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LARAZA UNIDOS, INC, dba ALMS, Plaintiff ¥ VICTORIA COUNTY WATER CONTROLAND IMPROVEMENT DISTRICT #1, and ITS DIRECTORS NOEMI TRONCOSO, LUCY MORALES, NICOLE CASTRO, JESUS “JESSE” PENA, JR., AND CONSTANTINO MARTIN ACTING IN THEIR OFFICIAL CAPACITIES, Defendants (en een ten ten eh cn 2 le een EA LO WD oe IN THE DISTRICT COURT VICTORIA COUNTY, TEXAS JUDICIAL DISTRICT PLAINTIFF'S ORIGINAL PETITION, APPLICATION FOR TEMPORARY, RESTRAINING ORDER, AND APPLICATION FOR TEMPORARY AND. PERMANENT INJUNCTIVE RELIEF ‘TO THE HONORABLE JUDGE OF THIS COURT: La Raza Unidos, Inc., a Texas not for profit corporation dba ALMS (“ALMS"), Plaintiff, files this Original Petition, Application for Temporary Restraining Order, and Application for ‘Temporary and Permanent Injunetive Relief, complaining of Victoria County Water Control and Improvement District #1, acting by and through its Board of Directors in their official capacities (“District”), Defendant, and for cause of action respectfully would show the Court the following: DISCOVERY CONTROL PLAN 1. Plaintiff intends to conduct discovery under Level 3, as provided by Texas Rule of Civil Procedure 190.4, PARTIES 2. Plaintiff ALMS is a Texas non-profit corporation providing low income housing and related services in the unincorporated community of Bloomington, Victoria County, Texas, ALMS principal place of business is 1411 Port Lavaca Hwy., Victoria, Victoria County, Texas, 3. Defendant District is a Water Control and Improvement District created by order of the State Board of Water Engineers, predecessor agency to the current Texas Commission on Environmental Quality (“TCEQ”) by Order dated May 5, 1941 (the “Order”). A copy of the Order is attached hereto as Exhibit No. 1, and incorporated herein for all purposes, According to its records, the District was created pursuant to Article XVI, Section 59 of the Texas Constitution and operates pursuant to Chapters 49 and 51, Texas Water Code, and other applicable general laws of the State. Defendants may be served with process pursuant to §49.066(c), Texas Water Code, by serving the District's General Manager or Board President, Noemi Troncoso, The District's offices are located at 93 Illinois, Bloomington, Victoria County, Texas 77951, 4. Defendant Noemi Troncoso is a Director and President of the governing board of the Defendant District, and may be served at the District’s offices at 93 Illinois, Bloomington, Victoria County, Texas 77951. 5, Defendant Lucy Morales is a Director and Vice President of the governing board of the Defendant District, and may be served at the District's offices at 93 Hlinois, Bloomington, Victoria County, Texas 77951. 6. Defendant Nicole Castro is a Director and Secretary/Treasurer of the governing board of the Defendant District, and may be served at the District's offices at 93 Iinois, Bloomington, Victoria County, Texas 77951. 7. Defendant Jesus “Jesse” Pena, Jr, is a Director and member of the governing board of the Defendant District, and may be served at the District's offices at 93 Illinois, Bloomington, ‘Victoria County, Texas 77951. 8, Defendant Constantino Martin is a Director and member of the governing board of ‘the Defendant District, and may be served at the District's offices at 93 Ilinois, Bloomington, Victoria County, Texas 77951. JURISDICTION AND VENUE - This Court bas subject matter jurisdiction because the amount of damages in controversy exceeds the jurisdictional minimum of this Court. ‘This Court also has jurisdiction under §49.066, Texas Water Code, and §65.021 of the Texas Civil Practice & Remedies Code. 10. The District is amenable to suit in Texas pursuant to Section 49.066, Texas Water Code. 11, Venue is also proper in Victoria County under Texas Civil Practice & Remedies Code §15.002(a)(1) and Texas Water Code §49,066, because Victoria County is the county in which all or a substantial part of the District and the events or omissions giving rise to ALMS’ claims occurred. BACKGROUND 12, ALMS is a Texas non-profit corporation providing low income housing in the unincorporated community of Bloomington, Victoria County, Texas. All of these units in Victoria County obtain water and/or service from the District. 13, Over the last 3 years, the District has engaged in illegal and discriminatory practice in the provision of essential services for water and sewer by overcharging ALMS” units via illegal ‘meter upsizing, improper rate classification, and excessive billing rates. 14, During this same time period and, specifically, since April 2015, the District due to its own undisclosed negligence or mismanagement, and through no fault or wrongdoing of ALMS or its tenants, failed to properly bill multiple customer accounts, including ALMS Accounts according to the District’s records. The District’s actions have led to claims by the District of large bback-billed amounts allegedly due from ALMS. ALMS is being charged more than three to five times the rates for identical water and sewer service, charged to other, similar properties served by the District. While the billing mistakes transpired for over ten months, the District has only given ALMS less than four months to pay the alleged amount owed, and to date has failed to address the excessive, discriminatory rate issues. 15, The District appears to have unjustifiably targeted ALMS-managed properties with higher fees, forced meter upsizing, and inconsistent rule interpretation, application, and enforcement compared to the District's other customers. 16, The District has also forcibly removed meters from ALMS-managed properties located at 101 $, Shepley, Bloomington, Victoria County, Texas with no prior notice to ALMS or the property occupants, and without legal cause or predicate to do so. 17. The District’s actions have now been combined with threats by the District to terminate water and sewer service at the ALMS-managed properties without just cause, and without regard to the threats to public health and safety that such actions will cause, and without taking the required procedural steps to implement such drastic action in the face of unresolved disputes over the legitimacy of the claimed unpaid rates, as required by the Distriet’s own rules, 4 18. Monica Mendez, one of ALMS" tenants, living at the ALMS-managed property located at 156 FM 616, Bloomington, ‘Texas (“Property”), lived at the Property in both 2016 and 2017. In 2016, the account name for water and sewer services to the Property from the District was for ALMS. A true and correct copy of two invoices from the District for 2016 are attached as Exhibit “2.” After a recommendation from ALMS' consulting engineer, ALMS had the District account changed to Ms. Mendez’s name, A true and correct copy of two invoices from 2017 are attached as Exhibit “3. 