Real Estate Photographer in Helotes, TX

The Texas Commission on Environmental Quality voted today to approve a wastewater discharge permit for Municipal Operations LLC, advancing plans for the Guajolote Ranch development in northwest Bexar County.

The permit allows the release of up to 1 million gallons of treated wastewater per day into Helotes Creek, a tributary that feeds directly into the Edwards Aquifer — the primary drinking water source for more than 2.5 million people across Central Texas.

Despite widespread opposition from local officials, environmental groups and residents, TCEQ Chairwoman Brooke Paup voted to approve the permit as it met all environmental and legal standards.

“In my evaluation, I find that the evidence and record support the administrative law judge’s determination that the applicant met its burden to establish that the draft permit is protective and meets all applicable requirements,” Paup said, referring to the finding from the State Office of Administrative Hearings, which reviewed the contested case.

Bexar County Judge Peter Sakai condemned the state ruling on Wednesday.

“That decision fails to protect the fragile Edwards Aquifer. That decision fails to protect the water quality and health of local neighbors and families. And that decision ignores the unanimous voices of San Antonio leaders and community health experts,” Sakai wrote in a statement. “I oppose the state’s action and will work shoulder to shoulder with local residents to protect our aquifer and the health and safety of our families.”

Environmental groups, including the Scenic Loop–Helotes Creek Alliance, have long argued that wastewater discharge in the area’s porous terrain could quickly contaminate groundwater. The groups points to a 2020 Southwest Research Institute study that found any wastewater system in the watershed would “significantly degrade” the aquifer’s recharge quality.

Opponents plan to seek a rehearing, which could delay final approval by several weeks.

“This by no means is the end of our fight, and in fact is actually just beginning anew,” said Randy Neumann, chair of the steering committee of the Scenic Loop-Helotes Creek Alliance, in a press release.

The 2,900-home Guajolote Ranch development owned by Lennar Corp. would span about 1,160 acres near Grey Forest. The developer previously declined to connect to San Antonio Water Systems sewer lines for an estimated cost of $20 to $40 million, instead pursuing a private wastewater plant, which would be need to be financed through a Public Improvement District.

The Bexar County Commissioners Court is expected to vote on the Public Improvement District after TCEQ approval, which would require a $183 million bond to pay for the infrastructure of the development. An extra tax would be paid by future residents in the development to pay for the bond, said Michael Phillips, a member of the Gray Forest City Council, in an interview with Texas Public Radio in July.

Neumann said he hopes that TCEQ will grant a rehearing or that the Public Improvement District will be rejected by local leaders.

“Today was a setback, but this fight is not over,” Sakai said.