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Landowner tells council he paid $1.1 million to reserve water capacity but cannot get will‑serve letter
Summary
Resident Harry Rao told the City Council he paid about $1,100,000 to reserve 352 LUEs for a 31.43‑acre property but developers will not buy or build because the city has not issued a will‑serve/utility commitment; Rao asked the council for assistance and clarification of procedures.
Harry Rao, a Liberty Hill landowner, told the City Council during public comment that he paid about $1.1 million to reserve 352 LUEs (land use equivalents) for a 31.43‑acre property but has been unable to obtain a will‑serve or other utility commitment from the city.
Rao said developers will not proceed without a city commitment. “I paid a lot of money, dollars 1,100,000.0, reserved 352 LUEs,” he told the council, and later added, “Im seeking assistance from the city council.” He said the property was purchased about three and a half years ago and that an early utility evaluation showed there was water capacity available at that time.
Rao said he asked for a development agreement and was told that development agreements are not used for properties inside the city limits but for properties in the extraterritorial jurisdiction. He said staff told him the city would serve the property without a development agreement and that the money he paid had been spent; he said he does not know where the funds went.
Rao described repeated referrals between staff offices and said four developers who had been interested are now reluctant because they cannot get a firm utility commitment. He told the council he had developers ready to build, including one proposed 17,000‑square‑foot retail project, but they would not purchase the land without a will‑serve. Rao said he was not close to existing pipe infrastructure and believed the only option would be service from Liberty Hill Water.
Mayor Crystal Manthia interrupted the comment period to enforce a three‑minute limit before Rao finished. The council did not take formal action during the public comment period; Rao asked the council for assistance and for clarity on the process to obtain a will‑serve or other formal utility commitment.
The speaker did not identify a specific ordinance or statute that requires the city to issue a will‑serve letter in this situation; Rao said generally that he believed an ordinance applied but did not specify which one.
Ending: Rao concluded by asking the council for help identifying the next steps. No staff response with a formal timeline or written commitment was recorded in the public comment segment.
