After trying to work with the complex, SAWS was left with two options: filing the lien or disconnecting services — Guzman says they are not currently pursuing that.
SAN ANTONIO — The San Antonio Water System (SAWS) has filed its first-ever lien against an apartment complex for unpaid utility bills — a move the agency hopes will push landlords to take responsibility without cutting off service to residents.
The lien was placed on The Oaks on Bandera, a property owned by Eddleton Family Investment LLC, after the complex accumulated more than $93,000 in past-due water and sewage bills.
Edward Guzman, SAWS Chief Legal and Ethics Officer, said the city council approved an ordinance in May allowing the utility to file liens on properties with delinquent accounts. Under Texas law, such action is only permitted if authorized by the governing body — in this case, the San Antonio City Council.
“We had multiple meetings with the municipal utility committee and city council last year, and in May they approved the ordinance that authorizes us to file,” Guzman said.
Guzman said SAWS had been working with the apartment complex for more than a year, establishing multiple payment plans to help manage the growing debt. Despite those efforts, the landlord informed SAWS in August that they could no longer pay.
“They were never able to fully pay the amount that they were due, and then in August they told us that they really don’t have the ability to pay anything else,” Guzman said.
SAWS was left with two options: filing the lien or disconnecting water service — a last resort Guzman says they are not currently pursuing.
“We always have that option, but it’s not something that we’re actively looking at right now,” he said.
The lien won’t result in foreclosure, but it does place a legal hold on the property. It must be addressed before the owners can sell or transfer the complex.
“This clouds the title, so if they’re looking to sell or transfer the property, they have to deal with this first,” Guzman explained.
SAWS officials say their goal is to recover the debt while keeping tenants from being impacted.
“We are a public utility, so when you have entities that don’t pay, the rest of us as ratepayers subsidize that,” Guzman said. “We have to protect all our ratepayers.”
KENS 5 stopped by the complex for comment, but management declined to speak.