What is a MUD?

What is a Water District?

A water district is a local, governmental entity that provides limited services to its customers and residents, depending on the district’s type.

Texas has many types of districts. The four most common types of districts that provide services to residential customers are municipal utility districts (MUDs), water control and improvement districts (WCIDs), special utility districts (SUDs), and river authorities.

MUDs engage in the supply of water, conservation, irrigation, drainage, fire fighting, solid waste (garbage) collection and disposal (including recycling activities), wastewater (sewage) treatment, and recreational facilities.

A MUD can require its customers to use its solid waste services as a condition for receiving other MUD services. A MUD may provide solid waste and recycling services through a private company.

While they can develop, maintain, or acquire parks or recreational facilities, MUDs are prohibited from issuing bonds to pay for these facilities. They can, however, set and charge user fees.

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