Seagrass is essential habitat for many different marine species and is found in shallow coastal waters having high light penetration and low wave action. These conditions are also conducive to oyster aquaculture. As Texas develops commercial oyster farming, it is important to understand the effects of oyster aquaculture on seagrass health and to determine whether this activity negatively impacts this form of essential marine habitat. The goal of this study was to characterize the effects of a research-scale oyster aquaculture farm with adjustable longline system cages on the health of adjacent seagrass colonies in Copano Bay, TX. This was accomplished by using typical methods for the monitoring of seagrass health as well as relevant water quality monitoring and characterization of sediment transport in the farm area. Four seagrass beds (Halodule wrightii) were identified at various distances (100 m "upstream", directly adjacent (zero m), 30 m, and 60 m "downstream") from the research farm were monitored for 1) change in seagrass density, canopy height, max leaf length, 2) turbidity, water temperature, light intensity, salinity, DO, conductivity, dissolve nutrient concentrations (e.g., NH4, NO2, NO3, PO4), and 3) current direction, sediment deposition rate, and sediment texture analysis. In general, results showed only minor differences in dependent variables over the 18-week sampling period. No significant difference (P>0.05) was shown in maximum leaf length of seagrass, water quality variables, current direction, and sediment texture analysis. Seagrass leaf length and sediment deposition rate at the end of the study period was significantly (P<0.05) higher for the 60-m downstream colony. Both the 30-m and 60-m downstream colonies had significantly (P<0.05) denser seagrass coverage. The 100-m upstream seagrass colony had the numerically lowest density. These results suggest that differences in indicators of seagrass health were either unaffected by proximity to the research-scale oyster farm or beneficial and that higher sediment deposition rate (e.g., the 60-m downstream site) did not decrease seagrass colony density. Overall, it can be concluded that an oyster aquaculture farm of the type, size, and at the location described in the present study had no major negative impact on seagrass colony health.