Texas Water Development Board outlines state flood plan and funding options for Hutto projects

The Hutto City Council meeting on April 3, 2025, focused on critical discussions regarding flood management and potential revenue enhancements for city projects. The meeting began with an update from the Texas Water Development Board, which emphasized the importance of including local projects in the state flood plan to qualify for state and federal funding. It was noted that while funding opportunities may be a year or two away, initiating the application process now could yield significant financial support for engineering and construction efforts.

The council reviewed the current fee structure for flood management, which is presently set at a flat fee of $4 per customer. A comparative analysis with other Central Texas communities suggested that transitioning to a tiered fee structure could potentially double the revenue available for operations and maintenance projects within Hutto. Although a comprehensive rate study was not conducted, preliminary findings indicated that there is room for increasing revenue to better support drainage initiatives.

A key point of discussion involved the process of removing properties from floodplain designations. Council members learned that this involves two steps: physically mitigating flood risks and subsequently updating FEMA flood maps through a formal revision process. This process includes obtaining a conditional letter of map provision from FEMA before project construction and a follow-up to confirm the changes post-construction. Successful completion of these steps would allow property owners to potentially reduce or eliminate their flood insurance premiums.

Additionally, the council discussed FEMA's grandfathering policy, which allows homeowners to retain lower insurance rates if they purchase flood insurance before their properties are designated as being in a floodplain. This could provide financial relief for residents anticipating changes in floodplain status.

The meeting concluded with a consensus on the need to explore these funding opportunities and fee structure adjustments further, aiming to enhance Hutto's flood management capabilities and support community resilience against flooding.