The City of Starbase will consider proposed tax-abatement and economic-development agreements for SpaceX’s planned 444-acre Cameron County campus, which the notice describes as a gas-fired power plant and super-compute facility with approximately $24 billion in estimated initial-phase capital investment.
Published by Allstream Insiders
Allstream Insiders Summary
The City Commission of Starbase, Texas, is scheduled to consider proposed incentive agreements for a SpaceX gas-fired power plant and super-compute facility on December 9, 2026. According to the city’s public-hearing notice, the Commission will meet at 7:00 p.m. to consider a property-tax abatement under Chapter 312 of the Texas Tax Code and a related economic-development agreement under Chapter 380 of the Texas Local Government Code.
The notice identifies Space Exploration Technologies Corp. as the property owner and applicant. It describes an approximately 444-acre site within the City of Starbase in Cameron County, east of Brownsville between Boca Chica Boulevard and the Port of Brownsville.
SpaceX proposes to construct, own and operate a gas-fired power plant and super-compute facility. The notice lists approximately $24 billion in estimated capital investment for the project’s initial phases, which may be built over multiple phases and include future expansions.
The December 9 hearing is not a project approval, final investment decision, construction start or equipment award. The tax-abatement and economic-development agreements remain subject to City Commission consideration.
Proposed Starbase Development at a Glance
| Item | Public-notice detail |
|---|---|
| Applicant | Space Exploration Technologies Corp. (SpaceX) |
| Public hearing | December 9, 2026, at 7:00 p.m. |
| City action under consideration | Property-tax abatement and related Chapter 380 economic-development agreement |
| Location | Approximately 444 acres in the City of Starbase, Cameron County, east of Brownsville |
| Development described | Gas-fired power plant and super-compute facility |
| Estimated initial-phase investment | Approximately $24 billion |
| Project status | Proposed; public hearing and City Commission consideration pending |
What the City Commission will consider
The notice concerns proposed local incentives, not a request for a permit to begin construction. The City Commission is scheduled to consider a property-tax abatement agreement and a related Chapter 380 economic-development agreement. Approval of either agreement would be distinct from the other approvals, financing arrangements, commercial contracts and construction decisions that a development of this kind may require.
The notice places the proposed project within the Cameron County Enterprise Zone and states that the site is within Starbase’s corporate limits. It does not disclose the proposed length or value of the tax abatement, the terms of a Chapter 380 agreement, performance requirements, job commitments, reimbursement structure or other incentive conditions.
What SpaceX has proposed
The proposed campus pairs on-site gas-fired generation with a super-compute facility. The $24 billion figure is described as estimated capital investment for initial phases and may include future expansions. It should not be treated as a disclosed budget for the power plant alone, nor as a confirmation that the full amount has been committed or spent.
The public notice does not state the planned generating capacity, number or type of generating units, fuel-supply arrangement, gas-pipeline scope, transmission interconnection, water or cooling configuration, equipment suppliers, engineering firm, construction contractor, start date or commercial-operation date.
What remains before project execution is established
Even if the City Commission approves the proposed agreements, the notice alone does not establish that construction has been authorized or that all project requirements have been met. Additional disclosures would be needed to clarify permitting, environmental review, air-quality compliance, fuel and electric-infrastructure arrangements, interconnection, financing and contracting.
No contractor, procurement package or equipment order is identified in the notice. The document should therefore be tracked as a significant local-incentive and land-use milestone for a proposed development – not as confirmation of active construction.
Allstream perspective: a large proposed power-and-compute campus, with execution details still undisclosed
Allstream perspective: The proposed combination of gas-fired generation and a super-compute facility puts power supply at the center of the Starbase development concept. If the project advances through its incentive, permitting, financing and development stages, possible work categories could include power-plant engineering and design; gas-supply and pipeline infrastructure; generation equipment; electrical substations and interconnection facilities; civil work; foundations; structural steel; control systems; cooling and water systems; fabrication; construction services; inspection; and commissioning.
Those are potential categories for a project of this nature, not announced awards. The near-term decision point is the December 9 public hearing, followed by any City Commission action and later project-specific filings or company disclosures that identify capacity, permitting, schedule, budget allocation and contractor scope.
