide a breakdown of project cost estimates in phases. Phase One for

    all the intersections would include power washing, painting, and screening in the amount of

    $4,438,125.00 with an estimated completion date of less than 6 months. Phase Two includes the

    hardscape and lighting in the amount of $4,415,781.25. The final Phase Three includes the

    softscape in the amount of $2,307,562.50 for a total project cost of $11,161,468.75. Mr. Perkins

    stated the District will be seeking partnerships from various organizations to help finance the

    projects. Mr. Allender agreed to provide a list of organizations the District may consider in this regard. Upon a motion made by Director Collum, seconded by Director Nelson, the Board voted

    unanimously to accept Clark Condon’s Branding Masterplan and Cost Estimates related to the

    underpass project.

    APPROVE AGREEMENT FOR SUPPLEMENTAL PROFESSIONAL SERVICES BY AND BETWEEN

    HOBBY AREA MANAGEMENT DISTRICT AND HAWES HILL & ASSOCIATES, LLP.

    Chairman Perkins provided an overview of the Supplemental Professional Services agreement by

    and between Hobby Area Management District and Hawes Hill & Associates, LLP. Upon a motion

    made by Director Brown, seconded by Director Nelson, the Board voted unanimously to approve

    agreement as presented.

    AUTHORIZE EXECUTIVE DIRECTOR TO SET DATE, TIME, AND PLACE FOR HEARING ON

    SUPPLEMENTAL ASSESSMENT ROLL AND APPOINT HEARING EXAMINER.

    Upon a motion made by Director Collum, seconded by Director Nelson, the Board voted

    unanimously to authorize the Executive Director to set the date, time, and place for the hearing on

    the supplemental assessment roll and appointed Mr. Josh Hawes as the hearing examiner.

    AUTHORIZE EXECUTIVE DIRECTOR TO PREPARE AND SOLICIT REQUESTS FOR

    QUALIFICATIONS AND PROPOSALS FOR BOOKKEEEPING AND ACCOUNTING SERVICES.

    Director Brown described concerns the Audit and Executive Committees had regarding the services

    of the District’s current bookkeeper and contractor. Director Brown requested that the Board

    authorize the Executive Director to solicit requests for qualifications and proposals for

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    bookkeeping and accounting services. Upon a motion made by Director Bailey, seconded by

    Director Bonsall, the Board voted unanimously to approve the motion.

    AUTHORIZE EXECUTIVE DIRECTOR TO ENTER INTO A CONTRACT WITH A NEW PAYROLL

    PROVIDER.

    Ms. Strope provided an overview of her concerns with the current payroll provider. She reported

    she has solicited proposals from various payroll services and recommends contracting with

    Alliance Payroll Services, Inc. After full discussion by the Board, and upon motion made by Director

    Bailey, seconded by Director Collum, the Board voted unanimously to award the payroll services

    contract to Alliance Payroll Services, Inc.

    AUTHORIZE EXECUTIVE DIRECTOR TO ENTER INTO A CONTRACT WITH SMARTSCAPE FOR

    QUARTERLY MOWING/CLEAN-UP ALONG THE BNSF RAIL LINE.

    Ms. Strope reviewed the Mykawa Road BNSF railroad debris pile clean-up proposals and evaluation

    score sheet included in the Board materials. She reviewed the responses received from two of the

    five responders with the Board. Upon motion made by Director Nelson, seconded by Director

    Collum, the Board voted unanimously to authorize the Executive Director to enter into a contract

    with Smartscaping for the quarterly mowing/clean-up along the BNSF rail line.

    Director Brown asked the Executive Director to obtain a physical address for Smartscaping.

    DISCUSS AND AUTHORIZE FY2021 BUDGET

    Director Brown reviewed the FY2021 budget proposed by the Budget Committee and

    recommended its adoption. Upon motion made by Director Bailey, seconded by Director Nelson, the

    Board voted unanimously to approve the FY2021 Budget, as presented.

    SET AND APPROVE BOARD AND COMMITTEE MEETINGS DATES FOR REMAINDER OF 2020

    AND FY2021.

    Ms. Strope provided an overview of the Board and Committee meeting dates for the remainder of

    2020 and FY2021. A list of dates is attached to these minutes as Exhibit A. Upon a motion made by

    Director Collum, seconded by Director Bonsall, the Board voted unanimously to approve the Board

    and Committee meeting dates for the remainder of 2020 and FY2021.

    EXECUTIVE DIRECTOR’S REPORT / BOARD MEMBER STAFF OR STAFF ANNOUNCMENTS.

    Ms. Strope reviewed her monthly Executive Director’s report in detail. Her report is attached to these

    minutes as Exhibit B. No action from the Board was required.

    Chairman Perkins submitted his letter of resignation from the Hobby Area Management District

    effective December 31, 2020.

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    NEXT MEETING - NOVEMBER 12, 2020.

    The Board confirmed the date of its next meeting as Thursday, November 12, as listed in the

    previously adopted calendar of meetings for the remainder of 2020.

    ADJOURN.

    There being no further business to come before the Board, Chair Perkins adjourned the meeting at

    3:13 p.m.

    _____________________________________________

    Secretary

    List of Exhibits

    Exhibit A Board and Committee Meeting Dates for Remainder of 2020 and FY2021

    Exhibit B Executive Director’s Report for the October 8th Board Meeting

  • To: Hobby Area District Board of Directors

    From: Beth Strope, Executive Director

    RE: Proposed changes to meeting dates

    Date: 10/08/20

    As the District embarks on the consideration of the Gateway Underpass Project, and with the anticipation of the upcoming petition process, a suggestion has been made to hold monthly board and committee meetings. This revised schedule will enable the board to effectively move through upcoming projects, processes and procedures in a timely and efficient manner. Please note the proposed dates below:

    Calendar Year 2020

    November: 11.12.20 Board Meeting 11.19.20 Committee Meetings

    December: 12.10.20 Board Meeting *no committee meetings scheduled due to holiday

    Calendar Year 2021

    January: 01.14.21 Board Meeting 01.28.21 Committee Meetings

    February: 02.11.21 Board Meeting 02.25.21 Committee Meetings

    March: 03.11.21 Board Meeting 03.25.21 Committee Meetings

    April: 04.08.21 Board Meeting 04.22.21 Committee Meetings

    May: 05.13.21 Board Meeting 05.27.21 Committee Meetings

    Exhibit A

  • June: 06.10.21 Board Meeting 06.24.21 Committee Meetings

    July: 07.08.21 Board Meeting 07.22.21 Committee Meetings

    August: 08.12.21 Board Meeting 08.26.21 Committee Meetings

    September: 09.09.21 Board Meeting 09.23.21 Committee Meetings

    October: 10.14.21 Board Meeting 10.28.21 Committee Meetings

    November: 11.11.21 Board Meeting 11.18.21 Committee Meetings

    December; 12.09.21 Board Meeting 12.16.21 Committee Meetings

    Thank you for your consideration.

    Sincerely,

    Beth Strope Executive Director

  • Executive Director’s Report for the October 8th Board Meeting

    Distribution Events:

    • The district participated in the BakerRipley food distribution event on Sept. 17th. ChairmanPerkins and I joined the event to pass out food, face shield and packets containing masks, handsanitizer and COVID 19 information. The packets were provided to BakerRipley through a jointeffort by the District and Memorial Hermann Hospital. BakerRipley estimated that the eventserved over 500 cars. We are thankful for the partnership that we have with BakerRipley andwe look forward to partnering with them on future events.

    • The district also hosted a distribution event at Reveille park on Sept 18th. The event was incoordination with Harris County Precinct 2 Commissioner Adrian Garcia. Other partnersincluded Councilman Gallegos, Juaquin Martinez from Councilman Gallegos’ office, the HoustonFood Bank, the Census Bureau, VCare Clinic, YESPrep Hobby, the League of Women Voters andHouston Alumnae Chapter, Delta Sigma Theta Sorority, Inc. The event started at 9 am and carsstarted lining up for the distribution as early as 7:30 am. Chairman Perkins as well as BoardMembers Helen Bonsall and Ann Colum joined in the distribution. We would like to express ourappreciation to the following:

    Councilman Gallegos and Joaquin Martinez – for providing porta potties and a hand washingstation

    Francisco Castillo and Chara Bowie from Commissioner Garcia’s office – for help withcoordinating the event with the District and coordination with the Houston Food Bank

    Harris County Precinct 2 volunteers – for time and assistance with the distribution event HPD – for providing traffic control and onsite security Hawes Hill Staff – for help with event preparation and event distribution BB&T and Cheryl Widner – for providing meals from Central Texas BBQ for the volunteers

    and officers S.E.A.L Security – for providing event preparation assistance and onsite security

    • Please view our Facebook page to see pictures of both events.

    Exhibit B

  • Mini Murals

    • At the August 8th board meeting, a motion was passed to authorize UpArt studio to refresh and reseal the existing mini mural boxes. I am happy to announce that UpArt Studio has started the mini mural refresh. They estimate a completion date somewhere around next week weather permitting.

    Broadway Signs

    • Over the course of the last few months, three identity signs have been damaged along the Broadway Esplanade. As of this week, all damaged Broadway signs have been repaired and replaced by NEC Signs.

    Hobby Area District Police Task Force

    • HAD Police Task Force- The Hobby Area District Police Task Force initiative got under way this Monday. Currently, the officers are working 12 pm – 12 am M-F. As of now, we have 15 part time HPD officers assigned to the district. Each officer works out of the Mykawa station as is familiar with our area. They are currently focusing on the 45/Bellfort corridor issuing citations. They also are providing visual deterrence. Another area that they are focusing on is the Airport Blvd and the 8100-8500 Gulf Freeway corridor regarding recent auto thefts. As we move forward with this initiative, the officers will be providing the district with detailed crime information and situational awareness reports. Sgt. Harrington will be present at the next Public Safety Meeting to provide more details.

    • HAD Patrol Vehicles – the patrol vehicles are scheduled for graphic installation next week. While they are in the shop, HPD will be patrolling with their own vehicles. We have installed temporary lights and sirens in the vehicles since there is an 8-12 week backorder on the permanent installation due to the factories being shut down for COVID.

    HPD

    • HPD has been given the green light to start working on prostitution stings in conjunction with Harris County. The initiative started last Wednesday. The initiative utilizes undercover officers making prostitution cases and under cover female officers assisting with the patrons. They are currently issuing citations. More information will be provided at the next Public Safety Meeting.