19. The invoices for water and sewer service to the Property in the respective Exhibits reflect charges for a usage level during the billed month that is comparable. ‘The meter readings in both sets of invoices are approximately 1,200 during one month period, and 1,400 the next month period. In 2016 when the account was under ALMS’ name, the property was charged with a Rate Code #13, the amount invoiced was $95.00 for water and $150.00 for sewer in months with metered usages of 1410 and 1210, However, in 2017 with the account under Ms, Mendez’s: ‘name, the District invoices show the property was charged under Rate Code #10, only charging $30.00 for water, and $35,00 for sewer in months with metered usages of 1460 and 1200. Two sworn affidavits from Mr, Lou Brooks, an ALMS representative with personal knowledge, attesting to these facts is attached as Exhibit “4.” 20. ALMS has protested and contested the above described actions by the District, as well as the disputed back-billed rate allegations, both directly to the District and to the Public Utility Commission of Texas. To date, the District has failed to resolve or properly address ALMS’ articulated complaints, protests and/or concems. Counsel for the District has advised the undersigned counsel of a willingness to meet with ALMS about the issues in the future after the District’s engineer has evaluated the Engineering Report submitted by ALMS. To date, the District's evaluation is pending, and the offered meeting has not been scheduled. A true and correct copy of a letter dated February 12, 2017 from the undersigned counsel to the District transmitting a copy of a signed and sealed report from a licensed Texas Engineering Firm documenting the ‘errors in the Distriet’s metering and up-sizing program imposed on ALMS-managed properties is attached hereto as Exhibit “5.” (Due to the size of the Engineering Report, only the cover page and table of contents are included with Counsel’s letter, A full copy of the report ean be provided to the Court if requested.) The District, however, has demanded payment of the contested back billings and threatened termination of retail water supply service essential to the health and well- being of to ALMS residential customers/clients, 21. The District discriminated against ALMS and its customers, and has repeatedly ignored its own rules, ignored procedures related to the multiple complaints filed by ALMS regarding overcharging, improper meter upsizing, and service interruptions, The District now seeks to terminate essential services to ALMS-managed properties with complete disregard to the health, welfare, and well-being of those ALMS tenant-customers. ALMS and its tenant-customers have done nothing wrong, except be undesirable in the eyes of the District. See Exhibit “6” (Affidavit of William “Bill” Harvell.) 22. At a District meeting on May 18, 2017, the District’s legal counsel stated that ALMS accounts would be terminated and service would be suspended on Tuesday, May 23, 2017, unless all of the disputed amounts were paid in full. 23. Pursuant to Texas law, as a retail utility providing water and/or sewer service to end users, the District has a duty to provide continuous and adequate service. APPLICATION FOR TEMPORARY RESTRAINING ORDER 24. _ ALMS incorporates the allegations of Paragraphs 1 through 23 as if fully set forth in this section. 25. ALMS asks the Court to enter a temporary restraining order prohibiting the District and any other person acting under their direction from disconnecting, terminating, interrupting, or otherwise interfering with the delivery and provision of continuous and adequate water, sower, and any other essential and riecessary services provided by the District as the District has threatened. 26. It is probable that ALMS will prevail over the District after a trial on the merits because the District has engaged in unlawful and discriminatory acts by overcharging ALMS- ‘managed properties for the provision of essential water and or sewer utility service, and illegally replaced or removed water meters in violation of the law and the District's own rules, and threatened to terminate essential water and sewer utility service in violation of the law and the District's own rules, 27. If ALMS application is not granted, harm is not only imminent, but is now occurring because the District’s actions constitute unlawful interference with the use and ability to access essential and necessary public services. 28. The harm that will result if the temporary restraining order is not issued is irreparable because without essential and necessary water and sewer services all those affected have their health, welfare, and well-being at risk with no remedy available. 29. ALMS has no adequate remedy at law because damages are an inadequate remedy for interference with public health and welfare concems of ALMS tenants whose water and sewer service is subject to termination by the District. 30. — ALMS is willing to post bond. REQUEST FOR TEMPORARY INJUNCTION 31, _ALMS incorporates the allegations of Paragraphs 1 through 23 as if fully sot forth in this section, 32, ALMS asks the Court to set its application for temporary injunction for hearing and, after the hearing, issue a temporary injunction prohibiting the District, or any person acting under their direction from disconnecting, terminating, interrupting, or otherwise interfering with the delivery and provision of continuous and adequate water and/or sewer utility services to the affected ALMS-managed properties and ALMS tenants, ALMS is entitled to a temporary injunction for the same reasons that it is entitled to a temporary restraining order. REQUEST FOR PERMANENT INJUNCTION 33. ALMS incorporates the allegations of Paragraphs 1 through 19 as if fully set forth in this section, 34, ALMS asks the Court to set its request for @ permanent injunction for a full trial on the merits and, after the trial, issue a permanent injunction prohibiting the District, ot any person acting under their direction from from interrupting or terminating water and sewer services to the affected ALMS owned properties until such time as all disputed issues have been adjudicated or otherwise resolved. CONDITIONS PRECEDENT 35, All conditions precedent to ALMS' right to bring this action have been performed or have occurred, PRAYER WHEREFORE, PREMISES CONSIDERED, the District respectfully requests: (1) That the Court enter a temporary restraining order prohibiting the District, or any person acting under their direction from disconnecting, terminating, interrupting, or otherwise interfering with the delivery and provision of continuous and adequate water and/or sewer utility services to the affected ALMS-managed properties or ALMS tenants for