Grimes County prepares for critical vote on SpaceX chip plant
June 1, 2026
GRIMES COUNTY, Texas (KBTX) – Grimes County officials will hold a public hearing on Wednesday on SpaceX’s proposed Terafab chip manufacturing plant near Gibbons Creek Reservoir, with billions of dollars in potential investment on the line.
County Judge Joe Fauth said Tuesday’s special meeting will continue last week’s discussion ahead of Wednesday’s public hearing. The public will have a chance to speak at both of the meetings this week.
“I’d like to put this to bed on Wednesday,” Judge Fauth said. “SpaceX can then start digging dirt and doing what they need to do to build their operation. Or we just say, you know what? We can’t come to it, and we don’t have an agreement.”
“This is a big deal. At the end of the day, this is a generational change for Grimes County, if indeed it does go through,” Fauth said.
County officials weigh future development
Fauth said allowing SpaceX to move to Grimes County could sway other companies from coming to town because he doesn’t want the county to be overrun.
“In the back of my head, maybe we could limit some of the anxiety of our citizens by not having five, ten, 15 data centers, battery locations, power generations throughout the county,” Fauth said. “Maybe we could just have one or two majors, and then we could go back to the comfort of, hey, Grimes County is a nice place to live.”
Residents raise safety concerns
Grimes County resident Marie Egyed said she is not opposed to the project but wants the county to slow down and give residents a seat at the table.
“That would be great if this were the only project that came into Grimes County,” Egyed said. “I’m not asking them to do anything except follow their own adopted guidelines.”
Egyed said residents are still waiting for answers about safety.
“The county still has not provided the residents with proof that these developments even meet the county’s own criteria regarding safety, health, and hazards,” Egyed said. “We’re still waiting for them to show us the information that they’ve actually looked into whether these are going to be harmful to our health and our safety.”
Wednesday’s meeting includes two public hearings — one on the tax abatement, one on the reinvestment zone — plus open public comment. Egyed said she wants residents at the table.
“We want to make sure we get it right this first time, especially with this very large project here, so that all the other ones that follow, plans are in place, processes are being followed, procedures, the rules, the guidelines, the criteria, everything is in line with what they’ve already adopted,” Egyed said.
Fauth said even if the county acts on Wednesday, SpaceX still has the final call.
“We have the semi-final word. We’re going to offer this tax abatement. This is what we’re proposing. And then SpaceX would also have the opportunity to say, ‘We’re going to come in, or we’re not coming in,’” Fauth said.
Residents can make their voice heard at Tuesday’s commissioners court meeting before commissioners head into executive session. The formal public hearings and action will happen on Wednesday at the Grimes County Justice Center at 9 a.m.
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