  • Harris County Attorney Interlocal Agreement

    • We are currently working on finalizing the interlocal agreement with the Harris County Attorney’s office. This agreement will help to focus on the sexually oriented businesses in the area. I will have more information at the December board meeting.

    S.E.A.L

    • S.E.A.L. Officer Nobles with Seal security no longer works in the district. Seal is looking for a replacement

    Underpass lighting

    • The district has initiated electric service on the underpasses lighting project in coordination with the Houston Parks Board and TIRZ8.

    1940 Air Terminal

    • The historic 1940 Air Terminal will celebrate turning 80 years old this year. To commemorate this event, the district created a video with Chairman Perkins as the host. Chairman Perkins congratulated the air terminal and spoke on how the District and the Air Terminal partner together in order to make the Hobby Area District a great place to be. The video is posted on both our Facebook page and our website.

  • (HARRIS COUNTY IMPROVEMENT DISTRICT NO. 9) CITY OF HOUSTON

    HARRIS COUNTY, TEXAS

    AGENDA MEMORANDUM

    To: Hobby Area District Board of Directors

    From: Executive Director

    Subject: Agenda Item Materials

    ----------------------------------------------------------------------------------------------------------------------------- -------------------- HOBBY AREA MANAGEMENT DISTRICT

    (HARRIS COUNTY IMPROVEMENT DISTRICT NUMBER NINE) c/o Hawes Hill & Associates LLP

    P.O. Box 22167 Houston TX 77227-2167

    713-595-1200 or FAX 281-888-6314

    4. Accept Hearing Examiner’s Report and Proposal for Decision for public hearing regarding supplemental assessment roll.

  • 901665

    HEARING EXAMINER’S REPORT AND PROPOSAL FOR DECISION

    on the public hearing held on October 29, 2020to be presented to theBoard of Directors of

    Hobby Area District

    The Hobby Area District, formerly known as Harris County ImprovementDistrict No. 9, (the “District”) was created by House Bill No. 4110, Acts of the 80thLegislature, Regular Session, 2007, codified as Chapter 3859, Texas Special District LocalLaws Code (the “Act”), and is governed by the Act and by Chapter 375, Texas LocalGovernment Code (the “Code”).

    In 2013 there was presented to the Board of Directors of the District (the "Board")petitions (the “Petition”) in support of a service and improvement plan (the “ServicePlan”). The Board held a public hearing on October 24, 2013. Thereafter on November14, 2013, the Board adopted an Order Granting Petition; Approving a Service,Improvement and Assessment Plan; Approving an Assessment Roll; Setting anAssessment Rate for Property Within the District for Year One of the District’s Serviceand Improvement and Assessment Plan: Levying Annual Assessments AgainstProperty Within the District for a Ten-Year Period Specified in the Service andImprovement Plan, Specifying the Method of Payment and the Amount of AnnualInstallments of the Assessment, Providing Penalties and Interest on DelinquentAssessments; and Authorizing the Collection of Assessments (the “Order”).

    The Order provides that the District may, after conducting a public hearing forwhich due notice has been given to certain owners of property in the District,supplement its original Assessment Roll to add new construction or improvements, andproperty omitted from the District’s original Assessment Roll as previouslysupplemented (collectively, the “Supplemental Properties”), without the need to securenew petitions from property owners within the District.

    The District ordered a public hearing (the “Hearing”) on the supplementing ofthe Assessment Roll which was held on October 29, 2020, at 1:00 p.m.

    Josh Hawes served as the Hearing Examiner (the "Hearing Examiner"). TheHearing Examiner conducted an adjudicative public hearing (the “Hearing”) on theadvisability of supplementing the Assessment Roll with the Supplemental Properties,after appropriate notice was given pursuant to the provisions of the Code, bypublishing a copy of the notice of the Hearing in the Houston Business Journal, anewspaper of general circulation within the District, on September 25, 2020, and bymailing on September 23, 2020, copies of the notice of the Hearing to the owners of eachproperty of the Supplemental Properties by First Class mail, at the address shown on

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    the most recent tax rolls of the Harris County Appraisal District. The Hearing was heldby videoconference and teleconference.

    The following persons appeared at the Hearing and requested to presentevidence on behalf of the District: Beth Strope, Executive Director for the District, andPat Hall of Equi-Tax, Inc., Assessment Collector of the District. No other personsrequested to present evidence at the Hearing.

    The Hearing Examiner asked if any persons present desired to be designated as aparty to this proceeding. The Hobby Area District was granted party status, and wasrepresented by Timothy Austin of Allen Boone Humphries Robinson LLP, Attorney forthe District.

    Those in attendance were given opportunities to ask questions of the District’sExecutive Director, and Assessment Collector. They were also given opportunities topresent testimony in support of or questioning and/or contesting the assessment plansof the District. No other testimony was offered.

    TESTIMONY

    Beth Strope identified and explained the Order, a document relating to theauthority of the District to levy assessments and provide services and improvements.A list identifying the Order, as well as those documents discussed by Pat Hall, isattached hereto as Exhibit 1, with such documents being admitted into evidence in theHearing and referred to herein as the “Documentary Evidence.” Ms. Strope testified infavor of supplementing the Assessment Roll with the Supplemental Properties. Ms.Strope stated that she believed that all properties in the District receive a benefit fromthe District’s services that equals or exceeds the assessment each pays regardless ofwhere the property is located within the District.

    Next, Pat Hall identified and explained additional Documentary Evidence. Ms.Hall testified regarding the mechanics of the assessment, the calculation of assessmentrates, and the determination of property values, the method of collecting assessments,and the penalties for late payment of assessments. Ms. Hall also explained theprocedure for supplementing the Assessment Roll.

    TEXAS LOCAL GOVERNMENT CODE REQUIREMENTS

    The authority of the District to levy assessments is governed by the provisions ofthe Act and the Code. Sections 375.111 and 375.112 of the Code set forth the purposesfor which the District may levy special assessments on property in an area based onbenefit conferred by the improvements or services provided. Section 375.113 of theCode requires a hearing, after notice given in accordance with the provisions of Section375.115, on the advisability of the improvements and services proposed to be providedand the assessments proposed to be levied.

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    The District now desires to supplement the Assessment Roll with theSupplemental Properties. The Order and the Code require that the Board hold a publichearing after due notice to property owners regarding such supplements to theAssessment Roll. Sections 375.116 through 375.121 of the Code govern the procedurefor the Hearing and the findings and determinations necessary for the Board to make anorder to levy assessments on a new basis and on supplementing the assessment roll.These provisions, the Act, and the Order generally permit the Board to add propertiesto the Assessment Roll after making findings relating to the advisability of theimprovements or services, the nature of the improvements or services, the estimatedcost, the area benefited, the method of assessment, and the method and time forpayment of the assessment.

    The Code provides for the apportionment of costs based on special benefits,permits the Board to allow the assessments to be paid in periodic installments, andauthorizes the Board to provide that delinquent assessments shall be subject to penaltiesand bear interest.

    ISSUES PRESENTED

    Major issues presented at the hearing are as follows:

    1. SHOULD THE ASSESSMENT ROLL BE SUPPLEMENTED WITH THESUPPLEMENTAL PROPERTIES?

    Based on the testimony and evidence presented, the Hearing Examinerrecommends that the Board find from the preponderance of the evidence that theassessment roll presented into evidence at the Hearing be supplemented with theSupplemental Properties (the “Supplemental Assessment Roll”).

    The Hearing Examiner recommends that the Board find from the preponderanceof the evidence that: (a) assessments be levied on the Supplemental Properties inaccordance with the Petition and the Order; (b) all properties within the District beassessed at the same rate, and that the properties not be assessed at different ratesdepending on their location within the District; (c) all assessable property within theDistrict, whether developed or undeveloped and regardless of location in the District,will benefit from the security and public safety program; the business developmentprogram; the mobility and transportation program; the visual improvements andcultural promotion program; and administration services; (d) all of the District’sprograms will benefit all owners of assessable property, and even provide benefits toproperty owners located outside the boundaries of the District; (e) all property withinthe District will receive benefits from all of the proposed programs and improvements;and (f) Harris County Appraisal District (“HCAD”) values are the most appropriate andfair basis of assessment.

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    2. IS IT ADVISABLE FOR THE DISTRICT TO PROVIDE THE SERVICES ANDIMPROVEMENTS DESCRIBED IN THE PETITION, THE SERVICE PLAN, ANDORDER TO THE SUPPLEMENTAL PROPERTIES, AND WHAT IS THENATURE OF THOSE SERVICES?

    The Hearing Examiner recommends that the Board find from the preponderanceof evidence that it is advisable for the District to provide to the Supplemental Propertiesthe services and improvements described in the Petition, the Service Plan, and theOrder and that all properties added should be subject to assessment by the District forall years in which they will receive benefits from the services and improvementsdescribed in the Petition, the Service Plan, and the Order.

    The Act recites that the District was created for the public purposes of economicdevelopment and diversification; elimination of unemployment and underemployment;development and expansion of transportation and commerce; promotion of health,safety, and welfare of residents, employers, employees, visitors, and consumers in theDistrict and the general public; enhancement of economy and vitality of the area of theDistrict as a community and business center; the expansion and improvement ofpedestrian facilities and systems; and the restoration, preservation, and enhancement ofscenic and aesthetic beauty.

    The witnesses testified in favor of the advisability of adding the SupplementalProperties to the Assessment Roll and in favor of the provision of the services andimprovements to such properties and each stated, in his or her judgment, that allassessable property within the District, including the Supplemental Properties, has beenand/or will be greatly benefited by providing such services and improvements, andthat, in his or her judgment, all owners of assessable property in the District,irrespective of their location in the District, whether on the periphery or in the center ofthe District or in between, would receive specific benefits equal to or greater than thecost of the assessment. The Hearing Examiner agrees that the properties on theSupplemental Assessment Roll are located within the District and will receive benefitsfrom the services and improvements provided by the District for all years for whicheach individual property is to be assessed.

    3. WOULD THE SUPPLEMENTAL PROPERTIES PROPOSED TO BE ADDED TOTHE ASSESSMENT ROLL AND PROPOSED TO BE ASSESSED FOR SERVICESAND IMPROVEMENTS SET FORTH IN THE SERVICE PLAN BE BENEFITEDBY THE PROVISION OF SUCH SERVICES AND IMPROVEMENTS ANDSHOULD THE ASSESSMENT BE BASED ON 2020 HCAD VALUES?

