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Source-linked guide · Texas

Texas: a private well can come with a public-water obligation.

Private ownership of a water system does not necessarily mean the system is outside public-water regulation. Identify the system before pricing the park.

01

Start with the public water system ID

TCEQ describes a public water system as supplying water for human consumption and serving at least 15 service connections or at least 25 people for at least 60 days of the year. Classification and actual operations matter; confirm the facility’s status rather than using the park’s marketing description.

Sources: TCEQ: what is a public water system?

02

Build the operating evidence file

Our acquisition checklist asks for the PWS identifier, agency contacts, sampling and testing records, operator arrangements, inspection findings, notices, equipment information and unresolved corrective actions. A document stating that equipment exists is not a condition or capacity assessment.

Record each missing item and ask the relevant agency or qualified specialist what further review is necessary. Do not turn an unanswered question into a zero-dollar budget.

03

Check the emergency plan

TCEQ maintains emergency-preparedness requirements and update guidance for affected utilities, including circumstances involving new equipment or changes in service. Confirm applicability to the system; do not assume every park has the same requirement.

Sources: TCEQ: emergency preparedness plans

04

Tie the file to the closing plan

Assign responsibility for ownership information updates, continuing operations, specialist review, lender conditions and corrective work. Determine which items must be resolved before closing and which require an expressly documented post-closing plan. Counsel and the relevant agencies should confirm the required steps.

Evidence & limitations

Read the source. Question the assumption.

Educational material, not legal, tax, engineering, lending or investment advice. Regulatory requirements are transaction-specific and may change. Anonymized case notes describe process, not results. Models use hypothetical inputs.

Editorial contact: Jason Ramshaw. New articles are issued by Rhino Capital Editorial; personal review by Jason is not implied.

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