Is the Reputation of Your Undergrad BS in Physics Important for Grad School?

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Does it matter where you get your BS in physics? I'm going to a not-so-known university and I don't really like the physics program mainly because it doesn't exist anymore. It is located in Texas and they have shutdown some of the undergrad programs here because some universities are not graduating enough students. Also, it is in the middle of a huge transition. It is merging with another university and I'm feeling unsure about getting my BS there because once the new university is put together I'll get a BS from a university nobody even knows about. There are some perks. For example, we have like 4 physics professors that earned PhD's at cal-tech. One or two them were had Kip Thorne as their doctoral advisor and one of them even has his own theorem and supposedly he's one of the top physicist in the US. The professors and graduate students have access to the ARCC. I want to get some opinions because I applied to UT Austin and I'm not sure if I should transfer if I get accepted. I have a 3.588 GPA at the moment and how hard it will be to get a GPA like that at UT considering I will taking much harder courses. I ask this because I plan to go to grad school. Any opinions, advice, or recommendations?
 
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I'm no expert, but I'm pretty sure it doesn't matter all that much.

Is it nice to go to a school that everyone knows? Yes. Is it essential? No.

Since you want to go to grad school grades, test scores, and research experience are most likely far more important than the name of your school. (Of course, an Ivy league school doesn't hurt...) As long as the physics department is up to par, it should be fine.

If you do change your mind and start to think about going straight into business, it may be better to go to a better known school, as long as its known for academics and not just a party school.

But most importantly, you should go where you feel comfortable. College is about enjoying yourself. (and hopefully picking up a degree along the way!) You can always try to meet the professors and spend some time on campus to get a feel for it. A lot of places will let you stay over a night with an upperclassman so you can see how campus life is.