SpaceX Building Water Pipeline to Starbase, But Access Comes With Stringent Conditions

SpaceX is set to significantly alter its infrastructure at Starbase, Texas, not with a launch mount or rocket booster, but with a crucial water pipeline. This new development, stretching from Brownsville to the newly incorporated city of Starbase, aims to replace the existing method of truck-hauled potable water deliveries for employees and residents.

Mark Dombroski, COO of the Brownsville Public Utilities Board (BPUB), confirmed the project at a July 16 meeting, stating that BPUB has entered into a contract with SpaceX to supply water as an in-city customer. The BPUB approved this contract on June 2. While SpaceX established its own city, it is being treated as an in-city nonresidential customer, a classification that typically comes with a cheaper water rate than for outside-city customers.

Under a non-standard development agreement, SpaceX will fund and construct the pipeline extension to a metering point within Starbase’s city limits. SpaceX will also cover the costs for improvements necessary for BPUB to deliver water to this meter. This arrangement is designed to replace the current water hauling agreement once the pipeline becomes operational. The timeline for this transition is largely dictated by SpaceX’s construction schedule.

Currently, SpaceX’s water deliveries are capped at 60,000 gallons per day under its agreement with BPUB. The new pipeline is expected to remove this limitation, facilitating SpaceX’s plans for expanding amenities and housing for its growing workforce and residents at the Starbase facility.

However, access to this vital resource may come with strict terms and conditions for the handful of non-SpaceX affiliated homes located along the route. In July, nearly 40 properties lost their county water service abruptly, as reported by the San Antonio Express-News. Cameron County, which previously provided water as a courtesy, now states that Starbase is responsible for delivering water to these residents.

Starbase city administrator Kent Myers has contested this, reportedly sending a letter to a Cameron County commissioner stating that the water cutoff poses significant safety and public health risks. Myers asserted that Starbase possesses neither the legal authority nor the operational capacity to deliver water to these residents.

Adding to the complexity, SpaceX has reportedly distributed an “unconditional and perpetual agreement” to non-SpaceX affiliated homes. This agreement offers access to Starbase’s water and sewer system in exchange for residents’ commitment to vacate the premises for any launch, testing, or other operational activities conducted by SpaceX. The document also clarifies that SpaceX bears no obligation to provide residents with access to its water and wastewater treatment systems, offers no guarantee of water quality or volume, and restricts residents from seeking legal or monetary recourse against the company.

The newly incorporated City of Starbase, governed by SpaceX executives, functions as a distinct municipal entity adjacent to the company’s extensive South Texas launch site. The city was incorporated in May, with voting rights limited to registered voters within the proposed boundary. Out of 247 lots within this boundary, only 10 were not owned by SpaceX, according to SpaceX senior manager of spaceport operations Richard Cardile.

Even before the city’s incorporation vote, SpaceX had been actively working to secure formal potable water provisions. The company has established a state-regulated drinking-water system, complete with a 500,000-gallon ground storage tank, service pumps, and other necessary hardware, as per TCEQ records. This system, supplied by water haulers, currently serves 239 residential connections, which may include multiple units per connection.

Officially, the City of Starbase has a limited role. Myers clarified that the city does not provide utility services; these are managed and provided by SpaceX within the city limits. Consequently, the forthcoming Brownsville-Starbase pipeline will feed into a private, SpaceX-operated water system. Any connection for neighboring properties would be at SpaceX’s discretion and subject to its terms.

Public records indicate that SpaceX has not obtained a Certificate of Convenience and Necessity (CCN) from the Texas Public Utility Commission. This authorization is typically required to retail water services and determines which entities have the right to serve third parties. Without a CCN, SpaceX is not obligated to serve external customers.

SpaceX did not respond to inquiries from TechCrunch regarding its plans to offer public utilities as part of its services.