Water Matters: Dec. 2025 – Mar. 2026 Edition
Dec. 2025 – Mar. 2026
Quick Tip: Turn off your sprinklers from November-February each year. Your grass is dormant over the winter, so there is no need to water. Use the downtime to upgrade your irrigation system. LCRA offers Lakeway MUD (LMUD) customers’ rebates to help with the cost. Details: lcra.org/water/watersmart/rebates.
APPROVED: PROPOSITION 4 AND THE TEXAS WATER FUND
This past November, Texans voted in favor of Proposition 4, a constitutional amendment that dedicated up to $1 billion annually from existing sales-tax revenues to the newly created Texas Water Fund. The measure, passed by the Legislature as House Joint Resolution 7 (HJR 7), is designed to provide the first long-term, statewide funding mechanism to support water and wastewater infrastructure.
The need for such a measure is clear: The American Society of Civil Engineers (ASCE) 2025 Texas Infrastructure Report Card gave the state’s drinking water systems a D+ and wastewater systems a D-, citing aging facilities, frequent leaks, and limited investment in upgrades. The Texas Water Development Board (TWDB) estimates that more than $154 billion will be required by 2050 to meet water and wastewater needs. At present, there is no dedicated constitutional funding source to address this challenge.
Population growth adds urgency: Texas’s population is projected to grow from 32.9 million in 2030 to 53.2 million by 2080. Ensuring safe, reliable drinking water is not only a public health priority, but also critical for sustaining economic growth. Indicators of strain are already visible. According to the ASCE Report Card, the number of boil-water advisories in Texas doubled between 2020 and 2023, highlighting the impact of aging infrastructure, while the number of Public Water Systems restricting water use to avoid shortages rose from 46 in 2019 to 571 in 2023, affecting approximately 6.4 million people.
Other states are watching Texas closely, with policy experts suggesting the Texas Water Fund could serve as a model for sustainable investment in water infrastructure over multiple decades.
LAKEWAY MUD
Now approved by voters, Proposition 4 will require the Comptroller to transfer up to $1 billion each fiscal year, beginning in 2027, into the Texas Water Fund. Transfers would occur only if sales-tax revenues exceed $46.5 billion. The fund will be administered by the TWDB and distributed through its existing financing programs, which are guided by the State Water Plan. The plan, updated every five years and built from sixteen regional water plans, provides a roadmap for meeting future water demand. Proposition 4 will strengthen this process by attaching reliable funding to long-term planning.
For communities like ours, the potential benefits are significant: dedicated resources could support replacing aging mains, modernizing treatment plants, expanding reuse and storage projects, and investing in flood mitigation. By expanding access to low-interest TWDB loans and grants, Proposition 4 could also help reduce the financial burden on local utilities and ratepayers.
Proposition 4 marks an important milestone. Other states are watching Texas closely, with policy experts suggesting the Texas Water Fund could serve as a model for sustainable investment in water infrastructure over multiple decades.
Proposition 4 represents an opportunity to address Texas’s pressing water needs with a long-term solution that matches the scale of the challenge.
Previously published (with edits) in Lake Travis View, October 2025.
New data show that since the creation of the Water Fund surrogate (via prior measures), the Texas Water Development Board (TWDB) has already committed more than $223 million to over 40 rural water-system projects, including new wells, storage tanks, and line replacements — indicating early deployment ahead of full implementation. The TWDB, established in 1957, has a long track record of responsibly managing billions of dollars in state and federal water financing programs. Its data-driven approach, guided by the State Water Plan and 16 regional planning groups, ensures that funds are allocated where they are most needed to improve system reliability, support community growth, and safeguard drinking water quality across Texas.
INDOORS
FAUCETS
Listen for drips and turn on the tap to check for water going the wrong direction.
UNDER SINKS
Check for pooling water under pipes and rust around joints and edges.
APPLIANCES
Check for rust or signs of pooling water underneath all water-using appliances (dishwashers, refrigerators with ice makers, washing machine, water heater, water softener, etc) which could indicate a supply line leak.
TOILETS
Listen for running water and conduct the food coloring test.
SHOWER HEADS
Turn on and look for drips or stray sprays that can be stopped with tape.
