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Posted on: June 30, 2017

Public Utility Commission rules water rate case can move forward

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Mesquite, TX – June 30, 2017 – Yesterday, the Public Utility Commission of Texas (PUC) determined that the water rate case, involving the cities of Mesquite, Garland, Plano and Richardson, can move forward.

After years of unsuccessful informal negotiations with the North Texas Municipal Water District (NTMWD), the cities asked the PUC to conduct a review of their water rates with the NTMWD. The cities took this action because over the 60 years, that the water supply contract has been in place, the rates have become inconsistent with water conservation evolutions and are not in public interest.

As of now, water rates are based on a “take or pay” system that is based on the greatest single year of use. Since then, the city has been required to purchase this amount every year, regardless of whether or not the city uses the entire amount of water.

All four cities continue to support long-term initiatives of the NTMWD.

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