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ORANGEFIELD — Officials with the Orangefield Water Supply Corporation are looking into the creation of a Special Utility District that, if approved, would allow the entity to participate in various programs they cannot do in their current capacity.

Customers will not see a change in service.

Water Supply Corporation VS. Special Utility District

Water Supply Corporations are “non-profits, member-owned and member-controlled corporations organized under Chapter 67, Texas Water Code. WSCs are subject to the laws and regulations governing the operations of non-profit corporations. The operation of a WSC is the responsibility of its elected board of directors. Directors are elected by the corporation’s members,” according to information from the Public Utility Commission of Texas.

Funding for the WSC comes from loans provided by the US Department of Agriculture or Texas Water Development Board. Loans are usually repaid with revenue from water and/or sewer service sales. 

SUD’s rely on different funding sources. The special districts are allowed to participate in financial assistance programs such as those from the Texas Water Development Board, and Clean Water State Revolving Fund to name  a few. 

The Process

There is a process for the creation of a SUD and it does not happen overnight. First they must file and get approval from the Texas Commission on Environmental Quality. Once they are approved, an election is held.

Elections in Texas are held in May and November. Should the issue be approved it could be on the November ballot, Kate Leverett, legal counsel for OWSC said.

As for service, customers should not see any change.