From: “Zeve, Matthew (Flood Control)”
Date: May 29, 2020 at 2:26:38 PM CDT
To: Greer Pagan
Subject: RE: CFPUD Response
Please see our responses below in red. HCFCD would like to have our next discussion either face-to-face or as a virtual meeting as opposed to continued emails back and forth.
After the Board and you review, please suggest a few days and times that area available and we will get something on our calendars.
Matthew Zeve, P.E., CFM
From: Greer Pagan
Sent: Wednesday, May 6, 2020 2:17 PM
To: Zeve, Matthew (Flood Control)
Cc: Tom Petrick; Dave Normand
Subject: CFPUD Response
I am writing in response to your May 1, 2020 email to Tom Petrick and me regarding the HCFCD’s proposed purchase of CFPUD property currently leased to Raveneaux Country Club (RCC) for a flood risk reduction project along Cypress Creek. This response has been authorized by the CFPUD Board of Directors and approved by the CFPUD committee of Tom Petrick and David Normand.
We understand your email correspondence to set out two scenarios for a possible transaction between HCFCD and CFPUD. The CFPUD Board of Directors is not interested in your first scenario in which HCFCD would purchase substantially all of the CFPUD property currently leased to RCC at CFPUD’s cost plus carry and would commit to “engage with the community” and “work with” CFPUD on a long term plan for recreational facilities.
As to your second scenario in which CFPUD would donate a portion of the RCC property to HCFCD, the Board of Directors is willing to consider this option and would suggest the following terms as authorized by Texas Water Code Section 49.226:
- CFPUD would transfer roughly 60 acres along Cypress Creek to HCFCD to allow the construction of a HCFCD Phase I flood risk reduction project along Cypress Creek; HCFCD has determined that the proposed, future flood damage reduction project would require significantly more acreage than 60 acres. While there would be some flood damage reduction benefit from a 60-acre stormwater detention basin, the benefits would be relatively minor and not be reflective of the potential this site has for reducing flood risks. HCFCD requests consideration of the transfer of the ~27 acres that HCFCD currently owns in exchange for the CFPUD property south of Cypresswood drive. The CFPUD property north of Cypresswood Drive would remain with the CFPUD.
- CFPUD would transfer/exchange the 27 acres purchased in January 2020 from the Raveneaux owners to CFPUD; An exchange could only occur for property of equal or greater value than the acquisition cost of the ~27 acres that HCFCD owns. HCFCD must ensure that any possible exchange of real property allows HCFCD to recover the ~$11.5M that HCFCD has already invested in this project, which would include a certified, third party appraisal of the proposed property to exchange. HCFCD is prepared to compensate the CFPUD for a land exchange that exceeds our initial $11.5M investment in this project. See offer in item #1 above.
- CFPUD would agree to grant easements within the balance of the RCC lease property in an amount to be determined (subject to a minimum amount of acreage) and consistent with a land use determined by the CFPUD Board of Directors: HCFCD would need to have input on the land use discussions, especially if we have to coordinate any potential future use with the CFPUD Board of Directors.
- HCFCD would have the right to excavate such easement areas and store storm water from Cypress Creek within the areas;
- The easement areas would be part of a Phase II flood risk reduction project for HCFCD;
- Easement areas would be determined within a set period of time of any HCFCD/CFPUD agreement to allow CFPUD time to determine how to utilize the balance of its property.
HCFCD agrees in concept with the three bullet points above, but HCFCD and CFPUD need to have more specific conversations on how much land would be made available for excavation.
- Any agreement must include terms to minimize construction traffic along Cypresswood Drive including possible placement of spoil on CFPUD property or other alternate arrangements for transportation of spoil materials. The entire CFPUD and HCFCD property is located within the limits of the 100-year floodplain of Cypress Creek. Placement of spoiled material in the existing 500-year floodplain is not permitted in Harris County unless it is offset by the same amount of excavation. HCFCD agrees that all reasonable efforts will be made to minimize construction traffic on Cypresswood Drive, and will work with the CFPUD to ensure the construction site and associated activities are safe and limited to normal working hours.
We look forward to discuss the terms of a possible agreement under scenario two with you and your colleagues at your earliest convenience. GP
Greer H. Pagan
Allen Boone Humphries Robinson LLP