The San Jacinto River Authority will increase fees by 7 percent for Groundwater Reduction Plan members starting Sept. 1. The increase is a result of the approval of a rate increase by the SJRA board of directors and a GRP review committee in June.
GRP Division Manager Mark Smith said the GRP, which includes residents of The Woodlands, was created by the SJRA to use Lake Conroe water to provide surface water to residents in an effort to reduce groundwater usage. The plan came about in 2009 after the Lone Star Groundwater Conservation District mandated all large utility groups in Montgomery County reduce groundwater pumpage to 70 percent of what the county was pumping that year.
“We’ve been charging pumping fees since 2010, and that money is used for the water treatment plant to offset the water being used,” Smith said. “However, issues have caused the need for an increase [in rates.] Our projected water demands—water we thought would be used—has been less than reality and what we projected.”
As a result, the rate for groundwater will go from $2.32 per 1,000 gallons to $2.50 per 1,000 gallons. The surface water rate will go from $2.51 to $2.69 per 1,000 gallons.
“As a result of revenue [from rates] being less than expected, we’ve had to use reserve funds to pay for our operations,” Smith said. “We needed to raise rates and meet obligations.”
Jim Stinson, general manager of The Woodlands Joint Powers Agency, which oversees the municipal utility districts that provide water to residents in The Woodlands, said it is unlikely water rates will decline in the future. However, he said the WJPA will oversee how MUDs in the area handle the rate increase and work to see if something can be done to absorb or adjust the tax rate.
“Conroe and The Woodlands are the [SJRA’s] biggest customers,” Smith said. “We’ll review rates annually and make a determination at that time whether to decrease or increase rates. As of right now, we presume there to be a 3 percent increase every year. But if it’s not necessary then we won’t do it.”
