Matagorda Harbor and Matagorda Bay are located about 130 kilometers (80 miles) northeast of Corpus Christi and about 174 kilometers (108 miles) southwest of Houston. The Bay is a large estuary fed by many streams and the Lavaca and Colorado Rivers. The bay supports a wide range of wildlife and fishing tourism.

The Port of Bay City Authority was created by the State in 1960 as a county navigation district responsible for maintaining, with the US Army Corps of Engineers, the navigability of the Colorado River and for regulating port facilities at Matagorda Harbor and in Matagorda County. A six-member board of commissioners is elected by county residents to oversee the port authority.

Matagorda Harbor has 7.3-, 8.5-, and 9.8-meter (24-, 28-, and 32-foot) covered slips that are equipped with power lifts, electric outlets, water, lights, and lockable dock boxes. Transient boats berth at the bulkhead, the slips are for inboard and outboard motor boats. Boat houses can dock at Matagorda Harbor in a secure locked area with access to a harbor parking lot.

The Matagorda Harbor floating docks have 12.2- and 15.2-meter (40- and 50-feet) covered slips and 9.1-, 12.2-, and 15.2-meter (30-, 40-, and 50-foot) uncovered set slips. A few 19.8-meter (65-foot) uncovered berths are available. Transient slips are available. Matagorda Harbor has four paved free public boat ramps, and trailer storage is available at no additional cost. Matagorda Harbor has 26 spaces for recreational vehicles for boat slip patrons only.

The Matagorda Harbor has a tournament pavilion dockside that can be scheduled through the harbormaster. Another pavilion is available on a first-come, first-served basis. The air conditioned Recreation Hall is also available on a first-come first-served basis and has bathrooms and showers and a stove in the main room. Russell's Bait and Tackle is located nearby, as is the Waterfront Restaurant.

The Colorado Jetties at Matagorda Harbor were renovated in 2011, and a new east jetty was built. After dredging, the channel is 61 meters (200 feet) wide and 3.7 meters (12 feet) deep. Popular with tourists and beach-goers, Matagorda Island is located east across the bay from Matagorda Harbor.

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