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Project Profile: Street Maintenance Fee, City of Sulphur Springs, Texas

An example of Type D asphalt overlay before and after in the City of Sulphur Springs via the Street Improvement Fund Report.

Source: Credit: City of Sulphur Springs, Texas


Sulphur Springs, TX

Project Sponsor / Borrower

City of Sulphur Springs

Program Areas

Value Capture

Value Capture Techniques Transportation Utility Fees

Local Road


Effective January 2019, the City Council created a Street Improvement Fund to deposit all the street maintenance fees collected. The expenditures from the Street Improvement Fund need not specifically relate to any particular property from which the Street Maintenance Fees were collected. Annually, the Capital Improvement Projects (CIP) Committee will provide City Council a report on the progress of the Street Improvement Program and publish an updated three-year map of street candidates to be considered for the Street Improvement Program. The street maintenance fee and rate are subject to periodic review and adjustment by the City Council.

The primary purpose of the City Council charging the street maintenance fee is that presently, 20 miles of the 92.3 miles of City streets need rebuilding, and another 30 miles are at risk of needing rebuilding. In 2019, 3.59 miles were paved thanks to the Street Maintenance Fee. The City currently has a backlog of over $14 million in street maintenance, but the City Council anticipates that an additional $500K annually from the street maintenance fee will allow the agency to double its efforts towards street maintenance.

Those in residential units will pay $5/month, commercial units will pay $12.50/month, and industrial units will pay $30/month.

Funding Sources

The Street Maintenance Fee is paid by utility customers (residential, commercial, and industrial) within the city limits.

Project Delivery / Contract Method


Private Partner


Project Advisors / Consultants

Sulphur Springs City Council



Duration / Status

January 2019 to January 2029, unless extended by the City Council

Financial Status / Financial Performance

The Street Maintenance Fee will generate approximately $372,000 annually for the City of Sulphur Springs.

  • Implement Value Capture Street Maintenance Fund strategy to address the maintenance backlog
  • Fee depends on the use of the streets system by residential (single-family and multi-family), commercial, and industrial units, is billed monthly, and is calculated based on vehicular or pedestrian traffic or land use.
Related Links / Articles

Tory Niewiadomski
Community Development Director
(903) 885-7541

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