Texas Board OKs Nearly $4B of Water Projects

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DALLAS — The Texas Water Development Board has approved $3.9 billion in financial assistance from the State Water Implementation Fund for Texas, a program approved by voters in 2013.

The SWIFT program was created through the transfer of a one-time, $2 billion appropriation from the state's Rainy Day Fund. The $2 billion will be leveraged with revenue bonds over the next 50 years to finance approximately $27 billion in water supply projects.

"We took the legislature and voters of Texas very seriously when they put their confidence in us to manage SWIFT," said TWDB Board member Kathleen Jackson. "We've traveled the state, engaged communities, and developed a new approach to fast-track the state water plan. We are beyond excited to approve the first round of SWIFT financing and see the large number of impactful projects moving forward to develop water for Texas."

The first round of funding will go to 21 applicants, officials said.

The applicants sought funding for 32 projects identified in the state water plan. The types of projects approved include transmission pipelines, canal linings, capacity expansions, seawater desalination, leak detection systems, water meter replacements, and reservoirs.

"Being able to finance projects through SWIFT is a major step toward achieving the goal of securing Texas' long-term water supplies," said TWDB Chairman Bech Bruun. "The projects selected to receive SWIFT financing will help ensure that Texans have sustainable and reliable water sources for decades to come."

One of the largest projects approved was a $953 million grant to the North Harris County Regional Water Authority in the Houston area for a water supply project. The board also allocated $812 million for the West Harris County Regional Water Authority's supply project and $556 million for the North Fort Bend Water Authority's project west of Houston.

"The Board was pleased to see a wide range of projects represented in the SWIFT applications," said TWDB Board member Carlos Rubinstein. "One of those projects, Lake Ralph Hall, is the first reservoir permitted by the State of Texas since 1985 and an important water supply strategy for North Texas."

The proposed Lake Ralph Hall on the Trinity River in North Texas is expected to provide about 30 million gallons of water per day, plus about 15 million gallons per day of reuse for the Upper Trinity service area.

Approved by voters during a period of severe drought, SWIFT funding comes in a year of heavy rain that has replenished many Texas reservoirs.

Under the 2012 State Water Plan, the estimated cost for projects recommended by regional water planning groups is $53 billion. That, however, represents only about a quarter of the estimated $231 billion needed, according to water experts.  Statewide, municipalities' water needs are projected to grow by 972% between 2010 and 2060.

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