BLOCK HOUSE MUNICIPAL UTILITY DISTRICT

February 27, 2008

TO: THE BOARD OF DIRECTORS OF BLOCK HOUSE MUNICIPAL UTILITY DISTRICT AND ALL OTHER INTERESTED PERSONS:

Notice is hereby given that the Board of Directors of Block House Municipal Utility District will hold a regular meeting on Wednesday, February 27, 2008, at 6:30 p.m., at 2600 Block House Drive South, Leander, Texas. The following matters may be considered and acted upon at the meeting:

PUBLIC COMMENT

PLEASE NOTE: Public comments will be accepted only during designated portions of the Board meeting. Comments from the floor will not be accepted during the business portion of the Board meeting. Citizens wishing to address the Board should complete the citizens’ communication form provided at the entrance to the meeting room, so they may be recognized to speak.

1. Citizens’ communications;

2. Sara Twaddle, CLP regarding proposal for landscape consulting services (see also agenda item #17);

3. Preferred Association Management Company regarding proposal for restrictive covenants management [see also agenda item #12(b)(2)];

AUDIT ITEMS

4. Management’s Discussion and Analysis for the fiscal year ended September 30, 2007;

5. Report from Pena Swayze & Co., L.L.P. on audit of the District’s financial statements for the fiscal year ended September 30, 2007, including:

(a) Management Letter;

(b) Client Representation Letter; and

(c) approving the Audit Report and authorizing filing the Audit Report with the Texas Commission on Environmental Quality and the City of Cedar Park;

ELECTON ITEMS

6. SEE ATTACHED SUPPLEMENTAL AGENDA FOR ELECTION ITEMS;

CONSENT ITEMS

(These items may be approved collectively or individually. Any of these items may be pulled for discussion upon the request of any Board member.)

7. Minutes of January 15, 2008 and January 23, 2008 Board meetings;

8. Payment of bills and invoices;

9. Fund transfers;

10. Order Establishing Rules and Regulations Governing Recreational Facilities and Related Fees and Charges;

11. Renewal of Landscape Maintenance Agreement with TruGreen LandCare, L.L.C. (expires February 28, 2008);

RESTRICTIVE COVENANT ENFORCEMENT ITEMS

12. Restrictive covenant enforcement, including:

(a) report from Waterman & Spainhour, including:

(1) 16609 Shipshaw River Drive;

(2) 2801 Alexander Drive;

(3) 3316 Bardolino Lane;

(4) 2607 North Walker Drive;

(5) 2602 Armstrong Drive; and

(6) 605 Chandler Branch;

(b) report from Restrictive Covenants Subcommittee, including:

(1) enforcement procedure and fines; and

(2) proposal(s) for restrictive covenants management, including Preferred Association Management Company;

LITIGATION AND POTENTIAL LITIGATION ITEMS

13. Report from Waterman & Spainhour regarding use of and damage to District property by Ridgewood South resident;

14. Litigation regarding City of Leander’s taking of Block House Municipal Utility District property in connection with proposed wastewater interceptor line;

ENGINEER ITEMS

15. Report from Gray-Jansing & Associates, Inc. on engineering matters, including:

(a) previous directives;

(b) 500 MG (0.5 MG) Ground Storage Tank Rehab-2006;

(d) pass-through water and wastewater service to Knight tract; and

(e) proposals for environmental study of the creek (Block House Creek Baseline Assessment);

LANDSCAPE AND MAINTENANCE ITEMS

16. Report from TruGreen LandCare, L.L.C. on landscape maintenance, including:

(a) previous directives; and

(b) report from Landscape Subcommittee regarding proposal for clean up of the area near Susan Lane Channel;

17. Request for proposals for landscape services, including proposal for consulting services from Sara Twaddle, CLP;

PARK AND POOL ITEMS

18. Report from YMCA on pool management and operations, including replacement of Apache Pool heaters and installation costs;

19. Report on status of District projects, including:

(a) ventilation of Tumlinson Pool rest rooms and lifeguard office area;

(b) Tonkawa Park playscape improvements, including acceptance of improvements;

(d) inventory of District signage; and

(e) fence along Susan Lane Channel;

20. Proposal(s) for installation of security cameras, including layout (Directors Bennett and Davis);

21. Proposed development of Jumano Park, including:

(a) proposals for renovations to existing building at wastewater treatment plant site;

(b) possible contribution from BHC Owners Association, Inc.; and

22. Scout projects, including proposed pocket park in Apache Park (Director Bennett);

DISTRICT COMMUNICATION ITEMS

23. Newsletter, website, brochure and District-wide calendar;

ATTORNEY ITEMS

24. Report from Armbrust & Brown, L.L.P. on legal matters, including:

(a) previous directives;

(b) resolution requesting Williamson County to vacate the stub out of Emma Drive (off Jacqueline Drive); and

GENERAL MANAGER ITEMS

25. Report from ECO Resources, Inc. on District operations, including:

(a) previous directives;

(b) system maintenance and repairs;

(d) solid waste and recycling report from Texas Disposal Systems, Inc.;

(e) nets for Skate Court, including revised scope of project;

(f) date of Town Hall meeting with the Cedar Park Fire Department regarding fire safety;

(g) proposal for gated enclosure for trash cans at Apache Pool;

(h) reservations for CASE conference;

(i) report on status of graffiti removal at Jumano Bridge;

(j) request to Williamson County Commissioner Cynthia Long regarding repair of bridge at Chardonnay Crossing;

(k) proposal for new lock mechanism or replacement of doors at the Walker House; and

(l) proposal for installation of light poles around the Walker House;