fourteen (14) days; (2) That the District be cited to appear and show cause as to why a temporary injunction as described above should not be issued; (3) That the Court set ALMS’ application for temporary injunction for hearing and, after the hearing, entor a temporary injunction prohibiting the District, or any person acting under their direction from disconnecting, terminating, interrupting, or otherwise interfering with the delivery and provision of continuous and adequate water and/or sewer utility services to the affected ALMS-managed properties and ALMS tenants; (4) That the Court set ALMS” request for a permanent injunction for a full trial on the metits and, after the trial, issue a permanent injunction against the District, prohibiting the District, or any person acting under their direction from disconnecting, terminating, interrupting, or otherwise interfering with the delivery and provision of continuous and adequate water and/or sewer utility services to the affected ALMS-managed properties and ALMS tenants; (5) That ALMS would recover its costs; and (©) That ALMS would have such other and further relief to which it is justly entitled. Respectfully submitted, McCarthy & McCarthy, LLP Law Offices of Bernard T. Klimist Edmond R. McCarthy, Jr. Bernard T. Klimist Edmond R. McCarthy, III 204 East Santa Rosa Street 1122 Colorado Street, Suite 2399 Victoria, Texas 77901 Austin TX 78701 (361)572-8234 (512) 904-23, (361)578-3534 FAX (12) 69; FA: By: [ & By et Yy eee Edmond R. McCarthy, Jr. Bernard T. Klimist State Bar No. isn State Bar No, 11571200 ATTORNEYS FOR LA RAZA UNIDOS, INC. EXHIBIT LIST Exhibit No. Exhibit Description Board of Water Engineers Order dated May 5, 1941 creating the District 2 2016 District invoices for water and sewer services at 156 FM 616, Bloomington, Texas, addressed to ALMS. 3 2017 District invoices for water and sewer services at 156 FM 616, Bloomington, Texas, addressed toALMS" tenant Monica Mendez ‘Two (2) Sworn Affidavits of Lou Brooks, authorized representative of ALMS Letter from Ed McCarthy to District Counsel dated February 12, 2017 Swom Affidavit of William “Bill” Harvell aus 10 NO. LARAZA UNIDOS, INC. dba ALMS, Plaintiff IN THE DISTRICT COURT ¥ VICTORIA COUNTY, TEXAS VICTORIA COUNTY WATER CONTROL AND IMPROVEMENT DISTRICT #1, and ITS DIRECTORS NOEMI TRONCOSO, LUCY MORALES, NICOLE CASTRO, JESUS “JESSE” PENA, JR., AND CONSTANTINO MARTIN, ACTING IN ‘THEIR OFFICIAL CAPACITIES, Defendants JUDICIAL DISTRICT on cn te can eon car ean Ue en er ns aD VERIFICATION OF LOU BROOKS STATE OF TEXAS § § COUNTY OF VICTORIA § BEFORE ME, the undersigned authority, on this day personally appeared Lou Brooks, authorized representative of ALMS, who, after being by me duly sworn did upon his oath deposed and said: 1, My name is Lou Brooks. I am over the age of 21, of sound mind and fully competent to make this affidavit, T have never been convicted to a felony. 1am an authorized representative of La Raza Unidos, Inc., dba ALMS. 2. [have read Plaintiff's Original Petition, Application for Temporary Restraining Order, and Application for Temporary and Permanent Injunctive Relief to which this Verification is attached. ‘The factual statements contained in paragraphs 1 through 23 are within my personal knowledge and are true and correct. ul SWORN TO AND SUBSCRIBED BEFORE ME by the said Lou Brooks, authorized representative of La Raza Unidos, Inc., dba ALMS, on this, the 2. day of May, 2017, to certify which witness my hand and seal of office. (otary Public, State of Texas Name: heals \eernandere Notary No. V3OUN\3 21) My Commission Expires:_\ 0 [20/14 TEAR HERNANOE Notary Stamp/Seal: 12 CERTIFICATE OF SERVICE Thereby certify that a true and correct copy of the above and foregoing Original Petition and Application for Temporary Restraining Order and Application for Temporary and Permanent Injunctive Relief has been forwarded to the General Counsel for Victoria County Water Control and Improvement District #1, on this the 22" day of May, 2017, by electronic mail, addressed as follows: Michael A. Gershon Lloyd Gosselink Rochelle & Townsend, P.C. 816 Congress Avenue, Suite 1900 Austin, Texas 78701 mard S Klimist 3B Exhibit No. 1 Re ft EFORE Tas ‘aston cots ae onion jum, | STATE pour of Tate. ones IMPROVESENT DISTRICT, WOUGER OnE (1) ‘OF Tam STATE OF TES On this, the Sth day of May, 29lf1, at 2 otctook, P, he Patttion of P. K. stubblefteld, ob al,, praying for the esteblishnent of Vistoris ‘Tater Control and Inproventak District, Muster One (1) and for the appointment of five (5) duly quulitiad, tenparary direotore thereot, and onne divers interested persons in person and by attorney, ant anid Petition, Inaving bean rend, testinony given, and argumante oF eountel hardy 2p uence as Cun Sh bt in aL Satara paren ro ay subst 29 eppenrs Wy the Fortine ng of aokiee of hearing te the placer, timesy and’ n tho ohanar prevoribed by ier, that anid Petitios fs sige ty Sore than sey (50) a8 maker ef the evoory of land within the Scunires or seucveletristy su sot-ov in seid Petition eed hotels below, Fontding herelny ond ‘tt tho nusber of aieh Land ornare there de one than Hitey Go)y sot there in’ novosnity for the ortanisinset of id aistriet fat for the Snprovesncte proposed ¢9 be bade thersyy tant the peposns for siteh eed alsiriot ie intoned ave fenible, prastosblen wou tonstit the ‘Tenge Serotsy wove bo ot weldity, aol nould bo'n public Vemeit to tela Satriot ‘tot dntabteente thecond) Ie ss thorotere considered, ordered and deorand by the Board that sald Vaotoria county Tater Control ani Taprovesont District, Mabor Oue (1) bey and ‘the sane 4s hereby, created and established wader end pureuant Artiole 2VZ of the Constitution of the Btate of Texas and all ‘to be paused thereunder; andy ab andl Alatriob aheld compriae the as ontne (25608), t poms Somer Folio, tomer ‘EOIN at a point ab the intersection of the center Lins of Eighth Btravt with tho boundary Hine of the right of my of the Bty Louie, Bromavitle, and Mexioo Jiaitway, Vistorin Branch, ‘MHEWR Ne Sl Degrees OF MMnutes 5 down the contor Line of anid Righth Street, projecting said center Lino as far as need ey & dlstanoe of Three Fhoustnd Ona Hundred (3100) feet, ‘THEWOE 8, 35 Degrees 55 Minutes By m distance of Three Thousnnd Bight undred Forty-tx and Two Tenthe (36,2) feet to the miter Line of Rodgers Street, projecting anid oenter ine. of two Hundred Pirtymatz and Gx an lying wholly within the Sh bgrne05 Mists ee the nbn 3h of wid : Rodgers Btreat, peo ald center Line ne fer a9 1 dletanoe of fra Shoutend Saven Haired Trolve tad Pour Tenthe (en2.l) Peat, ‘TnWeR —_M. LA Degreoe He Unubos We a dLetanoe of Three Thousnnd Bight Hundred Sixty-five and Eight Tenthe (308540) fect to the plese OF beginning id uanod atreots and railmy are chown by map of