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Texas Chamber Business News – January 7, 2025

TAB Takes Stand On Future of Texas Water

Texas Chamber Business News
This article is preserved from the Texas Chamber Business News archive. Read the complete original issue. For current coverage, read The Political Spotlight.

TAB Takes Stand On Future of Texas Water

Texas 2036, the Texas Association of Business (TAB), and more than 40 local and regional business organizations across the state recently launched the Texas Water Fund Coalition. Citing the critical importance of water to the state’s economic and business climate, the Coalition’s central goal is to ensure the Texas Legislature establishes a dedicated revenue source to fund future water projects.

The need for investment is already apparent. A recent report from Rice University’s Baker Institute for Public Policy found that Texas’ underinvestment in water infrastructure is likely costing approximately $2 billion each year due to water loss from utility systems alone.

In the November 2023 Constitutional Amendment Election, Texas voters overwhelmingly passed Proposition 6, which created the Texas Water Fund and appropriated $1 billion to get the ball rolling on water infrastructure. Senator Charles Perry (R-Lubbock), the author of the legislation creating the Texas Water Fund, recognized it’s importance, emphasizing that the state already invests in roads, bridges, and the electric grid.

The establishment of the Water Fund was a crucial first step, but a larger challenge remains. Over the next 50 years, Texas 2036 anticipates our state will need to invest approximately $154 billion in water infrastructure to maintain our state’s high quality of life to continue attracting new residents, entrepreneurs, and businesses from around the world to grow and thrive here. This includes $59 billion in new water supplies, $73.7 billion to fix deteriorating water systems, and $21.1 billion to repair broken wastewater systems.

As David Leebron, President and CEO of Texas 2036 made clear, funding water infrastructure projects is foundational to our economic engine:

“The continuation of Texas’ economic miracle hinges on securing a dependable water supply that will support our state’s growing communities and economy

This coalition is taking a long-term approach to ensure our water infrastructure supports a thriving, resilient Texas.”

The Texas Water Fund Coalition believes securing Texas’ water future is not the responsibility of a single organization, industry, or government entity, it’s a shared mission that demands collective action. To read Texas 2036’s full report, Assessing Texas’ Water Infrastructure Needs, click here.

Glenn Hamer

President and CEO - Texas Association of Business

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