26. Management Services Agreement (Directors Roberts and Bennett);

SUBCOMMITTEE REPORTS

27. Report from Subcommittees, including:

(a) Intergovernmental Liaison Subcommittee regarding flashing lights at crosswalk at Block House Drive and Creek Run Drive and Autrey Drive;

(b) Personnel Subcommittee regarding on-site manager position, including engagement of employment consultant;

(c) Pool Subcommittee regarding repair or replacement of chairs at pools and associated costs (directive from September 26, 2007 meeting);

(d) Signage Subcommittee, including possible replacement or upgrade of existing signage, including “welcome” sign at entryway;

(e) Nature Trail System and Creek Maintenance Subcommittee regarding creek maintenance;

DISCUSSION/ACTION ITEMS

28. Request from BHC Owners Association for use of the Walker House for February 6, 2008 meeting and any future meetings, and waiver of reservation fees;

29. Request to Cedar Park for a “no engine brake” ordinance on Highway 183A (Director McMullen);

30. Satellite internet service at the Walker House and Tumlinson Pool (Director Davis);

31. AWBD (Director Roberts);

32. Resolution requesting that Capital Metro construct a fence along the railroad tracks (Director Roberts);

33. Placement of grates on greenbelt storm water inlets/outlets (Director Roberts);

34. Repair of fence along Wong tract (Director Davis);

35. Extension of Scottsdale Drive, including Resolution Supporting the Vacation of Scottsdale Drive “Stub Out” in Block House Municipal Utility District adopted on April 25, 2007;

36. Project goals for 2008, including use of subcommittees;

37. Report on task monitor software (Director Davis);

38. Fence behind lots on Snelling Drive (Director Roberts);

39. Possible application through NRFA regarding “quiet zone” (whistle ban) along Capital Metro railroad tracts at Block House Drive (Director Roberts);

40. Miscellaneous directives and Board member directives;

41. Board member announcements; and

42. Future agenda items.

The Board of Directors is authorized by the Texas Open Meetings Act to convene in closed or executive session for certain purposes. These purposes include receiving legal advice from the District’s Attorney (Section 551.071); discussing real property matters (Section 551.072); discussing gifts and donations (Section 551.073), discussing personnel matters (Section 551.074) or discussing security personnel or devices (Section 551.076). If the Board of Directors determines to go into executive session on any item on this agenda, the presiding officer will announce that an executive session will be held and will identify the item to be discussed and provision of the Open Meetings Act that authorizes the closed or executive session.

Attorney for the District

(SEAL)

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Block House Municipal Utility District is committed to compliance with the Americans with Disabilities Act. Reasonable modifications and equal access to communications will be provided upon request. Please call Hector Alanis at ECO Resources, Inc., General Manager for the District, at 335-7580 for information. Hearing impaired or speech disabled persons equipped with telecommunications devices for the deaf may call 272-9116, or may utilize the statewide Relay Texas program, 1-800-735-2988.

BLOCK HOUSE MUNICIPAL UTILITY DISTRICT

SUPPLEMENT TO FEBRUARY 27, 2008 AGENDA

TO: THE BOARD OF DIRECTORS OF BLOCK HOUSE MUNICIPAL UTILITY DISTRICT AND TO ALL OTHER INTERESTED PERSONS:

Notice is hereby given that the Board of Directors of Block House Municipal Utility District will hold a regular meeting on Wednesday, February 27, 2008, at 6:30 p.m., at 2600 Block House Drive South, Leander, Texas, for the following additional purposes:

1. Contract for Election Services and Joint Election Agreement for May 10, 2008 Director Election, including Resolution Approving Joint Election Agreement;

2. Order Calling Director Election for May 10, 2008;

3. Resolution Authorizing Secretary’s Appointment of Agent to Perform Duties During Election Period and Designating Location for Filing Application for a Place on the Ballot in District Director Elections;

4. Authorize District’s attorney to give Notice of Director Election for May 10, 2008;

5. Authorize filing of Voting Rights Act submission to the U.S. Department of Justice; and

6. Any other matters in connection with the District’s May 10, 2008 Director Election.

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DISTRITO MUNICIPAL DE SERVICIO PUBLICO

BLOCK HOUSE

AVISO SUPLEMENTAL DE LA AGENDA

27 DE FEBRERO DE 2008

A: LA MESA DIRECTIVA DEL DISTRITO MUNICIPAL DE SERVICIO PUBLICO BLOCK HOUSE Y A TODAS ESAS PERSONAS INTERESADAS:

Se notifica por el presente que la Mesa Directiva del Distrito Municipal de Servicio Publico Block House va a tener una reunion regular el miercoles el dia 27 de febrero de 2008, a las 6:30 p.m., a 2600 Block House Drive South, Leander, Texas, por los siguientes propositos adicionales:

1. Contrato que aprueba los servicios de la elección y acuerdo común de la elección de directores para el dia 10 de mayo 2008 incluyendo la resolución que aprueba el acuerdo común de la elección;

2. Orden convacando elección de directores para el dia 10 de mayo de 2008;

3. Resolución que authoriza la cita de la secretaria del agente para realizar deberes durant periodo de la elección y que señala la localización para presentación de una formulario de solicitud para un lugar en la balota en las elecciónes de directores para el distrito;

4. Autorizar la Abogada del Distrito a dar noticia de elección de directores del dia 10 de mayo de 2008;

5. Autorizar la presentacion de la sumision al Departmento de Justicia de los Estados Unidos sobre el Acto de Derechos de Votar; y

6. Cualquier otros asuntos con respecto al elección de directores del dia 10 de mayo de 2008.

(SEAL)

(SELL0)

Attorney for the District
Abogado del Distrito