The recent rapid urbanization and boom of building construction in Ethiopia hasrnoutpaced provision of water and sanitation infrastructure creating unsuitable working andrnliving conditions in buildings. The general objective of the study is integration of flexiblernwater infrastructure in local building systems to improve the standard of buildings and thernlivability in the emerging small towns of Ethiopia by taking Danissa Goro town as a casernstudy area to design and demonstrate. The study area is located in Eastern Showa Zone,rnOromia regional state, 125km from the city of Addis Ababa. The study investigates thernnegative impact of absence of water and sanitation infrastructure on housingrndevelopments, identify methods of integrating flexible water and sanitation infrastructurernwith local building system and assess feasibility of integrating flexible water harvestingrnand utilization infrastructure to the local building systems.rnPrimary and secondary data collection methods are applied to collect quantitative andrnqualitative data and applied stratified interviews with 45 participants.rnThe result of the study shows that underutilization of water sources, the absence ofrnwater infrastructure and sanitation infrastructure has a direct correlation to low quality of life,rnand degradation of buildings systems. Decentralized and flexible water systems are notrntechnically complicated to integrate in local building system.rnFinally, the research concludes that integrating of rainwater harvesting, waterrnconservation and wastewater disposal systems into the existing local buildings will improvernthe quality of life of dwellers in the emerging small towns of Ethiopia. Besides, planning andrndesign regulations have to integrate optional spatial standard for integration of flexible waterrninfrastructure systems as a precondition for the future development of small towns inrnEthiopia.