Notice to Current Customers, Neighboring Systems, and Cities:

ZEPHYR WATER SUPPLY CORPORATION’S NOTICE OF INTENT TO PURCHASE CERTAIN FACILITIES AND TO TRANSFER A PORTION OF WATER SERVICE AREA UNDER THUNDERBIRD BAY WATER SYSTEM’S CERTIFICATE OF CONVENIENCE AND NECESSITY (CCN) NO. 11243 IN BROWN, TEXAS.

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Zephyr Water Supply Corporation has submitted an application with the Public Utility Commission of Texas to purchase certain Thunderbird Bay Water System water facilities and to transfer a portion of certificated service area under water CCN No. 11243 in Brown County, TX from Thunderbird Bay Water System.

The sale is scheduled to take place as approved by the Commission (V.T.C.A., Water Code§ 13.301). The transaction and the transfer of the CCN includes the following subdivision: Thunderbird Bay Subdivision Section I & II, Tamarack Mountain Subdivision Sect ~II, Harbor Point Subdivision Section I & II, Oak Point Phase I & II and Woodridge Estates Subdivision.

The requested area subject to this transaction is located approximately eight miles southwest of downtown May, Texas, and is generally bounded on the north by FM 2273; on the east by CR 405; on the south by Lake Brownwood; and on the west by FM 2559 and Lake Brownwood. The total requested area for the water or sewer CCN(s) being transferred includes approximately 1938 acres and 689 current customers. This transaction will have the following effect on the current customers’ rates and services: All customers will be billed at the rates approved by Zephyr Water Supply Corporation.

Persons who wish to intervene in the proceeding or comment upon action sought should contact the Public Utility Commission, P. 0. Box 13326, Austin, Texas 78711-3326, or call the Public Utility Commission at (512) 9 36-7120 or (888) 782-8477. Hearing- and speech-impaired individuals with text telephones (TTY) may contact the commission at (512) 936-7136. The deadline for intervention in the proceeding is (30 days from the mailing or publication of notice, whichever occurs later, unless otherwise provided by the presiding officer). You must send a letter requesting intervention to the commission which is received by that date.

If a valid public hearing is requested, the Commission will forward the application to the State Office of Administrative Hearings (SOAH) for a hearing. If no settlement is reached and an evidentiary hearing is held, SOAH will submit a recommendation to the Commission for final decision. An evidentiary hearing is a legal proceeding similar to a civil trial in state district court.

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