    The Hearing Examiner recommends that the Board find from the preponderanceof evidence that the Supplemental Properties have received or will receive specificbenefits which equal or exceed the cost of the assessments proposed to be levied in thePetition for each year of assessment as well as for the remaining term of the ServicePlan. The Hearing Examiner heard testimony that the provision of the services and

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    improvements set forth in the Service Plan will benefit all of the assessable propertieswithin the District, including the Supplemental Properties. The Hearing Examinerheard further testimony that basing the assessment of the Supplemental Properties onthe 2020 values will be appropriate and fair. The Hearing Examiner finds that eachproperty of the Supplemental Properties will continue each year to receive benefits fromthe services and improvements provided by the District which equal or exceed theassessment on each property for each year and will receive special benefits during theremainder of the ten-year period of assessment installments in an amount equal to orgreater than the total amount assessed during the term of the Service Plan. The HearingExaminer agrees that the assessment should be based on 2020 HCAD values.

    4. WHAT ARE THE ANNUAL COSTS OF THE SERVICES ANDIMPROVEMENTS DESCRIBED IN THE PETITION AND PROPOSED IN THESERVICE PLAN, WHAT ARE THE TOTAL COSTS OF SUCH SERVICES ANDIMPROVEMENTS OVER A TEN-YEAR PERIOD, AND ARE THOSE COSTSFAIR AND REASONABLE AND PROPERLY PAYABLE FROM ASSESSMENTSLEVIED BY THE DISTRICT?

    The Hearing Examiner recommends that the Board find from the preponderanceof evidence that the annual costs of the services and improvements and the total costs ofthe services and improvements over the ten-year term set forth in the Service Plancontinue to be fair and reasonable and properly payable from assessments levied by theBoard.

    The costs of providing the various services are as follows:

    Summary of Expenses

    Projected Services ProjectedAverage AnnualExpenditure

    Expenditureover Life ofthe Plan

    ProjectedPercentage

    Security & Public Safety $576,383 $5,763,830 40%

    Business Development $360,240 $3,602,400 25%

    Transportation Planning $144,095 $1,440,950 10%

    Visual Improvements & Cultural Promotion $72,048 $720,480 5%

    Project Staffing & Administration $288,192 $2,881,920 20%

    TOTAL $1,440,958 $14,409,580 100%

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    The written testimony and oral evidence submitted at the Hearing suggests thatthe foregoing estimates of costs continue to be fair and reasonable and will be adequateto provide the services and improvements proposed in the Service Plan.

    RECOMMENDATIONS OF THE HEARING EXAMINER

    The Hearing Examiner recommends that the Board find from the preponderanceof the evidence, and data officially noticed, that:

    (A) The Board should supplement the Assessment Roll with the SupplementalProperties.

    (B) The Board should levy assessments in accordance with the Petition andthe Order on the Supplemental Properties payable in the year 2020through and including 2023 on the value of benefited property in theDistrict as determined by the Board, as such property is valued on the taxrolls of HCAD for the year 2020 and as shown on the Assessment Roll, assupplemented.

    (C) That in all other respects, the Board should continue to follow the Order.

    After a review of the record and for the reasons given above, the HearingExaminer recommends that the Board adopt an order approving the Assessment Roll assupplemented.

    _________________________________ Josh Hawes Hearing Examiner

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    EXHIBIT 1

    Documentary Evidence

    EXHIBIT DESCRIPTION

    A Order Granting Petition; Approving a Service,Improvement and Assessment Plan; Approving anAssessment Roll; Setting an Assessment Rate forProperty Within the District for Year One of the District’sService and Improvement and Assessment Plan: LevyingAnnual Assessments Against Property Within theDistrict for a Ten-Year Period Specified in the Serviceand Improvement Plan, Specifying the Method ofPayment and the Amount of Annual Installments of theAssessment, Providing Penalties and Interest onDelinquent Assessments; and Authorizing the Collectionof Assessments

    B Affidavit of Publication of Notice of Public Hearing toConsider Advisability of Supplementing AssessmentRoll in the Houston Business Journal

    C Affidavit of Mailing of Notice of Public Hearing toConsider Advisability of Supplementing AssessmentRoll by First Class Mail

    D Supplemental Assessment Roll

  • (HARRIS COUNTY IMPROVEMENT DISTRICT NO. 9) CITY OF HOUSTON

    HARRIS COUNTY, TEXAS

    AGENDA MEMORANDUM

    To: Hobby Area District Board of Directors

    From: Executive Director

    Subject: Agenda Item Materials

    ----------------------------------------------------------------------------------------------------------------------------- -------------------- HOBBY AREA MANAGEMENT DISTRICT

    (HARRIS COUNTY IMPROVEMENT DISTRICT NUMBER NINE) c/o Hawes Hill & Associates LLP

    P.O. Box 22167 Houston TX 77227-2167

    713-595-1200 or FAX 281-888-6314

    5. Adopt Order Supplementing the Assessment Roll; Levying Assessments Against the Property on the Supplemental Assessment Roll for the remainder of the Ten-Year Period; and Setting the Rate of the Assessment for the year 2020.

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    ORDER SUPPLEMENTING THE ASSESSMENT ROLL FOR HOBBY AREADISTRICT; LEVYING ASSESSMENTS AGAINST THE PROPERTY ON THESUPPLEMENTAL ASSESSMENT ROLL FOR THE REMAINDER OF THETEN-YEAR PERIOD; AND SETTING THE RATE OF ASSESSMENT FORTHE YEAR 2020

    On November 12, 2020, at 1:00 p.m., the Board of Directors of Hobby AreaDistrict, formerly known as Harris County Improvement District No. 9, (the "District")convened in duly called session, and the roll was called of the members of the Board ofDirectors of the District (the “Board”):

    Danny R. Perkins ChairHelen Bonsall Vice ChairJames Brown Secretary/TreasurerLiliana Rambo DirectorAnn Collum DirectorVacant DirectorKeyur Amin DirectorJoe Edd Nelson DirectorDarryl Bailey Director

    all such members being present except Director(s) ,thus constituting a quorum, when, among other business, there came on forconsideration the Hearing Examiner’s Report and Proposal for Decision (the "HearingExaminer’s Report") and recommendation on the advisability of supplementing theassessment roll and of levying assessments on Supplemental Properties within theDistrict, a copy of which is attached as Exhibit A, and such other orders, acts,procedures, and relief as may be necessary and proper in connection therewith. Allterms used herein that begin with initial capital letters shall have the meaning set forthin the Hearing Examiner's Report unless otherwise defined herein.

    In accordance with the provisions of House Bill No. 4110, Acts of the 80thLegislature, Regular Session, 2007, codified as Chapter 3859, Texas Special District LocalLaws Code (the "Act") and of Chapter 375, Texas Local Government Code (the "Code"),there was presented to the Board by petitioners (“Petitioners”), a petition (the"Petition") requesting the District provide the services and improvements as describedin the Petition and the 2014-2023 Service and Improvement Plan and Assessment Plan(the "Service Plan"). The Petition and the Service Plan were approved and granted bythe Order Granting Petition; Approving a Service, Improvement and Assessment Plan;Approving an Assessment Roll; Setting an Assessment Rate for Property Within theDistrict for Year One of the District’s Service and Improvement and Assessment Plan:Levying Annual Assessments Against Property Within the District for a Ten-YearPeriod Specified in the Service and Improvement Plan, Specifying the Method of

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    Payment and the Amount of Annual Installments of the Assessment, ProvidingPenalties and Interest on Delinquent Assessments; and Authorizing the Collection ofAssessments, adopted November 14, 2013 (the "Order"). The Order provides that theDistrict may supplement the original Assessment Roll without the need for anadditional petition, provided that a hearing is held upon duly given notice as providedin the Act and the Code. A hearing to supplement the original Assessment Roll with theSupplemental Properties as defined in the Hearing Examiner’s Report was ordered andheld.

    The Hearing Examiner heard all evidence and approved the Hearing Examiner’sReport which he now presents to the Board for action. The Board has reviewed theHearing Examiner’s Report and considered all issues presented.

    The Board hereby orders that official notice be taken and that all persons,entities, and parties be on notice of and that the official record of the proceedings ofsuch Hearing includes:

    1. All memoranda and reports of the staff of and consultants to the Districtand documents of the District prepared and dated as of or prior to thedate of the Hearing and relating to the Petitioners, the Petition, theDistrict, the Service Plan, the levy of assessments, the Assessment Roll andthe supplement of the Assessment Roll with the Supplemental Properties,the basis of assessment and the subject matter of such hearing;

    2. The status of the Houston Business Journal as a newspaper of generalcirculation within Harris County, the county in which the District islocated;

    3. All petitions, certificates, orders, resolutions, reports, and relateddocuments and data submitted to and on file with the District and theBoard relating to the Hearing, the Service Plan, the Assessment Roll, andthe levy of assessments; and

    4. The tax rolls of the Harris County Appraisal District for the year 2020, thevalue of property on such tax roll and the owners of property and theiraddresses on such tax roll.

    There was submitted for the record and as evidence of the matters thereincontained, an affidavit of publication of the notice of the Hearing in the HoustonBusiness Journal, with such publication occurring on September 25, 2020, which is atleast 30 days prior to the date of such Hearing, as required by the Code.

    There was also submitted at the Hearing an Affidavit of Mailing stating that thenotice of the Hearing was mailed by First Class mail, to each owner of property which isSupplemental Properties in the District subject to assessment at the address of such

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    property owner as reflected on the most recent tax roll of the Harris County AppraisalDistrict.

    After official notice of the foregoing matters and following receipt of alltestimony, other evidence, exhibits, and statements of counsel for all persons, agencies,and parties, the Board received and reviewed the Hearing Examiner’s Report. TheBoard invited any interested person, entity, or party to offer testimony or otherevidence on the supplementing of the Assessment Roll with the SupplementalProperties, the levy of assessments thereon and other matters relating to the subject. TheHearing Examiner explained the reasons for the decisions reflected in the HearingExaminer’s Report.