reaord in Yolune 7h ab Page SUO of the Deod Revords of Vietorix County, Texts, to xhlah reference 10 Ierety wade for all purposeay te, ‘and that anid district shail be for the following purposes, to-wity (1). to coustruot, build, srect, maintain, ant operate all works, welll feotittien, plants, pipes, reservoira, tanks, and appliaoes in any end nil ut helpful or neooetery for the supplying of water for domestic ‘and dndorbrial uses anf purposes, and) (2) to construct, wild, erect, maintain, and operate alt feotittion, plante, ant applianoor 4 any and ni manners oF neosstary for the collection, transportation, Pi control of a1 dousstio, industriel, oF otal waster Ada, or composites; And 48 tn ‘further dered, ant dgsrod by the Board ‘tht Fs Ey stabbleriel fy, oamhes'b, aSd Sao ate ‘are hotel Of afd dustrict, ‘ased per fe be nore Sonn Sawatymons (21) gonr¥raE ope) 8 Fe Beata of Toray an ofr istrict, ond eAth of whom omi 2end subject to ings dLesporels end ‘whether of fluids, teaation in the dis nde, ordered, and decreed this the 5th d4y.of.Aay, 19d. Ae it, DOAP, . “Fobing Chatenan oF Che oar (001) Abtonts Ee a Modena “peoretarys ota T, Prttahett BWORSEENTS Re eront . STARE BOARD OF TTER ENOTHEERS ‘TATE OP TEXAS Grantod the 5th day of Kay, 2915 ‘SPATE cP TELS : commy op reavrs. §} Ts 7 As We Kobonaié, Booretary of the Board of Mater Englnnoore for the Stave of omar, do hoveiy worthfy the vbaahod| ‘to be a true and orreot copy of Inute Order of the Board, dated ay 5, 15h Am sounaction with Viotorte county Tater Contre ‘nd Inprovoment District, Number One, ax ake appears of fie end of reoord tn the ofttoe of the Board, : ‘Given under my hand and the seal of the Hoard of Vater orn thie tho Tth day of Kay, Ay Dey 291A, ie), ANIM Didsot_ ae wacker, soa oF warey [BhONERRS, Exhibit No. 2 Roan caune|a rao cn ‘aadount ae rena SH SALAM Rote Code ili | frinc paaaeRBTES Reading Date PASSE etERe. oa ae AseeNGIS 4/20/2016 Charges: PREWENT READING Water: + 95:00 - ‘Sewer whe 150.00 }__491870._| REGULATORY TAX 133 490460. “Unnge 1410. = Victoria County WC&I Dist. | 1 | 2.0, Box 667 , if Bloomington, TX 77951 | (361) 897-1011 Lalo 1.306 previous C] Average EL BILLS ARE QUE ON HE 15TH OF EVERY MONTH IF NOT + A623 25TH A $25.00 NON PAYMENT (EE WIL. ERVICES WILL. DE DISCONNECTED, [PAY THe ANGUNT AFTER ASE5.00 EE WILL ALSO Be CHARUD UPON RECONHC os = 7 SI82016 $24.62 TRS Agcount# 1717 oer _ as 7 ome : Rue Cole (—“faarnecanaa = “peading Dae [P=ESEaasneHe S20/2016 Charges ete meaning 93.00 ; Sower a) 400K REGULATORY TAX 2 01x70 Usage:1.210 Victoria County WC8I Dist #1 P.O, Box 667 Bloomington, TX. 77951 i (301) 807-1011 1210 ato Ais Flinn CLs EL BILLS ARE DUL ON THE 1STHI GF AVERY MONTH NO TOTAL QUE NOW 246.23. PAID BY THE 28711 A $28.00 NON PAYMENT FLL WiLL BE CHARGED & SERVICES WILLE DISCONNIC IV io a PenanTY | Pav Ha aNUNT AFIER A'SOS m0 FEE WILL ALSO BL: CHARGED UBON RECONAEL | : ansa016 eee 270.88 (#1717 Exhibit No. 3 $$$ $s VE PENALTY DATE Billing Statement 3 oe ‘Vistoria County WC&I Dist. #1 iar Now sve S655 PO Box 667 “TOTAL AFTER PENALTY ATE Bloomington, TX 77951 $ 7186 (361) 897-1011 103 MENDEZ, MONICA PO ROK TS snsno17 BLOOMINGTON 17795 . Route #4 From cc RESoUNT Ne, TESS MENDEZ, MONICA Rate Code #10 Reading Date 2/23/2017 Charges PRERENT READING. Water 30.00 Sewer 35.00 505500 REGULATORY TAX 0.33 504040 Q of Naga 1460 Cat ¢ Victoria County WC&I Dist. #1 { PO Box 667 1 Bloomington, TX. 77951 (361) 897-1011 REMINDER BILLS ARE DUE BY THE 15TH TOTAL DUE NOW 6.33 IF NOT PAID BY THE 23TH SERVICES WILL BE DISCONNECTED AND FEES WILL BE CHARGED WAVE THIB PENALTY, PAY THI® AMDUNT AFTER $6.53 Cee Account# 1803 Billing Statement Vietoria County WC4d Dist. #2 PAYNOW-SAVE $6.53 PO Box 667 TOTAL AFTER PENALTY DATE Bloomington, TX 77951 37186 (361) 897-1011 fe 103 \ MENEZ, oRaca Posen st snsnov7 | BLOOMINGTON TX 77951 ier — ——— = cme es ws aa —WENDEZ WONT Rate Code #10 Print Date! 3292017. e Reading Date Sema 3/21/2017 Charges PRESENT READING ‘Water 30.00 ‘Sewer 35.00 506700. REGULATORY TAX 0.33 305500 Usage 1,200 Victoria County WC&I Dist. #1 | PO Box 667 Bloomington, TX 77951 (361) 897-1011 REMINDER BILLS ARE DUE BY THE ISTH TOTAL DUE NOW 65.33 TFROT Palo BY THE SSTH SERVICES EL BE DISCONNECT NG FEES RN SE ee ee “asa ae 11.86 Account # 1803, Exhibit No. 4 STATE OF TEXAS COUNTY OF VICTORIA AFFIDAVIT OF LOU BROOKS menor On this day, Lou Brooks personally appeared before me, the undersigned notary public, and being by me fully swom on her oath, deposed and stated as follows: 1, Lou Brooks, am over eighteen (18) years of age. I have never been convicted of a felony or crime involving moral turpitude, and I am fully competent to make this Affidavit. I have personal knowledge of the facts in this affidavit, and they are true and correct. 1 am familiar with the resident living at 156 FM 616, Bloomington, Texas (“Property”) since August 2015. The Property is managed by ALMS, a Texas Nonprofit corporation, in the unincorporated community of Bloomington in Victoria County, Texas. In 2016, the account for the Property at 156 FM 616 for water and sewage service from the District was under ALMS’ name. A true and correct copy of invoices from the District for 2016 are attached as Exhibit “A.” In 2016, the District classified the Property as being under Rate Code 13 according to the invoices in Exhibit “A,” and charged $95,00 for water and $150.00 for sewer. In June 2016, ALMS had the name on the Property's water and sewer service account with the District changed to the resident's name. A true and correct copy of invoices from the District for 2017 are attached as Exhibit “B.” In 2017, with the water usage at the Property being approximately the same in 2016, and ‘no changes to the Property, the tenancy, or the use of the water, the District classified the Property as being under Rate Code 10 according to the invoices in Appendix B. The District charged only $30.00 for water and $35.00 for sewer. ‘The amount charged to ALMS by the District for the same level of usage and service at the Property was over three times the amount that was charged for water and nearly five times the amount charged for sewer service. FURTHER AFFIANT SAYETH NOT. 2017. Low Brooks SWORN TO and SUBSCRIBED before me by Lou Brooks on this. 9 day of May, 1 EAH HERHANDE?: fotary Public, State of Texas Leah Hern (Printed or Stamped Name of Notary) My Commission Expires: 19 My Notary No. is: _teferotr4 1304 (321) LIST OF EXHIBITS, Exhibit Description oA Invoices billed to ALMS from the District for water and sewer service for the Property located at 156 FM 616, Bloomington, Texas for the year 2016 “Br Invoices billed directly to ALMS tenant from the District for water and sewer service for the Property located at 156 FM 616, Bloomington, Texas for the year 2017 rE BE CHARGED & SERVICES WILL BE DISCONNECTED. 