The Texas Water Development Board (TWDB) met on June 11th, 2018 and heard invited testimony on several issues as well as approved financial assistance totaling $7,709,900 for water projects. Of this funding, $1.5 million was approved for rural water projects. Details are below on agenda items taken up by the TWDB.
This report is intended to give you an overview and highlight of the discussions on the various topics the committee took up. This report is not a verbatim transcript of the hearing; it is based upon what was audible or understandable to the observer and the desire to get details out as quickly as possible with few errors or omissions.
Discussion regarding outreach efforts by the Board.
- Each Board member spoke about recent outreach activities and travel.
Consider approving by resolution a request from the City of Bandera (Bandera County) for $3,000,000 in financing from the Drinking Water State Revolving Fund for planning, design, acquisition and construction of a water system improvement project. (Dain Larsen) Board Agenda #02 Document
- City received an enforcement action from TCEQ regarding pumps and storage, proposed project is to replace four pressure release valves, add storage capacity, & add new pumps to come into compliance
- Requests $3 million from Drinking Water SRF for all phases, Executive Administrator seeks approval
- Jackson – Small community of ~1,900, fast growing area; improvements will not only bring them into compliance, but also support further growth
- Jackson – Also completed financial managerial and technical review
- Jackson moves to adopt proposed resolution, passes
Consider approving by resolution a request from the City of San Marcos (Hays County) for $3,209,900 in financial assistance consisting of $1,935,000 in financing and $1,274,900 in principal forgiveness from the Clean Water State Revolving Fund for the planning, design, acquisition and construction of a project to mitigate non-point source pollution. (Dain Larsen) Board Agenda #03 Document
- Pollution resulting from urbanization has affected San Marcos River and Edwards Aquifer, proposed funding is to buy a property that will help conservation efforts and reduce E. Coli from residential land use
- Preservation will increase quantity and quality of runoff and recharge of Edwards Aquifer
- City’s request is for $3,200,000, qualifies for principal forgiveness and disadvantage funding
- Jackson – Great so see preservation projects that will protect significant recharge structures, community water supply, and native habitat
- Paup – Very happy to see $1.2 million go into green & disadvantaged
- Paup moves to adopt proposed resolution, passes
Consider approving by resolution a request from the Fort Bend County Fresh Water Supply District No. 1 (Fort Bend County) to amend Texas Water Development Board Resolution No. 15-067 to expand the project scope. (Nancy Richards) Board Agenda #04 Document
- District has received 3 commitments totaling $21.5 million from the TWDB for phased construction of regional water system, build new groundwater plant, and expand service
- Has completed work in original scope & has $2.3 million out of $8 million TWDB financing from 2015
- District is planning to amend resolution for planning & design of second groundwater plant @$3.8 million
- District planning on submitting new application later this year for remaining funds needed
- Jackson – Phased project worked on since 2004, good example of incorporating smaller portions into a larger regional project
- Paup – And they will be back for an additional $1.5 million to complete the project
- Jackson moves to adopt the proposed resolution, passes
Consider approving by resolution a request from Lake Amanda Water Control and Improvement District No. 1 (Tyler County) for $1,500,000 in financing from the Texas Water Development Fund for construction and restoration of Lake Amanda dam. (Nancy Richards) Board Agenda #05 Document
- Excessive rain in 2016 caused dam to breach, district is requesting $1.5 million to repair earthen dam
- In 2018, district population voted to increase taxes to support this project
- Paup moves to adopt proposed resolution, passes
Consider approving by resolution, a request from the Mustang Special Utility District (Denton County) to amend Texas Water Development Board Resolution No.17-065 to expand the project scope. (Luis Farias) Board Agenda #06 Document
- District requesting amendment to project scope, TWDB previously committed $3.5 million for 1 million gallon storage tank, construction estimated completed in October 2018
- $820k left in funds as construction was cheaper than expected, expansion request is for well to be drilled with remaining funds @~$400k
- Jackson – Had additional funds as some bids came in lower than expected, ~$400k used now and perhaps will come up with other projects later
- Jackson moves to adopt proposed resolution, passes
Consider authorizing the Executive Administrator to execute an Memorandum of Understanding with the Texas Department of Agriculture, Office of Rural Affairs. (Tom Entsminger) Board Agenda #07 Document
- MOU with TDA required by GAA riders, refers to EDAP and CEDAP program, purpose is to ensure two funds operate in a manner that does not cause proliferation of colonias
- Results in biennial report, due later this year to the legislature
- Term has been modified to let MOU remain in effect until modification by either agency
- Jackson – Even though MOU will not terminate every 2 years, we will continue to get the biennial report
- Paup moves to authorize the MOU, passes
Consider approving the adopted minor amendment to the 2016 South Central Texas (Region L) Regional Water Plan and authorizing the Executive Administrator to hold the associated public hearing. (Sarah Backhouse) Board Agenda #08 Document
- Adds recommended water management project for San Antonio water system; 500k advanced water meters and leak detection sensors
- Adds capital cost of $122.7 million to the plan
- Previously reviewed by Executive Administrator and determined to be minor; Region L held a hearing and adopted amendment earlier this year
- If adopted, TWDB will be further asked to consider an amendment to the 2017 water plan later this year
- Jackson – Might open the door for SWIFT funding in the future
- Jackson moves to adopt amendment and authorize associated hearing, passes
Consider approving by resolution: (a) the issuance, sale and delivery of State of Texas, General Obligation Water Financial Assistance Refunding Bonds, Series 2018B (Water Infrastructure Fund); (b) a Preliminary Official Statement; and (c) authorization for the Executive Administrator, General Counsel, Chief Financial Officer, and Development Fund Manager to act on behalf of the Texas Water Development Board in the sale and delivery of such bonds. (Georgia Sanchez) Board Agenda #09 Document
- Executive Administrator is recommending approval of issuance of bonds, documents, and delegation authority associated with May 17 TWDB action
- Refunding for savings of currently callable bonds in WIFF, $265.2 million recommended NTE amount, savings anticipated at $29 million or 11%
- Jackson – Threshold savings to move forward with something like this is typically ~2%, 11% far exceeds this
- Paup moves to adopt the proposed resolution, passes
Consider authorizing the Executive Administrator, Chief Financial Officer, and Development Fund Manager to take all necessary actions for the issuance, sale and delivery of Texas Water Development Board State Water Implementation Revenue Fund for Texas (SWIRFT) Revenue Bonds in one or more series; and approving the selection of financial advisor, bond counsel, disclosure counsel, and underwriting syndicate for the negotiation of the bond issue. (Georgia Sanchez)
- Authorizing actions needed to initiate Fall SWIRFT bond issuance
- Hilltop as financial advisor; McCall Parkhurst, & Horton as bond counsel, Bracewell as disclosure counsel; Citigroup as senior manager; co-managing: Bank of America Merrill Lynch, BLK Financial Advisors, Barclays, Estrada Hinojosa, FTN, JP Morgan, Jefferies, Loop Capital Markets, Morgan Stanley, Piper Jaffray, Raymond James, UNB, and Wells Fargo
- Executive Administer anticipates returning on July 26 for formal approval of issuance and associated documents
- Jackson moves to adopt proposed resolution, passes
TWDB met in executive session and adjourned after returning.