January 16, 2026

Fort Worth Gets $90 Million in State Funding for Flood Mitigation

The City of Fort Worth has secured $90 million in financial assistance from the Texas Water Development Board to advance a major flood mitigation project along Upper Lebow Creek. The funding, approved through the Flood Infrastructure Fund, includes $71.25 million in financing and $18.75 million in grant funding and will support planning, acquisition, design and construction of long-needed improvements.

By using the Flood Infrastructure Fund, the City could save approximately $52.4 million in interest over the life of the loan. The funding allows Fort Worth to move forward on a project that addresses one of its most severe flooding challenges and protects a vulnerable residential area that has experienced repeated flood impacts for decades. The City partnered with Freese and Nichols to support project development and navigate the competitive state funding process.

Upper Lebow Creek has been identified as a major flood risk area for decades. While the City completed a master plan and addressed the most severe downstream flooding through buyouts and roadway removals, improvements along the upper portion of the creek remained unfunded due to cost and complexity.

Fort Worth partnered with Freese and Nichols to initiate preliminary engineering and assess options for mitigating the remaining flood risk. During this early phase, Freese and Nichols recommended pursuing external funding opportunities and worked with the City to identify programs that aligned with the project’s scale, location and community impact.

“That early planning stage is the right time to talk about funding,” said Justin Oswald, who managed the project’s funding strategy and coordinated closely with the City’s finance, legal and engineering teams. “The City knew this was a priority, and that commitment helped us put together strong applications and move quickly when opportunities opened.”

Before securing state funding, Fort Worth anticipated constructing the Lebow Channel Flood Mitigation project in small segments over many years as funding became available. The $90 million award changes that trajectory.

By combining grant funding with zero-interest financing, the City can now advance the full project on an accelerated timeline rather than building it in phases over decades. The financial structure also reduces long-term costs and provides greater certainty for design and construction planning.

The project includes improving 1.5 miles of the existing drainage channel which runs behind the homes in this neighborhood. The existing unimproved and overgrown channel will be deepened and reconstructed with vertical walls to contain the 100-year flood. Along with the channel improvements, the road crossings will be reconstructed with bridges, and other paving and utility improvements will be made. The City also proposes construction of a 20-acre detention pond to manage stormwater and mitigate downstream impacts.

Upper Lebow Creek runs through a low-income residential area where the creek frequently exceeds its banks. Flooding threatens nearly 300 structures during a 100-year storm, making this one of Fort Worth’s most significant flood mitigation priorities.

In addition to reducing flood risk, the detention space creates opportunities to add water quality features, nature-based solutions and recreational space. Plans for the detention area include restored natural features and community amenities that can provide long-term value beyond flood protection to this historically underserved community.

What was once expected to take decades to complete can now move forward as a single, comprehensive effort. With funding secured and design advancing, the City is positioned to deliver meaningful flood protection and lasting community benefits along Upper Lebow Creek.

Read more from the City of Forth Worth

Questions About Funding?

Contact: Mark Evans, mark.evans@freese.com, or Kate Burum, kate.burum@freese.com 

About Our Funding Team

With more than three decades of experience helping clients navigate complex infrastructure funding options, the Freese and Nichols Funding Team supports communities seeking loan and grant programs for water, wastewater, stormwater, transportation and hazard mitigation projects. The team develops tailored strategies that combine grants, principal forgiveness and low or zero interest loans to help clients deliver essential infrastructure efficiently. 

In the last seven years, Freese and Nichols has supported more than 75 projects funded through agency programs and has helped clients access more than $2.0 billion in financial assistance.