In a recent government meeting, discussions centered on the critical relationship between land development and access to essential utilities, particularly water and sewer services. A key speaker emphasized that the future developability of land hinges not on its geographical designation, such as being in an extraterritorial jurisdiction (ETJ), but rather on the availability and reliability of infrastructure.

The speaker pointed out that water scarcity and the high costs associated with sewage treatment are significant concerns for landowners and developers. The ability to secure quality water and sewer services at reasonable costs directly impacts property values, making it a vital property rights issue.

Concerns were raised about certain cities' practices of regulating growth by controlling access to these essential services. The speaker described these practices as \"basic extortion,\" where cities condition water and sewer service on unrelated requirements, such as full annexation or additional fees. This approach, they argued, leads to a decrease in housing availability and an increase in housing costs.

The discussion also highlighted the role of water districts as an alternative to city services, noting that while cities have the authority to consent to the creation of these districts within their ETJs, this consent is not without limitations. According to the Texas Water Code, cities can only impose three specific conditions on such consent and cannot require annexation as a condition for the creation of a district.

The meeting underscored the importance of ensuring that landowners have fair access to necessary utilities to foster growth and development, while also addressing the regulatory challenges posed by city governance.