How do MUDs provide for parks, pools and recreation facilities?
In addition to their common functions of water and wastewater service. MUDs are legally empowered to engage in conservation, irrigation electrical generation, firefighting, solid waste collection and disposal, and recreational activities (such as parks, swimming pools, and sports courts). A MUD can provide for itself the recreational amenities that are approved by the Board of Directors and funded by the District. What is a developer’s responsibility to MUDs? Developers must petition the Texas Water Commission to create a MUD Developers are prohibited from serving or placing employees, business associates, or family members on the MUD Board of Directors. Developers must pay for or put up a letter of credit equal to 30 percent of the cost of subdivision utilites. This requirement ensures against ‘fly-by-night operators’ who are not committed to the success of the MUD. The ’30 percent rule’ also offers protection to MUD residents in the event that a subdivision is not built according to
