MCUD to consider November bond election for water system
What to watch: The Midland County Utility District (MCUD) board will meet Thursday, July 16, to consider calling a November bond election, adopt the district’s first water rates, and hear updates on the Park Water settlement.
Editor’s note: MCUD is not associated with Midland County government. It is a voter-created, taxpayer-supported public utility district.
Key points:
- Bond election: The MCUD Board of Directors will consider calling a bond election on Nov. 3. The agenda does not specify a bond amount. However, in April, they estimated between $200 and $300 million. At its June meeting, district officials said the board would call the election once the final engineering report on the water system build-out is in hand. That report is also on Thursday’s agenda.
The engineering report presented in June projected the district could eventually serve roughly 47,000 water connections, with a maximum daily demand approaching 29 million gallons.
- Water rates: The board will discuss adopting the district’s initial water rates, fees, and charges, as well as the application process for new retail and wholesale customers, both inside and outside the district’s boundaries. At its June meeting, the district targeted mid-July for opening a public water station where residents can fill water tanks.
- Park Water settlement: The board will receive an update from its attorney on settlement negotiations involving PBWR, Park Water, Greenwood Water, and Park Sewer, including the potential purchase of the private utilities’ systems.
The board approved a letter of intent with the utilities in June, and both sides have since told the Public Utility Commission that they reached a settlement in principle, putting those administrative cases on hold. The district’s appeal of a district court ruling is still being briefed, with Park Water’s response due July 22.
- Social media post: The board will discuss what the agenda describes as a social media post by Joe Waters that threatened County Judge Terry Johnson, Commissioner Jeff Somers, the MCUD board, and the district’s general manager. The agenda also calls for an update on a law enforcement investigation and district security measures.
- Greenwood ISD water: The board will consider amending its interlocal agreement with Greenwood ISD related to water service. The district outlined a financial plan in April that leans on Greenwood ISD and the Midland County jail for revenue until residential connections grow.
However, MCUD previously said it will not actually receive revenue from the district for many years. Under the existing agreement, the district must first credit Greenwood ISD for earlier financial contributions until the district repays a $5 million obligation. Based on current projections, the district expects that it will not happen until about 2039.