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File #: 26-1200   
Type: Consent Status: Agenda Ready
File created: 2/11/2026 In control: City Council
On agenda: 3/12/2026 Final action:
Title: Authorize negotiation and execution of the extension of a contract with Shady Hollow Municipal Utility District (District) for the City to provide wholesale water and wastewater services to the District. Funding: This item has no fiscal impact.
Attachments: 1. Shady Hollow MUD, 2. Recommendation for Action
Date Action ByActionAction DetailsMeeting Details
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Posting Language
Title
Authorize negotiation and execution of the extension of a contract with Shady Hollow Municipal Utility District (District) for the City to provide wholesale water and wastewater services to the District. Funding: This item has no fiscal impact.

De
Lead Department
Austin Water.

Fiscal Note
This item has no fiscal impact.

Prior Council Action:
May 21, 2020 - City Council approved Resolution No. 20200521-010 relating to negotiation of an amendment of the City's Strategic Partnership Agreement (SPA) with the District.

October 15, 2020 - City Council authorized negotiation and execution of an interlocal agreement with the District for the transfer of the District's former water and wastewater system back to the District, with reimbursement to the City in the amount of $714,387 for costs related to improvements to the system and additional consideration to the City provided in related agreements with the District.

December 10, 2020 - Council authorized negotiation and execution of a contract with the District for the City to provide wholesale water and wastewater services to the District.

For More Information:
Inquiries should be directed to Vicky Addie, 512-972-0332, or vicky.addie@austintexas.gov.

Council Committee, Boards, and Commission Action:
February 18, 2026 - Recommended by the Water and Wastewater Commission on a 9-0 vote with Commissioner Marzullo absent and one vacancy.

Additional Backup Information:
In 1980, the City consented to the creation of the Shady Hollow Municipal Utility District, previously known as Southwest Travis County Municipal Utility District No. 1, in order to facilitate development of the area. Terms and conditions contained in a consent agreement and provisions of related agreements between the City and the District indicate that as the area developed, the parties anticipated the District would become part of the City through annexation.

In September 1980, the City and the District entered into an agree...

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