McAllen Mayor Outlines Border City's Economic Resilience and Regional Collaboration Strategy

McAllen Mayor Javier Villalobos detailed the border city's economic stability and regional collaboration strategy during an appearance on The Building Texas Show, challenging national narratives about border communities while outlining a disciplined approach to growth. The mayor, now serving his second term, described his unpaid position as a full-time commitment focused on stewardship, visibility, and economic diplomacy across the U.S.–Mexico border.

Villalobos presented data showing McAllen ranks among the safest cities in the United States while maintaining one of the lowest costs of living in Texas. The city has become a top destination for small business growth, conventions, and cross-border commerce, functioning as the economic engine of the Rio Grande Valley. This economic strength supports a regional workforce that transcends city boundaries, creating opportunities across South Texas.

A central theme of the mayor's discussion was regional collaboration. Villalobos explained how cities across the Rio Grande Valley—including McAllen, Edinburg, Pharr, Mission, Brownsville, and Harlingen—have shifted from competition to coordination. This regional mindset, combined with strong partnerships with Hidalgo, Cameron, and Starr counties, has positioned South Texas to capitalize on major investments such as SpaceX, advanced manufacturing, logistics, and international trade. The collaborative approach represents a significant departure from traditional municipal competition and creates a more unified economic development strategy.

Education and workforce development emerged as critical components of McAllen's strategy. Villalobos pointed to institutions like UTRGV, Texas A&M–RGV, and South Texas College as essential pipelines for skilled talent in welding, advanced manufacturing, healthcare, and technical trades. With one of the youngest populations in Texas, McAllen is investing deliberately in human capital to support long-term economic growth. This focus on education ensures the region can meet the demands of emerging industries while providing career pathways for local residents.

The mayor outlined McAllen's disciplined financial approach, noting more than 130 days of working capital in reserves and consecutive property tax rate reductions. Major development projects include the redevelopment of a 70-acre reservoir into a mixed-use destination, expansion of the McAllen Convention Center, and the opening of a full cargo facility at the international bridge. These initiatives are designed to grow sales tax revenue, tourism, and global connectivity while enhancing the city's infrastructure for future growth.

As the conversation turned toward 2026, Villalobos expressed optimism about McAllen's future, citing fiscal strength, strategic incentives for value-add manufacturing, and the city's unique position between two of the world's most powerful economies. "McAllen sits at the center of a fluid, working border," Villalobos explained. "That collaboration—locally, regionally, and internationally—is what makes this city strong." The city's community-driven quality of life, from large-scale holiday events like the South Pole of Texas and the McAllen Holiday Parade to year-round tourism and convention activity, continues to attract first-time visitors and support local businesses.

The episode featuring Mayor Villalobos is available on YouTube as part of The Building Texas Show, a statewide multimedia platform focused on telling the stories of Texas communities, civic leaders, and economic builders shaping the state's future. The mayor's insights provide a counter-narrative to common perceptions of border cities while demonstrating how strategic planning, regional cooperation, and fiscal discipline can create sustainable economic growth even in complex geopolitical environments.