A deal between a city and SpaceX includes terms for refunding unused portions of $220 million if milestones are not met. The agreement also allows for the restart of funding. This deal is tied to the disannexation of land and is intended to fund major water infrastructure upgrades.

The upgrades are necessary to diversify the city's water sources, as the region is experiencing a severe drought. Without these improvements, the city faces a potential water crisis.

Further details about the agreement and its implications are available, including the conditions under which funding can be restarted and the significance of the land disannexation.