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Council authorizes MOU to reserve wholesale water capacity for Cash Special Water Utility District
Summary
Council approved a resolution to authorize a memorandum of understanding that would reserve up to 1.5 million gallons per day of wholesale water for Cash Special Water Utility District once Greenville’s new water treatment plant is completed (staff projected 2028).
Staff (Summer) introduced a resolution authorizing a memorandum of understanding with Cash Special Water Utility District to begin the process for a wholesale water service agreement. The MOU is intended to reserve 1,500,000 gallons per day of capacity for the district once the city’s new water treatment plant is online (staff noted construction and completion timelines pointing to 2028 for plant build‑out).
Summer said the MOU is an initial, nonbinding step to record both parties’ intent and that a future formal wholesale contract would include rates and more precise TCEQ compliance details. City legal/technical staff (speaker 11) explained the MOU is not a binding contract in the same way as an enforceable contract and that it helps document intent without creating an automatic contractual liability for future councils.
The council moved and approved the resolution unanimously. Staff said next steps include drafting the full wholesale agreement with legal review and negotiating rates and terms before the new plant comes online.
