“It takes much time and investment to develop new water supplies,” Perry told the Texas Senate Water, Agriculture and Rural Affairs Committee on March 24. “The population and economic growth of Texas are at risk if we do not address this as soon as possible.”
At a glance
During the hearing, Perry discussed his plans to bankroll new water supply projects, invest in flood infrastructure and preserve existing water resources. The committee unanimously advanced his proposal, Senate Bill 7, to the full Senate on March 24.
An associated constitutional amendment, Senate Joint Resolution 66, is currently in the Senate Finance Committee. The measure would invest $1 billion annually in the Texas Water Fund, a state account created in 2023 to help finance water projects. If approved by both legislative chambers, SJR 66 would appear on Texas voters’ ballots in November.
Perry’s bills are accompanied by House proposals from Rep. Cody Harris, R-Palestine. Harris’s constitutional amendment, House Joint Resolution 7, was sent to the full House on March 19.
“[Water] is one of the most complex issues that we face,” Harris said during a March 3 panel at the state capitol. “If we don't dig in and do the hard work of figuring out how to solve this problem for future generations of Texans, then we have done a huge disservice to the people who elected us.”
The details
New water supply projects take decades to complete, Perry said March 24, noting that “just because the money's available doesn't mean we're going to solve [the problem] tomorrow.”
He said legislative action is needed this session, because communities across Texas are seeing the effects of depleting water supplies as people and businesses continue moving to the state.
“Farmers are already running out of water,” Perry said. “The state’s only sugar mill closed last year due to water scarcity. Cotton, grain and rice growers in several regions of our state are planning on less production each year. ... [Manufacturing] site selectors are debating whether Texas will have enough water if they come to build their factories.”
Since 2021, several Texas cities, including Dripping Springs, Conroe and Magnolia, have paused new development for a temporary period to prevent water shortages.
Perry said SB 7 would help Texas achieve goals outlined in the state water plan, which was adopted in 2022 by the Texas Water Development Board. The plan estimates that by 2070, demand for water in Texas will increase by 9% and existing water supplies will decline by 18%.
The plan recommends thousands of potential strategies to create additional water supplies and reduce demand for water through conservation and water reuse. It would cost at least $80 billion to implement all of the strategies, according to the TWDB.
“If we didn't have a water plan, we'd be just throwing darts on a wall,” Perry said during the March 24 hearing. “We have had this information for decades, that we are short. All I'm doing is taking that and putting the one thing that's been missing—money—to the problem.”
SB 7 would expand the types of water projects eligible for state funding and prioritize financial assistance for wastewater treatment projects in small communities. The bill would also prohibit new water supply projects from using existing freshwater, which Perry said would prevent the depletion of existing resources.
“Plain and simple, we cannot move water from one part of the state to the other,” he said.
Put in perspective
Jeremy Mazur, a policy director for the nonpartisan think tank Texas 2036, said the state faces two key challenges when it comes to water.
“First, we must expand and diversify our water supply portfolio for a drought-prone and growing state,” Mazur said during the hearing. “Second, we must fix the aging, deteriorating drinking water and wastewater systems that are becoming liabilities to the communities that they serve.”
In a Jan. 13 interview, Texas Agriculture Commissioner Sid Miller told Community Impact that Texas’ “biggest single [water] problem” is aging infrastructure.
“We’ve got to do a better job of managing what we have,” Miller said. “The large municipalities, from the time they get the water delivered to the customer, on average lose 30% [of that water], so that's an infrastructure problem.”
If infrastructure problems are not addressed, Mazur said the state would lose about $320 billion in the next 15 years.
“For comparison, this is roughly the size of our current state two-year budget,” he told the committee.
The local impact
Phil Wilson, the general manager of the Lower Colorado River Authority, said the population of Central and South Texas is expected to grow by 70% by 2080. During that period, demand for water is projected to increase by about 60%, Wilson said.
“The water supply options for Central Texas are difficult and expensive, but vital for our future,” Wilson said March 24. “It is imperative we make progress this session.”
Tina Petersen, director of the Harris County Flood Control District, noted that Texas’ first statewide flood plan estimates over 5 million Texans live or work in flood-prone areas. The TWDB adopted the plan in August after years of work.
Petersen said SB 7 would be critical in helping communities meet needs identified in the flood plan.
“Whether you are a rural, urban or suburban community, the state flood plan shows that we understand the risks and we have a wide range of solutions,” she said. “The missing puzzle piece has always been the funding to implement the plans that we know exist.”
