Should the City of Castroville City Council be authorized to sell the Natual Gas Utility Distribution System tht is owned by the City of Castroville? The decision affects all citizens of Castroville through your vote in the May 4th Election. 

Fact Sheet

Exploring the Sale of the City of Castroville Natural Gas System

• The City of Castroville Gas Distribution System was established in the 1960’s over 65 years ago with approximately 26.9 miles of coated steel mains and 694 services.  The system currently consists of approximately 26.9 miles (78.2%) of coated steel mains and 696 services and 7.5 miles (21.7%) of polyethylene (PE) mains and 289 services.  The mains and services consist of 2” or less and over 2” to 4”.
• CPS Energy Operations & Maintenance Agreement ends approximately in September of 2024.
• TXRRC 8% facilities replacement program along with federal DIMP are additional cost to the utility.
• PHMSA requires operator qualified (skilled) employees.
• There is an increase in the regulatory burden from the TXRRC/PHMSA making it more complex for a small municipally owned gas system to remain operating. 
• Larger gas organizations can handle the increased regulatory burden and hire qualified personnel for a multitude of tasks necessary for operations.
• Economies of Scale- larger gas operators can redirect and share, equipment, staff, and supplies to various operations. 
• The sale of the City’s gas system will result in a one-time revenue to the City and on-going revenue in the form of franchise fees.

This is a choice for our community.