The rate hike comes as the district struggles with a budget deficit it mostly blames on mounting legal expenses in an ongoing legal battle with Conroe.LSGCD posted a net loss of $778,621 in 2016, a loss it blames on rising legal costs from the Conroe lawsuit, as well as a reduction in water usage.During Tuesday’s meeting, board members heard the district has posted a net loss so far this year of $119,373 — even as the board moves to cut thousands of dollars from its budget, including community education and outreach programs, cable television advertising and other items.groundwater production.

Source: LSGCD keeps blame on Conroe for financial woes, raises rate –