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<br />The La Porte Area Water Authority (LPAWA) was created by an act of <br />the Texas Legislature to ensure an adequate supply of surface water <br />for the Bayshore Area, in response to a mandate by the Harris- <br />Galveston Coastal Subsidence District to convert to surface water <br />by 1990. The Authority, after approval by voters, in 1982, began <br />work on a plan to supply surface water. Various alternatives were <br />investigated, and by 1985, it appeared that a plant built and <br />operated by the Authority was the most cost-effective alternative. <br />Also during this period, potential water customers were contacted, <br />and interest was expressed by the Cities of La Porte, Morgan's <br />Point, Seabrook and Shoreacres, along with Bayshore Municipal <br />Utility District (Bay MUD) and Water Control Improvement District <br />No. 50. Projected water demands were obtained, and cost estimates <br />were prepared to reflect total cost, as well as each individual <br />entity's cost. Availability of raw water at this time presented <br />no problem, and the Authority began contract negotiations with the <br />proposed customers for surface water supply. <br />In April 1986, the City of Houston announced the proposed <br />construction of the South East Water Purification Plant near <br />Ellington Air Force Base. Due to this investment, and the probable <br />need to examine future raw water needs for Houston within ten <br />years, Houston could offer only a ten year contract for the <br />purchase of raw water to the Authority. The Authority could, <br />however, purchase capacity at the proposed Southeast Plant for its <br />surface water needs. <br />The Authority began examining the costs of purchasing capacity at <br />the Southeast Plant, as well as participating with Deer Park in <br />their proposed plant. Cost analysis indicated the City of Deer <br />Park option had a substantially higher cost than the Houston Plant <br />and the original Authority Plant, which were comparable. The <br />Authority decided that the most cost effective option was to <br />negotiate a contract with the City of Houston to purchase capacity <br />at the Southeast Plant, and construct transmission facilities to <br />deliver surface water to customers. <br />The City of Seabrook, along with WCID No. 50 indicated that it <br />would be more cost effective for their surface water needs to be <br />met by direct dealings with Houston, or through the City of <br />Pasadena. The remainder of the Authority's customers committed to <br />the purchase of surface water through the Authority, and the <br />Authority began contract negotiations with the City of Houston for <br />purchase of capacity at the Southeast Plant. <br />