BLOCK HOUSE MUNICIPAL UTILITY DISTRICT

May 28, 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, May 28, 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.

CITIZENS’ COMMUNICATIONS

1. Citizens’ communications;

ELECTION ITEMS

2. Approve and accept Statements of Elected/Appointed Officer for Steve Bennett and Cecilia Roberts;

3. Approve and accept Oaths of Office and Official Bonds for Steve Bennett and Cecilia Roberts;

4. Approve Certificates of Election and distribute to Steve Bennett and Cecilia Roberts;

5. Elect officers for the Board of Directors;

6. Approve revised District Registration Form;

CONSENT

(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 March 26, 2008, April 23, 2008 and May 12, 2008 Board meetings;

8. Payment of bills and invoices;

9. Fund transfers;

RESTRICTIVE COVENANT ENFORCEMENT

10. Restrictive covenant enforcement, including:

(a) report from SWWC Services, Inc.;

(b) report from Waterman & Spainhour, including:

(1) 16609 Shipshaw River Drive;

(2) 2801 Alexander Drive;

(3) 2621 Armstrong Drive;

(4) 2607 North Walker Drive;

(5) 607 Tumlinson Fort Drive;

(6) 605 Chandler Branch; and

(7) 16913 Stockton Drive; and

(c) Preferred Association Management Company, including:

(1) Restrictive Covenant Management Agreement (Directors McMullen and Junk); and

(2) photographic benchmark catalog (Directors McMullen and Junk);

ENGINEER

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

(a) previous directives;

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

(c) proposal for Overall Storm Drainage System Mapping Project (Director Bennett);

LANDSCAPE

12. Landscape maintenance, including:

(a) report from SunTerra Landscape Services on landscape maintenance work and previous directives; and

(b) proposals for landscape maintenance and improvements, including proposals for arbor work;

POOLS

13. Pool operations and management, including report from YMCA and pool cleanliness (Director Davis);

14. Pool chairs, including repair and replacement (Director Davis);

PARKS, CREEK AND NATURE TRAILS

15. Creek maintenance, including report from Nature Trail System and Creek Maintenance Subcommittee regarding environmental study of the creek (Directors McMullen and Bennett);

16. District parks and facilities, including:

(a) report on status of:

(1) fence along Susan Lane Channel and gated enclosure for trash cans at Apache Pool (SWWC);

(2) pocket park (Scout project) in Apache Park (Directors Bennett and McMullen);

(3) nets for Skate Court, including revised scope of project (Director McMullen);

(4) clean up projects in Jumano Park (Director Bennett);

(5) improvements to wastewater treatment plant building (Director Bennett); and

(6) “movie night at the park” (Director Davis);

(b) proposed projects, including replacement of locks on exterior restrooms and sport courts (Director Davis); and

(c) Walker House, including pre-rental walk through and checklist (Director Roberts);

17. Order Establishing Water and Wastewater Service Rates, Charges, Tap Fees and Park Fees, and Adopting General Policies with Respect to the District’s Water, Wastewater and Drainage Systems (park fee);

18. Skateboard facility (Director McMullen);

MAINTENANCE

19. District maintenance, including:

(a) report from Maintenance Subcommittee regarding maintenance projects;

(b) proposal for regular maintenance of District trash cans, Walker House gutters and Walker House and Information Center stonework (Director Davis); and

(c) repair and upkeep of District signage (Director Davis);

INTERGOVERNMENTAL ITEMS AND SECURITY

20. District security, including:

(a) monthly report from Williamson County Sheriff’s Office Off-Duty Deputies; and

(b) Agreement to Schedule and Provide Security Patrols (Intergovernmental Liaison Subcommittee);

COMMUNICATIONS / MEDIA / WEBSITE

21. Newsletter, website, brochure, water bill inserts and District-wide calendar;

22. On-line water bill payment process (Linda Klar);

23. Reports from Website Subcommittee and Communications/Media Subcommittee, including renewal of Media Services Agreement with Linda Klar, dba Klar Communications;

GENERAL MANAGEMENT

24. District operations, including report from SWWC Services, Inc. on:

(a) previous directives;

(b) system maintenance and repairs;

(c) solid waste and recycling, including:

(1) report from Texas Disposal Systems, Inc.; and

(2) District policy regarding hazardous waste disposal and voucher program (Director Roberts);

(d) Town Hall meeting on fire safety, including date of meeting; and

(e) repair of bridge at Chardonnay Crossing;

SUBCOMMITTEE REPORTS

25. Report from Subcommittees, including:

(a) Budget and Finance Subcommittee regarding amending 2007/2008 budget; and

(b) management scope of services for District bookkeeper, manager and operator (Directors Bennett and Roberts);

ATTORNEY

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

(a) previous directives; and

(b) proposals for implementation of storm water management plan;

LITIGATION

27. Litigation regarding City of Leander’s taking of District property in connection with proposed wastewater interceptor line;

OTHER DISCUSSION/ACTION ITEMS

28. Games of Texas Triathlon event (Director McMullen);

29. Extension of Scottsdale Drive, including related projects (Director Davis);

30. Code of Ethics and Financial Investment, Travel and Professional Services Policy, including director per diems (Gary Spoonts);

31. Miscellaneous directives and Board member directives;

32. Board member announcements; and

33. 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 Gary Spoonts at SWWC Services, Inc. (SouthWest Water Company), 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.