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The name of the bay is Spanish for "Three Palaces.

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As they neared the shore, however, the palaces disappeared. In the future site of Palacios was part of the bull pasture offered for sale by the estate of Abel H. Shanghai Pierce. The Texas Rice Development Company purchased the land and subdivided it into acre tracts. The town of Trespalacios was surveyed into lots in Since there was already a nearby post office named Tres Palacios the new town changed its name to Palacios.

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The development company paid a bonus to the Southern Pacific to extend its line to Palacios. In a post office was opened, the first church was organized, the train began excursions for settlers, and the townsite company built Hotel Palacios.

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In a pavilion was constructed on a T-head pier over the water at the south end of town, next to the hotel. The pavilion had bathhouses and was used for swimming, dancing, fishing, picnicking, skating, dominoes, and other entertainment.

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Fish and oyster businesses opened, and fishing remained a ificant local enterprise into the s. Promotional material for Palacios and the area touted the climate as favorable for raising peaches, figs, oranges, and other fruits, as well as for truck farming. In the town's early years cotton was an important crop, and by rice was being farmed locally. The first encampment was held there in In the Palacios public library was organized by five women; it was officially established in and in moved to the site it still occupied in the s.

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In it had more than 42, volumes. By the town had a population of 2, more than businesses, a weekly newspaper the Beaconand Baptist, Methodist, Presbyterian, and Lutheran churches. In the camp was renamed Camp Hulen after John A. Hulencommander of the Thirty-sixth Infantry Division.

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By the mids Palacios had two schools and a population of 2, The town reported 2, residents and ninety-three businesses in As of Palacios had never had heavy industry, but it had grown steadily because of its proximity to a of major industrial concerns: the Aluminum Company of America Alcoa in the s, Celanese Chemical Company sand the South Texas Nuclear Project s; later known as the South Texas Project. The nuclear plant employed more than 10, inand after construction was completed, more than 1, permanent employees remained.

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The South Texas Project is situated on land within the Palacios Independent School District, and the district, which served 1, students inbenefits from that additional tax revenue. In the school district began the Palacios Marine Education Center; at that time the facility was the only one of its kind in Texas. In the marine and seafood-processing industry was the largest industry in the Palacios area. Numerous seafood-processing plants shipped fresh and frozen shrimp and crabmeat nationwide; these industries included the largest palacios plant in the United States and the only IQF instant-individual quick frozen shrimp-processing plant on the Texas coast.

At that time agriculture, the second largest local industry, produced cattle, rice, maize, cotton, soybeans, corn, and turf. Petroleum and natural gas woman also a vital part of the Palacios area economy, and in aquaculture was the newest developing industry there.

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Palacios is an incorporated city with a mayor-council government. The Texas Baptist Encampment has been involved with Christian camping and in the s could accommodate people in its air-conditioned facilities. In Palacios was served by more than twenty area churches belonging to fourteen communions. In the town maintained nine parks, including three on the waterfront.

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Swamp Lots Park offered a natural estuary for the breeding of shrimp, fish, and waterfowl. Matagorda County District No. The Palacios seawall, constructed inhas since been renovated, resupported, leveled, and capped, and concrete sidewalks with safety guardrails have been added around the shoreline.

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The seawall is lit at night. By Palacios had grown to a population of 4, and some seventy-seven businesses.

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In its population was 4, By the population was 5, The following, adapted from the Chicago Manual of Style15th edition, is the preferred citation for this entry. Mary L. Texas Almanac Places: Communities.

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Published by the Texas State Historical Association. Related Book s :.