'A'$25.00 FEE WILL ALSO BE CHARGED UPON RECONNEC Rael ma oo = siete Rate Code #13 riot Dats 27201. Reading Date : apan0i6 SOEM 616 Seccea PRERENT READING Water 95.00 Sewer 150.00 #21870 REGULATORY TAX 123 490460 Usage 1,410 = : — Victoria County WC&I | = P.O. Box 667 - Bloomington, TX 77951 q a (361) 897-1 410 410 1,306 Cicirrent_fllprevious [Average I BILLS ARE DUE ON THE 15TH OF EVERY MONTH IF NOT TOTAL DUE NOW: 246.23 PAID BY THE 25TH A $25.00 NON PAYMENT FEE WILL $24.62 Account# = 1717 5/15/2016 270.85 Exhibit a aay, = nessun ne: = Rate Code #13 AL ‘Reading Date 9/20/2016 Charges PRESENT READING. Water 95.00 Sewer 150.00 S| Teens REGULATORY TAX 1.23 491870 | Usage 1,210 -——— ictoria County WC&I Dist. #1 | >| — es P.O. Box 667 es Bloomington, TX 77951 a [ (361) 897-1011 1210 ito 13i8 | Dicitrent Mereuous C1Avezage ML BILLS ARE DUE ON THE ISTH OF EVERY MONTH IF NOT TOTAL OUE NOW. 246.23 PAID BY THE 25TH A §25.00 NON PAYMENT FEE WILL, BE CHARGED & SERVICES WILL BE DISCONNECTED. cave wie penauTy | Pav Twin AMOUNT APTER ‘4 $25.00 FEE WILL ALSO BE CHARGED UPON RECONNE( onsi2016 erter 270.85 Account # 1717 ani ae mou ~ woaunT no. eo rain = Rate Code #1 Print Date 12772016 — ing Date FEE “sone Read Py ——E 12/2016 Charges paeeewTneaona | Late Fee 5.23 Water 25.00 j-———487540—_ Sewer 27.00 caus nets REGULATORY TAX 0.26 435870 Usage 1,670 Monty Use Victoria County WC&I Dist. #1 P.O. Box 667 Bloomington, TX 77951 (361) 897-1011 oes Ben BILLS ARE DUE ON THE 15TH OF EVERY MONTH IF NOT TOTAL DUE NOW 57.49 PAID BY THE 25TH A $25.00 NON PAYMENT FEE WILL BE CHARGED & SERVICES WILL BE DISCONNECTED. eae Tain renaury | Pav Tew AMOUNT AFTER ‘A'$25.00 FEE WILL ALSO BE CHARGED UPON 2nsn016 = 62.72 Account # 1717 —<_—_———— a Route #4 ina ron v0 a || Rate Code #13, Frnt Dae DEPOTS Reading Date | #=Ruseanenene 2123/2016 ue Charges (PRESENT READING Water 95.00 Sewer 150.00 489050 Adjustments (6.23) esirpts aeeeoes REGULATORY TAX ue 2 | 487540. Usage 1,510 Victoria County WC&I Dist. #1 P.O. Box 667 i Bloomington, TX 77951 (361) 897-1011 1510 91670 1.255 Clcirrent Mibprevious Cl Average 21 BILLS ARE DUE ON THE ISTH OF EVERY MONTH IF NOT TOTAL DUE NOW. 246.23 PAID BY THE 25TH A $25.00 NON PAYMENT FEE WILL BE CHARGED & SERVICES WILL BE DISCONNECTED. ‘eave oe penauTy | Pav Tew ANGUNT AFTER ‘A'825.00 FEE WILL ALSO BE CHARGED UPON 371572016 aiele 270.33 Account # 171 Statement 7 Victoria County WC&I Dist. #1 | [Pay mom $0.00 P.O. Box 667 Bloomington, 1X. 77951 (361) 897-1011 | [ Ein are] THS2016 Water 95.00 Sewer 150.00 REGULATORY TAX 1.23 Cre (124,62) Victoria County WC&I Dist. #1 P.O. Box 667 Bloomington, TX 77951 (361) 897-1011 | BILLS ARE DUE ON THE !STH OF EVERY MONTH IF NOT TOTAL DUE NOW 146.23 PAID BY THE 25TH A $25.00 NON PAYMENT FEE WILL Be CHARGED & SEAVICES WILL be DISCONNECTED (Leen [aoe momar] A$25.00 WILL ALSO BE CHARGED UPON RECONNE( mnsn0. as 146.23 Account# = 1717 "TOTAL ON/MEFORE PENALTY OATE oes PAYNOW-SAvE 36.53 S| Billing Statement Victoria County WC&I Dist. #1 PO Box 667 Bloomington, TX. 77951 rE G61) 897-1011 : 180s MENDEZ, MONICA amo, PENA BARE 3/15/2017 BLOOMINGTON TX 77951 (ie Eee = ASOT nas “HERDEZ, KONIC? Rate Code #10 _ es Reading Date [isorMle Charges patent eaoue Water 30.00 Sewer 35.00 oe REGULATORY TAX 033 304040 ye \ Usage 1,460 Qo7 { 6 Victoria County WC&I Dist. #1 i 1 | PO Box 667 + Bloomington, TX 77951 ‘| I G61) 897-1011 REMINDER BILLS ARE DUE BY THE 1STH TOTAL DUE NOW 65.33 IFNOT PAID BY THE 25TH SERVICES WILL BE DISCONNECTED AND FEES WILL BE CHARGED SL ed 371572017 ie a 1.86. 1803 Account # Exhibit B | S633 | PAYNOW-BAVE $6.53 37186 MENDEZ, MONICA 156 FM 616 PO BOX 754 BLOOMINGTON TX 77951 Statement Victoria County WC&I Dist. #1 PO Box 667 Bloomington, TX 77951 (361) 897-1011 1803 ansi2017 Route #4 muuiva “aecauNT Nay T1803 MENDEZ, MONICA. | | Rate Code #10 Print Dae SOSGOIT Date 156 FM 616. 3/21/2017 Charges ‘paneENT AzADIWe Water le 30.00 Sewer 35.00 506700 REGULATORY TAX 0.33 505500 Usage 1,200 Victoria County WC&I Dist. #1 PO Box 667 Bloomington, TX 77951 (361) 897-1011 REMINDER BILLS ARE DUE BY THE 1STH TOTAL DUE NOW 65.33 IF NOT PAID BY THE 25TH SERVICES WILL BE. DISCONNECTED AND FEES WILL BE CHARGED PAY Tole ANGUNT ATER 4/tsn017 $6.53 11.86 Account# 1803 Billing Statement Victoria County WC&I Dist. P.O. Box 667 Bloomington, TX 77951 (361) 897-1011 1903 MenoK MONICA PO BOX 754 uaeaere BLOOMINGTON 1X 77951 Route #4 Water Sewer 35.00 REGULATORY TAX 0.33 peevious neaome L__4ara70_] Usage 840 : Victoria County WC&I Dist, #1 | 7 P.O. Box 667 4 Bloomington, TX. 77951 | (361) 897-1011 Curren a BILLS ARE DUE ON THE ISTH OF EVERY MONTH IF NOT TOTAL DUE NOW 65.33 PAID BY THE 25TH A $25.00 NON PAYMENT FEE WILL. | | BECHARGED @ SERVICES WiLL BE DISCONNECTED: aheres penauty | Pav Fe Avene aren |_| A $25.00 FEE WILL ALSO BE CHARGED UPON RECONNEC ms72016 $6.53 "Aecoune# 1803 | AFFIDAVIT OF Lou Brooks STATE OF TEXAS § § COUNTY OF VICTORIA. 8 On this day, Lou Brooks personally appeared, before me, the undersigned notary public, and being by me fully sworn on his oath, deposed and stated as follows: 1 1, Lou Brooks, am over eighteen (18) years of age. I have never been convicted of a felony orcrime involving moral turpitude, and I am fully competent to make this Affidavit. [have personal knowledge of the facts in this affidavit, and they are true and comect, This affidavit is submitted in connection with complaints of ALMS regarding the illegal rates, charged by and discriminatory prectices of the Victoria County Water Control and Improvement District #1 acting by and through its Board of Directors, both in their individual and official capacity. Tam under contract by LaRaza Unidos, a Texas Nonprofit corporation doing business as “ALMS,” in the unincorporated community of Bloomington in Vitoria County, Texas, Among my duties for ALMS 1 interface with the Victoria County Water Control and Improvement District #1, including meeting with District Representatives and attending District Board meetings. Jam aware that Water Board Director Lucy Morales and her family own a large amount of rental property serviced by the District, Several of these properties are comparable to ALMS properties but receive water service at much lower rates due to the family connection to Lucy Morales, Most of the properties are billed $65 minimum monthly bills and have more connections and plumbing fixtures than similar ALMS accounts which are billed between $250 - $2,000 minimum monthly bills. 