Riverbend Director answers questions about data center water usage, contracts

“No new supply agreements, reservation capacities or participation contracts

have been made beyond those already existing with the Member Entities.”

By Kenny Mitchell

kenny@westbowiepost.com

With the organized opposition to the construction of proposed AI data centers in Bowie County, much has been said about where the water will come from to supply the water thirsty cooling towers that come with them.

Opposition leaders have raised the issue of water consumption and water costs repeatedly and say that their questions have fell mostly on deaf ears, under what they have considered a veil of secrecy with many calling for county and state leaders to step in and legislate a moratorium on data center development until answers to their questions are forthcoming.

In an effort to lift that veil of secrecy and get answers to the questions concerning water usage, the West Bowie Post spoke with Riverbend Water Resources District Executive Director Kyle Dooley.

Last Thursday, on a day that saw Riverbend receive approval of an additional $248M in funding from the Texas Water Development Board to advance their new Johnny Branson Water Treatment facility, Dooley took great pains to answer some of those burning questions posed by the data center opposition, and by local water customers.

Dooley told the West Bowie Post, “In recent months, Riverbend Water Resources District, just like everyone else, has recognized the community conversations and concerns surrounding data centers and water use in Northeast Texas. It’s clear that everyone is passionate about preserving and protecting our region, but we’ve also noticed some confusion or misunderstanding on this issue that warrant further discussion. Citizens deserve clear and transparent access to facts about their water and other community resources.”

Many in the area are unaware of Riverbend’s purpose and mission and Dooley addressed that by noting, “Riverbend is a conservation and reclamation district, and as such our top priority is to deliver a clean and reliable water supply to our participating Member Entities (Local Communities and Water Supply Corporations) and their local end users. We are charged with ensuring adequate supply is available to meet our region’s growing water needs now and for many decades to come. Sustainable water supply management takes intentional planning. That’s why our Strategic Plan included the Riverbend Regional Water System Improvements Program to assess, plan and provide for the current and future water needs of our growing region. The program’s proposed system updates have been designed to expand our ability to deliver treated water to participating Member Entities and their users.”

Dooley then answered one of the most burning questions posed by Bowie County residents in regards to data centers and their water requirements, while also clarifying that Riverbend had no current contracts or finalized agreements with any of the proposed developers.

Dooley sated, “Some citizens have expressed concern that private customers, like data centers, might get inequitable access to our region’s water or favorable rates at the expense of local water customers. It’s important to clarify that no such agreements or commitments have been or will be made. Riverbend has Water Supply Agreements with our participating Member Entities that specifically outline safeguards to protect and benefit the members and their customers. Member rates are calculated based on the direct capital, operating and maintenance expenses required to meet their capacity requirements. Additionally, the raw water that would be required by these industrial customers cannot be delivered within the current infrastructure. System upgrades have been designed with future development options, including raw water capacity. However, capital projects to distribute raw water would be fully funded by the requesting private customer. The cost would not fall to the Member Entities or their local end users.”

In addition, Dooley answered questions about the future of water in the Northeast Texas counties that Riverbend serves and painted a clear and optimistic picture of their ability to meet the water needs for the region for many years to come, while also confirming again that Riverbend has not entered into any supply agreements with incoming industrial developers.

Dooley said on the future, “With our Regional Water System Improvement Program, we are moving toward sustainable water infrastructure in the region. For that reason, Riverbend often receives preliminary inquiries into supply capacity and raw water rates from private entities exploring development in our region. These discussions have been strictly informational, and standard practice is to provide factual response as part of routine economic development. These discussions are not binding or contractual in any way. Riverbend serves under the direction of our Member Entities, and any new water supply agreement must follow due process as outlined by the district’s bylaws and state requirements. No new supply agreements, reservation capacities or participation contracts have been made beyond those already existing with the Member Entities. We invite citizens to visit our website, www.rwrd.org, for full access to district policy documents, meeting minutes, rate projections, infrastructure updates and other resources.”

Dooley finished by declaring, “We appreciate the community’s active interest in ensuring Northeast Texas is a thriving, sustainable region for generations to come. Riverbend remains committed to fostering collaborative relationships with our Member Entities and providing transparent, accurate information for their local end users every step of the way.”

While more questions remain as to the actual water requirements will be for the proposed data centers, and what local entities like TexAmericas have discussed with those developers, Dooley’s remarks do answer the questions of who will foot the bill  for those water needs and that there are currently no agreements to provide that water. TexAmericas’ Scott Norton has said in previous statements that the Project Big Pine developer has committed to a closed-loop water system, but the specifics on exact water usage would not be available until there was an end user.

With the push now on for Governor Gregg Abbott and Texas lawmakers to legislate a moratorium on data centers until their impact can be more transparent, questions will remain.

Look for more on this continuing story in next week’s issue of the West Bowie Post.