    FINDINGS OF FACT

    In consideration of all issues of fact and law relative to the Hearing, the Boardrules and makes the following Findings of Fact:

    1. All petitions, resolutions, orders, and related documents and datarequired of Petitioners pursuant to the Act and the Code, and of theDistrict, have been duly and timely submitted to and filed with theDistrict; and

    2. The Hearing before the Hearing Examiner was set for October 29, 2020, at1:00 p.m. by videoconference and teleconference; and

    3. A notice (the "Notice") setting forth the time and place of the Hearing, thegeneral nature of the services and improvements proposed by the Petition,the estimated cost of the services and improvements, the area andproperty to be benefited, the amount of the benefit and the proposed time,method and amount of assessment was promulgated. Notice of theHearing was given by publishing a copy of the Notice in the HoustonBusiness Journal, a newspaper of general circulation in Harris County, onSeptember 25, 2020, a date not less than 30 days prior to thecommencement of the Hearing on October 29, 2020, and by mailing a copyof the Notice by First Class mail, on September 23, 2020, which is not laterthan 30 days before the date of the Hearing on October 29, 2020, to eachowner of Supplemental Properties in the District subject to additional orfirst-time assessment at the address of such property owner as reflected onthe most recent tax roll of the Harris County Appraisal District; and

    4. There has been presented to the Board a Petition requesting the servicesand improvements as set forth in the Service Plan which was executed by50 or more owners of real property in the District as shown on the tax rollsof the Harris County Appraisal District as required by the Act. The

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    Petition was properly executed and meets all of the requirements of theAct and the Code; and

    5. The Service Plan fully explains and describes the services andimprovements proposed for the District; contains a description of thegeneral nature of the proposed services and improvements, the estimatedcosts thereof, the area benefited, the proposed method of assessment, andthe time for payment of the assessments; and contains a recommendationwith respect to the penalties to be imposed and interest to accrue ondelinquent assessments. The Service Plan authorizes the District tosupplement the Assessment Roll without need for a further petition,provided that a public hearing is held in compliance with all requirementsof the Code and the Act; and

    6. The Assessment Roll as supplemented with the Supplemental Propertiesand presented to the Board and incorporated herein by reference (the“Assessment Roll”) should be approved as the Assessment Roll for theDistrict; and

    7. There should be levied against all property shown on the AssessmentRoll, as supplemented, for each of the remaining tax years from 2020through 2023, an assessment for services and improvements in accordancewith the Petition, the Service Plan and the Order; and

    8. All of the real property in the District which is being assessed by theBoard in the amount shown in the Assessment Roll, as supplemented, willbe benefited by the services and improvements proposed to be providedby the District in the Service Plan, and each parcel of real property willreceive special benefits in each year equal to or greater than the amountassessed, and will receive special benefits during the term of the ServicePlan in an amount equal to or greater than the total amount assessedduring the term of the Service Plan; and

    9. The cost of providing services and improvements for the District, asshown in the Service Plan, on the basis of the value of property as shownon the tax rolls of the Harris County Appraisal District and as shown onthe Assessment Roll, as supplemented, results in imposing equal shares ofthe cost on property similarly benefited, and results in a reasonableclassification and formula for the apportionment of costs of the variousclasses of services and improvements proposed to be provided in theService Plan to the benefited property within the District; and

    10. The provisions relating to due and delinquency dates for assessments,interest, and penalties on delinquent assessments, and procedures

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    concerning the imposition and collection of assessments as set forth in theService Plan and Order should be approved and continued and willexpedite collection of the assessments in a timely manner in order toprovide the services and improvements needed and required for theDistrict as described in the Service Plan; and

    11. The recitations, objectives, goals, costs, programs, and conclusions setforth in the Service Plan are found to be true and correct and will benefitthe District and the assessable properties within the District, including theSupplemental Properties, as determined and set forth in the Service Plan;and

    12. It is advisable that the improvements and services set forth in the ServicePlan be provided to properties within the District, including theSupplemental Properties, during the term set forth in the Service Plan; and

    13. Each property proposed to be assessed in the Petition and Service Plan atthe rate and in the amount shown on the Assessment Roll, assupplemented, will receive special benefits equal to or greater than theassessment to be levied against such property pursuant to the Service Planand the Assessment Roll; and

    14. Assessments for services and improvements should be payable in annualinstallments for each property and in accordance with the Order; and

    15. The matters, facts, and recommendations of the Hearing Examiner’sReport are found to be true and correct; and

    16. The Order has been duly adopted, is in full force and effect, and should beratified and confirmed.

    CONCLUSIONS OF LAW

    In consideration of all issues of fact and law relative to the Hearing, the Boardrules and makes the following Conclusions of Law:

    1. The District has met all requirements of the Act and the Code related tosupplementing the Assessment Roll with the Supplemental Properties andlevying assessments on such property and the Hearing and AssessmentRoll, as supplemented, should be approved.

    2. The Hearing of the District on the advisability of the Districtsupplementing the Assessment Roll with and undertaking and providingservices and improvements as provided in the Petition and the ServicePlan to the Supplemental Properties, was held and all necessary and

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    appropriate notice thereof was given under the authority of and inaccordance with the provisions of the Act and the Code.

    3. The Board has jurisdiction to supplement the Assessment Roll and toconduct the Hearing and is authorized to supplement the Assessment Rolland to levy assessments for services and improvements in accordancewith the Order.

    4. In order to accomplish and effectuate the purposes for which the Districtwas created as set forth in the Act and Section 375.001 of the Code, theHearing Examiner’s Report should be approved in its entirety, theAssessment Roll should be supplemented, and an assessment for servicesand improvements on Supplemental Properties as shown on theAssessment Roll, as supplemented, and as described in the Service Planand the Order should be levied by the Board for the tax years 2020through and including 2023.

    5. The method of apportioning costs on the basis of valuation of property asshown on the tax rolls of the Harris County Appraisal District for servicesand improvements will result in the reasonable apportionment of the costsand in imposing equal shares of the costs of the Service Plan on propertiessimilarly benefited and results in a reasonable classification and formulafor the apportionment of the costs of the various classes of services andimprovements proposed to be provided to the benefited property withinthe District.

    6. The Order has been duly adopted, is in full force and effect, and shall beratified and confirmed.

    NOW, THEREFORE, BE IT ORDERED BY THE BOARD OF DIRECTORS OF HOBBYAREA DISTRICT THAT:

    Section 1. Findings and Adoption of Hearings Examiner’s Report. The recitals,findings and conclusions in the preamble of this order are hereby found anddetermined to be true and correct. The matters, facts, and recommendations of theHearings Examiner’s Report are hereby adopted.

    Section 2. Assessment Roll. The Assessment Roll as supplemented with theSupplemental Properties and as recommended by the Hearing Examiner is herebyapproved. The Assessment Roll is incorporated in this order by reference.

    Section 3. Levy of Assessments on Supplemental Properties. The Board herebylevies upon the Supplemental Properties on the Assessment Roll, as supplemented, anassessment, payable in annual installments in the years 2020 through and including2023, at the rate provided below per $100 valuation of benefited property as shown on

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    the tax rolls of the Harris County Appraisal District for services and improvements asshown in the Service Plan, which levy is in the annual amount and in the total amountfor the remaining period of the Service Plan as set forth in the Assessment Roll, assupplemented.

    Section 4. Assessment Rate for the Year 2020. The rate of assessment for the year2020 shall be $0.15 per $100 of assessed valuation.

    Section 5. Collection of Assessments. The procedures contained in the Order forthe collection of assessments, for the calculation and imposition of penalties andinterest, and for the enforcement of assessments, penalties and interest through a lienagainst the property assessed are hereby confirmed.

    Section 6. Prior Order. The Order is hereby ratified and confirmed.

    Section 7. Severability. If any provision, section, subsection, sentence, clause, orphrase of this order, or the application of same to any person or set of circumstances isfor any reason held to be unconstitutional, void, or invalid, the validity of the remainingportions of this order or their application to other persons or sets of circumstances shallnot be affected thereby, it being the intent of the Board in adopting this order that noportion hereof, or provision or regulation contained herein shall become inoperative orfail by reason of any unconstitutionality, voidness, or invalidity of any other portionhereof, and all provisions of this order are declared to be severable for that purpose.

    Section 8. Notice. The Board officially finds, determines, recites, and declaresthat sufficient written notices of the date, time, place, and subject of this meeting of theBoard were posted at places convenient to the public at the Harris County Clerk's Officeand in the District for the time required by law preceding this meeting, as required bythe Open Meetings Law, Chapter 551, Texas Government Code, and that this meetinghas been open to the public as required by law at all times during which this order andthe subject matter thereof has been discussed, considered, and formally acted upon. TheBoard further ratifies, approves, and confirms such written notice and the contents andposting thereof.

    [Execution page follows.]

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    PASSED AND ADOPTED this November 12, 2020.

    ___________________________________Chair, Board of DirectorsHOBBY AREA DISTRICT

    ATTEST:

    _________________________________Secretary, Board of DirectorsHOBBY AREA DISTRICT

    Exhibit A - Hearing Examiner’s Report

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    The undersigned hereby consent to the Order Supplementing the AssessmentRoll for Hobby Area District; Levying Assessments Against the Property on theSupplemental Assessment Roll for the Remainder of the Ten-Year Period; and Settingthe Rate of Assessment for the Year 2020.

    __________________________________

    __________________________________

    __________________________________

    __________________________________

    __________________________________

    __________________________________

    __________________________________

    __________________________________

    __________________________________

  • (HARRIS COUNTY IMPROVEMENT DISTRICT NO. 9) CITY OF HOUSTON

    HARRIS COUNTY, TEXAS

    AGENDA MEMORANDUM

    To: Hobby Area District Board of Directors

    From: Executive Director

    Subject: Agenda Item Materials

    ----------------------------------------------------------------------------------------------------------------------------- -------------------- HOBBY AREA MANAGEMENT DISTRICT

    (HARRIS COUNTY IMPROVEMENT DISTRICT NUMBER NINE) c/o Hawes Hill & Associates LLP

    P.O. Box 22167 Houston TX 77227-2167

    713-595-1200 or FAX 281-888-6314

    6. Receive Bookkeeper’s Report and approve payment of invoices.

  • G overnmental

    F inancial F inancial

    R eporting, LLC R eporting, LLC

    HOBBY AREA DISTRICT

    MONTHLY FINANCIAL REPORT

    SEPTEMBER 30, 2020

  • Hobby Area District

    Balance Sheet As of September 30, 2020

    Sept 30, 20

    ASSETS

    Current Assets

    Checking/Savings

    1010 · Amegy Bank 89,866.48

    1020 · Wells Fargo Bank 5,260.48

    1030 · Plains State Bank - CD 255,293.93

    1032 · Plus4 Credit Union - CD 5.34

    1040 · TexSTAR-Operating 1,695,106.44

    Total Checking/Savings 2,045,532.67

    Other Current Assets

    1200 · Assessment Receivable 53,656.79

    Total Other Current Assets 53,656.79

    Total Current Assets 2,099,189.46

    Other Assets

    1230 · Due From Improvement Corp 5,582.16

    Total Other Assets 5,582.16

    TOTAL ASSETS 2,104,771.62

    LIABILITIES & EQUITY

    Liabilities

    Current Liabilities

    Accounts Payable

    2000 · Accounts Payable 75,292.35

    Total Accounts Payable 75,292.35

    Other Current Liabilities

    2100 · Assessment Refunds Payable 8,785.67

    2200 · Deferred Assessment Revenue 514,634.32

    Total Other Current Liabilities 523,419.99

    Total Current Liabilities 598,712.34

    Total Liabilities 598,712.34

    Equity

    3000 · Retained Earnings 1,188,466.94

    Net Income 317,592.34

    Total Equity 1,506,059.28

    TOTAL LIABILITIES & EQUITY 2,104,771.62

    Page 2

  • Hobby Area District

    Statement of Sources & Uses - Budget vs Actual September 2020

    Sept 20 Budget Jan - Sept 20 YTD Budget Annual Budget

    M&O SOURCES OF FUNDS

    4000 · District Assessments 166,797.05 158,334.00 1,526,864.15 1,424,998.00 1,900,000.00

