Ceremony To Mark Payment of Duncanville’s Federal Water Supply Debt

           Duncanville-A ceremony will be conducted on Thursday, February 6 at 10 A.M. celebrating Duncanville’s payment in full of $4,128,923.91 to the U.S. Army Corps of Engineers for the city’s share of the water supply contained in Lake Joe Pool.

           The ceremony will be conducted at the USACE overlook park on the east end of the dam at Lake Joe Pool. The park can be accessed from FM 1382. Temporary signs will mark the park entrance. In the event of bad weather the ceremony will be held in the Duncanville City Hall Council Chamber.         

           When Lake Joe Pool was initially proposed for construction in the 1960’s Trinity River Authority of Texas assumed the responsibility of local sponsor. In this capacity TRA agreed to repay the federal government for that portion of the projects cost attributable to water supply development.

           The Authority, which exists without the benefit of a direct tax base or appropriations from the state or federal government, in turn made the dependable water supply yield of the lake available at cost to four entities, Cedar Hill, Duncanville, Grand Prairie and the Midlothian Water District. Under this arrangement the USACE annually invoices the Authority, which in turn passes the cost to the contracting entities.

           Duncanville contractually committed to paying for 7.04 percent of the lake’s water supply over a 50-year period at an interest rate of 5.6%. The original debt was to have been paid off in 2044. 

           By paying off the debt with revenue from city issued bonds, the Joe Pool Lake water supply debt for Duncanville will be paid off by 2020 at an interest rate of 4.176 percent. The lump sum payment by Duncanville of $4,128,923.91 will produce a gross savings by the city of $5,691,655 over the life of the debt. Current low interest rates in the municipal bond market make this possible.

           The Midlothian Water District refinanced its 39.19 percent share of the water supply debt in October 2000.

For more information contact John Jadrosich, (817) 467-4343