NTMWD approves $354.5m TWDB-backed bond issue for Leonard and Bois d’Arc works
North Texas Municipal Water District, Texas · Meeting date: October 22, 2026 · Published: October 23, 2026
The North Texas Municipal Water District board has authorised Series 2026A regional water system revenue bonds at a 4.29% interest rate. The utility said Texas Water Development Board subsidy will save approximately $25.4 million over the bonds’ 30-year life.
Key points
- The board approved $354.5 million of Series 2026A regional water system revenue bonds to the Texas Water Development Board.
- Proceeds will fund Bois d’Arc Lake and Leonard Water Treatment Plant Phase III treated-water pipeline projects.
- NTMWD said the TWDB subsidy reduces borrowing costs by approximately $25.4 million over 30 years.
- The board also approved an $8.41 million electric-loop and substation-expansion agreement to support future Leonard WTP expansions.
Full report
North Texas Municipal Water District (NTMWD) has approved a $354.5 million revenue-bond issue through the Texas Water Development Board (TWDB), providing financing for projects at Bois d’Arc Lake and the Leonard Water Treatment Plant (WTP) system.
The board approved Resolution 26-43 authorising the Series 2026A Regional Water System Revenue Bonds at its 22 October meeting. The bonds will carry an interest rate of 4.29%, and the TWDB subsidy is expected to save the district approximately $25.4 million across the 30-year life of the debt.
Funding is earmarked for Bois d’Arc Lake and Leonard WTP Phase III treated-water pipeline projects. The approval comes as NTMWD continues to advance major infrastructure intended to serve rising regional demand. The board separately adopted a resolution authorising its Executive Director to identify, facilitate, support or pursue additional surface-water supply opportunities meeting specified criteria.
The district also moved ahead with enabling infrastructure for future expansion at Leonard WTP. It approved a construction agreement with Fannin County Electric Cooperative, capped at $8.41 million, for a 25kV overhead electrical loop and substation expansion on the plant’s south side.
Leonard WTP is planned for an ultimate capacity of 280mgd. Following completion of its Phase II expansion, treatment capacity will increase to 152mgd, according to the board presentation. The new electrical facilities are intended to provide service for future Phase III and IV expansions, including the Leonard WTP High Service Pump Station-South.
The debt approval sits within a rapidly expanding capital programme. NTMWD said it authorised $1.2 billion in capital projects during fiscal 2026, the largest annual total in its history, and plans to award a further $1.6 billion during fiscal 2027. The programme includes growth-related works, pipeline relocations, asset renewal and regulatory projects, including PFAS treatment at the Tawakoni Water Treatment Plant.
Other water-system approvals at the meeting included a $14.31 million construction contract to J&L Construction for pipeline relocations at US 380, FM 1641 and FM 741, and a $12.19 million contract to Felix Construction Company for critical valve improvements at the Wylie WTP complex.
This summary was generated by AI based on the source document and may contain errors.
Source: Board of Directors, North Texas Municipal Water District