WHAT IS A WATER SUPPLY CORPORATION?
A Water Supply Corporation (WSC) is a non-profit, member-owned, and member-controlled corporation organized under Chapter 67, Texas Water Code. As such, WSCs are subject to the laws and regulations governing the operations of non-profit corporations. The operation of a WSC is the responsibility of its board of directors. Directors are elected by the corporation members.
IS THE WATER SUPPLY CORPORATION REQUIRED TO PROVIDE ME WITH SERVICE?
Yes, if your property is located within the area granted under the WSC's Certificate of Convenience and Necessity (CCN). If you are not sure whether your property is within a particular WSC's area, contact the WSC or the Public Utility Commission of Texas (PUCT). When calling the PUCT, ask to speak to a member of the Water Utilities Division mapping team.
HOW DO I BECOME A MEMBER AND GET SERVICE?
Dean Water Supply Corporation requires you to fill out an application form. The membership fee is $150.00 for property that has an existing meter. In addition to the $150, there is a $35 trip fee and possibly a $26 easement fee.
WILL I HAVE TO PAY ANYTHING ELSE?
If a tap and meter are not already in place, you will be asked to pay a tap fee, a customer service inspection (CSI) fee, an equity buy-in fee, and, if necessary, the cost of a road bore in order to tap into the main line.
TAP FEE: $1,364.00
EQUITY BUY-IN FEE: $1,100.00
CUSTOMER SERVICE INSPECTION (CSI) FEE: $75.00
ROAD BORE: $1,400.00+
The tap fee generally includes the cost of labor and materials for installation and administrative costs. The road bore is an additional cost determined by our field operators and company contracted in the case that the property is on the opposite side of the road of our water line.
WHY DOES IT TAKE SO LONG TO GET SERVICE?
In some cases, honoring a new customer's request for service will require an upgrade to the existing system. An engineering study must be prepared by the WSC and plans must be reviewed and approved by the various government agencies. The WSC may seek a loan to finance the constructiona nd the loan approval process takes time. Once plans are approved and financicng arranged, WSCs will start construction as soon as possible.
HOW ARE WATER SUPPLY CORPORATIONS FUNDED?
In most cases, the money to construct the WSC's water system comes from loans provided by the United States Department of Agriculture (USDA) or the Texas Water Development Board (TWDB). Loan repayments and daily operational costs are generally paid off with revenue from water service sales.
WHAT ARE MY ALTERNATIVES?
Drill your own water well for water service.
WHO SETS THE RATES CHARGED BY A WATER SUPPLY CORPORATION?
The WSC's member-appointed board of directors sets the WSC's rates. The term "rates" as it is used here includes charges for start up fees, retail water connection fees, late charges, membership fees, etc.
WHAT GOVERNEMENT AGENCIES "REGULATE" WSCs?
WSC’s govern themselves under the direction of their member-elected board of directors. However, the following agencies have some regulatory authority:
- The USDA/Rural Development and the TWDB establish guidelines and impose requirements in conjunction with the loans provided to WSCs.
- The PUCT issues Certificates of Convenience and Necessity (CCNs). These certificates grant the right and the obligation to provide retail utility service in a particular area. WSCs are required to obtain a CCN.
- The TCEQ regulates the operations of all public drinking water systems and conducts periodic inspections. Those regulations address water quality, water pressure, and system design specifications.
WHERE CAN I GO TO FIND OUT MORE ABOUT WSCs?
The Texas Rural Water Association (TRWA) is a non-profit, professional organization of WSCs. TRWA provides technical assistance and information to members, WSC boards, managers, bookkeepers, and operators.
