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Finance director flags $900,000 wastewater charge, AWPF payment and dozens of MUD agreements
Summary
Finance director told council a recent $900,000 wastewater expense has been budgeted for FY26 and that the city paid an $8.9 million AWPF payment; he warned dozens of older MUD agreements still need review and recommended rate studies and reallocation of indirect costs.
At the Liberty Hill budget workshop, Finance Director Josh walked council through corrections to the utility funds and warned of lingering contractual and budget risks tied to wastewater and municipal utility district (MUD) agreements.
Josh said staff corrected missing contractual services entries and removed franchise fees from the utility budget. He described a defensible mechanism for indirect cost allocation, said a new rate study will be programmed for water and wastewater, and recommended using lease‑purchase…
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