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OWASA tells Orange County it has supply and treatment capacity now, but boundary changes and Jordan Lake access would be costly

Orange County Board of Commissioners · March 21, 2026
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Summary

OWASA staff told the Board its reservoirs and treatment plants can meet current town and university projections for decades, but service-area boundaries (WASMPBA) limit extensions and accessing Jordan Lake or major expansions would require hundreds of millions in spending paid by ratepayers.

Todd Taylor, Orange Water and Sewer Authority (OWASA) Executive Director, briefed the Board on OWASA’s water supply, treatment capacity, and service-area constraints.

Taylor said OWASA’s three reservoirs store about 3.65 billion gallons — roughly 575 days of supply at average community use — and noted the Jones Ferry Road treatment plant’s 20 million gallons per day peak capacity while average use is slightly over 6 million gallons per day. He told commissioners the single wastewater treatment plant has a 14.5 million gallon per day peak-month capacity and currently processes 7–8 million gallons daily.

Taylor explained OWASA’s service area is governed by the Water and Sewer Management and Boundary Agreement (referred to in the retreat as WASMPBA). He said the 2001 agreement formalized boundaries, set procedures for boundary changes, and allows limited exceptions for environmental health or public facility needs. Taylor said extensions outside current boundaries would require study and agreement from Chapel Hill, Carrboro, and the university and that most planning assumes the existing boundaries remain in place.

On future supplies, Taylor said quarry expansion and conservation measures push the timeline for regular Jordan Lake use out for decades, but he cautioned that accessing Jordan Lake allocations and building the necessary infrastructure around 2050 would require “hundreds of millions of dollars” paid by OWASA ratepayers through monthly bills. He described a draft reimbursement policy under consideration to make it fairer when developers extend mains and later property owners connect to those lines.

Commissioners asked whether OWASA is accounting for projected housing growth in its models. Taylor said OWASA uses projections provided by the towns and university and updates hydraulic and capacity models to analyze proposed developments and identify needed upgrades. He noted that some exceptions exist, for example where failing septic systems pose health risks (Rangewood), but emphasized that a change to the WASMPBA boundary would require agreement from all parties.

Why it matters: OWASA’s assessment frames a key constraint for county housing policy: where water and sewer service exist or can be extended is a practical limitation on where higher-density, multifamily, and subsidized housing can be built. Commissioners said they will use OWASA’s capacity and concept planning information when mapping feasible areas for higher-density growth in the Land Use Plan 2050 process.

No formal action on boundary changes or reimbursements was taken at the retreat; OWASA staff said further study and intergovernmental coordination would be required.