Municipal Well Water Mystery Explained: Investigative Report Part II

San Felipe Creek Springs are the city's main municipal water source

This week, Connect Del Rio has a brief continuation of the Hamilton Well vs. New Well story… Del Rio’s water crisis is evolving into an overarching issue about sustainability. Can the city sustain its population growth, conserve groundwater resources, and guarantee financial viability for residents, all at the same time? The way local government solves the water crisis will determine the answers.

Are city officials doing everything they can to ensure the right plan of action is being implemented? According to all recent government documents and public statements, the water crisis is Del Rio’s number one priority. Over the course of many years, city officials have been investigating a variety of solutions, recently it was decided they will pursue loans for a new well. Loans with the lowest interest rates possible have been approved.

Public Works Director Greg Velazquez and City Manager Shawna Burkhart got their application for SWIFT loan funds approved by City Council on May 13, 2025. The City of Del Rio requested help from the Texas Water Development Board (TWDB) through the State Water Implementation Fund for Texas (SWIFT) program. According to City Council records, the SWIFT program offers affordable, alternative financing options for water infrastructure projects that are recommended in the State Water Plan.

The well is happening, that apparently is no longer up for debate. Test wells have been dug at the proposed new well site, near the San Felipe Springs Golf course / existing East Springs Water Treatment Plant. Impact studies have already begun. The Southwest Water Coalition are concerned about groundwater conservation by drawing on the San Felipe Springs well at that particular location. Ranch landowners still want to know the details as to why their private water services are not being considered for municipal use. A deeper look into the city’s choice regarding the well will be revisited later.

Existing municipal water well infrastructure needs to be repaired or replaced

The question Connect Del Rio examines today is… Why not pursue grants or private funding, why does it have to be loans? Grants or private funding would mean residents wouldn’t have to repay loans through water rates. Del Rio water rates inevitably need to increase, adjusting with the regional market value and higher demand. But eliminating additional loans would help prevent water rates from rising exorbitantly and thus assuredly save the livelihoods of many residents.

It appears that the city did ask for funding support through private, county, state, and federal sources, but was met with opposition from each entity for differing reasons. City Manager Shawna Burkhart explained one example: “Texas Water Development Board were very eager to help us in this project… but their financing group has spent five days on the phone with our financial advisor and our finance director, saying, ‘why haven’t you increased your water rates over the last five years? You only approved one year.’ And so, they are saying, ‘until you help yourself, we are not sure that you are a great gamble or risk.’ And so, we have to do what we have to do to help ourselves.”

Water utility rate analysis will be available once consultants return data and recommendations to the city. The consultants’ report is due back end of May, worst case it will be reviewed in June. At that time, the City Council will be presented with an opportunity to vote. Large-scale water rate changes based on the consultants’ feedback look like they won’t be able to be implemented until 2026, because of the bureaucracy involved in establishing a new rate structure and formal rate growth plan. The city may consider a tiered rate plan, potentially based on water usage levels, income status, and other factors regarding new developments. Tiered rates could help alleviate the impact of increased water costs for Del Rio’s most vulnerable communities.