    4010 · Penalty & Interest Revenue 407.43 3,000.00 19,472.92 27,000.00 36,000.00

    4020 · Overpayments 0.00 5,584.00 59,783.61 50,248.00 67,000.00

    4030 · Assessment Refunds -8,182.55 -5,666.00 -62,115.41 -51,002.00 -68,000.00

    4060 · Interest Revenue 212.27 1,666.00 9,902.67 15,002.00 20,000.00

    TOTAL M&O SOURCES OF FUNDS 159,234.20 162,918.00 1,553,907.94 1,466,246.00 1,955,000.00

    M&O USES OF FUNDS

    Public Safety

    6010 · Contract Public Safety 24,536.50 25,209.00 202,918.02 226,873.00 302,500.00

    6011 · HPD Overtime Initiative 2,287.60 0.00 2,287.60 0.00 0.00

    6012 · Specific Sites High Density Patrol 6,000.00 5,416.00 6,000.00 48,752.00 65,000.00

    6014 · Special Operations 0.00 10,000.00 0.00 90,000.00 120,000.00

    6015 · Apartment Life Initiatives 1,657.25 1,666.00 14,915.25 15,002.00 20,000.00

    6020 · Mobile Cameras 1,700.00 2,546.00 6,800.00 22,922.00 30,560.00

    6025 · Nuissance Abatement Program 964.23 1,250.00 9,099.91 11,250.00 15,000.00

    6035 · Graffitti Abatement 2,720.00 3,125.00 26,520.00 28,125.00 37,500.00

    6037 · Public Safety Programs 0.00 334.00 0.00 2,998.00 4,000.00

    Total Public Safety 39,865.58 49,546.00 268,540.78 445,922.00 594,560.00

    Community Development

    6050 · Porter Service 14,302.28 13,750.00 127,980.75 123,750.00 165,000.00

    6051 · Community Enhancement Programs 299.25 6,750.00 3,947.85 60,750.00 81,000.00

    6052 · Corridor & ROW Maintenance 20,212.45 34,584.00 215,221.65 311,248.00 415,000.00

    6053 · Field Services Vehicle 0.00 934.00 72.04 8,398.00 11,200.00

    6054 · Street Sweeping 7,617.20 7,166.00 68,554.80 64,502.00 86,000.00

    8055 · Project/Contract Management 9,000.00 10,416.00 60,250.00 93,752.00 125,000.00

    8063 · Esplanade/Roadway Enhancement 1,905.00 4,166.00 11,423.98 37,502.00 50,000.00

    8065 · METRO Bus Shelter Enhacement 0.00 1,834.00 0.00 16,498.00 22,000.00

    8074 · Streetscape Assessories 0.00 584.00 0.00 5,248.00 7,000.00

    Total Community Development 53,336.18 80,184.00 487,451.07 721,648.00 962,200.00

    Economic Development

    6060 · Economic Developmt Programs 6,975.00 8,334.00 37,184.43 74,998.00 100,000.00

    8053 · Market Feasibility Study 0.00 8,334.00 4,951.33 74,998.00 100,000.00

    Total Economic Development 6,975.00 16,668.00 42,135.76 149,996.00 200,000.00

    Communication, Public Affairs, Marketing

    6065 · Events 1,278.60 3,041.00 7,578.99 27,377.00 36,500.00

    6068 · CPA&M Programs 38.35 834.00 107.53 7,498.00 10,000.00

    6070 · Creative Support 3,000.00 8,959.00 38,200.00 80,623.00 107,500.00

    6075 · Marketing Mtls & Promo Items 81.19 4,166.00 841.98 37,502.00 50,000.00

    6078 · Advertisement 0.00 10,416.00 906.59 93,752.00 125,000.00

    Total Comm., Public Affairs, Marketing 4,398.14 27,416.00 47,635.09 246,752.00 329,000.00

    MAINTENANCE & OPERATIONS FUND

    Page 3

  • Hobby Area District

    Statement of Sources & Uses - Budget vs Actual September 2020

    Sept 20 Budget Jan - Sept 20 YTD Budget Annual Budget

    MAINTENANCE & OPERATIONS FUNDAdministration

    6112 · Administration Programs 0.00 651.00 65.00 5,859.00 7,815.00

    6115 · Meeting Expense 32.99 2,000.00 4,633.32 18,000.00 24,000.00

    6120 · Reimbursable Expenses 242.20 1,375.00 511.97 12,375.00 16,500.00

    6125 · Postage 52.04 46.00 571.65 414.00 550.00

    6130 · Office Supplies 129.90 834.00 2,766.38 7,498.00 10,000.00

    6135 · Public Notices, Advertising 528.00 141.00 583.80 1,277.00 1,700.00

    6140 · Legal Services 2,630.57 4,584.00 55,626.38 41,248.00 55,000.00

    6145 · Audit Services 6,000.00 3,750.00 19,600.00 33,750.00 45,000.00

    6150 · Bookkeeping 1,000.00 1,000.00 8,850.00 9,000.00 12,000.00

    6155 · Assessment Billing 2,568.84 3,209.00 28,212.86 28,873.00 38,500.00

    6160 · Assessment Database Mgmt. 300.00 366.00 2,700.00 3,302.00 4,400.00

    6165 · Office Equipment 690.64 1,250.00 4,986.84 11,250.00 15,000.00

    6170 · Insurance 0.00 1,250.00 7,930.32 11,250.00 15,000.00

    6072 · Office Lease 2,450.00 3,334.00 22,050.00 29,998.00 40,000.00

    6073 · Communication & Technologies 663.33 2,862.00 10,976.22 25,764.00 34,350.00

    6175 · Other 14.00 125.00 1,162.28 1,125.00 1,500.00

    Employee Payroll & Benefits

    6180 · Gross Wages 9,562.50 33,334.00 127,228.98 299,998.00 400,000.00

    6181 · Payroll Taxes 968.31 2,550.00 7,003.64 22,950.00 30,600.00

    6182 · Payroll Service 1,049.46 34.00 5,824.75 298.00 400.00

    6183 · Health Insurance 33.32 5,784.00 26,669.77 52,056.00 69,407.00

    6184 · Retirement Fund -82.69 95.00 2,598.74 848.00 1,133.00

    Total Employee Payroll & Benefits 11,530.90 41,797.00 169,325.88 376,150.00 501,540.00

    Total Administration 28,833.41 68,574.00 340,552.90 617,133.00 822,855.00

    TOTAL M&O USES OF FUNDS 133,408.31 242,388.00 1,186,315.60 2,181,451.00 2,908,615.00

    Other Expense

    9000 · Transfer to Improvement Corp. 0.00 0.00 0.00 0.00 0.00

    Total Other Expense 0.00 0.00 0.00 0.00 0.00

    EXCESS (DEFICIT) OF SOURCES OVER USES 25,825.89 -79,470.00 367,592.34 -715,205.00 -953,615.00

    Total Projected Revenue & Reimbursements 1,955,000

    Total Projected Uses of Funds 2,908,615

    Prior Year Reserves 1,229,955

    Projected Year End Cash Reserves 276,340

    Page 4

  • Hobby Area District

    Bank Account RegistersAs of November 12, 2020

    Type Date Num Name Memo Amount Balance

    Amegy Bank 71,554.43

    Deposit 09/03/2020 Dep. Paychex Paychex Refund 527.80 72,082.23

    Debit 09/03/2020 ACH 8121 Broadway Interests LLC May Camera Footage -129.90 71,952.33

    Debit 09/23/2020 Debit Amegy Bank Wire Fee -14.00 71,938.33

    Bill Pmt -Check 10/09/2020 3104 Busy Bee Creatives LLC Website Maint. & Social Media -3,000.00 68,938.33

    Bill Pmt -Check 10/09/2020 3105 Core Logic Safe Rent Apartment Life Initiatives -1,652.25 67,286.08

    Bill Pmt -Check 10/09/2020 3106 East End District Sept. Graffiti Abatement -2,720.00 64,566.08

    Bill Pmt -Check 10/09/2020 3107 Mister Sweeper LP Street Sweeping -785.35 63,780.73

    Bill Pmt -Check 10/09/2020 3108 SEAL Security Solutions LLC Security -6,355.00 57,425.73

    Bill Pmt -Check 10/09/2020 3109 SMC Logistics Litter Abatement & Landscape -36,419.73 21,006.00

    Bill Pmt -Check 10/09/2020 3110 Texas Excavation Safety System Message Fees -Texas811 -299.25 20,706.75

    Bill Pmt -Check 10/09/2020 3111 Zaladium Analytics LLC Monitoring cameras -1,700.00 19,006.75

    Bill Pmt -Check 10/12/2020 3112 Clark Condon Associates, Inc Hobby Area Gateway -6,975.00 12,031.75

    Bill Pmt -Check 10/12/2020 3113 Hawes Hill & Associates LLC Admin. Management -9,000.00 3,031.75

    Bill Pmt -Check 10/12/2020 3114 Mister Sweeper LP Street Sweeping -3,808.60 -776.85

    Transfer 10/14/2020 Trf. TexSTAR Transfer from TexSTAR 100,000.00 99,223.15

    General Journal 10/15/2020 Payroll Paychex Payroll -4,638.51 94,584.64

    General Journal 10/15/2020 Payroll Paychex Payroll Taxes -1,618.53 92,966.11

    General Journal 10/15/2020 Payroll Paychex 401K & UME -845.83 92,120.28

    General Journal 10/15/2020 Payroll Paychex Fee -524.73 91,595.55

    Deposit 10/15/2020 Dep. Paychex Paychex Refund 527.80 92,123.35

    Bill Pmt -Check 10/30/2020 3115 Officer J. Walsh HPD Patrol - Mileage -25.88 92,097.47