1 personally connected water/sewer service at 391 N. Rail in April, 2017. My service is billed at a 400% discount compared to similar ALMS accounts. My minimum monthly bill is approximately $65.00 for 2 bedrooms and 2 bathrooms. An ALMS account nearby for a 2 bedroom, 1 bathroom home is billed approximately $250.00 minimum monthly bill, Since 2015, the District’s Board of Directors has forcibly increased the meter size on several properties where ALMS is the account holder, No other account or meter in the District has had their water meter upsized over a protest. The District's Board of Directors has torn open our neighborhood streets to remove properly functioning ALMS account meters in order to replace them with new larger meter sizes which resulted in substantial increases in ALMS minimum monthly bills. 1 am personally aware of a location on FM 616 where the account was in the name of ALMS in 2016, The location is a single family home, ALMS was billed a minimum monthly bill of approximately $250.00 until ALMs had the water service transferred to someone else’s name to see if they would get the increased rate charged ALMS. Once service was transferred into the name of the resident, the same resident who has occupied the location since 2016, the bill dropped to an approximately $65,00 minimum monthly bill and has remains in the name of the resident to this day, FURTHER AFFIANT SAYETH NOT. Lou Brooks swoRN by Lou Brooks on this Fl 'day of May, 2017. Notary Public, State of Texas Tickeln oA acon "lar ommissin tos : aso 26200 Ncluile (anda Belcow, (Printed or Stamped Name of Notary) My Commission Expires: Bley [0 1 3 SY OF EXHIBITS Appendix Description “an ‘Water Bill for 391 N, Rail, Bloomington, TX under Lou Brooks “3 Water Bill for 734 N. Hebert, Bloomington under ALMS. “c" Water Bill for FM 616, Bloomington, TX from 2017 under Resident “p” Water Bill for FM 616, Bloomington, TX from 2016 under ALMS 55685 Pav NOW-SavE $9.69 illing Statement Victoria County WC&I Dist. #1 PO Box 667 Bloomington, TX 77951 3 10654 (361) 897-1011 Ee 1893 BROOKS, LOU 391 N RAIL. POBOX'27 snisi2017 BLOOMINGTON TX 77951 cc S -— = Route #1 malas Taw = REET penive 9 —— BROOKS, TOT Rate Code #1 Print Dake ATE Reading Date [Pe eances 4/21/2017 Charges PRESENT READING Water 60.05 Sewer 36.34 — REGULATORY TAX 0.48 71950 Usage 11,340 ty eae Victoria County WC&I Dist. #1 t PO Box 667 i Bloomington, TX 77951 (361) 897-1011 REMINDER BILLS ARE DUE BY THE ISTH TOTAL DUE NOW 96.85. IF NOT PAID BY THE 25TH SERVICES WILL BE DISCONNECTED AND FEES WILL BE CHARGED SAVE THIS PENALTY PAY THIS AMOUNT AFTER s152017 oe 106.54 Account# — 1893 Exhibit A ar2uroi7 * ee AUDIT HISTORY Page 1 of 2 Victoria county WCET Dist. #1 Re vast Account: 1621 DEANDA, TONY 409 HEDGES Date Amount ___peserigtion “LL corre rahi. TY I79S] Balance ‘Beginning Month Balance: g $197.86, 1oa2016 (6138.29) Payment Credit Card $5057 rovtgn0i6 $596 Late Fee $6533 10/25/2016 (865.53) Paymént Credit Card $0.00 12772016 SBL68 Usage of 3780 Water 3168 roann0i6 S288 Sewer 60.46 toa7n016 3030 _ REGULATORY TAX $60.76 Begining Month Balance 30076 havens $608 Late Fee $6684 —tiainote— $28.86. Usage of3030 Water $9570 hiava0i6 $2803 Sever $1373 11/21/2016 $0.28 REGULATORY TAX. $124.01 Beginning Month Balance T2801 iaan016 (866.84) Payment Credit Card $57.17 riig016 $572 LaleFee $0289 iaainoi6 $3108 Usage of3620 Water su97 rapva0is $2862 Sewer s239 ieai0i6 $0.30 REGULATORY TAX sizas 12287016 (862.89) Payment Credit Card $60.00 Beginning Month Balance $60.00 vaso $600 Late Fee 366.00 asn017 $2404 Usage of 410 Water sto0.08 vasn017 $2941 Sewer sizes vas017 $032 REGULATORY TAX siae.7 wai2017 Notice printed for $6600 de on 1812017 ‘Beginning Month Balance TT 2/6/2017 ($66.00) Payment Credit Card ($63.77 2217017 $638 Late Fee s70.s 23017 $3100 Usage of3600 Water stouis reso? 52860 Sever $129.75 ya3nov? 8030 _ REGULATORY TAX 813005 Begining Month Balance 313005 3/1/2017, 365.00) Payment Money Order $65.05 sino. S651 Lae Fee sms6 siinot? (87136) Payment Credit Card $0.00 3/21/2017 ‘$28.71 Usage of 2990 Water ‘$28.71 spinor? $2799 Sewer $5670 sainovr $028 REGULATORY TAK $5698 Begining Mont Baleaco $5698 angnow $570 LateFee $0208 ainor7 83738 Usage of 5300 Water 100.6 a2inor7 $3030 Sewer 813036 s2inor7 $034 _ REGULATORY TAX 513070 ‘Totals for Water 222.15 “Tea fr Sewer 201.73 “Tats for Late Fee 4235 “Teas for REGULATORY TAX 212 Payments Received 53611 Total Usage Amount 26730 Exhibit B Roxte ft wa 2 a —— aS Rate Code #13 Print Date: 3292017, : Siahce xbonees Beating Date 734. N HERBERT 3/21/2017 ‘Charo PRESENT READING Water 95.83 Sewer 150.22 Pha REGULATORY TAX 123 244420 Usage 2,220 | Victoria County WC&I Dist. #1 | PO Box 667 Bloomington, TX 77951 (361) 897-1011 REMINDER BILLS ARE DUE BY THE 15TH TOTAL DUE NOW 247.28 IF NOT PAID BY THE 25TH SERVICES WILL BE DISCONNECTED AND FEES WILL BE CHARGED wave Tne PEWALTY | PAY Fr AMGUNT AFTER i 4/15/2017 $24.73 272.01 Account# 1807 = [aan we Te ALN, Reading Date Aaa 734N HERBERT a pmeenns meaoie Water 98.71 Sewer 150.99 244420 REGULATORY TAX 1.25 peenoun meASINE 241430 Usage 2,990 Monty Usage 7 Vietoria County WC&I Dist. #1 | = —| PO Box 667 ~-— | Bloomington, TX 77951 i (361) 897-1011 | REMINDER BILLS ARE DUE BY THE 15TH ‘TOTAL DUE NOW 250.95 IF NOT PAID BY THE 25TH SERVICES WILL BE DISCONNECTED ANDIFEES WILL. BE CHARGED ave Tare penacry | PAV Tate AmGUneT ArreR | 3182017 L $25.10 276.05 Account# 1807 Route AT seam] Trae = ee Rete Code #13 Pre ake r = Reading Date. [SESwae anese 1/23/2017 anEEee Charges paeaener READING Water 95.0 Sewer 150.16 241430 REGULATORY TAX 123 239270 Usage 2,160 -| = Victoria County WC& Dist. #1 | = —| PO Box 667 * Bloomington, TX 77951 a aaa 361) 897-1011 i ae REMINDER BILLS ARE DUE BY THE 15TH TOTAL DUE NOW 246.99 IF NOT PAID BY THE 25TH SERVICES WILL BE DISCONINEG TERY AND PRES ILE BE CHARGED Gave Fave pewALTy | eAV Tite amoUNr ArTeR 71572017 $24.70 wie Account# 1807 TaTAL ONETORE PENALTY BATE Billing Statement $6533 PAYNOW-SAVE $6.53 Victoria County WC&d Dist. #1 PO Box 667 TOTAL, ENALTY DATE Bloomington, TX 77951 3 (361) 897-1011 : 1803 MENDEZ, MONICA 156 FM Gi6 POBOX 754 4118/2017 BLOOMINGTON TX 77951 i. tee = — ENE WONEER Rate Code #10 Print Deter 32017 : = Ke Date 156 FM 616 3/21/2017 Charges pes niacin Water | 30.00 Sewer 35.00 oe REGULATORY TAX 0.33 505500. Usage 1,200 — : Victoria County WC&I Dist. #1 | * PO Box 667 Bloomington, TX 77951 (361) 897-1011 REMINDER BILLS ARE DUE BY THE 15TH TOTAL DUE NOW 65.33 IF NOT PAID BY THE 25TH SERVICES WILL BE DISCONNECTED AND EES WILL BE CHARGED See aay oT eI 41572017 = 71.86 Account # 1803 Exhibit C $s PAYNOW-save 56.53 3. 