McGee Creek Authority approves $9.9 million FY2026 budget, $2.8M loan and related resolutions

McGee Creek Authority trustees on March 13 approved a fiscal year 2026 budget of roughly $9.9 million, authorized a $2,800,000 loan agreement with the City of Oklahoma City and passed several resolutions to implement the budget and capital projects.

The FY2026 budget lists total sources including raw water sales (about $641,000 from Rural Water District No. 4), reimbursements from the Bureau of Reclamation ($181,000), projected interest earnings (~$2,000), aqua allocate-share payments (~$5,600,000) and aqua loan proceeds just under $2,800,000. The budgeted uses include personnel services ($455,000), contracts and services ($852,000), equipment and supplies ($137,000), a $300,000 reserve for operating and capital needs, and a capital program projected at about $7,479,000.

Vanessa Aguilar, with the Oklahoma City Utilities Department, presented the budget to the trustees and said, "The presentation that we have for you today is the fiscal year 20 26 McGee Creek authority budget." Aguilar said the revenue projections reflect an increased usage from Rural Water District No. 4 and a preapproved rate increase for water charges.

Trustees voted to approve the budget after brief discussion. The board also approved a $2.8 million loan agreement with the City of Oklahoma City described by trustees as routine and similar to prior practice.

The board passed a resolution directing the general manager to request participants to make elections regarding their annual aliquot cost for FY2026 in accordance with the McGee Creek amended trust indenture. Greg (staff) described the aliquot-share process as proportional contributions based on each participant's interest in water rights in the lake.

Additional resolutions approved included appropriation of funds to purchase equipment under state and intergovernmental cooperative purchasing contracts (estimated equipment cost $97,000) and authorization for the general manager to declare 2026 surplus items to be sold if the surplus is more than $50,000. Trustees also authorized the general manager to submit an application and required documentation to establish a separate McGee Creek Authority escrow account at AmeriState Bank for the MCA residential replacement project (WMC-371) and to transfer not more than $400,000 to that account to facilitate construction contracting.

All motions on the budget, loan agreement and the listed resolutions carried after voice votes in which trustees indicated “aye.” No roll-call tallies or individual vote names were recorded in the transcript.

Votes at a glance

- Approval of minutes of the Sept. 12 meeting — Approved (motion and second; voice vote: aye). - Consent docket (4 items including audit amendment, change order addendum for Magee Creek Headquarters Building, bank selection for FY26, ratification of payments) — Approved (voice vote: aye). - FY2026 McGee Creek Authority budget (~$9.9M, capital program ~$7.48M) — Approved (voice vote: aye). - Loan agreement with the City of Oklahoma City for $2,800,000 — Approved (voice vote: aye). - Resolution directing general manager to request participant elections for aliquot shares under the McGee Creek amended trust indenture — Approved (voice vote: aye). - Resolution appropriating funds for equipment purchases and authorizing surplus declarations (estimated equipment cost $97,000; surplus threshold $50,000) — Approved (voice vote: aye). - Resolution to open an escrow account at AmeriState Bank for the MCA residential replacement project WMC-371 and to transfer not more than $400,000 — Approved (voice vote: aye).

The resolutions enable staff to proceed with procurement and participant notifications tied to the FY2026 capital program. The general manager was authorized to execute the steps described in the resolutions and to coordinate required filings and bank arrangements.