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TCEQ approves Crystal Clear Special Utility District impact fee increase to $5,163
Summary
The Texas Commission on Environmental Quality voted unanimously to adopt an administrative law judge's recommended order approving Crystal Clear Special Utility District's request to raise its impact fee to $5,163 per connection, after staff and OPIC found the record supported the increase and the lone protestant did not offer controverting evidence.
Chairwoman Brooke Pawp and the commissioners approved an administrative law judge's proposed order granting Crystal Clear Special Utility District authority to amend its impact fee to $5,163 per connection.
Elena Foggieras, representing Crystal Clear, told the commission she agreed with the ALJ's proposed order and asked that the district be allowed to levy a revised impact fee of $5,163. Protestant Joseph Benavides objected, saying the district had originally submitted a study that supported a fee of roughly $2,600 and that the corrected study was filed only after the fact. Benavides also noted recent turnover on the district board and said he was speaking as a board member seeking to protect customers' interests.
On behalf of the Executive Director, Kayla Murray of the Environmental Law Division cited Texas Local Government Code Chapter 395 and 30 TAC sections 293.171–293.176, describing an impact fee as a mechanism to recover costs of capital improvements necessitated by new development. The ED's representatives said the record shows the proposed fee is reasonable and necessary to fund system improvements and maintain reliability.
Sheldon Wayne of the Office of Public Interest Counsel said OPIC reviewed the evidence and agreed with the ALJ that summary disposition was appropriate because the protesting party did not present controverting evidence. Crystal Clear's counsel used rebuttal time to say the originally incorrect study was corrected and accepted by the ALJ and reiterated the district had not increased fees in over a decade.
After reviewing the record, Chairwoman Pawp and Commissioners Tanya Miller and Katarina Gonzalez said they agreed with the ALJ and ED findings that the fee met statutory and regulatory requirements. A motion to adopt the ALJ's proposed order as revised by the ALJ's January 26, 2026 letter was moved, seconded, and adopted by unanimous voice vote, approving the increase from roughly $2,500 to $5,163 per connection.
The commission's action approves the ALJ's findings and directs staff to implement the order as written; the record reflects that the protestant did not file pre‑filed testimony to rebut the applicant's evidence.
