The Midland City Council approved an interlocal agreement with the Midland County Freshwater District Number 1 on Tuesday.
The agreement helps ensure that the City of Midland has access to the 70 miles of land the pipeline needs to cross between the Tall City and the 22,149 acre T-Bar Ranch well field in Winkler and Loving counties.
The agreement also means the pipeline should be up and running by June 1, 2013.
That target completion date is contingent on a number of factors -- including tough economic times in other parts of the country.
"It's unprecedented and really without the rest of the economy in this country kind of hurting we wouldn't be able to pull the contractors in that we need to do this job," Midland mayor Wes Perry told Big 2. "So it's really a perfect storm we're able to get this done in 12 months."
The City of Midland has also been working to keep costs as low as possible for the water that will flow through the new pipeline.
When the T-Bar Ranch Water Pipeline is operational, the City of Midland will likely be able to draw up to 10 million gallons of water a day from the T-Bar Ranch water field.