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EDC hears detailed utilities update for Cottonwood and Megasite; board ends talks with Midway and limits Cottonwood land uses

October 08, 2025 | Hutto, Williamson County, Texas


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EDC hears detailed utilities update for Cottonwood and Megasite; board ends talks with Midway and limits Cottonwood land uses
Matt, the city's executive director of infrastructure and development, briefed the Hutto Economic Development Corporation board on existing and planned water and wastewater infrastructure for the Cottonwood and Megasite properties and on related developer requests.

The update laid out what utility mains are already in the ground, what remains on the city's master plan and what developers have agreed to build. Matt said parts of the wastewater main and a lift station feeding the Megasite are complete and in start-up testing, while other major water and sewer pieces shown on the master plan remain unbuilt and are not currently in the five‑year CIP.

The presentation gave several timeline and capacity notes city staff said are important for development planning: the city’s Service Extension Request (SER) submitted for Cottonwood was dated 07/28/2025 and is valid for six months unless the developer pulls other permits; staff said the current SER reserves nearly 4,000 LUEs (land‑use equivalents) for Cottonwood and that earlier SERs had been lower (about 2,000 LUEs). Staff advised that, under the previous plan, full phases would not come online until late 2028 but that a new plan to divert flows rather than expand the central plant could accelerate some deliveries. Matt also told the board the developer Lennar has built a wastewater main across the Cottonwood site and is preparing a bore under U.S. 79 and a railroad; final Union Pacific Railroad (UPRR) approval required a $1,000 extension fee that staff said was paid by ACH to keep approvals current.

Staff recommended the EDC and city clarify which infrastructure costs developers must bear so city utility customers are not asked to pay for development‑specific upsizing. Board members asked for CIP project numbers and cost breakdowns to be included for council and EDC budget planning.

In executive session the board discussed Cottonwood and related land transactions. When the meeting returned to open session the board took several recorded, unanimous actions: it directed staff to pay a pending incentive for “Project in Q2” calculated only from sales taxes received from the businesses defined as within the project (motion by Board member Snyder; second by Board member Porterfield; passed 7–0); it directed staff to decline any sale of Cottonwood land for residential uses, including single‑family and multifamily residential (motion by Board member Snyder; second by Chair Sarah Carlson; passed 7–0); it approved the proposed RFP language for planning and development of the Cottonwood common property (motion by Board member Snyder; second by Board member Porterfield; passed 7–0); and it directed staff to cease negotiations with Midway for the Cottonwood property and to notify Midway and the EDC general counsel (motion by Chair Sarah Carlson; second by Board member Morris; passed 7–0).

Discussion, not action, during the utilities presentation included: a city master‑plan water tower site (staff said the city requests a two‑acre parcel be held for a future tower), options to charge a reservation fee so developers can hold SER capacity, and the consequence that an SER expires if not advanced (staff noted January 2026 as an approximate SER expiration date for the July 2025 SER if not extended). Staff also described the Southeast Loop Wastewater Line project as intended to decommission a temporary lift station once the loop is online (staff estimated the loop would be online late 2026 and the lift station used only for a short, interim period).

The board asked staff to include CIP numbers and cost estimates when they return with additional materials and to provide a clearer pro rata allocation for any new tower and related upsizing so EDC land sales or developer agreements rather than utility rate increases would pay for development‑driven capacity.

The board’s votes were recorded as seven in favor, zero opposed for each motion. The board majority also approved directing staff to advertise the RFP for Cottonwood planning and to move forward with the procurement documents approved in open session.

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Scribe from Workplace AI
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