The latest infrastructure coming to Starbase, Texas, is neither a launch mount nor a booster. It is a water pipeline that can shape the definition of “company town” whereby who can hook up taps (and in what terms).
The new line extending from Brownsville to the newly incorporated city’s Starbase will replace truck-driven delivery SpaceX used to transport drinking water for employees and on-site residents. Brownsville Public Utilities Commission (BPUB) COO Mark Dombroski confirmed the line at a July 16 meeting, saying the board has signed a contract with SpaceX to provide water as a client within the city.
BPUB approved the SpaceX contract on June 2nd, Dombroski told TechCrunch via email. He did not explain why SpaceX is treated as a non-resident within the city. This carries rate classes cheaper than external customers despite the fact that the company actually set up its own city.
“Under a non-standard development agreement, SpaceX will extend the line to metering points within city restrictions and then transport the water to Starbase,” he continued. “They also pay and build the improvements BPUB needs to supply water to the meter. This arrangement is intended to replace the water transport arrangement after SpaceX starts to take water through the meter.
According to a January 2024 letter from the Texas Environmental Quality Committee (TCEQ), drinking water supply is constrained by a 60,000 gallon per day cap under the current hauling water purchase agreement between BPUB and SpaceX. The pipeline changes that and makes it easier for SpaceX to build more amenities and homes for its employees.
For a small number of non-Spacex-related homes, accessing that water can be accompanied by several terms and conditions.
In July, nearly 40 properties along the stretch between Brownsville and Bocachica were suddenly cut off from the county’s water services, according to San Antonio Express News. Cameron County previously delivered freshwater as a “course” service to these facilities, but the county now says it is Starbase’s responsibility to deliver water to these residents.
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Starbase disagrees: In July, Starbase City administrator Kent Myers reportedly sent a letter to the Cameron County commissioner saying that sudden water cuts “pose a safety and public health risk.”
Starbase “has no legal authority or operational ability to deliver water to these residents,” Myers said.
Meanwhile, SpaceX reportedly distributed an “unconditional, permanent agreement” that would access Starbase water and sewerage systems and exchange it for a resident’s contract to leave the area for “anything, permanent agreement.”
The document also states that “SpaceX has no obligation to provide residents with access to SpaceX’s water and wastewater treatment,” and does not guarantee the quality or quantity of water, nor does it guarantee residents from requesting “legal or currency responsibilities.”
Cities – No utility
The newly established city of Starbase, managed by SpaceX executives, is an independent municipality that surrounds SpaceX’s vast South Texas launch site.
The city was established in May. Only registered voters within the proposed boundaries were permitted to vote for establishment. According to an affidavit filed by SpaceX Senior Manager at SpacePort Operations Richard Cardile, there were 247 lots within the boundaries, with only 10 people not owned by SpaceX.
Even before the vote was made, SpaceX worked behind the scenes to formalize drinking water regulations for employees and residents.
According to TCEQ Records, SpaceX has established a condition-regulated drinking water system rich in service pumps, chlorine analyzers, tank mixers and other hardware, in addition to a 500,000 gallon ground storage tank. The central water system, supplied by the two water carriers, is smaller than urban utilities, but is quite significant for the on-site industrial operations. It offers services to 239 residential service connections, or meters, which can include multiple units.
Starbase’s role is limited by design, saying, “Starbase cities do not offer utility services,” Myers told TechCrunch. “These services are provided by SpaceX within city limits.”
In fact, that means that the upcoming Brownsville Star Base Pipeline will feed the private SpaceX run water system. Neighbors will not automatically earn the right to tap. Connections are made at SpaceX’s discretion and under SpaceX’s terms.
The planned pipeline will resolve the recent rarity of SpaceX employees and their families, but will not create public water rights.
According to public records, SpaceX has no obligation to serve third parties as it does not have a Certificate of Convenience and Necessity (CCN), which is authorized by the Texas Public Utilities Commission to determine who may sell retail water.
SpaceX did not respond to TechCrunch’s question about whether to add utility to its long list of commercial services.
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