Commissioner: Lack of water in lake still to be an issue
The Lake Travis area can expect similar growth in retail, development and real estate in 2012 to what it saw in 2011, according to speakers at the economic forecast luncheon held by the Lake Travis Chamber of Commerce on Jan. 18.
Lake levels
The speakers gave mostly good news to Realtors and business owners, but Huber pointed out that water woes could continue as lake levels continue to drop.
“I think we would be remiss if we didn’t address the challenges that we face in 2012. We’ve had a lot of good news—we’re in a booming economic cycle here,” Huber said. “The forecast looks good from a growth standpoint, but we do have some challenges, and I feel like it’s important we be aware of this as we go through 2012.”
At last year’s economic forecast, Huber spoke about a study that the county was supporting on the economic impact of the lake. It was completed in fall 2011.
“It was designed to be a tool. Water policy in Texas is very fragmented, and the entities that make water policy don’t necessarily communicate well with each other, so we need good tools to help them make good policies,” Huber said.
The study showed the assessed tax values of the properties surrounding Lake Travis were $8.4 billion, which is divided by taxing entities such as the state, local municipalities and Lake Travis ISD.
The lake is considered full at 681 feet above mean sea level.
“The study found that 660 feet [above mean sea level ] was the average optimum level for a dynamic economy,” Huber said.
As of Feb. 3, despite recent rainfalls, Lake Travis was at 626.91 feet.
The study found that when lake levels fell below 660 feet, businesses in the area as well as home values were affected.
Development
Despite lake levels, development in the Lakeway area has picked up somewhat compared with the previous two years.
“Even during a recession, our sales tax revenue has increased,” Jones said. “Sales tax revenue is a direct indicator of your economic activity.”
In 2011, the City of Lakeway had 165 new home starts, and Jones anticipates the same or more for 2012. He also anticipates 10 commercial permits in 2012 for new development projects.
The six areas Jones identified as the most active community areas are the Holiday Inn being built on RR 620, Tuscan Village, Discovery Point, the Lakeway Regional Medical Center, Serene Hills and Lakeway Highlands.
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