Aquifer at Risk: East Texans Push Back Against Groundwater Grab

July 22, 2025

by Wendee Whitehead Contributor

AUSTIN, July 15, 2025 — A controversial proposal by Conservation Equity Management LLC, founded by hedge fund investor J. Kyle Bass, came under fire Tuesday before the Texas House Committee on Natural Resources. The plan would tap into the Carrizo-Wilcox aquifer, which stretches from Nacogdoches to Carrizo Springs, sustaining farms, ranches, and rural communities across East Texas.

Project Overview

Conservation Equity seeks permits for exploratory drilling in Anderson, Henderson, and Houston counties.

Critics warn this could escalate into pumping up to 15 billion gallons annually to sell to urban or industrial buyers, threatening ecosystems and local water supplies.

Voices from the Hearing

Chairman Cody Harris (R–Palestine) opened the meeting with a poignant declaration:

“Water is not merely a resource—it’s a way of life. It sustains our communities, our crops, and our future.”

Attending with Harris were Senator Robert Nichols, Rep. Cole Hefner, and Rep. Trent Ashby—all voicing deep concern. Ashby warned,

“Common sense would dictate the permit be denied.”

Mark Callicutt, a well driller from Rusk, testified:

“I’ve watched wells go dry from small operations. What happens when it’s multiplied by thousands?”

He reported a 30-foot drop in groundwater over just five years. According to Callicutt, the project would “destroy our aquifers for sure.”

Judge Chris Davis, representing Cherokee County, expressed fear of legal turmoil:

“Without legislative intervention, courts may determine our water future based on who can afford the best lawyer. Farmers and ranchers who’ve relied on these wells for generations could lose it all—for someone else’s profit.”

The Data Debate

Groundwater districts use computer models to establish “Desired Future Conditions”—though most rely on data over a decade old.

The Texas Water Development Board helps guide planning, but lawmakers questioned whether outdated modeling reflects current realities.

Houston County lacks a conservation district entirely—leaving it vulnerable and unregulated.

Why Cherokee County Should Care

Although the drilling targets neighboring counties, Cherokee County lies within the Carrizo-Wilcox aquifer’s reach. Over extraction could cause subsidence—the gradual sinking of land—and make wells run dry.

Environmental attorney Shauna Sledge and others challenged the antiquated Rule of Capture, noting it was designed during the windmill era—not today’s high-capacity pumping technologies.

What’s Next

Lawmakers may urge Governor Abbott to add groundwater regulation to a special session agenda.

Grassroots voices—including local residents, judges, and well drillers—pledged to keep fighting for local control of East Texas water.

Closing Thought

The aquifer isn’t just underground—it’s under threat. Protecting it means safeguarding the heritage, health, and economy of East Texas for generations to come.