City of Waco awarded $1 million in federal funds for Flat Creek Water Reuse Project

City of Waco awarded $1 million in federal funds for Flat Creek Water Reuse Project

News ClipKXXV·Waco, McLennan County, TX·3/20/2026

The City of Waco was awarded $1 million in federal funds for its Flat Creek Water Reuse Project. This initiative aims to supply treated wastewater to industrial businesses, reducing the demand on the city's drinking water supply and supporting economic growth. While an Infrakey data center in Lacy Lakeview was mentioned as a potential user, the city has not yet received a request for water usage from the facility.

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Gov: City of Waco, Congressman Pete Sessions, Waco Mayor Jim Holmes, Waco City Council
The City of Waco, Texas, has received a $1 million federal funding award to initiate the Flat Creek Water Reuse Project. Announced by Congressman Pete Sessions and Waco Mayor Jim Holmes, the project's primary goal is to treat and reuse wastewater for industrial applications, thereby preserving the city's drinking water supply for its citizens and supporting ongoing industrial expansion. Phase 1-A of the project, focusing on infrastructure improvements at the wastewater treatment plant, is projected to cost $7 million, with the entire four-phase plan estimated at nearly $58 million. City officials emphasize that this infrastructure development is crucial for accommodating future economic growth within Waco. During the announcement, a reporter inquired whether the reuse project would supply water to an upcoming Infrakey data center in Lacy Lakeview. Waco's city manager stated that no water usage request has yet been received from the Infrakey facility, which is located in an area that currently sources its water from Waco. Congressman Sessions highlighted the importance of federal investment in local infrastructure, noting that the mayor and chamber representatives plan to visit Washington D.C. in June to advocate for Waco's community needs.