Del Rio Secures $17M State Loan to Bolster Water Supply for Laughlin AFB

With a severe drought squeezing South Texas water supplies, Del Rio locked in a $17 million state loan in February to rehabilitate the San Felipe East Springs Containment Wall and expand the city's Water Treatment Plant, investments that state officials said would shore up water capacity for both city residents and Laughlin Air Force Base.

Governor Greg Abbott and the Texas Military Preparedness Commission announced the loan from the Texas Military Value Revolving Loan Fund, a program financed through the sale of general obligation bonds that channels financial assistance to communities near military installations for projects that enhance the military value of those bases.

"Texas is proud to support the City of Del Rio and the Laughlin Air Force Base as we invest in critical water infrastructure that Texans depend on," Abbott said. "These funds will strengthen the local community, support mission readiness at Laughlin, and advance our commitment to a strong military community across Texas. I thank the Texas Military Preparedness Commission for their investment and dedication to the future of Southwest Texas and our military communities."

The two named projects, the San Felipe East Springs Containment Wall rehabilitation and the Water Treatment Plant expansion and modernization, are designed to add resiliency to the water capacity of Del Rio and Laughlin AFB, according to the governor's announcement.

The loan arrived against a backdrop of local controversy over water rates. City Manager Shawna Burkhart appeared before residents at a December 1 town hall to explain a possible increase in water and sewage rates, citing the dire condition of the city's infrastructure. Her presentation came weeks after the city council apologized at its November 10 meeting for a rate increase that had been carried out illegally the month prior. Del Rio has since raised water rates to help finance the infrastructure work.

The TMVRLF is described by the governor's office as "a comprehensive loan program providing financial assistance to defense communities in Texas," drawing its capital from general obligation bonds and targeting investments that enhance the military value of Texas bases. The February 4 announcement credited the Texas Military Preparedness Commission as the institutional force behind the loan's approval.