In 1911, Texas City holds the first city elections and is incorporated with a mayor/commissioner form of governance. The Texas City Board of Trade is started. Texas City Civic Club begins. The Texas City Dike is completed. A U.S. Army camp containing the headquarters of the 6th Brigade and the 1st Aero Squadron is established in Texas City as a precautionary defense for possible war with Mexico. This causes the young city to grow very rapidly for about two years. In 1915 another hurricane destroys the Army camp and the camp is closed, causing an immediate and very severe economic downturn.
In 1920 the population of Texas City was 2,509 people.