Proposition 4, which is set to appear on the ballot this fall, proposes a constitutional amendment that would allocate $1 billion annually to the Texas Water Fund starting in 2027 and through 2047. This proposition has sparked both hope and concern for Texas’ water future. In this blog, we will address several common concerns about Proposition 4.
At least half of the annual funding will be directed to controversial new water supply projects.
Proposition 4 allows funding for a wide range of new water supply projects, some of which raise serious concerns for public health and the environment - like oil and gas wastewater reuse and seawater desalination projects. However, this proposition also makes funding available for sustainable new water supply projects, such as aquifer storage and recovery (ASR) and water and wastewater reuse. Moreover, this half of the funding would be split between the New Water Supply for Texas Fund and the State Water Implementation Fund for Texas (SWIFT). The SWIFT funds regionally approved projects listed in the State Water Plan, which include many sustainable solutions like water conservation, water infrastructure improvements, nature-based solutions, and others. With at least part of this portion of the funding tied to projects approved by Texas communities, the potential for positive impact is real - but only if Texans come together to advocate for the money to be directed away from controversial projects.
Concern: Proposition 4 would make it easier to advance controversial projects like the Marvin Nichols Reservoir, water transfer from East Texas, and expansion of seawater desalination.
Proposition 4 does not favor any specific type of project, nor does it establish criteria for how projects will be prioritized. This makes public participation critically important. Much of the decision-making will happen through regional planning groups and TWDB established processes, which are open to the public. We encourage people to attend TWDB’s public meetings and get involved in regional water planning, where Texans help determine which projects move forward and best serve the needs of their communities. To learn more about how to get engaged in regional planning, read our previous blogs about the State Water Plan and the State Flood Plan. The more Texans speak up, the harder it is to ignore community needs and push political or industry agendas.
Concern: Allocation decisions will rest with the Texas Water Development Board (TWDB), which includes governor-appointed members.
We understand the concern that funding allocation decisions could be politically driven. That’s why public participation and advocacy are critically important - especially if Proposition 4 passes. It’s important to remember that many projects must go through established processes like public meetings, hearings, and comment periods, offering opportunities for community input. If Texans show up and speak up, the outcomes can change. The recent stalling of the Inner Harbor seawater desalination plant in Corpus Christi is an excellent example how public involvement can drive the desired change, even in the face of pressure from special interests and the support from the governor. For our part, we will continue to monitor how funds are allocated, attend public meetings, and engage with agencies like TWDB and TCEQ to ensure transparency and accountability.
Concern: Proposition 4 would set up automatic deposits to the Texas Water Fund, which may limit legislative oversight, transparency, and adaptability to emergencies.
Proposition 4 brings a long-term funding stream, but it doesn’t lock the Texas Legislature out. The automatic transfer simply creates predictable funding. The Legislature must still pass a budget bill every two years to authorize the appropriations. An additional provision outlined in the House Joint Resolution 7 (HJR 7) - from which Proposition 4 has resulted - allows the Legislature to temporarily suspend deposits during a declared state of disaster, thus giving the state flexibility to respond to emergencies. To ensure transparency in the spending process, the enabling legislation - Senate Bill 7 (SB 7) - established the Texas Water Fund Advisory Committee, composed of legislators and agency representatives, to oversee spending and make recommendations that keep investments transparent and aligned with the state’s water needs. In addition, the Legislature is free to make additional appropriations beyond the $1 billion to address specific needs or even projects if money is available from state or federal revenues.
Concern: Proposition 4 may take money away from other priorities.
Proposition 4 doesn’t raise taxes or take money away from existing priorities, like transportation or education. It uses surplus state sales tax revenue, money that’s only allocated once collections exceed $46.5 billion in a given year. In other words, this is extra money that the state already has, and Proposition 4 would direct $1 billion each year to water needs.
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