RCH Board Votes to Dismiss Lawsuit with City of McLendon-Chisholm
July 01, 2025
Update: Lawsuit Dismissal
July 1, 2025
Dear Members,
We are pleased to announce that, at its July 1, 2025 Board meeting, RCH voted to dismiss its lawsuit against the City of McLendon-Chisholm. This decision follows the City Council’s June 24 vote (6–1) authorizing Mayor Bryan McNeal to send a letter to the Public Utility Commission of Texas in support of adding Sonoma Verde to RCH’s Certificate of Convenience and Necessity. This collaborative step not only corrects a long-standing service-area gap but also ensures reliable water service for new and existing developments.
Key Developments
- PUCT Support Letter Approved (6–1): The Council’s endorsement demonstrates good-faith collaboration and provides RCH with strengthened support for its CCN amendment application.
- Lawsuit Dismissed: In recognition of this constructive gesture, the RCH Board has voted to drop the pending litigation immediately. This decision frees both parties to focus resources on delivering quality water service rather than legal expenses.
Why This Matters
- Service Stability: Granting the CCN to Sonoma Verde Phase IV eliminates its “no man’s land” status and supports RCH’s upcoming direct-connect project, designed to deliver continuous service by next summer.
- Community Collaboration: With litigation behind us, RCH and City leadership can jointly pursue infrastructure improvements, rate stability, and other community-focused initiatives.
- Fiscal Responsibility: As a not-for-profit utility governed by a volunteer Board—including many RCH members—we remain dedicated to transparent governance and protecting member interests.
We look forward to finalizing these steps in close partnership with City leadership. Together, we will secure a more reliable and resilient water system that serves the best interests of all RCH members and the broader McLendon-Chisholm community.
Thank you for your continued support.
Sincerely,
David Naylor
Board President, RCH Water Supply Corporation