BATHTUBS
Turn on the tub, then divert the water to the shower and see if there’s still a lot of water
coming from the tub spout; that could mean the tub spout diverter needs replacing.
Check for signs of moisture or mold on your walls, ceilings, or floors. This could indicate that a pipe is wreaking havoc behind the scenes and requires the attention of a professional.
OUTDOORS
AT THE SPIGOT
Ensure tight connections with the hose and see if the hose washer needs replacing.
IN-GROUND IRRIGATION SYSTEM
Visually inspect your system while it is running. Check for broken sprinkler heads or nozzles spraying in the wrong direction.
Tips for Detecting Leaks
in Your Home from EPA.
EPA’s annual Fix a Leak Week is held March 16-22, 2026: The average household’s leaks can account for nearly 10,000 gallons of water wasted every year and ten percent of homes have leaks that waste 90 gallons or more per day. Many leaks are often easy to fix, requiring only a few tools and hardware that can pay for themselves in water savings. For details, visit epa.gov/watersense/fix-leak-week.
COMMUNITY SUPPORTED DEMONSTRATION GARDEN
VOLUNTEERS & DONATIONS NEEDED
The LMUD Demonstration Garden serves as a community resource that is in need of constant care and attention. Local garden groups, individuals, and students interested in supporting local biodiversity and water conservation efforts are encouraged to volunteer. Lake Travis High School students may earn Cavs in Service hours for their volunteer efforts. Donations can be dropped off any time throughout the year, during regular business hours at the LMUD Admin Office: 1097 Lohmans Crossing Rd. For details, visit lakewaymud.org/lmud-demonstration-garden.
JOIN OUR GARDEN CLUB!
Join us for our monthly garden club events. We encourage local garden club members and any gardening enthusiast (with or without experience) to join us for these educational, hands-on opportunities facilitated by local experts who can help you transform your yard using native and adaptive plants. Benefits include a beautiful yard that reduces your water usage, is lower maintenance than traditional turf, and supports local wildlife (think: pollinators) and ecosystems. For details, visit lakewaymud.org/update/monthly-garden-club-events.
VISIT THE RESOURCE CENTER & SEED LIBRARY
Make use of the Lake Travis Seed Library, which contains free seeds of plants native to Central Texas (which help support biodiversity and water-saving measures) as well as vegetables and herbs known to grow well in our region. The LMUD Admin office also is home to a resource center, filled with water-saving pamphlets and information. For details, visit lakewaymud.org/lt-seed-library.
LANDSCAPING TIPS
Tips from Gay Bonorden Gray, founder of Best Tex Gardens landscaping and volunteer for the LMUD Demonstration Garden:
STEP 1: Assess Planting Area
Every successful landscape design begins with understanding your space. Consider how much sun or shade the area receives, dimensions of the space, and slope and drainage patterns.
STEP 2: Choose Your Style
Landscapes can reflect different levels of planning and structure, such as Carefree, Structured: or a Combination, which blends natural and designed elements
STEP 3: Apply Design Principles
Start with your architectural elements—the features that immediately draw the eye. These provide structure and a foundation to build around. Examples include trees, ornamental grasses, or hardscaping (paths, fountain, stonework).
STEP 4: Plan Year-Round Interest
Include a variety of species so something is always blooming at various times throughout the year.
STEP 5: Use Mulch and Turf Alternatives
Mulch conserves water and should be maintained at 1 to 4 inches deep. For turf alternatives that are more sustainable than traditional lawns, consider native ground covers such as silver ponyfoot, frogfruit, horseherb, buffalo grass, or blue grama grass.
UPDATES
WINTER AVERAGING IN EFFECT THRU MARCH 1
LMUD determines their customers’ volume charges for wastewater
service based on “Winter Averaging” which takes place November through February each year. This period of lower outdoor water usage
helps your water utility get a better average for how much of our customers’ water use is directed to our water recycling plant for treatment. Because wastewater is not metered, your wastewater volume charge for the year is based on your lowest monthly water use during the prior “Winter Averaging” time period. Using less water (such as limiting your irrigation) will help to minimize your bills for the following year. For more information about Winter Averaging, visit lakewaymud.org/update/winter-averaging.
