San Antonio Water System officials told the City Council on Oct. 1 that the utility is moving to reduce system water loss through meter replacements, leak detection and a five-year program to replace vulnerable main lines, and that staff will return with budget and rate proposals for 2026.

The presentation, led by Andrea Beer, identified four immediate priorities: replace aging meters, expand leak-detection teams, accelerate main-line replacements and update capital planning to reflect higher construction costs. “Somos muy serios acerca de esta iniciativa, en los siguientes 5 años queremos gastar 500000000 de dólares,” Andrea Beer said, explaining the five-year target for main-pipe rehabilitation.

The emphasis on water-loss reduction follows months of higher leak counts and a longstanding problem with older infrastructure. Beer said SAWS has replaced a large share of meters and is on track to finish installations this year: “Estamos 91 por 100 completada la la instalación de todos los medidores, y pensamos tenerlos todos instalados para los fines del año 20 25.” David Stevenson, the utility’s financial officer, reviewed the 2026 budget timetable and fiscal drivers, including inflation and capital needs.

Why it matters: City council members repeatedly pressed SAWS staff for ward- or ZIP-code-level maps of older pipes and failure rates so that planned investments can be evaluated for equity and efficiency. Councilmembers also sought detail on customer-assistance programs and how an eventual rate adjustment would protect low-income households.

Key details

- Scope of system: presenters described SAWS as one of the nation’s largest systems, serving roughly 582,000 connections and operating multiple treatment plants. (Quote and figures from the SAWS presentation.)
- Meters: SAWS reported it has replaced most legacy meters and that the advanced meters improve hourly/daily consumption visibility. Beer said the meter rollout is “91 percent completed” and will help detect leaks sooner.
- Leak detection and crews: the dedicated leak-detection team was expanded from six to 16 technicians and new technologies are being piloted to find nonvisible leaks earlier.
- Capital spending and budget signals: presenters described a five-year capital program that includes roughly $500 million targeted at main pipeline replacements and other rehabilitation work, and noted a separate proposed internal referendum / public improvement request of about $350 million to fund public improvements. SAWS staff also said they expect about $125 million in partner or other investments toward upgrades (figures given by presenters during the briefing).
- Rates and fiscal context: SAWS staff framed any rate adjustment as driven by higher capital and construction costs since 2020 and by the utility’s need to preserve credit ratings. Stevenson said staff is working on a cost-of-service study and expects to return with proposed rates and implementation options in the 2026 budget cycle.
- Customer assistance: SAWS staff described existing programs (including a multi-month emergency assistance program and an “Uplift” assistance program) and said the utility is looking at eligibility criteria and district-level impacts to expand aid to vulnerable households.

Council reaction and follow-up directions

Councilmembers repeatedly asked for: district- or ZIP-code-level maps showing where pipes are older than 50 years; a breakdown of where capital funds would be spent in the near term; and program-level reporting on how many customers receive bill assistance and the program’s effect on average bills. Councilmembers also asked SAWS to provide more granular reports on meter conversions, a schedule of capital projects with timelines, and cost estimates for relocating or modifying large customer infrastructure (for example, chilled-water plants referenced in the presentation).

What SAWS said it will do

SAWS staff said they will return with: (1) the cost-of-service study and proposed rate options for 2026; (2) district-level maps and a prioritized list of main-line replacements informed by condition modeling; (3) a report with detailed counts and dollar impacts of customer-assistance programs; and (4) a timeline and early estimate for the chilled-water plant relocation study (staff said an engineering study would return a figure likely not less than $200 million).

Context and background

Presenters noted SAWS previously deferred some capital spending while complying with a consent decree addressing collection-system issues; the utility says much of the deferred capital now needs rehabilitation funding. SAWS leaders also highlighted that construction costs and inflation have been meaningfully higher since 2020 and that the utility has maintained strong credit metrics while delaying some capital projects.

Ending

Council members broadly endorsed the need for increased investment but pressed SAWS on equity and communication with residents about construction impacts. Staff agreed to deliver the requested studies and district-level data before the next budget vote so council members can review options for protecting low-income residents and prioritizing near-term replacements.