Corinth MUD #1 - no end in sight yet?

Previously the Corinth Municipal Utility District #1 (MUD #1) board had made some vague statements about being able to dissolve by January 24th. Today is March 10th, and they still have not dissolved. As of March 8th it was necessary for the City Council to call the election on the petition received by the city with respect to the ordinance that the council passed dissolving the MUD. In several meetings up to this point, some that I personally attended, it was stated by the board that they would have dissolved the district before the election. In an article written by Tim Glaze of the Lake Cities Sun (titled MUD Writes First Checks), 'Board members believe they will have dissolved the district before the city would need to call an election on the petition and incur the expense'. The Article is several weeks old - yet here we are with the election called...



Even more interesting was a statement from the MUD counsel in response to a question from the City Counsel - (our counsel) "attendees at recent MUD Board meetings have reported to Council members that Board members have stated that there will not be a need for an election, as the Board will dissolve the District.  Are you aware that these statements have been made?  Can you share the Board’s plans with me?" - (MUD Counsel response) "No.  I did not hear that at the meeting and I am not aware of how to dissolve the MUD absent the election at this time." (this email is a public record and can be requested from the City Secretary as an open records request - just reference email from City Counsel to Council Members on 3/1/2011 at 5:13 PM)

So, while people have been told (and were quietly hoping) that the MUD would dissolve itself before any election was needed, there does not appear to have ever been a chance of that happening. Of course, something could change, and we could be surprised with the MUD dissolving before the election in May. It just doesn't seem too likely.

In fairness, it has been reported that the MUD did issue refunds to taxpayers for the tax levied this year. I did hear from constituents that did receive refunds. There appears to movement towards refunding additional monies, as at the 2/28 MUD meeting, the agenda did have a business item for discussion of the rebates. I was not at that meeting, so am unaware of the outcome of that discussion.

There are further issues that are never discussed. Since the MUD did levy a tax, and is writing checks to board members, as well as paying other expenses, and performing the rebates, Texas law would require them to have an audit of this budget year performed by March of 2012. When and how will they do that audit? And then there is the continued lack of response to open records requests by residents and the City. And then additionally there is the question of board of director elections - more on that later.