FY 2026 BUDGET INCLUDES UPDATED SERVICE RATES
At the October 8, 2025 Board of Directors meeting, General Manager Earl Foster presented revisions to the FY 2026 Rate Order that included an increase in water and wastewater base rates. Beginning with usage after October 1, 2025 (which appear on December 2025 bill statements), the monthly water base rate has increased from $30.00 to $33.00. Wastewater base rates have also been adjusted—from $24.00 to $27.00 for in-district customers and from $84.00 to $87.00 for out-of-district customers. These updates help ensure continued reliability and investment in essential water and wastewater infrastructure. For more information, visit lakewaymud.org/customers/rates.
MONITOR HIGHLAND LAKE LEVELS WITH LCRA’S RIVER OPERATIONS REPORT
Lakeway’s only source for raw water is Lake Travis, part of the Highland Lakes chain, managed by the Lower Colorado River Authority (LCRA). Lakes Buchanan and Travis are the two water supply reservoirs in the Highland Lakes system. Both lakes fluctuate, capturing water during rainy times to provide a reliable water supply for our region during drier times. Their combined levels trigger LMUD watering restrictions to take effect. Lake levels can be monitored using LCRA’s River Operations Report, available at hydromet.lcra.org/riverreport. Current watering restrictions can be found at lakewaymud.org/customers/irrigation-schedule.
LCRA WATER-SAVING REBATES INCLUDE TURF CONVERSION
The Lower Colorado River Authority (LCRA)’s WaterSmart Rebates program can help offset the cost of upgrading irrigation systems, maintaining landscapes and pools, testing your soil, and converting turf to help LMUD customers save water and money. In July 2025, LCRA significantly boosted residential rebate caps from $600 to $3,000, up to 50% of total cost, per property per year as well as increased per‑item rebate maximums. Rebates reimburse materials—not labor or taxes. Consideration for a turf conversion rebate requires pre-approval. Rebates of $600 or more in total will receive a 1099 for that tax year. For more information, visit the LMUD office during office hours for a brochure (1097 Lohmans Crossing) or visit lcra.org/water/watersmart/rebates.
LMUD EXPANDS SERVICES TO HIGHLANDS IN 2026
LMUD is pleased to announce that, effective September 2026, we will officially assume responsibility for water and wastewater service for Travis County MUDs 11, 12, and 13 customers. This strategic transition marks a significant step in unifying water services across the Lakeway region and ensuring long-term sustainability and reliability for current and future residents. LMUD will host a series of informational meetings in 2026 to help facilitate a smooth transition. For more information, call the LMUD office at (512) 261-6222.
SAVE WATER, MONEY WITH A FREE WATERSMART ACCOUNT
Track your hourly or daily water usage, self-identify and resolve leaks, understand where your water is being used, compare your water use to similar households, and even set water use alerts with a free WaterSmart account, available to LMUD customers. See the simple steps and watch videos that walk you through the process at lakewaymud.org/update/watersmart.
[Your on-call service technician] came out at
David w.
9:30 last night to fix my grinder pump.
He took care of everything …he’s an excellent
representative of Lakeway MUD and my experience
with him could not have been better.
RE: Customer Service CalL
I walk [my dog] every day… and we
Mark W.
almost always see one of the Lakeway MUD
trucks…They are
consistently friendly.
RE: Customer Service Request
We appreciate feedback!
Send yours to
cu*************@********ud.org
Track your household water use with a free WaterSmart account.
- track your hourly or daily water usage
- self-identify and resolve leaks
- understand where your water is being used
LMUD customers are eligible for water-saving rebates from LCRA.
- rebates of 50% of the total cost, up to $3,000 per residential property
- includes irrigation system evaluations, pool covers, mulch, etc.
Past editions of this newsletter are available online.
- water conservation tips and resources
- LMUD news and updates
- upcoming events
Lakeway Municipal Utility District (LMUD), established in 1972, provides water, wastewater, and some reuse services to many of the homes and businesses in the City of Lakeway and a portion of the Village of the Hills.
District Office:
1097 Lohmans Crossing
Lakeway, TX 78734
(512) 261-6222
Cu*************@********ud.org
www.LakewayMUD.org
You are now being redirected to the WaterSmart page.