    Bill Pmt -Check 10/30/2020 3116 Sgt. C. Harrington HPD Patrol - Expense Report -101.32 91,996.15

    Bill Pmt -Check 10/30/2020 3117 Houston Business Journal Carnell W. Emanuel -528.00 91,468.15

    Bill Pmt -Check 10/30/2020 3118 Mister Sweeper LP Street Sweeping -3,808.60 87,659.55

    Bill Pmt -Check 10/30/2020 3119 NEC - Neon Electric Corporation Banner Sign Repair -4,400.00 83,259.55

    Bill Pmt -Check 10/30/2020 3120 Office Systems of Texas Copier -90.18 83,169.37

    Bill Pmt -Check 10/30/2020 3121 SEAL Security Solutions LLC Security -21,955.75 61,213.62

    General Journal 10/30/2020 Payroll Alliance Payroll Payroll - Direct Deposit -15,170.65 46,042.97

    General Journal 10/30/2020 Payroll Alliance Payroll Payroll Taxes -4,521.07 41,521.90

    General Journal 10/30/2020 Payroll Alliance Payroll Fee -106.00 41,415.90

    Debit 11/01/2020 ACH 8121 Broadway Interests LLC Office Rent -2,450.00 38,965.90

    Check 11/05/2020 ACH Texas Workforce Commission State Unemployment Tax -1,420.84 37,545.06

    Check 11/09/2020 ACH ALLY Vehicle Lease -528.41 37,016.65

    Check 11/09/2020 ACH ALLY Vehicle Lease -528.41 36,488.24

    Transfer 11/11/2020 Trf. TexSTAR Transfer from TexSTAR 150,000.00 186,488.24

    Check 11/12/2020 3122 ARCP MT Houston TX LLC Tax Assessment Refund -7,456.86 179,031.38

    Check 11/12/2020 3123 Bellfort Village Phase II Tax Assessment Refund -2,369.38 176,662.00

    Check 11/12/2020 3124 Broadway Bellfort Property LLC Tax Assessment Refund -1,511.80 175,150.20

    Check 11/12/2020 3125 EAN Holdings LLC Tax Assessment Refund -162.58 174,987.62

    Check 11/12/2020 3126 Harry E. Bradley Estate Tax Assessment Refund -159.20 174,828.42

    Check 11/12/2020 3127 Icon Owner Pool 6 West Southwest Tax Assessment Refund -921.00 173,907.42

    Check 11/12/2020 3128 Tony Rex & Janice Reynolds Tax Assessment Refund -82.81 173,824.61

    Bill Pmt -Check 11/12/2020 3129 Amegy Visa Credit Card Miscellaneous -1,842.05 171,982.56

    Bill Pmt -Check 11/12/2020 3130 Busy Bee Creatives LLC Website Maint. & Social Media -3,000.00 168,982.56

    Bill Pmt -Check 11/12/2020 3131 Core Logic Safe Rent Apartment Life Initiatives -1,652.25 167,330.31

    Bill Pmt -Check 11/12/2020 3132 East End District Graffiti Abatement -3,362.19 163,968.12

    Bill Pmt -Check 11/12/2020 3133 Equi-Tax Inc. Monthly Assessor Services -2,868.84 161,099.28

    Bill Pmt -Check 11/12/2020 3134 Governmental Financial Reporting Bookkeeping -1,054.14 160,045.14

    Bill Pmt -Check 11/12/2020 3135 Mister Sweeper LP Street Sweeping -3,808.60 156,236.54

    Bill Pmt -Check 11/12/2020 3136 Perdue, Brandon, Fielder, Collins Delinquent Collections -2,630.57 153,605.97

    Bill Pmt -Check 11/12/2020 3137 SEAL Security Solutions LLC Security -5,487.00 148,118.97

    Bill Pmt -Check 11/12/2020 3138 SMC Logistics Litter Abatement & Landscape -34,514.73 113,604.24

    Bill Pmt -Check 11/12/2020 3139 TML Intergovernmental Risk Pool Law Enforcement Liability -459.66 113,144.58

    Bill Pmt -Check 11/12/2020 3140 Zaladium Analytics LLC Monitoring Cameras -1,700.00 111,444.58

    Total Amegy Bank 39,890.15 111,444.58

    Page 5

  • Hobby Area District

    Bank Account RegistersAs of November 12, 2020

    Type Date Num Name Memo Amount Balance

    Wells Fargo Bank 2,497.38

    Deposit 09/30/2020 Dep. Tax Revenue Sept. Tax Revenue 2,737.81 5,235.19

    Deposit 09/30/2020 Dep. Interest Sept. Interest 25.29 5,260.48

    Total Wells Fargo Bank 2,763.10 5,260.48

    Plains State Bank - CD 255,293.93

    0.00 255,293.93

    Plus4 Credit Union - CD 5.34

    Total Plus4 Credit Union 0.00 5.34

    TexSTAR-Operating 1,694,919.46

    Deposit 09/30/2020 Dep. Interest Sept. Interest 186.98 1,695,106.44

    Transfer 10/14/2020 Trf. Amegy Transfer to Amegy -100,000.00 1,595,106.44

    Transfer 11/11/2020 Trf. Amegy Transfer to Amegy -150,000.00 1,445,106.44

    Total TexSTAR-Operating -249,813.02 1,445,106.44

    TOTAL -207,159.77 1,817,110.77

    Page 6

  • (HARRIS COUNTY IMPROVEMENT DISTRICT NO. 9) CITY OF HOUSTON

    HARRIS COUNTY, TEXAS

    AGENDA MEMORANDUM

    To: Hobby Area District Board of Directors

    From: Executive Director

    Subject: Agenda Item Materials

    ----------------------------------------------------------------------------------------------------------------------------- -------------------- HOBBY AREA MANAGEMENT DISTRICT

    (HARRIS COUNTY IMPROVEMENT DISTRICT NUMBER NINE) c/o Hawes Hill & Associates LLP

    P.O. Box 22167 Houston TX 77227-2167

    713-595-1200 or FAX 281-888-6314

    7. Receive Assessments Collections and Delinquency Report.

  • Hobby Area District

    Lawsuit and Arbitration Status Detail as of 10/16/2020

    Jur 943

    Tax Year CAD Account No. Owner NameARB Hearing

    Value

    Assessment

    CollectedCause Number

    Date

    Received

    from HCAD

    Settled ValueReduction in

    Assessment

    % Reduction in

    Assessment

    Date

    Designation

    Form Sent to

    Owner

    Date

    Refund

    Notice Sent

    to Bkpr

    Tax Year 2017

    Settled

    Tax Year 2017 034-203-001-0010 Clarke Distributing LLC 881,762 $1,322.64 2017-69461 6/19/2020 850,000 $47.64 3.60% 6/23/2020 8/3/2020

    272,568,091 243,591,342

    76

    Unsettled

    Tax Year 2017 096-294-000-0001 Heritage Gulf Coast LLC 3,602,464 2017-69192

    Tax Year 2017 096-294-000-0003 Heritage Gulf Coast LLC 12,606 2017-78745

    Tax Year 2017 096-294-000-0004 Heritage Gulf Coast LLC 1,185,957 2017-78745

    Tax Year 2017 132-245-001-0001 Heritage Gulf Coast LLC 843,386 2017-78745

    Tax Year 2017 Total Unsettled Accounts, original value 5,644,413

    Tax Year 2017 Total Unsettled Accounts, number of accounts 4

    Tax Year 2018

    Settled

    Tax Year 2018 123-174-001-0001 Lauren Holdings 2,739,675 $4,109.51 2018-68431 8/20/2020 2,520,000 $329.51 8.02% Received 9/28/2020

    Tax Year 2018 040-239-000-0002 Apt Broadway Village LLC 5,756,467 $8,634.70 2018-74038 8/20/2020 4,523,442 $1,849.54 21.42% 8/26/2020 9/28/2020

    Tax Year 2018 040-239-000-0011 Broadway Bellfort Prop LLC 3,603,297 $5,404.95 2018-72925 9/29/2020 2,750,000 $1,279.95 23.68% Received 11/2/2020

    354,517,534 319,806,775

    94

    Unsettled

    Tax Year 2018 096-294-000-0001 Heritage Gulf Coast LLC 3,882,330 2017-69192

    Tax Year 2018 096-294-000-0003 Heritage Gulf Coast LLC 12,575 2017-78745

    Tax Year 2018 096-294-000-0004 Heritage Gulf Coast LLC 1,273,989 2017-78745

    Tax Year 2018 132-245-001-0001 Heritage Gulf Coast LLC 850,972 2017-78745

    Tax Year 2018 040-239-001-0020 Smith Jim R 2,306,986 2018-59994

    Tax Year 2018 040-239-001-0038 Smith Jim R 750,000 2018-60630

    Tax Year 2018 096-318-000-0007 Discount Rags Properties LLC 3,598,729 2018-61104

    Tax Year 2018 028-059-000-0016 Stiles Properties Braniff Road Ltd 1,697,100 2018-65344

    Tax Year 2018 136-453-001-0001 Telephone Square LLC 7,519,783 2018-67518

    Tax Year 2018 096-321-000-0004 Pingree 2000 Real Estate Holdings 3,517,502 2018-67607

    Tax Year 2018 040-239-000-0041 2ML Real Estate Interests Inc 2,411,364 2018-68687

    Tax Year 2018 129-096-001-0001 Standard Morgan Partners Ltd 2,046,572 2018-68703

    Tax Year 2018 062-031-008-0004 Garza Norberto / Askew Mellanie 560,000 2018-71743

    Tax Year 2018 062-031-010-0001 Garza Norberto / Askew Mellanie 705,000 2018-71743

    Tax Year 2018 060-014-023-0038 Priya Holdings LLC 596,955 2018-71881

    Tax Year 2018 065-050-005-0004 Bradley Harry E Estate 673,502 2018-72306

    Tax Year 2018 096-318-000-0006 Nitro Phos Inc 2,902,155 2018-72810

    Tax Year 2018 062-031-002-0011 Maraldo Mike 696,000 2018-73458

    Tax Year 2018 060-077-009-0004 CWD Interests LLC 1,320,548 2018-74144

    Tax Year 2018 040-239-000-0058 BBK Properties LLC 237,000 2018-74965

    Tax Year 2018 118-275-001-0001 Maankee Hospitality LLC 3,513,932 2018-75462

    Tax Year 2018 076-121-004-0016 Bah Texas LP 160,000 2018-75702

    Tax Year 2018 120-681-001-0001 Mambo Holdings LP 1,772,000 2019-28490

    F:\Company Info\Lawsuits\Lawsuit Status\Hobby Area Dist_943_LTS-Oct16 2020.xlsx

    Revised 30 October 2020 page 1 of 5

    prepared by: Equi-Tax Inc.

