Water is essential to our community, and BPUB is always here to provide factual information and answer questions.
On August 29, 2026, the Brownsville City Commission approved a Memorandum of Understanding (MOU) between the City and SpaceX, providing up to $220 million from SpaceX for qualifying water supply infrastructure projects that benefit Brownsville and Cameron County.
Timeline
In August 2026, BPUB learned of a potential contribution supporting water infrastructure by SpaceX.
On August 28, the BPUB Board of Directors passed the following motion:
A motion to support the concept of developer contributions for funding of infrastructure to increase regional water supplies as proposed by the City and SpaceX, authorizing the General Manager and CEO, or her designee, to finalize discussions on the proposed expansion project and, as appropriate, express support.
The motion did not constitute final approval. It authorized BPUB to continue discussions and, as appropriate, express support.
On August 29, the Brownsville City Commission approved an agreement with SpaceX that could provide up to $220 million for water and wastewater infrastructure across Brownsville and Cameron County.
BPUB is not a party to the MOU. Our CEO signed an acknowledgement of the funding proposal at the end of the MOU. This action was authorized by the BPUB Board of Directors as previously stated.
Where the Funding Goes
$220M
Total Contribution
Potential Qualifying Projects
SRWA Expansion & Optimization
Expands the Southmost Regional Water Authority brackish groundwater treatment plant, raising treatment capacity for the region.
Learn moreWater Renewal Project
BPUB's Indirect Potable Reuse initiative, turning up to 8.0 MGD of highly treated reclaimed water into a reliable local drinking water source.
Learn moreFor questions related to disannexation, please contact the City of Brownsville or SpaceX.
Frequently Asked Questions
What exactly will the SpaceX $220 million pay for? And when will residents start seeing those improvements?
According to the City-SpaceX MOU, the contribution will consist of up to $220M for Qualifying Water Supply Infrastructure Projects. Funds will be collected from SpaceX, and the City and SpaceX will apply funds toward projects as they are implemented.
Potential qualifying projects include the SRWA Expansion & Optimization and the Water Renewal Project. These projects were already in planning stages, and the contribution helps complete them faster and with less impact on our other customers.
This is a phased approach. As qualified projects are identified and approved, we will establish key milestones so everyone can track progress.
Is SpaceX receiving preferential treatment?
No. Under state law, and as a municipally-owned utility, BPUB serves everyone in our certified service territory on a fair and non-discriminatory basis. SpaceX is entitled to the same service that is extended to any business operating in our retail water service area.
Is SpaceX buying water rights, ownership, special treatment or preferential access through the $220 million investment?
Not at all. As stated in the MOU, the SpaceX contributions are not a reservation of water capacity, purchase of ownership interests or prepayment for future water service. SpaceX remains subject to the same rules and regulations that apply to similarly situated BPUB customers, including being subject to drought-related restrictions under the then-current drought plan.
With Brownsville in a drought, how is BPUB preparing to support the community’s water needs?
There is enough water, and we manage our resources to maintain reliable service in drought and in light of high growth. We have been working on reducing our dependence on surface water through projects like the Water Renewal Project and the Southmost Regional Water Authority (SRWA) brackish groundwater treatment plant. With infrastructure projects like these, BPUB is confident we can provide water for all our customers now and in the future.
Brownsville is growing fast — how is BPUB planning to make sure water service keeps up?
BPUB continues to plan for the growth of Brownsville while becoming drought-resilient and lowering our dependence on surface water. This is done through our water infrastructure projects, like the Banco Morales Reservoir, SRWA, the brackish groundwater treatment plant, and the Water Renewal Project.
What would you say to residents who are hearing about this for the first time and are concerned about long-term effects?
BPUB always plans with the future of the community in mind. We have the infrastructure and proactive planning necessary to support community growth while maintaining reliable water service for our existing customers, including SpaceX. We apply the same prudent planning principles in each utility service we provide, including electric and wastewater.
What does this SpaceX deal mean for the average Brownsville family's water bill? Is my water bill going up because of SpaceX, and when will customers know an amount?
No, SpaceX is covering its own costs as a developer in BPUB’s service area and more through the MOU. Brownsville residents' water bills will not immediately be affected by the MOU's influx of funds. Rates are affected by factors larger than any single customer's usage – like the cost of chemicals, staffing, and operations.
That said, BPUB has been sharing publicly for months that a scheduled water rates study is coming up that will evaluate operational costs, infrastructure needs, and long-term system requirements so we can continue providing reliable and affordable service to our community. Those findings will determine recommendations in rate changes for customers that would be considered by the City Commission. Customers will be informed when the study is complete.
Will BPUB provide water services to SpaceX infrastructure built on the disannexed land?
BPUB is required to provide service to all customers within our service territory, which differs from city limits. The disannexed area is within BPUB’s water service area.
Does this investment speed up water projects that benefit the whole community and not just SpaceX?
Yes, this investment helps the entire community and region. It will accelerate the timeline for completion of Qualifying Water Supply Infrastructure Projects. These projects will increase water resilience and supply for all BPUB customers in the present and future.