The latest episode of The Building Texas Show, titled "Johnson City, Texas Has a Water Crisis Nobody's Talking About," features Johnson City Mayor Stephanie Fisher addressing a groundwater permitting standoff, a short-term rental boom, and the city's strategy to convert through-traffic into overnight tourism dollars. Published May 27, 2026, the conversation highlights the pressures on a city of roughly 540 residential single-family water connections.
Johnson City sits on the Pedernales River but cannot tap it for drinking water. The city relies on the Ellenberger Aquifer, a minor aquifer off the Llano Uplift, as its sole drinking water source. A capital improvement plan and a pending pumpage permit increase before the Blanco Pedernales Groundwater Conservation District are central to the city's water future. Additionally, the city holds 200 acre-feet of Pedernales River water under an LCRA permit but cannot harvest it without millions in infrastructure investments.
Short-term rentals have consumed 67 of the 540 residential connections, reshaping neighborhoods and adding strain to water resources. Mayor Fisher acknowledged earlier decisions that complicated negotiations with the groundwater district: "There was some previous administrations that made some decisions. I think they put the cart before the horse, and that's causing us to have some questions asked. And they're just doing their due diligence. I'm glad that our groundwater district is doing what they need to do to make sure that we all have water forever."
Fisher views a boutique or resort-style hotel, ideally on the river, as the single biggest unlock for both housing and the tax base. The city aims to attract overnight visitors to capitalize on existing attractions such as the Science Mill, the LBJ National Historic Park (including the Texas White House in Stonewall and LBJ's boyhood home), the Old Settlement adjacent to the Science Mill, the Exotic Resort Zoo just north of town, and the annual fair and rodeo weekend.
The episode also contrasts Johnson City's challenges with 100-year water planning efforts in Midland and Lubbock, highlighting the dependence of Hill Country communities on aquifer recharge in 15-year rainfall cycles. Host Justin McKenzie explores the deeper context of a Hill Country affordability crisis playing out on Highway 290, where Johnson City is the last stop before Fredericksburg and a common cut-through to Lake LBJ, yet visitors rarely stay the night.
The Building Texas Show, sponsored by Chisos Boots, travels the state in conversation with the mayors, founders, and operators shaping Texas growth. This episode is available now wherever podcasts are heard, and on YouTube where listeners can like and subscribe to follow the series.
