Port of Galveston Port Arthur. Some businesses threatened to pull out of Galveston completely if the port wasn't reopened. Governor William P. Hobby declared martial law and sent the Texas National Guard to take control of the city and the port. The city was under martial law until January 1921, when the longshoreman agreed to return to work for a salary increase that was less than they had sought. Later that decade, the port of Galveston became a major sulphur exporter. As the oil industry expanded in Texas, no pipelines were built to Galveston. The Intracoastal Canal opened in 1933. For several years
History of Galveston, Texas Lewis Moody, Jr., a member of one of Galveston's leading families, founded the American National Insurance Company. Two years later, Mr. Moody would further invest in Galveston by establishing the City National Bank, which would later become the Moody National Bank. A military facility by the US Army Coastal Artillery on Galveston Island was established in the late 1890s and construction, which was disrupted by the Galveston Hurricane of 1900, was completed in the early 1900s, with the facility being named Fort Crockett in 1903. During the First World War, Fort Crockett served as a US Army artillery training center.