Monday, June 8, 2009

LCRA board act sours S.A. water supply deal

Editorial by the Express News Editorial Board

Just when the atmosphere seems peaceful in the world of water supply projects, another conflict appears.

Recently, the San Antonio Water System board of trustees voted to declare the Lower Colorado River Authority in breach of a contract for a project to bring Colorado River water to San Antonio. SAWS officials said the LCRA board took action late last year that effectively "pulled the plug" on the joint project that was launched in 2002.

After trying to work out the situation quietly, the SAWS board acted to force a mediation process. If the mediation process is unsuccessful, SAWS will have the option of filing a lawsuit.

LCRA used some assumptions from an outside consultant that were not agreed upon by both parties to determine that no water would be available for San Antonio. LCRA's decision came after SAWS invested $40 million in studies and environmental work. Under the contract, SAWS has the right to end the project and get half of the funds back.

At this stage, the notion of the two agencies working together on a successful water project seems unlikely. SAWS officials say they have hope for reviving the deal, but the best move for SAWS is to get its half of the $40 million back plus damages for LCRA's breach of contract.

The most promising parts of SAWS' new 50-year water supply plan don't rely on the LCRA deal, and it is time to move forward with projects that have better prospects.

No comments:

Trey Wilson: Texas Water Lawyer -- Texas Groundwater Permit and Water Rights Attorney

Trey Wilson: Texas Water Lawyer -- Texas Groundwater Permit and Water Rights Attorney
Trey Wilson -- Texas Water Lawyer, Groundwater Permit and Water Rights Attorney