7186 MENDEZ, MONICA, 1 Statement Victoria County WC&I Dist. #1 PO Box 667 Bloomington, TX. 77951 (361) 897-1011 1803 POBOX 734 3/15/2017 BLOOMINGTON TX 77951 ie Rowe mu Taam Rate Code #10 iz Reaing Dae PS LAS Charges PeEMENT READIN Water 30.00 Sewer 35.00 505500 REGULATORY TAX 0.33 ‘PREviOUS READING 504040 y Ae | Usage 1,460 aor ib Monty Use 2 Victoria County WC&I Dist. #1 | PO Box 667 - ee Bloomington, TX 77951 | 1 (361) 897-1011 REMINDER BILLS ARE DUE BY THE 1STH TOTAL DUE NOW 68.33 IF NOT PAID BY THE 25TH SERVICES WILL BE DISCONNECTED AND FEES WILL BE CHARGED. WAVE Thi PENALTY | PAY THIN AMOUNT AFTER 382017 $6.53 71.86 Account# 1803 En rae 7 Resaue ne 1 ALM Rate Code #13 Prot Date SOTO. aera 156 EM G16 5/20/2016 Charges pacaenr meAoINE Water 95.00 Sewer 150.00 |____a930g0 _| aA REGULATORY TAX 1.23 491870 Usage 1,210 Monty Uses - Victoria County WC&I Dist. #1 | =f} —7 4 P.O. Box 667 7 — Bloomington, TX 77951 | . (361) 897-1011 | 1210 aio 1318 Ficirrent Milprevious [Average Ml | BILLS ARE DUE ON THE ISTH OF EVERY MONTH IF NOT TOTAL DUE NOW: 246.23 PAID BY THE 25TH A $25.00 NON PAYMENT FEE WILL | | BECHARGED & SERVICES WILL BE DISCONNECTED. ‘wave pom penacry | PAY Twa AMOUNT A ‘A $25.00 FEE WILL ALSO BE CHARGED UPON RECONNE( onsi2016 $24.62 eas Account # = 1717 Exhibit D PP Roead er oo = a Rate Code #13 ; oe Reading Date [EEE saneae arorois [iste Charges papeenr acacia Water 95.00 Sewer 150.00 A871) REGULATORY TAX 1.23 490460 Usage 1.410 ~ ~~ Victoria County WC&I Dist. #1 | = P.O. Box 667 Ee Bloomington, TX 77951 “| (361) 897-1011 1410 0 1,306 Cicurent (™previous Cl Average Bl BILLS ARE DUE ON THE 15TH OF EVERY MONTH IF NOT TOTAL DUE NOW 246.23 PAID BY THE 25TH A $25.00 NON PAYMENT FEE WILL BE CHARGED & SERVICES WILL BE DISCONNECTED. save Tie rEnaLTy | PAY Tule AMOUNT AFTER ‘A $25.00 FEE WILL ALSO BE CHARGED UPON RECONNEC s/152016 $24.62 ens Account # = 1717 Exhibit No. 5 Law OFFICES OF McCarrTay & McCarTHY, L.L.P. 1122 Covorano Srresr, SUITE 2399 AUSTIN, TEXAS 78701 (512)904.2310 (512 692-2826 (FAX) February 10, 2017 Victoria County WCID No. 1 ‘Via E-Mail & U.S. Mail c/o Michael Gershon, General Counsel Lloyd Gosselink Rochelle & Townsend, P.C, 816 Congress Avenue, Suite 1900 Austin, Texas 78701 Re: ALMS Water Report ~ Southwest Engineers; and Billing Letters from Victoria County WCID No. 1 to ALMS Accounts c/o Ed McCarthy Dear Mike: ‘The purpose of this letter is to transmit the enclosed Water Use Report performed on ALMS. facilities served by the Victoria County WCID No. 1 by Clarence Littlefield, PE., of Southwest Engineers (the “Littlefield Report”), as well as address your letter dated January 12, 2017, (copy attached) transinitting letters from the Victoria County WCID No. 1 (the “District” to the “ALMS Accounts” (“ALMS”), First, the “Littleficld Report” was performed using the AWWA. Manual M-22 standards purportedly relied upon by the District when making its unilateral decisions to upsize the meters of the ALMS facilities, As documented in the Litilefield Report, which was based upon (i) actual ‘on-the-ground surveys of the water using elements in each of the ALMS facilities and (ii) a review ‘of associated water district invoices reporting usage, application of the AWWA standards indicates that the District inappropriately upsized the meters on the ALMS facilities. Accordingly, the District should credit the affected ALMS fucilities for all costs of the upsizing increased fees and rates, ete. With respect to the so-called billing letters intended to collect purported “under collections” the individual District letters addressed to the respective ALMS Accounts indicate that they are due to an unexplained unilateral error of the District over a ten (10) month period between April, 2015 and January 2016, inclusive. It is inconceivable that the District allegedly underbilled the ALMS Accounts by tens of thousands of dollars without some red flag internally, much less warning to District customers, ‘Notwithstanding the fact that the District’s error spanned a ten (10) month period, and the District is now notifying customers almost eighteen (18) months afler the fact, the correspondence February 10, 2017 Page 2 demands the District’s error be corrected by my client in a short one to three month period, ‘That is an unwarranted penal action, assuming the undercollection is real. Please be advised that compliance with the Distric’s demand would be financially crippling to my client, As al fault is in the District, the District needs to ameliorate its process and, ata minimum, to the extent that any of the Distriot’s claims have morit, should be scheduled for repayment over a timetable equal to the time it took the District fo discover and act on its error — eighteen (18) months. First, however, the District needs to reconcile its ALMS Accounts, which as you are aware have been grossly overbilled in my client's opinion, The overcharges stem from inappropriate billing practices, negligent (or non-existent) meter readings, inappropriate over-sizing of meters, and other wrongful billing practices. Once these matters have been resolved, and the District's proper billings verified, my client will commence payment of appropriate payment of amounts due for actual services provided to ALMS, Hopefully, this resolution process will also result in appropriate billings prospectively by the District, As part of this reconciliation process, ALMS requests the information described below from the District in addition to all information necessary to verify the alleged underbillings described in the attached correspondence from you and the District dated January 12, 2017, which includes only a “summary” and no back-up matetials. The additional information includes the following: 1) Copies of all correspondence from the District and/or your office to other District Customers making similar demands during the same time period, 2) Copies of all reports, memoranda, e-mails or other communications of record with and from the District, its personnel, Directors and/or consultants regarding the alleged billing errors identifying, infer alia, when and how the error was discovered, when the error was first disclosed to the District's management, governing board, auditors and/or consultants, 2s woll as any regulatory authorities, ¢g., Texas Commission on Environmental Quality (“TCEQ”) and the Public Utility Commission of Texas (“PUC"); 3) Copies ofall reports, memoranda, and/or written steps taken by the District to avoid such gross negligence and egregious errors in the future, Given the length of time it took the District to realize, identify and correct its error, delaying recovery of legitimate under-charges, once verified, clearly can occur over an extended period of ‘time that will not financially impair and burden, if not cripple, the District’s customers, look forward to your and the District's responses, as well as to working with you to resolve the various issues, February 10, 2017 Page 3 Best wishes. Sincerely, ERM/tn Encl. ec: Victoria County WCID No. | Attn: Ms. Karen Arnold, Office Manager ALMS Attn: Bernard Klimist, General Counsel Honorable Bryan Shaw, Ph.D., P.E., Toby Baker, Jon Niermann, ‘TCEQ Commissioners c/o Tucker Royall, General Counsel (MC-101) Richard Hyde, P-E., TCEQ Executive Director (MC-109) Vic McWherter, Public Interest Counsel, TCEQ (MC-103) February 10, 2017 Page 4 Water Use Report Water Use Report ALMS Facilities on Victoria County WCID #1 Victoria County January 2017 SWE Project No. 0604-004-16 Southwest Engineers Civil - Environmental * Planning iSite Mme hoes Sara Meese [TRPE No. 1909 Table of Contents A, REVIEW AND EVALUATION, B. SUMMARY OF ALMS METERS... a C, ACCOUNT REVIEW... 