Hurricane Dolly slammed into the South Texas coast Wednesday with punishing rain and winds of 100 mph, blowing down signs, peeling off roofs and knocking out power to thousands before weakening over land.

Local officials’ greatest fear — that the levees holding back the Rio Grande would fail and cause massive flooding — eased when Dolly meandered 35 miles north of the U.S.-Mexico border just before coming ashore on South Padre Island as a Category 2 storm. About two hours later, Dolly’s winds slowed to 95 mph, and the storm was downgraded to a Category 1.

“The levees are holding up just fine,” said Cameron County Emergency Management Coordinator Johnny Cavazos. “There is no indication right now that they are going to crest.”

The storm defied forecasts that it would swarm the mouth of the Rio Grande, pushing its current upstream and causing massive flooding on both sides of the border. But “it’s still very early in the storm,” cautioned Sally Spener, a spokeswoman with the International Boundary and Water Commission.

Most of the destruction was on South Padre Island, a beach resort town on a barrier island off the Texas coast. Numerous roofs were ripped off and windows were smashed. The roadways and yards were strewn with trees, fences, power poles and fallen streetlights. Business signs rolled around on the streets like tumbleweeds.

The causeway linking the island to the mainland was closed.

“I thought it was just a big clap of thunder, (then) saw this stuff flying around and it’s the roof,” said Buck Dopp, who lives in the ground floor of an apartment building where a roof collapsed. Dopp and his family packed up and left the building, despite their plans to ride out the storm.

A 17-year-old boy fell from a seventh-story balcony, injuring his head, breaking his hip and fracturing his leg, said Dan Quandt, spokesman for South Padre Island emergency operations. He was being treated at an island fire station.

Forecasters warned of up to 12 inches of rain that could produce flooding in the heavily populated Rio Grande Valley. Up to 20 inches was predicted for isolated areas. Thunderstorms were attributed to Dolly as far away as Houston, 400 miles up the Texas coastline.

Even as the front edge of the storm passed over the Texas mainland, residents still needed breakfast. The few stores that were open — even without electricity — were doing brisk business before Dolly fully revved up.

“Tienes tortillas?” Jorge Herrera shouted, rushing soaking wet into Johnny’s Grocery and Meat Market 2. His 3-year-old son Michelangelo, sporting a Superman T-shirt and matching underpants, was in tow.

Discovering the tortilla factories had closed before the storm and the store didn’t have any to sell, the Herreras settled for a bag of charcoal, chocolate cookies and two tall cans of beer.

Store owners were most worried about the pounds of meat now sitting unrefrigerated in the July heat, but cashier Elvira Farias said her boss “wanted to stay open to serve the community. We know that some people need to buy a meal for their kids.”

Residents were apparently staying put. Food was selling fast, but gas pumps were idle.

Those heading north likely were stopped at inland Border Patrol checkpoints, where agents opened extra lanes so they could check documentation and arrest illegal immigrants, said sector spokesman Dan Doty. At one checkpoint on I-77, smugglers were caught with between 5,000 and 8,000 pounds of marijuana. Two other immigrant smugglers also were caught.