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Funding · Texas

Texas Water Development Board Approves $1.2 Billion for Statewide Water Projects

The Texas Water Development Board (TWDB) has authorized $1.2 billion in financing to support a massive slate of water and wastewater projects across the state. The funding package includes low-interest loans and grants for capacity expansions, pipeline renewals, and treatment upgrades.

7/28/2026Source: Government Market News

A significant portion of the funds, approximately $370.8 million, will go to the North Texas Municipal Water District for the construction of a major treated water pipeline. Other projects include a $51.5 million expansion of the Dripping Springs Water Reclamation Facility and $17.3 million for a new lift station and force main in San Marcos. These investments are part of Texas's effort to address a projected $154 billion water infrastructure gap. Much of the state's core infrastructure was built in the mid-20th century and now requires full rehabilitation to support a population expected to nearly double by 2080. The board also approved targeted grants for rural and disadvantaged communities to address emerging contaminants and enhance drought resilience. By leveraging the State Revolving Funds and new state appropriations, Texas aims to maintain service reliability while meeting stricter environmental discharge standards.

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