Water Loss Audit Validation: What Texas Utilities Need to Know

New Requirements Effective January 1, 2025

Ensure Compliance & Secure Funding for Your Infrastructure Projects

Texas utilities seeking financial assistance from the Texas Water Development Board (TWDB) must now validate their Water Loss Audits to maintain eligibility. RJN Group provides expert-led validation services to ensure compliance, prevent funding delays, and support effective water infrastructure planning.

What is Water Loss Audit Validation?

Water loss audit validation is a process that improves the accuracy of reported water loss data and assesses the reliability of measurements. Many utilities find it challenging to accurately self-assess their water loss data, leading to misjudged performance. Validation ensures that data submitted to TWDB is accurate, reliable, and actionable for regulatory compliance and funding eligibility. With TWDB and related funding opportunities gaining increased media attention, such as this recent KBTX article highlighting billions in water infrastructure investment, validation is more important than ever.

Key Water Loss Audit Validation Requirements for Texas Utilities

Who Must Validate a Water Loss Audit?

✅ Utilities that receive or apply for TWDB financial assistance
✅ Utilities with existing TWDB financial obligations
All retail public water suppliers with more than 3,300 connections MUST submit a water audit annually
All retail public water suppliers with less than 3,300 connections MUST
submit a water audit every five years

📬 Note: If a Water Loss Audit and validation are required, TWDB typically notifies utilities directly via letter. Be sure to monitor communication from TWDB to stay informed and avoid compliance issues.

Who Can Perform the Validation?

🔹 TWDB Staff
🔹 A Certified Third-Party Validator such as RJN Group (following TWDB validation guidelines)

Important: The validator cannot be the same entity that compiled the original Water Loss Audit.

*For full TWDB validation guidelines, visit the official TWDB Validation Requirements page.

Why Does This Matter for Your Utility?

Effective January 1, 2025, utilities must validate their Water Loss Audit within three months of submission, or before consideration of a funding request, if they:
✔️ Seek financial assistance from TWDB
✔️ Have an active financial obligation to TWDB

Failure to comply may result in:

⚠️ Delayed or denied funding for critical infrastructure projects
⚠️ Compliance issues that could impact future applications

Understanding the Water Loss Audit Validation Levels

TWDB defines three levels of validation:

🔹 Level 1 (Required by TWDB): Identifies data reporting errors and methodology inconsistencies.
🔹 Level 2: Cross-checks data with records and historical reports for accuracy.
🔹 Level 3: Uses field testing to verify reported data and assess real water loss.

Required Documents for TWDB Funding

To qualify for TWDB funding, utilities must submit:
📌 Water Use Surveys (past three years)
📌 Most recent Water Loss Audit
📌 Validation report from TWDB or a certified third-party validator

How to Submit a Water Loss Audit for Validation

1️⃣ Engage a certified validator early to prevent funding delays.
2️⃣ Submit your Water Loss Audit through TWDB’s online portal.
3️⃣ Ensure data accuracy before submission and retain backup documentation.

Why Choose RJN for Water Loss Audit Validation?

Why Choose RJN for Water Loss Audit Validation?

RJN Group specializes in TWDB compliance and water loss auditing—helping utilities meet all regulatory requirements while securing vital infrastructure funding.

📍 RJN Has Multiple Texas Offices to Serve You
We provide local support from our offices in:
• Dallas
• Fort Worth
• Irving
• Austin
• Houston
• San Antonio
• Victoria

Our local presence helps us better understand and support your utility’s unique needs.

✔️ TWDB Compliance Experts – We simplify complex reporting and validation processes
✔️ Data-Driven Accuracy – Identify errors, improve reporting, and maximize compliance
✔️ Funding Readiness – Stay on track for TWDB financing without costly delays

Avoid funding delays!  Schedule your validation with RJN today to stay compliant and secure your eligibility for TWDB Funding! 

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