# Corpus Christi desalination costs soar as water crisis deepens > Corpus Christi's water crisis deepens as desalination project costs surge and political tensions rise. - Title: Corpus Christi desalination costs soar as water crisis deepens - Summary: Corpus Christi's water crisis deepens as desalination project costs surge and political tensions rise. Corpus Christi voters will decide in November whether… - Keywords: corpus christi, desalination plant, water crisis, drought, industrial water use, drought surcharge exemption fee, corpus christi city council, exxonmobil, oxychem, valero, citgo, flint hills resources - Source: The Texas Tribune — https://feeds.texastribune.org/link/16799/17494465/corpus-christi-desalination-water-drought-industry - Author: Inside Climate News, Texas Newsroom - Published: 2026-10-12T10:00:00+00:00 - Read time: 2 min - Topics: corpus christi, desalination plant, water crisis, drought, industrial water use, drought surcharge exemption fee, corpus christi city council, exxonmobil, oxychem, valero, citgo, flint hills resources ## 2018 desalination plan unveiled In 2018, Corpus Christi City Council unanimously approved a plan where industry giants would fund a seawater desalination plant to ensure drought-proof water supply. > Industry can continue to operate. Industry can justify expansion. Community can attract new industry. ## Industry agrees to fund desalination OxyChem, Valero, Citgo, and Flint Hills Resources pledged to cover costs of the desalination plant, which would produce millions of gallons of freshwater daily. > The water that they were purchasing would not be subject to water rationing. ## 2018 drought surcharge exemption fee City Council adopted a fee where industrial users would pay an 8% water rate hike to cover desalination plant loans, exempting them from drought surcharges. > The city is committing to take care of that concern, so we can focus on keeping our businesses running well without worrying about water availability. ## Project costs escalate By 2024, the desalination plant's estimated cost had risen to $757 million, far exceeding the original $140 million budget for 10 million gallons per day. > The city would have to spend about $68 million a year to cover debt service for such a project, officials later estimated. ## Industrial water use surges ExxonMobil's new plastics plant became the region's largest water user, consuming 13.5 million gallons per day, while reservoirs dropped below 10% full. > Lake Corpus Christi dropped below 10% full in March 2026, lower than at any time on record since it first filled up in the late 1950s. ## Political opposition grows Activists led by Isabel Araiza collected 13,000 signatures for a November ballot measure to repeal the drought surcharge exemption fee and increase industrial water costs. > We’re not going away. We’re growing our civic engagement. You can’t stop us. The movement is building. We will win. ## City council debates options City Council members debated whether to cancel the desalination project, abandon permits, or seek alternative water sources amid rising costs and reservoir depletion. > We must choose options that are more affordable. ## Reservoirs hit critical levels By late 2026, Corpus Christi's main reservoirs had dropped below 10% capacity, prompting emergency water restrictions for residents but not industrial users. > Lake Corpus Christi dropped below 10% full in March 2026, lower than at any time on record since it first filled up in the late 1950s. ## November ballot measure A proposed referendum in November would determine whether to scrap the 2018 desalination plan and impose higher water costs on industrial users. > No resident should ever have to be put through this again. ## City council votes to reject alternatives City Council rejected a proposal to switch contractors for the desalination plant, citing the need to avoid further financial strain and credit rating damage. > That’s going to be a painful experience if the state of Texas calls our notes due. ## Water crisis resolution After July 2026 rainstorms filled reservoirs to 40%, Corpus Christi avoided immediate water shortages but faces uncertainty about future droughts and project costs. > The city would have to return $235 million it has already borrowed from the state, $50 million of which has already been spent. ## Long-term water challenges Corpus Christi faces ongoing challenges in securing affordable water supplies as credit ratings decline and industrial water use continues to rise. > No city manager, no city council, no resident should ever have to be put through this again. ## Political tensions intensify City Council members remain divided over the desalination project, with some urging immediate action and others advocating for more time to explore alternatives. > The rubber meets the road here. ## Future water security Corpus Christi's water security remains uncertain as the city balances industrial needs, environmental concerns, and financial constraints. > If America wants us to be a leader in energy production and export, and if we want this to be a great country, there has to be some intervention. ## Water crisis resolution After July 2026 rainstorms filled reservoirs to 40%, Corpus Christi avoided immediate water shortages but faces uncertainty about future droughts and project costs. > No resident should ever have to be put through this again. ## Key takeaway Corpus Christi voters will decide in November whether to scrap the 2018 desalination plan that promised drought-proof water but now costs $757 million and faces massive opposition.