Austin Business Journal
By: Brittany Bell
September 24, 2025
As Texas continues to lead the nation in population and job growth, the conversation surrounding the state’s capacity to accommodate that momentum has intensified. This sustained economic and demographic expansion is often referred to as the “Texas Miracle”—a term used to describe the state’s remarkable ability to generate jobs, grow its economy, and attract both businesses and residents. But while much attention is paid to the results, less is said about the foundational infrastructure that makes it all possible.
With projections showing steady increases in residents and ongoing corporate relocations, the need for infrastructure that can keep pace with this growth is no longer a matter of planning—it’s a matter of urgency.
One solution lies in a mechanism unique to Texas: the Municipal Utility District, or MUD. While these special-purpose districts have long played a quiet role in enabling community development outside city boundaries, they are increasingly the subject of scrutiny by lawmakers and constituents concerned about the pace and scope of suburban expansion. Critics argue that MUDs promote unchecked or poorly planned development. But to Trey Lary, Austin-based Partner in the law firm Allen Boone Humphries Robinson (ABHR), that view mischaracterizes both the function and fiscal philosophy of these districts.
“The Texas Miracle includes job growth, a robust economy, and a thriving entrepreneurial ecosystem,” Lary said. “But all of that depends on one thing: the ability to house people affordably and responsibly. And you cannot deliver that housing without quality infrastructure. MUDs make that possible.”
