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Conroe, Willis ISD Settle $900K Water Dispute

**Conroe, Willis ISD Settle Years-Long Water Dispute for $900,000**

Conroe, TX – The City of Conroe and the Willis Independent School District (ISD) have officially resolved their long-standing water dispute, filing a settlement agreement in Montgomery County Court on May 21st. The resolution brings an end to a contentious legal battle stemming from a 2008 water service contract and Conroe’s demand for over $1.1 million in payments from the school district.

Under the terms of the new settlement, Willis ISD will pay the City of Conroe a total of $900,000. The payment schedule is structured to ease the financial impact on the district: an initial payment of $300,000 is due within 30 days of the May 21st agreement filing, followed by three annual payments of $200,000, commencing in 2025. This agreement effectively terminates the original 2008 water service contract between the two entities.

The dispute originated from a water service agreement signed in February 2008, where Willis ISD committed to purchasing water from Conroe. A critical component of this contract was a “take-or-pay” clause, which obligated Willis ISD to pay for a specified amount of water whether they used it or not.

The situation became complex in 2017 when Willis ISD entered into a separate agreement with the San Jacinto River Authority (SJRA) to secure surface water. This move aligned with a broader regional effort led by the SJRA to transition local entities from relying solely on groundwater to utilizing surface water, a strategy aimed at combating land subsidence in the rapidly growing Montgomery County area.

Conroe subsequently argued that Willis ISD remained bound by the “take-or-pay” clause of their original contract, leading the city to demand payment totaling over $1.1 million, plus accrued interest, for water it claimed Willis ISD was obligated to purchase but did not.

Going forward, Willis ISD plans to continue sourcing its primary water supply from the SJRA, a strategy particularly beneficial for its expanding number of new facilities designed to accommodate the district’s significant growth. However, the district retains the option to purchase additional water from the City of Conroe at standard current rates should supplementary supply be needed in the future.

City Administrator Paul Virgadamo expressed satisfaction with the resolution. “This settlement closes a contentious chapter for both the City of Conroe and Willis ISD,” Virgadamo stated, highlighting the relief of moving past the protracted dispute.

Similarly, Willis ISD Superintendent Dr. Tim Harkrider emphasized the positive implications for the district and its taxpayers. “This settlement allows Willis ISD to continue our important work of growing and serving our community, while responsibly managing costs for our taxpayers,” Dr. Harkrider said. “We are committed to providing excellent educational opportunities, and ensuring stable and cost-effective utility services is a key part of that commitment.”

The compromise payment of $900,000 reflects a negotiated reduction from Conroe’s initial demand, allowing both governmental entities to avoid further prolonged and potentially costly litigation while establishing clear terms for future water services in one of Texas’s fastest-growing regions.

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