In response to the ongoing drought that has created friction between Central Texas cities and rice farmers in the Lower Colorado River Basin, the Lower Colorado River Authority has signed a $174 million contract to build its first major reservoir since the first half of the 20th century. The organization’s board of directors approved the contract on Wednesday with Phillips & Jordan Inc. to build the Lane City Reservoir in Wharton County. The river authority has partnered with the Texas Water Development Board to issue $255 million in bonds to pay for the project. The 40,000 acre-foot off-channel reservoir, planned for completion in 2018, could provide as many as 90,000 acre-feet of water per year to the basin’s supply and reduce its reliance on releases from reservoir lakes Travis and Buchanan – which provide Austin’s drinking water – downstream for agricultural and other interests. One acre-foot equals about 326,000 gallons.
LCRA approves downstream reservoir contract
