In 2003, the Texas Legislature authorized the creation of Municipal Setting Designations (MSD), which designate an area in which the use of contaminated groundwater is prohibited for use as potable water. The law is administered by the Texas Commission on Environmental Quality (TCEQ) and requires local City support to designate an MSD. The intent of the legislation is to encourage redevelopment of vacant or abandoned properties while protecting public health.  On August 22, 2007, City Council approved an ordinance amending Chapter 47 of the Code of Ordinances by adding Article XIII relating to groundwater, which provides a process to support or not support an MSD application to the State (ordinance amended 7/14/2010).

AK Steel Corporation Application:  AK Steel Corporation is seeking a Municipal Setting Designation (MSD) for 24.3 acres of land located at 1503 North Post Oak Road, Houston, TX 77055.  AK Steel operated a rolled steel product manufacturing business from 1945 until the property was sold to TT Investment Company in 1994.  Historic and current manufacturing operations both involve the manufacture of carbon steel pipe products.  The contamination consists of benzene; 1,1-dichloroethene, cis-1,2-dichloroethene, trans-1,2-dichloroethene, trichloroethene, tetrachloroethene and vinyl chloride.  A licensed Professional Geologist has certified that the area of contamination has been thoroughly investigated, is fully delineated and is stable.

AK Steel Corporation is seeking an MSD for this property to restrict access to groundwater to protect the public against possible exposure to the contaminants.  There is a public drinking water supply system that meets state requirements that supplies or is capable of supplying drinking water to the MSD property and all properties within one-half mile of the MSD property. A public meeting was held on September 17, 2019 at the Trini Mendenhall Community Center, and a public hearing was held on July 14, 2020 during the Regulatory and Neighborhood Affairs Council Committee. Both meetings are necessary steps prior to City Council’s consideration of support.

Recommendations:  It is recommended that City Council adopt a Municipal Setting Designation (MSD) ordinance prohibiting the use of designated groundwater at the AK Steel Corporation site located at 1503 North Post Oak Road, Houston, TX 77055, and support issuance of an MSD by the Texas Commission on Environmental Quality.

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Carol Ellinger Haddock, P.E.

DIrector

Houston Public Works