    281.444.4866

  • Hobby Area District

    Lawsuit and Arbitration Status Detail as of 10/16/2020

    Jur 943

    Tax Year CAD Account No. Owner NameARB Hearing

    Value

    Assessment

    CollectedCause Number

    Date

    Received

    from HCAD

    Settled ValueReduction in

    Assessment

    % Reduction in

    Assessment

    Date

    Designation

    Form Sent to

    Owner

    Date

    Refund

    Notice Sent

    to Bkpr

    Tax Year 2018 Total Unsettled Accounts, original value 43,004,994

    Tax Year 2018 Total Unsettled Accounts, number of accounts 23

    Tax Year 2019

    Settled

    Tax Year 2019 040-239-000-0100 Verde Communities LLC 10,256,380 $15,384.57 2019-49259 8/20/2020 8,775,547 $2,221.25 14.44% Received 9/1/2020

    Tax Year 2019 040-239-000-0101 Verde Communities LLC 6,827,410 $10,241.12 2019-49259 8/20/2020 5,841,656 $1,478.64 14.44% Received 9/1/2020

    Tax Year 2019 040-239-000-0108 Verde Communities LLC 6,827,400 $10,241.10 2019-49259 8/20/2020 5,841,648 $1,478.63 14.44% Received 9/1/2020

    Tax Year 2019 109-786-000-0001 Verde Communities LLC 6,648,690 $9,973.04 2019-49259 8/20/2020 5,688,740 $1,439.93 14.44% Received 9/1/2020

    Tax Year 2019 109-786-000-0002 Verde Communities LLC 8,217,840 $12,326.76 2019-49259 8/20/2020 7,031,334 $1,779.76 14.44% Received 9/1/2020

    Tax Year 2019 109-786-000-0003 Verde Communities LLC 8,849,980 $13,274.97 2019-49259 8/20/2020 7,572,204 $1,916.66 14.44% Received 9/1/2020

    Tax Year 2019 109-787-000-0007 Verde Communities LLC 6,787,720 $10,181.58 2019-49259 8/20/2020 5,807,697 $1,470.03 14.44% Received 9/1/2020

    Tax Year 2019 109-787-000-0008 Verde Communities LLC 6,707,590 $10,061.38 2019-49259 8/20/2020 5,739,136 $1,452.68 14.44% Received 9/1/2020

    Tax Year 2019 114-169-000-0001 Verde Communities LLC 6,442,020 $9,663.03 2019-49259 8/20/2020 5,511,910 $1,395.17 14.44% Received 9/1/2020

    Tax Year 2019 114-175-000-0001 Verde Communities LLC 6,270,470 $9,405.70 2019-49259 8/20/2020 5,365,128 $1,358.01 14.44% Received 9/1/2020

    Tax Year 2019 131-366-001-0001 First Service Credit Union 1,105,160 $1,657.74 2019-52528 8/20/2020 1,094,219 $16.41 0.99% 8/26/2020 9/28/2020

    Tax Year 2019 078-071-001-0002 F&S Grahamcrest LLC 2,790,000 capped 2019-63366 8/20/2020 2,450,000 na na na na

    Tax Year 2019 122-722-001-0001 Damjj Ltd 3,584,701 $5,377.05 2019-64486 8/20/2020 2,600,000 $1,477.05 27.47% Received 9/1/2020

    Tax Year 2019 132-094-001-0001 VLR Texas Properties LLC 627,406 $941.11 2019-66784 8/20/2020 591,764 $53.46 5.68% 8/26/2020 9/28/2020

    Tax Year 2019 040-239-001-0051 7950 Bellfort Ltd 10,569,335 $15,854.00 2019-70350 8/20/2020 9,000,000 $2,354.00 14.85% Received 9/28/2020

    Tax Year 2019 034-203-002-0192 Reynolds Tony Rex & Janice 895,205 $1,342.81 2019-71776 10/8/2020 840,000 $82.81 6.17% Received 11/2/2020

    Tax Year 2019 040-239-000-0002 APT Broadway Village LLC 7,193,707 $10,790.56 2019-73808 8/20/2020 4,945,284 $3,372.63 31.26% 8/26/2020 9/28/2020

    Tax Year 2019 028-059-000-0016 Stiles Properties Braniff Road Ltd 1,813,350 $2,720.02 2019-73872 8/20/2020 1,650,000 $245.02 9.01% Received 9/1/2020

    Tax Year 2019 040-239-000-0078 GHC Property LLC 8,651,271 2019-62728 8,100,000

    Tax Year 2019 096-319-000-0004 Icon Owner Pool 6 West Southwest 5,514,000 $8,271.00 2019-64951 9/29/2020 4,900,000 $921.00 11.14% 10/5/2020 11/2/2020

    Tax Year 2019 034-203-001-0023 Silk Road Properties LLC 383,250 no change 2019-66899 9/29/2020 383,250 $0.00 0.00% na na

    Tax Year 2019 034-203-001-0025 Silk Road Properties LLC 425,178 no change 2019-66899 9/29/2020 425,178 $0.00 0.00% na na

    Tax Year 2019 065-050-005-0004 Bradley Harry E Estate 806,136 $1,209.20 2019-67944 9/29/2020 700,000 $159.20 13.17% Received 11/2/2020

    Tax Year 2019 040-239-001-0014 Bellfort Village Phase II 10,579,588 $15,869.38 2019-70367 9/29/2020 9,000,000 $2,369.38 14.93% 10/5/2020 11/2/2020

    Tax Year 2019 125-821-001-0001 ARCP MT Houston TX LLC 271,847 capped 2019-70586 9/29/2020 90,615 na na na na

    Tax Year 2019 126-063-001-0005 ARCP MT Houston TX LLC 15,058,758 $22,588.14 2019-70586 9/29/2020 12,830,722 $3,342.06 14.80% 10/5/2020 11/2/2020

    Tax Year 2019 126-063-001-0006 ARCP MT Houston TX LLC 17,741,100 $26,611.65 2019-70586 9/29/2020 15,097,743 $3,965.04 14.90% 10/5/2020 11/2/2020

    Tax Year 2019 126-063-001-0011 ARCP MT Houston TX LLC 149,759 $224.64 2019-70586 9/29/2020 49,920 $149.76 66.67% 10/5/2020 11/2/2020

    Tax Year 2019 118-422-001-0006 Enterprise Leasing Company of Houston 883,387 $1,325.08 2019-71077 9/29/2020 775,000 $162.58 12.27% 10/5/2020 11/2/2020

    Tax Year 2019 040-239-000-0011 Broadway Bellfort Prop LLC 2,904,568 $4,356.85 2019-73789 9/29/2020 2,750,000 $231.85 5.32% Received 11/2/2020

    322,948,577 281,396,591

    87

    Unsettled

    Tax Year 2019 040-239-001-0020 Smith Jim R 2,175,000 2018-59994

    Tax Year 2019 078-051-001-0007 Grace Business Investments LLC 5,227,400 2018-69515

    Tax Year 2019 104-827-000-0001 Grace Business Investments LLC 1,772,210 2018-69515

    Tax Year 2019 040-239-001-0038 Smith Jim R 752,750 2019-53611

    Tax Year 2019 034-203-002-0101 Macey Family Properties Ltd 3,440,230 2019-54101

    Tax Year 2019 034-203-002-0108 Northden Holdings Ltd 1,309,607 2019-54298

    F:\Company Info\Lawsuits\Lawsuit Status\Hobby Area Dist_943_LTS-Oct16 2020.xlsx

    Revised 30 October 2020 page 2 of 5

    prepared by: Equi-Tax Inc.

    281.444.4866

  • Hobby Area District

    Lawsuit and Arbitration Status Detail as of 10/16/2020

    Jur 943

    Tax Year CAD Account No. Owner NameARB Hearing

    Value

    Assessment

    CollectedCause Number

    Date

    Received

    from HCAD

    Settled ValueReduction in

    Assessment

    % Reduction in

    Assessment

    Date

    Designation

    Form Sent to

    Owner

    Date

    Refund

    Notice Sent

    to Bkpr

    Tax Year 2019 034-203-002-0145 Northden Holdings Ltd 334,306 2019-54298

    Tax Year 2019 096-294-000-0003 Heritage Gulf Coast LLC 12,575 2019-55847

    Tax Year 2019 070-072-028-0001 Triangle Shopping Center LP 1,850,000 2019-56586

    Tax Year 2019 057-259-000-0046 Autozone Texas LP 1,246,093 2019-56953

    Tax Year 2019 040-239-000-0052 Lam Airport LP 1,900,000 2019-60193

    Tax Year 2019 128-049-001-0001 Almeda Center 45 LP 6,657,162 2019-60600

    Tax Year 2019 034-203-003-0204 Hazari LLC 740,269 $1,110.40 2019-60849 10/27/2020 710,207 $45.09 4.06% 10/29/2020

    Tax Year 2019 034-203-003-0315 Hazari LLC 3,004,849 $4,507.27 2019-60849 10/27/2020 2,700,000 $457.27 10.15% 10/29/2020

    Tax Year 2019 078-051-001-0001 PCL Galveston Partners Ltd 4,745,000 2019-62649

    Tax Year 2019 041-012-001-0032 ZMS & Associates Inc 28,400 $42.60 2019-63818 10/27/2020 27,400 $1.50 3.52% 10/29/2020

    Tax Year 2019 064-063-008-0001 Furmanite US GSG LLC 1,311,500 $1,967.25 2019-63941 10/27/2020 1,240,000 $107.25 5.45% 10/29/2020

