Conroe City Council hit pause April 23 on a proposed stormwater utility fee that would have added a new monthly drainage charge to utility bills, opting instead to defer the item.
This comes after council members raised concerns about exemptions, financial projections and how the policy would work for commercial properties.
What happened
Council opened a public hearing on three stormwater-related agenda items, including the proposed fee, changes to Chapter 70 of the city’s code to add a municipal drainage utility system and an update to the city’s fee schedule. After discussion, the council unanimously deferred the ordinance and fee schedule items rather than approve them that day.
The proposal presented by consultant Freese and Nichols called for a $4 monthly flat fee for residential properties and a $4-per-equivalent residential unit monthly charge for commercial properties, with one equivalent residential unit, or ERU, set at 3,200 square feet of impervious area.
Under the example shown to the council, a commercial property with about 144,707 square feet of impervious area would pay $184 per month. The presentation also showed bills would have started Oct. 1 if the council had approved the plan.
A closer look
During the public hearing, council members questioned whether the city should adopt the fee before spelling out how possible credits or exemptions would work for commercial properties with private drainage infrastructure.
Mayor Pro Tem Howard Wood said he was hesitant to add costs for residents and businesses without first seeing more detailed projections, while council member Harry Hardman said he would rather see the specifics worked out before adoption.
City staff said a revised ordinance included language allowing the city to consider fee credits later through an administrative policy, but the council still chose to hold off and revisit the item at a later date.
The background
As previously reported by Community Impact, city officials began weighing the fee earlier this year as nearly $11.9 million in drainage needs came into focus. The proposal was pitched as a dedicated funding source for drainage projects, maintenance, flood mitigation and aging infrastructure work across the city.
The presentation listed projects the fee could help support, including Alligator Creek drainage rehabilitation, Live Oak Creek dredging, the Canterbury and Oxford culvert upgrade, Hunnington Drive drainage improvements and other drainage work, along with staff and ongoing maintenance costs.
The presentation also showed Conroe’s proposed residential fee would land toward the lower end of the cities used for comparison. For a residential property with 3,200 square feet of impervious area, Conroe’s proposed $4 monthly fee was lower than cities such as Baytown, Waco, Round Rock, College Station, Houston and San Marcos, but higher than Deer Park and Sugar Land, according to the presentation.
On the nonresidential side, the comparison was similar. Using a 30,000-square-foot impervious area property as the benchmark, Conroe’s proposed fee also came in below Round Rock, Baytown, Waco, Houston and San Marcos, while sitting above Deer Park, Sugar Land and College Station, per the presentation.
The presentation also added that more than 140 stormwater or drainage utilities are already in place across Texas.
What residents said
Several residents used the public hearing to press city leaders on long-running drainage problems, especially in older and lower-income neighborhoods. Speakers pointed to recurring flooding near downtown and in east side areas, while others said the city should be careful about adding a fee before clearly showing how the money would be used and which areas would benefit first.
What’s next
City staff did not give a firm date for when the proposal will return, but officials said they will continue working with consultants and bring it back to the council later.