Texas Water Development Fund

From Texas Water Development Board (TWDB)

To lead the state's efforts in ensuring a secure water future for Texas

Type of Support

Overview

The Texas Water Development Fund (DFund) is a state-run loan program aimed at financing a wide variety of infrastructure projects related to water supply, wastewater treatment, and flood control. The program distinguishes itself by allowing for multiple project components (e.g., water and wastewater) to be funded under a single loan. It targets a broad audience for its loans, including political subdivisions of the state and nonprofit water supply corporations. The DFund is designed to support planning, design, and construction phases of projects ranging from water treatment plants and storage facilities to sewer treatment plants and flood management plans. Due to statutory limitations, the DFund only offers loans, not grants, with interest rates set close to the TWDB's borrowing cost. This approach ensures reasonable rates for borrowers while covering costs and risk exposure for the TWDB. The program also offers a pre-design funding option for early-stage project development, providing a flexible and accessible financial tool for urgently needed infrastructure across Texas.

Eligibility

Organization's Location
USA
Program Location
TX
Organization Type
Political subdivisions
Nonprofit water supply corporations
Other
  • Eligible projects include planning, design, acquisition, and construction for water supply, conservation, water quality enhancement, flood control, wastewater, municipal solid waste
  • Water supply projects must align with the current state water plan
  • Reservoir funding needs to be segmented or phased, with permitting required before construction begins
  • Entities receiving assistance over $500,000 must adopt a water conservation and drought contingency plan
  • Must comply with U.S. Iron and Steel requirements
  • Must review legislative requirements regarding water loss threshold limits
not specified

Submission

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