Mayor’s Corner

In this week’s Mayor’s Corner I would like to provide clarification related to the City’s evaluation of an alternative option being considered for a portion of the sewer project. Whether it be confusion, misunderstanding, accidental or purposeful misrepresentation, lack of communication – we all need to get on the same page to at least understand what is being considered. I covered this topic a couple of weeks ago, but it looks like I need to clarify it again. Here are some MYTHS vs FACTS:

MYTH: The City is going to give up control of the sewer system to Aqua Texas.

FACT: The option being considered is for the City to construct, own and operate the sewer system which consists of the collection lines that will serve the City’s customer base. The question is who treats the raw sewage – either Aqua, as a contractor at its existing plant or the City by building a new $3 million treatment plant at Blue Hole Park. The 100 or so property owners in Central Wimberley would be customers of the City and under its control, not Aqua’s. This includes the City setting and maintaining individual customer rates. The City itself would simply be a wholesale customer of Aqua and pay one monthly bill similar to Wimberley schools and businesses on the north side of Cypress Creek.

MYTH: The City is going to turn its Certificate of Convenience and Necessity (CCN) over to Aqua.

FACT: The City would continue to own the CCN and bear the responsibility and obligation of doing so. Aqua has expressly stated that they have no intention or desire to own Wimberley’s CCN. Why? It is economics – with such a small customer base and a very costly collection system, the economies of scale do not work. In fact, the only reason City customer rates can even approach being affordable is that the rest of us in the City will be subsidizing approximately half of the annual sewer revenues requirements for loan repayment and system operating expenses.

MYTH: The construction of the sewer system will be delayed and cost more.

FACT: This option can be accomplished within the same time frame, since there would only be minor modification to the existing plans. The collection system would generally be built as designed, but when the sewer line reaches Blue Hole Park – it would simply “turn left” for a few hundred feet and tunnel under Cypress Creek to be connected to Aqua’s collection system for them to transport to their plant at their expense. This is as opposed to “turning right” and going a considerable distance through the Park to the proposed plant site. It would add some sewer pipe, but even more sewer pipe would be eliminated along the proposed route to the City plant. The project cost difference and connection fees to Aqua would be a relatively small percentage of the proposed City plant cost that would be eliminated.

MYTH: Discharge of effluent into the Blanco River or Cypress Creek by owning our own plant is not an issue.

FACT: The City has a 75,000 gallon per day discharge permit that would allow it to discharge effluent into Deer Creek/Blanco River. The City’s plans are to re-use the effluent to irrigate Blue Hole, but we do not have adequate storage and irrigable acreage, so the City plans to discharge when the storage tank is full. Aqua has a land application permit, with adequate storage and irrigation areas, and is NOT allowed to discharge to creeks or river beds. No amount of discharge is healthy for the River. NO DISCHARGE is a big issue for all of us.

MYTH: A “greedy” American corporation such as Aqua cannot be trusted on costs and environmental matters.

FACT: Aqua is a large company, with experience, expertise and financial resources to be engaged in the wastewater business. Thus, they provide knowledge and economies of scale to reduce cost that an expensive small City plant cannot – even if the City is “benevolent”. Furthermore, as an investor owned utility, it is subject to the Texas PUC rules and customer protections for setting rates (Aqua has not changed Wimberley sewer rates since 2009). In fact, because Aqua costs are significantly lower than the City’s proposed operating costs for its plant, the City’s sewer customers would have much lower rates with Aqua as the processor of wastewater. After all, the City’s customers must pay the cost of operating the sewer through their rates. Low operating costs and customer rates must be a priority. On matters of the environment, Aqua is subject to TCEQ oversite. Being in the sewer business is clearly a “messy” business with major financial and environmental risks. This option would leave it to the experts, which the City clearly is not.

MYTH: Blue Hole would be left with no water for irrigation.

FACT: Aqua has offered reclaimed water back to Wimberley at no cost. The increased volume of processing with their facility requires an increase area of land application for the effluent. Therefore, Aqua is willing to upgrade its entire plant from Type 2 to Type 1 effluent for the benefit of the entire Wimberley Valley. Wimberley’s new school at Winters Mill and RR12 will be such a beneficiary by being an Aqua customer for reclaimed water, which would be Type 1 if the City elects this option. Yes, there will be a moderate cost to construct the reclaimed water line to the Park but it is certainly doable.

There has been no decision about which option to pursue. But I am near finalizing the review – which will include the many complex issues – financial, control, environmental, effect on customers, etc. When the analysis is complete, it will be presented to the Council in a workshop session for their review and consideration. The same analysis will also be presented at a Town Hall meeting at the Community Center prior to any direction taken by the Council. Only with a clear understanding of the facts can an informed decision be made that is in the best interest for the future of Wimberley. I am asking you, the Citizens of Wimberley, to be patient and open minded as the complete picture is made available.