5 D. CONCLUSIONS. al E, RECOMMENDATIONS... 23 F, ATTACHMENTS VCWCID #1 Water Rates ... 25 Living Unit Equivalent (LUE) Guidelines... 26 Manual M22 Table 2.2 Per Capita Residential Indoor Use 27 Manual M22 Table 4.1 Pressure Adjustment Factors .. a7 Menual M22 Table 4.2 Probability Water Flow Demand -Low Range 27 ‘Manual M22 Figure 4.2 Probability Demand - Low Range Enlarged 28 Car Washing Flow Rates... 29 Figure 4.5 Water Customer Data Sheets Account No, 183... 30 Account No. 256 (Includes Figure 4,2)... a1 Account No. 257 (Inchides Figure 4.2). 33 Account No. 787 (Includes Figure 4.2)... 35 Account No. 802 (Includes Figure 4.2)... 37 Account No. 843 (Includes Figure 4.2). 39 Account No, 1028 (Includes Figure 4.2)... 41 Account No, 1055 (Includes Figure 4.2). 43 Account No, 1232 (Includes Figure 4.2)... 45 ST Sea TEESE RR Tre ‘eter Use Report for ALMS Facies en Vitoria Counly WCID #1 7 Table of Contents Account No. 1268. 47 Account No. 1276 (Inchides Figure 4.2) 48 Account No. 1317... 50 Account No, 1366 (Includes Figure 4.2)........ 51 Account No, 1539 (Includes Figure 4.2) 53 Account No, 1541 (Includes Figure 4.2) 55 Account No. 1547 (Inchades Figure 4,2) 57 Account No. 1553 (Includes Figure 4.2}... 59 Account No. 1622 (Includes Figure 4.2) .. 61 Account No. 1637... 63 Account No. 1664 (Includes Figure 4.2) ... 64 Account No. 1683 (Inchades Figure 4,2) ...... 66 Account No. 1708... 68 Account No, 1710... 69 Account No, 1717 ... 70 Account No. 1 Account No. 4" Account No. 73 Account No. 1816 (Includes Figure 4.2}. 74 Account No. 1838... 76 La rey =eTTITa SETTERS SIPTRETT == ieee ‘Water Use Report for ALMS Pacis on Victoria County WICID #1 7 Exhibit No. 6 STATE OF TEXAS COUNTY OF VICTORIA 8 § § On this day, William (“Bill”) Harvell personally appeared before me, the undersigned notary public, and being by me fully sworn on his oath, deposed and stated as follows: 1 FURTHER AFFIANT SAYETH NOT I, William (“Bill”) Harvell, am over eighteen (18) years of age. I have never been convicted of a felony or crime involving moral turpitude, and I am fully competent to make this Affidavit. I have personal knowledge of the facts in this affidavit, and they are true and correct. This affidavit is submitted in connection with complaints of ALMS regarding the illegel rates charged by and discriminatory practices of the Victoria County Water Control and Improvement District #1 acting by and through its Board of Directors, both in their individual and official capacity. 1 am under contract by LaRaza Unidos, a Texas Nonprofit corporation doing business as “ALMS,” in the unincorporated community of Bloomington in Victoria County, Texas. Among my duties for ALMS I interface with the Victoria County Water Control and Improvement District #1, including meeting with District Representatives and attending District Board meetings. On April 28, 2017, I attended the meeting of the District's Board of Directors described in the Board Agenda, a true and correct copy of which is attached hereto and incorporated herein as Appendix “A” (the “Meeting”), At the conclusion of the Meeting, I spoke with District Board Director Constantine Martin. Director Martin appeared to be and acted very upset. According to Director Martin, ALMS has received “free water” service in the pest, ALMS tenants are “not part of Bloomington’s community”, and the ALMS tenants did “not belong in his town”. Thave attended meetings of the District’s Board of Directors where non-ALMS account hholders have requested that the District reduce the size of their meters. ‘The District’s Board of Directors approved these requests and reduced the meter sizes. ALMS has requested reduced meter sizes and a halt to all meter upsizing forced upon their accounts by the District’s Board of Directors. The District's Board of Directors has denied these requests even though ALMS has protested their increased bills and increased meter sizes. SWORN TO and SUBSCRIBED before me by William (“Bill”) Harvell on this ___day of May, 2017. Ze State of Texas oe Tn le Frees MY xagual 26,2019 ‘(Print@d oF Stamped Name of Notary) My Commission Expires: $/26 /14 My Notary No. is: oT OF EXHIB! “ar Agenda for the April 28, 2017, meeting of the Board of Directors of the ‘Victoria County Water Control and Improvement District No. 1 618971000 BLOOMINGTON COUNTY WATE VICTORIA COUNTY WD 85057 pam, 04-25-2097 ww ‘Agenda of Spatial Called Mecting, Board of Directors ‘Victoria Caunty Water Conitral & Improvement District #1 ‘A Spectal Called Meeting of the Board of Directors of Vietorfa County Water Control & mpravement District No, 1 is to be held Friday, Apri 28, 2017, beginning xt 6:30 P.M. at the Vietoria County WCID #1. (Office located on 93 Ilinals Steet in Bloomington, Texas 77953. ‘The purpose of such meating call bathe discussion ané possible action onthe following agenda items! 4. Call maeting to order and wsteitsh a quorum, 2 Prayer, 3. Pledge of allegiance, 4. Public comment? 5. Dlscuss/censiderfact on compensation, benefits, personnel, Insurance, employment appointment, evaluation, reassignmant, duties, discptina, or dismissal of elrectors, staff, and ‘contractors. a. Now Hlre 6 Directors’ comments and dlscusstan of new business for next mesting agenda? 7." Setdate and time for next Boord of Directors’ meting. & Adjourn.” ‘The District is committed to comply with the Americans with Disabiltles Act. Reasonable accommodations and equal opportunkty for effective communications wil be provided upon request. Please contact the Distrit’s office atleast 48 hours prior ta the meeting if accommodation fs needed. During the meeting, the Bazid may go Into executive session for any of the purposes authorized under the Texas Open Mectings Act, Chapter 552 of the Texas Goverament Code, for any item on the above _agend or a5 othertise authori by low, 4 the Board may change the order In which the Bosrd considers and/or takes action on any of the ‘agenda items n the Meeting. > members of the public may address the Bosrd fora timited time (Bminute list; 3o-ninute overall fit for this agenda ttem} concerning any subject whether ce not itis on the agend. The Board ts rat allawad to take action on any subject presented that is not on the agenda, nor Is the Board required to provide response. Page LoF2 AERPR-PONT 414249 Fromt TRIRETI AIA TNUic tania Count Claw” Paaei@Ae R=BS4