Dear RCH Members,

I hope this message finds you well. As your Board President, I am committed to keeping you informed about matters that impact our corporation and, by extension, our community. Today, I wish to discuss a recent development involving the City of McLendon Chisholm's legal motion concerning our water supply operations.

The City has made an attempt to designate RCH Water Supply Corporation as a Necessary Party in a case before the Public Utility Commission of Texas (PUC Docket No. 55623). This motion comes despite clear rulings from the Administrative Law Judge, affirming that RCH is not a party to these proceedings at this stage.

The essence of the City's motion is a misguided effort to compel RCH to shoulder the burden of their application's shortcomings. This includes an expectation for us to provide exhaustive details about our infrastructure, operations, and property assessments. We have responded formally, highlighting the inaccuracies in the City's claims and the undue responsibilities they seek to place upon us.

It is important to clarify that the City's application remains significantly deficient, lacking essential details such as a reliable water source and any proven experience in managing water services. The City's extensive demands for information from RCH not only exceed the legal requirements but also signal their lack of readiness to take on such a significant responsibility.

We want to assure you that RCH will meet its legal obligations when and if the City corrects its application's numerous deficiencies and the proceedings necessitate our involvement. However, we firmly believe that it is the City's duty to provide a complete and competent application, a responsibility they cannot and should not transfer to RCH.

This situation extends beyond a mere legal discrepancy; it represents a significant misuse of taxpayer funds, particularly impacting our members who reside in McLendon Chisholm. These individuals are effectively paying twice due to the considerable expenses RCH incurs in defending itself against the city’s frivolous actions. Taxpayer funds are being diverted to support an ill-prepared and legally dubious attempt to forcibly take over a viable business rather than being allocated toward addressing community needs. This not only raises concerns about fiscal responsibility but also highlights the unwarranted financial strain placed on our members and the community at large.

As we approach the General Elections on May 4th, it is crucial for McLendon Chisholm residents to recognize the implications of these actions. Effective governance is foundational to our collective well-being, and it is my hope that this understanding will guide our choices at the polls.

Please be assured that RCH is dedicated to our mission of delivering high-quality water services efficiently and reliably. We look forward to resolving this matter and refocusing our full attention on serving you and our community.

Warm regards,

David Naylor

Board President, RCH Water Supply Corporation

The filing can be found at: https://interchange.puc.texas.gov/Documents/55623_34_1367031.PDF