The City of Falfurrias utilities systems operated under the guidance of a Utility Board which was a separately functioning enterprise, formed in accordance with a bond ordinance whereby $1,300,000 of utility revenue bonds was authorized on September 7, 1949 for the City of Falfurrias to acquire the local utility system, specifically, the water and sewer systems.
The bond ordinance (Section 38) provided that management and control of the utility system and the expenditure and application of the revenues of the system shall be placed in the hands of a Board of Trustees during such time as any bonds secured by a pledge of revenues of the system are outstanding.
Furthermore, the natural gas system was purchased from Houston Natural Gas in 1956. The Board was composed of the Mayor of the City and four citizens of Brooks County who were nominated by the Board of Trustees for four-year terms, with final approval made by the Board of Aldermen.
In late 2013, the City refinanced the outstanding utilities revenues bond and converted to General Obligation refunding bonds.
As of December 2013, the Board of Aldermen voted to transition the Utility Board into a water, sewer, and gas utilities department of the City.
The Board of Aldermen believes this will provide for the integration of planning and policy initiatives of City of Falfurrias plans.