Amarillo’s wastewater system has reached a critical threshold, setting off a legally required process to design expanded treatment capacity. The City Council received a detailed briefing this week from Assistant City Manager Donny Hooper, who explained that both growth and aging infrastructure are pressing the city toward billion-dollar decisions on how to modernize its two century-old treatment plants.
The conversation marks a turning point in what could be the most expensive infrastructure project in Amarillo’s history — one that will affect taxpayers, businesses, and the city’s ability to accommodate future growth for decades to come.
A Legal Threshold: Amarillo Hits 75% Capacity
At the heart of the issue is a state regulation known as the 75/90% rule, set by the Texas Commission on Environmental Quality (TCEQ). Once a wastewater facility operates at 75% of its permitted capacity for three consecutive months, state law requires the city to begin the engineering and financial planning for expansion. If a facility reaches 90% for three months, the city must move beyond planning and seek authorization to begin construction.
According to Hooper, Amarillo’s Hollywood Road plant crossed the 75% threshold in November 2023, and both of the city’s two treatment facilities — Hollywood Road and River Road — are now consistently operating near that mark.
“Once you cross that line, you’re compelled by law to start preparing for design,” Hooper told the council. “The question now is not if, but how we move forward in the most efficient, cost-conscious way possible.”
The issue is compounded by the fact that Amarillo’s plants are among the oldest of their kind in Texas. The Hollywood Road facility is more than 60 years old and has not received a major upgrade since 1995. The River Road plant is more than 100 years old, with its last significant improvements made in 2002. Neither plant can be shut down for maintenance without jeopardizing service.
From $3 Billion to $1.5 Billion: A “Pivot” in Planning
The City of Amarillo began exploring wastewater expansion plans last year. Initial projections suggested a new, centralized wastewater treatment plant — consolidating all of Amarillo’s flow into one massive facility near the Hollywood Road site. That plan carried a daunting price tag of $2 to $3 billion and relied on growth projections extending 25 years into the future.
But after months of analysis, Hooper and city staff now believe a phased, two-plant approach could deliver a more affordable and flexible solution.
“We’re very, very preliminary investigating into this entire project for wastewater treatment upgrades,” Hooper said. “The original concept was to build one centralized wastewater treatment plant … But we decided we weren’t comfortable with the 25-year projection. We think we need to bring that back to about 10 to 15 years.”
Instead of abandoning the old plants, the new plan calls for:
Rehabilitating portions of the Hollywood Road plant,
Constructing a smaller new facility to add short-term capacity, and
Upgrading the River Road plant instead of converting it into a massive lift station.
This strategy, according to Hooper, reduces the estimated cost to under $1.5 billion — potentially saving taxpayers billions while still positioning Amarillo for the next wave of growth.
“What that does is it allows today’s ratepayers to pay for today’s upgrades and tomorrow’s ratepayers to pay for tomorrow’s upgrade,” Hooper explained.
Looking to Austin for Inspiration
To refine its options, Amarillo’s team toured Austin Water’s Walnut Creek Wastewater Treatment Facility, which is undergoing a $1.4 billion expansion. Like Amarillo’s plants, Walnut Creek was built more than 50 years ago and sits within a floodplain.
“What caught our attention was how Austin expanded a plant that was more than 50 years old, in a floodplain, and still serving millions of people,” Hooper said. “It showed us there are creative ways to extend what we already have rather than abandon it altogether.”
Austin’s project will add 25 million gallons per day of capacity and is scheduled to be completed by 2032. Hooper said Austin’s challenges mirror Amarillo’s — aging infrastructure, floodplain constraints, and steady growth — and confirmed that Amarillo’s “pivot” toward a two-plant system is feasible.
Among the ideas Amarillo is exploring are over-excavating floodplain areas to add usable capacity or building protective floodwalls around its treatment plants. “We don’t necessarily have to build outside the floodplain if we can put the right mitigation in place,” Hooper said.
Addressing Public Concerns
Not everyone is convinced Amarillo’s wastewater problem is as urgent as presented. Some residents have questioned whether short-term spikes in flow — for example, from stormwater infiltration — could have artificially pushed Amarillo above the 75% threshold.
Councilmember David Prescott raised that concern at the meeting, urging caution before committing hundreds of millions of taxpayer dollars.
“Before we commit taxpayers to hundreds of millions in construction costs, we need to make sure the numbers are clear and accurate,” Prescott said. He also asked for comparisons with other Texas cities on a per-capita basis to ensure Amarillo’s water use is not being overstated.
Hooper acknowledged the skepticism and emphasized that transparency is central to the city’s review process. “The reason we’ve pivoted is to make sure the public has confidence in us,” he said. “We’re turning over every stone and running every scenario so that when we get to design, taxpayers know we’re delivering the most efficient project possible.”
A Long Road Ahead
Even with Amarillo crossing the 75% mark, Hooper stressed that the process will be measured, deliberate, and years in the making.
“This is a five-to-six-year process, and we’re going to make sure we get it right,” he said.
The timeline breaks down roughly as follows:
Preliminary engineering and asset database completion – now underway.
Design phase – expected to take several years.
Phased construction – potentially beginning after design approval.
Completion – dependent on financing, permitting, and construction challenges.
In the meantime, Amarillo must maintain its existing plants at high levels of operation — a costly and complex task given their age.
Funding the Bill
Perhaps the biggest question is how Amarillo will pay for upgrades that may approach $1.5 billion. Options on the table include:
Local bonds, repaid through water and sewer rates,
Low-interest loans from the Texas Water Development Board, and
Potential federal assistance, though Hooper cautioned that grant dollars often come with restrictions.
Mayor Cole Stanley summarized the financial challenge succinctly: “We have to protect taxpayers while still planning responsibly for Amarillo’s future.”
Lessons from the Past, Decisions for the Future
The story of Amarillo’s wastewater system is also a story of growth. The Hollywood Road plant was last upgraded nearly 30 years ago, when Amarillo was a much smaller city. The River Road plant has been running for more than a century — a testament to its design but also a reminder that it was never meant to serve a modern metro area approaching 300,000 people.
Meanwhile, Amarillo’s population is projected to grow steadily over the next two decades, driven by new businesses and housing developments. Hooper said his team has factored in those projections, but with a more conservative 10- to 15-year planning horizon instead of 25 years.
Councilmember Prescott said he supports the willingness to adapt. “I think you should pivot as many times as it takes to get the best project,” he said.
The Stakes
Wastewater infrastructure rarely makes headlines, yet it is one of the most essential services a city provides. Without reliable treatment capacity, Amarillo risks violating state and federal regulations, stalling business development, and jeopardizing public health.
In short, this is a project Amarillo cannot avoid — the only questions are how, when, and at what cost.
Hooper put it plainly: “We’re not in a hurry. We’re trying to deliberately take our time through this process and make sure that we meet our TCEQ requirements.”
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