Corpus Christi City Council rejects federal funding application for Inner Harbor desal project

Corpus Christi city leaders voted 5-4 Tuesday against applying for federal funding tied to the proposed Inner Harbor desalination project, dealing a setback to efforts to secure outside funding for the controversial water supply project.

Council members Carolyn Vaughn, Roland Barrera Cantu, Gil Hernandez, Kaylynn Paxson, and Sylvia Campos voted against authorizing city staff to pursue the federal funding opportunity. The remaining four council members voted in favor of moving forward with the application.

The vote was not on whether to build the desalination plant itself, nor was it a vote to spend $120 million on the project. Instead, council members were deciding whether to allow city staff to apply for funding through the federal WaterSMART program.

Supporters of the application argued that pursuing federal dollars could help lessen the financial burden on local ratepayers if the Inner Harbor desalination project eventually moves forward.

During Tuesday’s meeting, U.S. Representative Michael Cloud joined council members virtually to discuss the opportunity. Cloud said approximately $120 million in funding was available nationwide and that Corpus Christi was in a favorable position to compete for the money after the Inner Harbor project was approved as eligible for the program earlier this year.

Mayor Paulette Guajardo advocated for submitting the application, arguing that applying for federal funding would not commit the city to constructing the plant but would preserve an opportunity to offset future costs.

“The city would be irresponsible not to pursue available federal funding while the project advances design and procurement,” Guajardo told council members.

Opponents, however, questioned whether the city should spend money on a grant application for a project that has not yet received final approval.

Councilwoman Carolyn Vaughn argued that the city was moving too quickly, noting that the federal funding would be highly competitive and that preparing the application could cost the city approximately $200,000.

The proposed funding was tied specifically to the Inner Harbor desalination project and could not be redirected to another water project or location.

With Tuesday’s vote, the city will not pursue the current round of federal funding, and officials have acknowledged there is no guarantee similar funding opportunities will be available in future years.