Thursday

06-05-2025 Vol 1982

Settlement Reached in Houston Streets and Drainage Funding Lawsuit, Clearing Path for City Budget

In a significant development for the administration of Houston Mayor John Whitmire, a Harris County judge has approved a settlement in a protracted legal dispute concerning the city’s funding for streets and drainage.

This lawsuit, initiated in 2019, contended that the city’s allocation for a designated streets and drainage fund, approved by voters, was insufficient.

In April, Mayor Whitmire negotiated an agreement with the plaintiffs to gradually increase the city’s contributions to the fund.

Without judicial approval of this settlement, the city faced the prospect of needing to allocate over $180 million more than originally planned to the fund within a single year, which would have disrupted the budget planning for the 2026 fiscal year beginning in July.

In a recent court motion, Whitmire and the Houston City Council urged Judge Christine Weems of the 281st Civil Court to reach a decision by the end of the week, emphasizing that the city’s proposed $7 billion budget could not be finalized without her ruling.

Hours after the approval was communicated to Houston Public Media, Controller Chris Hollins, the city’s chief financial officer, reiterated in an interview that without the judge’s final ruling, he could not confidently certify the availability of funds for the budget.

Following the decision, Hollins released a statement indicating that the approved settlement eliminates a major hurdle to finalizing a responsible budget.

He had previously characterized the uncertainty surrounding the settlement as one of the ten critical challenges facing the budget, which also included a $72 million surplus in overtime expenses juxtaposed against the administration’s modest proposed increase of only $1 million in overtime funding.

Hollins acknowledged, “It’s a step forward, but Houston still faces serious financial challenges.”

He affirmed his office’s commitment to providing transparency and accountability in the ongoing efforts to secure the city’s long-term financial stability.

In correspondence with city council members, Whitmire expressed that the court’s favorable ruling enables the city to fulfill its obligations to residents without compromising funding for parks, health initiatives, and other community programs—many of which are already facing cuts in the proposed budget.

A spokesperson for the mayor expressed expectation that the controller will certify the budget now that the settlement has been approved.

The judge’s decision came amid calls from several groups and individuals requesting that the agreement be rejected, arguing it would further disregard the mandates set forth by voters who approved the necessary funding in both 2010 and 2018.

West Street Recovery, a nonprofit advocacy organization, submitted an amicus brief opposing the settlement, with co-director Ben Hirsch stating that the city had been “systematically undervaluing” its obligations related to streets and drainage funding.

Hirsch condemned the idea that compliance with the agreement could be deferred, asserting that it should not be solely left to the city and the plaintiffs to determine the adequacy of such arrangements.

In a statement released on Friday, West Street Recovery maintained that they are exploring legal avenues to ensure that Houstonians receive the flood protection they rely on, contending that the settlement undermines the will of voters and contradicts a ruling from an appeals court that favored the plaintiffs over the city.

West Street emphasized, “Houstonians deserve to have their votes respected.

We believe the higher court’s ruling very plainly supports the transfer of the full voter-mandated amount to the drainage and streets fund so that the city can build the flood protections voters were promised.”

Crysbel Tejada, one of three residents who filed a petition against the agreement, called it a “clear injustice” particularly in light of the increasing frequency of climate-related disasters.

As of Friday afternoon, the signed order had not yet appeared on the Harris County District Clerk’s website; however, court staff confirmed to Houston Public Media that Judge Weems had issued the order.

Bob Jones, a supporting plaintiff in the case, described the ruling as “the final chapter in our six-year fight to get Houston’s drainage and street program fully funded in accordance with the 2018 charter amendment.”

He expressed optimism for the future, asserting, “Houston residents won a big victory that is officially closed today.

I look forward to the next chapter as this program ramps up to what we all voted for in 2018.”

image source from:https://www.houstonpublicmedia.org/articles/news/city-of-houston/2025/05/30/522764/in-major-win-for-mayor-whitmire-judge-approves-drainage-settlement-saving-houston-180-million-over-next-year/

Abigail Harper