Full Breakdown
Texas Water Development Board Denies 13 SWIFT Projects as Drought Deepens
5/8/2026, 10:07:10 PM
Core Event: First Denials in SWIFT History
In 2026 SWIFT had $1.28 billion available but received $4.2 billion in requests from 23 projects. Thirteen proposals were rejected—the first denials in the fund’s 11-year history. The list includes a $3.2 billion desalination plant on Harbor Island that would supply up to 100 million gallons of drinking water per day to the Coastal Bend.
Background & Context
Texas faces a prolonged drought and aging water infrastructure. SWIFT, created by the 2013 voter-approved legislation, transferred $2 billion from the state rainy-day fund and will finance roughly $27 billion in water projects through revenue bonds. To date, $17.2 billion has been allocated to 76 projects.
Data & Statistics
SWIFT scores proposals on a 0-86 point scale. Points favor large served populations, project readiness, and water-conservation measures; “emergency need” can add at most five points. The Harbor Island plant earned 62 points, one point shy of the tenth-ranked project, and received zero emergency-need points because it is in a sparsely populated rural county. The board’s $1.28 billion pool must cover the top ten projects, leaving the denied projects without SWIFT funding.
Implications for South Texas Water Supply
Corpus Christi’s reservoirs are below 8 % capacity, prompting a county-wide Level 1 water emergency that could materialize within 180 days, potentially by September. The Nueces River Authority requested $140 million for the desalination plant and the city has paid $2.7 million for an option to purchase 50 million gallons per day once the plant operates.
Official Statements and Criticism
Marvin Cole-Chaney, director of program administration for the Texas Water Development Board, said the state “has more demand than we actually have the capacity to fulfill this year.” The board noted that denied projects may seek other financing, such as the Drinking Water State Revolving Fund. John Byrum, executive director of the Nueces River Authority, expressed disappointment with the scoring outcome and argued that the system’s minimal weighting of “emergency need” fails to reflect the acute water shortage in the Coastal Bend.
Conflicting Reports & Gaps
The scoring framework caps emergency-need points at five, yet none of the ten highest-ranked projects earned any, despite documented water-shortage conditions. The board has not explained how this weighting aligns with the state’s drought response strategy.
Verbatim Quotes
- “We have more demand than we actually have the capacity to fulfill this year,” — Marvin Cole-Chaney, Texas Water Development Board
- “We really thought our project would rate higher,” — John Byrum, Nueces River Authority
- “We were disappointed.” — John Byrum, Nueces River Authority
What’s Next
The denied applicants intend to apply for the Drinking Water State Revolving Fund, pursue private financing, and submit proposals to other Texas Water Development Board programs. The ten highest-ranked projects will move to a detailed-application phase later in 2026.
