MCUD distances itself from private utilities after confusion
What happened: The Midland County Utility District (MCUD) formally ended all agreements with private water companies, Park Water Company, Paleo Land Company, and Permian Basin Water Resources, LLC.
Why it matters: Residents within the district have raised concerns about water quality, system reliability, and confusion over who is responsible for providing water. MCUD stated that there is growing dissatisfaction from residents with the services provided by these companies. Therefore, distancing itself from private entities is a step toward building public trust.
The big picture: MCUD is a public utility created by voters and the Texas Legislature in 2013. It does not yet have the infrastructure to deliver water to customers. Over the past four years, the district has collected less than $14 million in property taxes and other revenue.
During the same period, spending was under $2 million, primarily on engineering and water fees. MCUD states that it has secured water rights outside Midland County and continues to plan for a long-term supply. The $645 million failed bond proposal in May intended to fund the infrastructure to deliver water within the district.
What they’re saying: MCUD clarified that none of the private companies were formal partners despite marketing themselves as affiliated with the district. Years ago, the district granted a franchise agreement to Park Water to install infrastructure within MCUD boundaries. This agreement is a standard arrangement that does not imply shared ownership or oversight. The district now says it wants to acquire Park Water’s system. MCUD stated it does not rely on private companies for operations or water supply planning.
What’s next: MCUD expects to begin water service to the new Midland County Jail and Greenwood ISD campus by early 2026. During the bond campaign, officials stated they were responsible for serving both facilities regardless of the bond’s outcome.
Editor’s note: MCUD is a separate taxing entity and operates independently from the Midland County government.