Pearland will continue to expand its water infrastructure and plan for future supply needs following City Council approval of a state grant application and an updated water agreement with the Gulf Coast Water Authority, or GCWA, at its July 27 meeting.
What you need to know
Under House Bill 500, passed during the 89th Texas Legislature, the Texas Water Development Board received funding for water supply and infrastructure projects, allowing eligible public water systems serving populations between 10,001 and 150,000 to apply for up to $21 million in grant funding, city documents show.
Following council approval, the city plans to apply for around $9 million in water and wastewater projects that meet the grant criteria, city staff said.
If awarded, the grant would not impact the proposed water rates for fiscal year 2026-27, but could reduce future water rate increases by about three-quarters of a percent in the years those projects would otherwise be funded, city staff said at the July 27 budget workshop.
Also of note
The updated agreement with GWCA guarantees the city access to 10 million gallons per day of untreated water through 2056, according to city documents.
It also preserves the city’s option to secure an additional 10 million gallons per day through 2044 if more water is needed to support future growth, city documents show.
The agreement moves Pearland’s optional water supply to the same delivery point as the city’s surface water treatment plant, eliminating the need for a future canal connection project, city documents show.
City staff noted that avoiding the capital investment and associated debt could help reduce pressure on future water rate increases.
Additionally, the agreement provides flexibility as the city evaluates potentially serving as a regional water supplier, city staff said.
Looking ahead
The city is expected to learn its grant award status in fall 2026. If selected, the city would finalize the grant agreement before the state’s May 2027 deadline, according to the Texas Water Development Board.
