‹ Harris County Municipal Utility District No. 490 · All districts' issues
concern
Professional services
$35,000
1 conflict question
money moved
Confirm that engineering for a bond issue that was never sold is an allowed use of surplus road bond construction funds under the road bond orders, and why the check pre-dated board approval (ratified January 22, 2026).
Tex. Const. art. III §52(b) (road bonds for voted purposes); Water Code §49.151; bond order terms
The board action behind it
2025-12-09: Authorized payment of $35,000 to BGE (check no. 1064) for engineering work related to a cancelled road bond issue, approved the Resolution Authorizing Use of Surplus Road Bond Construction Funds and Interest Earned on Road Bond Construction Funds, and directed SPH to send BGE a letter confirming the $35,000 will be credited against the cost of preparing the next road bond summary of costs
What else happened at that meeting
At a special meeting, the Board approved a 24-month electricity supply contract with TXU Energy at a rate of $0.08614, as presented by its electricity consultant USource. It authorized a $35,000 payment to BGE for engineering work on a cancelled 2025 road bond issue, to be paid from surplus road bond funds and credited against BGE's preparation of the next road bond summary of costs. The Board amended its Rate Order to raise the sanitary sewer rate by a total of $1.33 for garbage and recycling service and to add a $120.00 monthly fee for rental meters. It approved the engineer's report, including concurrence in the award of the Prairieland Village, Section 51 Amenity construction contract to Allgreen Associates, and deferred a decision on the operations services proposals until after Harris County MUD 418 meets in January. The Board asked the operator to defer disconnections for non-payment caused by delays in the Starnik payment-system transition and asked Touchstone to send residents account set-up instructions.The law and guidance in force on 2025-12-09
| Road bond proceeds used for the voted road purposes and as the bond orders allow Tex. Const. art. III §52(b); road bond orders (may apply)
art. III §52: Same text in force then and now |
Question | Paid from 'surplus road bond construction funds and interest' for engineering on a 2025 road bond issue cancelled because assessed value could not support it (p.2). |
| Engineers' fees negotiated on a professional-services basis Gov't Code §2254.004
§2254.004: Same text in force then and now |
Not shown in the record | No contract, hours or rate stated; BGE 'spent considerable time' (p.2). |
| Payments approved by the board Water Code §49.151
§49.151: Same text in force then and now |
Question | The minutes refer to an existing check no. 1064 at the time of the vote; on January 22, 2026 the Board ratified 'the prior payment' (Jan 22 p.4). |
Who's involved
BGE, Inc. (district engineer (also engineer for MUD 418 and the Water Agency))
Schwartz, Page & Harding, L.L.P. (general counsel (also counsel to MUD 418, MUD 419, MUD 489 and the Bridgeland Water Agency))
Possible conflicts
BGE, Inc.: BGE prepares the road bond summaries of cost from which the developer is reimbursed; its work on an issue that was not sold is paid by the District, with a promised credit against the next issue. (minutes p.2)
Cost to the district
$35,000 From surplus road bond construction funds and interest.Money or costs moved
HC MUD 490 road bond construction fund → BGE, Inc.: $35,000 To be credited against BGE's cost of preparing the next road bond summary of costs (SPH letter to BGE).
Why the board approved it
Recorded: “BGE prepared documentation for a 2025 road bond issue that was cancelled; the payment will be credited against the next road bond issue (Kristen Turkal; Joseph Schwartz, p.2).”
Reason and source are stated. Not shown: the fee basis, whether such costs are normally advanced by the developer, and how the credit will be tracked so the same work is not paid twice.