texas

Four North Texas Cities Fight Water Rates, Ask State to Get Involved

Four North Texas cities say they're fed up with paying millions of dollars each year for water they don't use. Now, they're banding together and asking the state to get involved as they try to negotiate with their water district to lower rates.

The four cities – Plano, Richardson, Mesquite, and Garland – say they've paid $178 million over the past decade for water they never used.

They cities are members of the North Texas Municipal Water District, which provides water to 13 cities in North Texas.

Wednesday, the mayors of the four cities announced they had filed a joint petition with the Public Utility Commission of Texas, asking for a review of water rates within the district.

"Filing this appeal is the right thing to do on behalf of our businesses and residents," said Plano Mayor Harry LaRosiliere. "It affords us a formal process to request a rate methodology that is fair and equitable."

Under the terms of their decades old agreement with the water district, the cities are required to purchase at least the same amount of water each year that they used during their all time peak year.

In Plano, for example, that amount was set in 2001. Every year since then, they've had to buy that same amount of water, even if they don't need it all.

"Drought conditions and the successful adoption of water conservation strategies have changed the amount and way we use water," said Plano City Manager Bruce Glasscock. "It is unlikely we will ever again use the minimums that were set by our greatest annual usage. Forcing member cities to pay continually increasing rates for a fixed quantity of water, regardless of the actual consumption, is not fair – and inconsistent with water conservation."

Leaders of all four cities say those increased costs are passed on to their residents and businesses, which make up about 60 percent of rate payers in the district.

"This means that more than half of the district's rate payers are paying too much for water," said Glasscock.

Changing the district's rate process requires approval from all 13 cities within the district. The four cities say years of negotiations have resulted in no changes, which is why they're now asking the state to step in.

"This is unacceptable," said LaRosiliere. "We can no longer subsidize a system where we are paying for water we're not using."

The district says it's "disappointed" by the action. In a statement, Executive Director Tom Kula said:

"We recognize the concerns of the four cities, but the District must also consider the positions of the other nine. While the 13 Cities have not yet reached agreement on a change, the District hasn't given up seeking a potential solution. We believe the matter would best be resolved by the District working with the 13 Member Cities."

Glasscock says while the review takes place, the four cities will remain committed to working with the district on a solution. When asked if the cities had discussed leaving the district, he said that's not something they're considering.

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