Pflugerville advances $256 million in water infrastructure funding via TWDB and WIFIA

Pflugerville advances $256 million in water infrastructure funding via TWDB and WIFIAThe Texas city is set to close on major financing agreements in February 2026 to support extensive waterworks system improvements.

Council considered ordinances for $80.1 million in Certificates of Obligation for waterworks projects to be sold to the Texas Water Development Board.

Finance Director Tracy Waldron confirmed a $176 million WIFIA Tranche 2 loan is scheduled to close on February 24, 2026.

The funding follows a Fiscal Year 2025 issuance of $121 million for streets, water, and wastewater infrastructure.

The City of Pflugerville City Council has advanced significant funding measures to support its waterworks system, with over $250 million in financing moving toward closure. During the January 27, 2026 meeting, the council considered ordinances authorizing the issuance of Combination Tax and Surplus Revenue Certificates of Obligation, designated as Series 2026A and 2026B, specifically to fund waterworks system improvement projects. The Series 2026A certificates are valued at $52,925,000, while the Series 2026B certificates total $27,180,000. According to the meeting agenda, both series are to be sold to the Texas Water Development Board (TWDB). These issuances are part of the city's broader strategy to finance capital improvements through state and federal programs. By utilizing TWDB financing, Pflugerville taps into a state mechanism that has committed approximately $43.2 billion to water projects since 1957. These programs typically provide low-cost funding for water supply and wastewater infrastructure, often generating significant debt service savings for municipalities compared to traditional financing methods. In a presentation regarding the Finance Department, Finance Director Tracy Waldron provided updates on the city's debt management and upcoming financial closings. Waldron noted that the application process for the TWDB funding began in 2024 and confirmed that the city is scheduled to close on the loans on February 24, 2026. Additionally, Waldron reported that the city is set to close a Water Infrastructure Finance and Innovation Act (WIFIA) Tranche 2 loan valued at $176 million on the same date. Waldron also highlighted recent infrastructure investments, stating the city issued $121 million in certificates of obligation in fiscal year 2025 for a combination of streets, water, and wastewater infrastructure. In other business, the council convened in an executive session to discuss the Central Wastewater Treatment Plant Expansion project, though no formal action was taken following the closed session.