    Tax Year 2019 015-115-011-0008 Adelaide Holdings LLC 1,885,186 2019-64438

    Tax Year 2019 094-210-000-0006 Public Storage Mgmt Inc 5,561,510 2019-65624

    Tax Year 2019 094-210-000-0007 Public Storage Mgmt Inc 2,438,490 2019-65624

    Tax Year 2019 043-228-000-0041 Ean Holdings LLC 1,126,080 2019-65933

    Tax Year 2019 062-031-002-0011 Maraldo Mike 762,685 2019-68070

    Tax Year 2019 098-435-000-0001 DDC Hotels Inc 7,208,682 2019-68415

    Tax Year 2019 060-077-009-0004 CWD Interests LLC 1,765,111 2019-69959

    Tax Year 2019 040-239-000-0041 ML Real Estate Interest Inc 2,499,525 2019-70058

    Tax Year 2019 096-249-000-0001 HSR Bellfort Plaza Apt LLC 6,050,150 2019-71443

    Tax Year 2019 034-207-012-0030 E J Stanton LP 805,708 2019-71745

    Tax Year 2019 034-203-001-0062 Sexton Interest IV Ltd 556,925 2019-72241

    Tax Year 2019 034-203-002-0100 Sexton Interests Ltd 2,824,371 2019-72527

    Tax Year 2019 034-203-003-0127 MPT Interest LLC 1,196,808 2019-72742

    Tax Year 2019 124-659-001-0002 Freeland Holdings Ltd 802,019 2019-73255

    Tax Year 2019 040-239-001-0009 Cardenas Adans 1,977,141 2019-73614

    Tax Year 2019 118-275-001-0001 Maankee Hospitality LLC 3,525,781 2019-73691

    Tax Year 2019 096-318-000-0006 Snyder Dan 2,834,688 2019-73966

    Tax Year 2019 034-203-002-0105 Krishna Hobby LLC 691,408 2019-79390

    Tax Year 2019 040-239-000-0061 APTBC LLC 6,302,752 2019-82303

    Tax Year 2019 040-239-000-0073 APTPW Ltd 4,510,678 2019-82323

    Tax Year 2019 129-096-001-0006 9333 Bryant LLC 5,265,073 2019-82859

    Tax Year 2019 Total Unsettled Accounts, original value 97,098,122

    Tax Year 2019 Total Unsettled Accounts, number of accounts 38

    Tax Year 2020

    Settled

    Tax Year 2020

    0 0

    0

    Unsettled

    Tax Year 2020 062-031-003-0003 R Pennington Investments LP 1,559,580 101-20-000339

    Tax Year 2020 028-063-002-0014 B&G Tobacco & Candy Co Inc 1,475,740 101-20-000485

    Tax Year 2020 034-203-001-0011 Spencer Bluebonnet LLC 762,167 101-20-000639

    Tax Year 2020 129-096-001-0004 Pej Real Estate LLC 3,895,738 101-20-000642

    F:\Company Info\Lawsuits\Lawsuit Status\Hobby Area Dist_943_LTS-Oct16 2020.xlsx

    Revised 30 October 2020 page 3 of 5

    prepared by: Equi-Tax Inc.

    281.444.4866

  • Hobby Area District

    Lawsuit and Arbitration Status Detail as of 10/16/2020

    Jur 943

    Tax Year CAD Account No. Owner NameARB Hearing

    Value

    Assessment

    CollectedCause Number

    Date

    Received

    from HCAD

    Settled ValueReduction in

    Assessment

    % Reduction in

    Assessment

    Date

    Designation

    Form Sent to

    Owner

    Date

    Refund

    Notice Sent

    to Bkpr

    Tax Year 2020 129-096-001-0002 Pej Real Estate LLC 3,858,329 101-20-000643

    Tax Year 2020 034-207-012-0001 CPE Enterprises LLC 1,642,572 101-20-000685

    Tax Year 2020 034-203-001-0078 NCO Inc 2,141,843 101-20-000687

    Tax Year 2020 034-203-002-0081 Cidema Three Limited Partnership 2,587,473 101-20-000880

    Tax Year 2020 062-031-003-0001 6614 Dixie Properties LLC 284,108 101-20-000914

    Tax Year 2020 062-031-003-0007 R Pennington Investments LP 664,362 101-20-000915

    Tax Year 2020 040-239-001-0034 JMM Enterprises LLC Series 6 et al 4,121,500 101-20-001048

    Tax Year 2020 065-050-007-0027 Continental Airlines Inc 815,805 101-20-001338

    Tax Year 2020 040-239-000-0051 CFS 2907 Houston LLC 2,211,855 101-20-001555

    Tax Year 2020 040-239-000-0169 CFS 2907 Houston LLC 556,156 101-20-001555

    Tax Year 2020 042-195-000-0050 CFS 2907 Houston LLC 218,305 101-20-001555

    Tax Year 2020 096-385-000-0002 Irapak Investments LLC 1,265,202 101-20-001621

    Tax Year 2020 095-063-000-0020 Odutayo Family Limited Partnership 532,986 101-20-001690

    Tax Year 2020 034-207-012-0004 Nicole Meldrum LP 1,686,162 101-20-001691

    Tax Year 2020 034-203-001-0319 Nicole Meldrum LP 891,657 101-20-001692

    Tax Year 2020 034-203-002-0094 Perry Homes LLC 4,323,600 101-20-001711

    Tax Year 2020 034-203-002-0126 Hansen Road Ltd 1,340,920 101-20-001765

    Tax Year 2020 041-012-001-0106 Fortuna Land LLC 65,120 101-20-001813

    Tax Year 2020 041-012-001-0115 Fortuna Land LLC 513,611 101-20-001813

    Tax Year 2020 128-049-001-0001 Almeda Center 45 LP 5,953,735 2019-60600

    Tax Year 2020 040-239-000-0061 APTBC LLC 8,836,766 2019-82303

    Tax Year 2020 040-239-000-0073 APTPW Ltd 5,393,486 2019-82323

    Tax Year 2020 057-259-000-0046 Autozone Texas LP 1,302,905 2020-42678

    Tax Year 2020 119-763-001-0001 PVA Realty Trust 1,596,192 2020-44443

    Tax Year 2020 129-987-001-0002 Altec Industries Inc 1,893,809 2020-46068

    Tax Year 2020 040-239-000-0041 2ML Real Estate Interest Inc 2,447,200 2020-46362

    Tax Year 2020 122-722-001-0001 DAMJJ Ltd 2,835,816 2020-46481

    Tax Year 2020 034-203-002-0118 Atrium Finance II LP 17,950,440 2020-47017

    Tax Year 2020 034-203-002-0130 Atrium Finance II LP 1,581,088 2020-47017

    Tax Year 2020 034-203-002-0161 JDHQ Land Holding LLC 2,852,264 2020-47017

    Tax Year 2020 034-203-004-0003 Atrium Finance II LP 543,930 2020-47017

    Tax Year 2020 040-239-000-0046 Brixmor Holdings 12 SPE LLC 2,502,551 2020-47766

    Tax Year 2020 040-239-000-0084 Brixmor Holdings 12 SPE LLC 3,135,767 2020-47766

    Tax Year 2020 070-072-028-0001 Triangle Shopping Ctr LP 2,433,398 2020-47949

    Tax Year 2020 126-063-001-0003 Wal-Mart Real Estate Business Tr 11,595,730 2020-48105

    Tax Year 2020 096-384-000-0002 Athens Investments LLC 1,906,426 2020-48232

    Tax Year 2020 065-050-005-0004 Bradley Harry E Estate 863,842 2020-48289

    Tax Year 2020 129-785-001-0001 Advance Stores Company Inc 8094 771,844 2020-48384

    Tax Year 2020 047-123-000-0064 Gulf Towers Houston LLC 6,391,897 2020-49170

    Tax Year 2020 047-123-000-0066 Gulf Towers Houston LLC 6,295,631 2020-49170

    Tax Year 2020 040-239-000-0040 PF Casa cCuz LLC 14,370,649 2020-49885

    Tax Year 2020 123-155-001-0002 Houston Hobby Express Hotel Inc 3,938,538 2020-50202

    Tax Year 2020 046-205-000-0021 Nap III Hotel Group LLC 4,195,537 2020-50206

    Tax Year 2020 060-077-009-0004 CWD Interests LLC 1,794,922 2020-51088

    Tax Year 2020 040-239-000-0078 FC Tzadik Property Owner LP 16,003,053 2020-52790

    Tax Year 2020 109-787-000-0009 Preflight Parking Hobby LP 8,754,736 2020-52965

    Tax Year 2020 034-203-003-0123 Comerica Bank 2,353,685 2020-53315

    F:\Company Info\Lawsuits\Lawsuit Status\Hobby Area Dist_943_LTS-Oct16 2020.xlsx

    Revised 30 October 2020 page 4 of 5

    prepared by: Equi-Tax Inc.

    281.444.4866

  • Hobby Area District

    Lawsuit and Arbitration Status Detail as of 10/16/2020

    Jur 943

    Tax Year CAD Account No. Owner NameARB Hearing

    Value

    Assessment

    CollectedCause Number

    Date

    Received

    from HCAD

    Settled ValueReduction in

    Assessment

    % Reduction in

    Assessment

    Date

    Designation

    Form Sent to

    Owner

    Date

    Refund

    Notice Sent

    to Bkpr

    Tax Year 2020 129-785-001-0004 Kucinski Family Trust 873,206 2020-53315

    Tax Year 2020 129-578-001-0002 Capview Income & Value Fund IV LP 1,086,917 2020-53975

    Tax Year 2020 136-453-001-0001 Telephone Square LLC 8,047,983 2020-57252

    Tax Year 2020 118-275-001-0001 Maankee Hospitality LLC 2,743,845 2020-57401

    Tax Year 2020 119-800-001-0001 Bonuik Interests Ltd 3,189,285 2020-58047

    Tax Year 2020 034-203-002-0101 Macey Family Properties Ltd 3,569,643 2020-58163

    Tax Year 2020 040-239-001-0051 7950 Bellfort Ltd 12,235,899 2020-58169

    Tax Year 2020 119-602-001-0001 Syndex Corporation 7,355,002 2020-58374

    Tax Year 2020 034-203-001-0324 Medallion Investment IV 3,262,000 2020-58609

    Tax Year 2020 121-614-001-0001 Sai Inc 1,450,443 2020-58746

    Tax Year 2020 Total Unsettled Accounts, original value 221,724,851

    Tax Year 2020 Total Unsettled Accounts, number of accounts 61

    Cumulative

    Settled

    Cumulative Grand Total Settled Accounts, original value 2,845,245,566 2,471,206,025

    Cumulative Grand Total Settled Accounts, number of accounts 871

    Unsettled

    Cumulative Grand Total Unsettled Accounts, original value 367,472,380

    Cumulative Grand Total Unsettled Accounts, number of accounts 126

    Color Legend

    Light Gray Settled previously

    Yellow Settled as of this report