During Tuesday’s Amarillo City Council meeting, council members unanimously approved a $20 million grant from the Texas Water Development Board (TWDB) to support the planning and design of the Hollywood Road Wastewater Treatment Facility. The vote, which passed 5-0, marks a significant step in the city’s ongoing efforts to modernize aging water infrastructure.
The grant, known as a Special Appropriation through the General Revenue Grant program, is intended specifically to fund planning and design activities for the Hollywood Road facility, which has served Amarillo for more than six decades. The facility last underwent a major upgrade in 1995.
Assistant City Manager Donny Hooper has repeatedly noted the need for updates at both the Hollywood Road and River Road Wastewater Treatment Facilities. “Both facilities regularly operate near 75% capacity, and neither can be shut down for regular maintenance or repairs,” Hooper told the council in May. The facilities’ limited capacity and aging infrastructure have raised concerns about the long-term reliability of Amarillo’s wastewater treatment system.
The urgency for planning upgrades is also driven by regulatory requirements. The Texas Commission on Environmental Quality (TCEQ) enforces a 75/90% rule for wastewater treatment facilities. According to this rule, when a facility reaches 75% of its permitted design flow for three consecutive months, the operator must begin engineering and financial planning for expansions or upgrades. If the facility reaches 90% of its permitted capacity for three consecutive months, the operator is required to obtain authorization from TCEQ to begin construction on upgrades or expansions. The Hollywood Road Facility reached 75% of its capacity in November 2023, triggering the need for further planning.
City officials have said that both the Hollywood Road and River Road facilities require substantial improvements. Current plans include rehabilitating the Hollywood Road facility and using it in conjunction with a new, smaller facility to be constructed nearby. The River Road facility is also under evaluation for future upgrades. As of late August, preliminary cost estimates for these projects were approximately $1.5 billion. City leaders have been actively pursuing grant funding to help offset the financial burden on local taxpayers.
Special Advisor Floyd Hartman, who has served the City of Amarillo for 20 years, said the grant represents a rare opportunity. Hartman noted that the funding was secured through legislation sponsored by Representative Caroline Fairly (R-Amarillo) as part of Senate Bill 1, the state appropriations bill that sets Texas’ budget for the next two years.
“I was grateful to help secure this funding for our community,” Fairly said in a statement to the Amarillo Tribune. “The Panhandle’s water infrastructure is a real need, and this investment will make a meaningful difference for families and businesses across the region. It was a team effort — working alongside local leaders to make sure our priorities were heard in Austin.”
The $20 million grant comes with specific restrictions. Hartman explained that state funding typically has limitations, and in this case, the money must be applied toward the Hollywood Road Wastewater Treatment Facility project. Approval of the council resolution was a necessary procedural step, confirming the City’s intent to move forward with the project and utilize the funds accordingly.
“The Texas Water Development Board has an engineering department that reviews the plans, reviews our process and reviews our applications. They also have a finance division that reviews it from the finance laws and rules and regulations. And they also have a legal department, just like we do, that reviews it. So, it’s reviewed at multiple levels. If there’s anything in that application and/or our process that is inappropriate, they will catch that and it will be rejected,” Hartman said.
Following the TWDB’s internal review, the project will be presented for public comment, and the funding decision will be made in a public meeting. Hartman estimated that the process would take six to nine months.
In addition to the initial $20 million grant, the City has been invited to apply for additional state assistance totaling up to $66 million. This potential funding includes $60 million for the Hollywood Road project itself and $6 million for associated fees. According to Hartman, securing the invitation to apply was competitive and involved 10–12 city staff members working extensively to prepare the submission. The city council also approved a resolution for this application during Tuesday’s meeting, which passed with the same unanimous vote.
City officials emphasize that planning and designing a reliable wastewater system is a long-term investment for the community. The Hollywood Road facility, with more than 60 years of service and limited capacity for maintenance downtime, is considered critical to the region’s water infrastructure. By rehabilitating the existing facility and constructing a new complementary facility nearby, Amarillo aims to address current regulatory requirements and prepare for future population and economic growth.
The grant approval is a milestone in a broader effort to modernize Amarillo’s water infrastructure. While the project is still in the planning phase, city officials are optimistic that state funding will significantly reduce the financial impact on local taxpayers. According to Hartman, the city has approached the planning process with a focus on transparency and adherence to state guidelines, ensuring that each stage of the project is subject to review and public oversight.
The council’s unanimous vote on both resolutions signals broad local support for moving forward with the planning and design phase of the Hollywood Road facility project. City leaders hope that the combination of state funding and careful project planning will allow Amarillo to maintain and expand its wastewater treatment capabilities efficiently and sustainably.
As the project moves forward, city officials will continue to engage with the TWDB, complete engineering and financial planning, and seek public input to ensure that the completed facilities meet both regulatory requirements and the needs of the growing Amarillo community.
The approval of the $20 million grant demonstrates Amarillo’s ongoing commitment to infrastructure improvement and long-term planning. By leveraging state resources and coordinating with federal and local stakeholders, the city aims to strengthen its water treatment system, support economic growth, and safeguard public health.
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