Daily Digest — August 6, 2026
Nashville Advances Eminent Domain to Block DC BLOX Data Center Near Zoo
Nashville's Metro Council voted 27-5 to authorize eminent domain proceedings to acquire property adjacent to the Nashville Zoo, where DC BLOX plans to build a data center, according to WPLN News and the Tennessee Conservative. Mayor Freddie O'Connell spearheaded the effort, citing a need for Metro office space in South Nashville.
The potential acquisition carries financial risk. DC BLOX purchased the property for $23 million, but the county assessed its value at $37 million, establishing a likely minimum taxpayer cost of $37.4 million, as reported by FOX Nashville and Rutherford Source.
The Council also adopted new land-use regulations restricting data center locations based on size and energy use, and enacted a temporary moratorium on new data center permits through December 1. However, these measures do not directly stop the DC BLOX project. Two pending zoning challenges before the Board of Zoning Appeals cannot be heard until the moratorium expires, according to WPLN News.
Several council members raised concerns. Councilmember Ginny Welsch called the eminent domain proposal a "gross misuse of the power of condemnation," while an amendment by Councilmember Quin Evans Segall requires council review of any property appraisal and a three-week waiting period before condemnation action is filed, per the Tennessee Conservative. The project has generated massive public backlash, including a petition with over 500,000 signatures and opposition from figures including country singer Brad Paisley and Senator Marsha Blackburn, as reported by WSMV 4 Nashville.
Nashville Metro Council Signs Off On Zoo Data Center Eminent Domain, But Several Steps Remain
Tennessee Conservative
Metro advances eminent domain effort to try to block DC BLOX data center
WPLN News
Metro Council set to vote on eminent domain
WSMV 4 Nashville
Metro Takes Step to Block Proposed Data Center Near Zoo
Rutherford Source
Nashville leaders vote to acquire data center property near zoo
FOX NASHVILLE
Spartanburg County Data Center Faces Legal Challenge Before SC Public Service Commission
The South Carolina Public Service Commission held a four-hour hearing on a legal challenge to Valara Holdings' proposed $3 billion, 457-megawatt data center in Spartanburg County, according to the Post and Courier. The central question is whether the state's Utility Facility Siting and Environmental Protection Act applies to the facility's on-site gas-fired power generation.
The Southern Environmental Law Center (SELC), representing Concerned Citizens of Spartanburg County and the Southern Alliance for Clean Energy, argues that any facility exceeding 75 megawatts of generation capacity must obtain a certificate of environmental compatibility and public convenience and necessity. SELC attorney Frank Holleman contended that the statute's definitions of "person" and "major utility facility" contain no exemption for private self-generation, as reported by Live 5 News and WSPA 7News.
Valara's attorney Andrew D'Antoni argued the siting act applies only to public utilities selling power, not private companies generating solely for their own use. He contended that a broader interpretation would give the PSC oversight into private corporate decisions, per the Post and Courier.
The South Carolina Office of Regulatory Staff sided with residents and SELC, arguing the law's plain language applies to facilities over 75 megawatts regardless of whether power is sold publicly, according to WSPA. A separate lawsuit also challenges Spartanburg County's classification of the project as a "minor land development," which bypasses public planning commission review, as reported by FOX Carolina.
- Commissioner David Britt, who was on the Spartanburg County Council when it approved tax breaks for Valara, was not present following a recusal request
- Over 60 residents traveled to Columbia for the hearing
- Construction continues at the site without interruption
- The PSC is expected to rule by September 4
Oral arguments heard over proposed data center in Spartanburg County
FOX Carolina News
Spartanburg County data center lawsuit progresses to hearing in Columbia
WSPA 7News
SC Regulators, Environmental Group Dispute Siting Act Application for Spartanburg Data Center
Post and Courier
Lawsuit over Spartanburg County data center development continues in Columbia
WSPA 7News
Residents, environmental group challenge Spartanburg Co. data center project before PSC
Live 5 News
Westlake, Texas Planning Commission Approves Circle T Data Center Despite Keller Resident Opposition
The Westlake Planning and Zoning Commission unanimously approved a site plan for the Circle T Ranch data center, an 87-to-90-acre, four-building complex developed by PowerHouse Data Centers and American Real Estate Partners in partnership with Hillwood, according to Community Impact and the Dallas Express. The decision followed a nearly four-hour meeting with significant opposition from neighboring Keller residents.
Key project specifications reported by Community Impact:
- 1.1 million square feet across four buildings
- 300 MW of electricity from an Oncor switchyard with 350 MW capacity
- Average daily water consumption of 165,000 gallons (54 million gallons annually)
- Located along U.S. Highway 377 near the Keller city limits
Residents raised concerns about noise pollution, health impacts, decreased property values, and proximity to homes, Ridgeview Elementary School, and the Wat Buddharatanaram Buddhist monastery, as reported by the Daily Mail. The monastery indicated willingness to pursue legal protections if operations burden their religious freedom. The Marshall Ridge community has hired an attorney and launched a GoFundMe for legal fees, per the Fort Worth Star-Telegram.
The project now moves to the Westlake Town Council for a final vote on the development agreement, scheduled for August 18, according to Community Impact. Former Westlake Planning & Zoning commissioner Linda Bjorn criticized the town's transparency and claimed her removal from the commission was related to questioning the project, as reported by Dallas News.
Westlake Planning & Zoning Commission approves data center site plan near Keller
communityimpact.com
Data Center Plans Advance In Westlake Despite Resident Outcry
Dallas Express
Texas residents fume over plans for a data center to be built next to their homes, school and a Buddhist monastery
Daily Mail
Westlake Planning and Zoning approves data center site; Keller residents voice opposition
Fort Worth Star-Telegram
Westlake data center plans advance despite neighbors' concerns
Dallas News
Compass Datacenters CEO Advocates Standards Over Bans Amid National Moratorium Trend
Compass Datacenters CEO Chris Crosby appeared on CNBC's "Power Lunch" to address the growing wave of state and local moratoria on data center development, according to CNBC Television. Crosby noted that New York became the first state to impose a moratorium on new large-scale data centers and that Texas Governor Greg Abbott has ordered an audit of all projects seeking to connect to the state's main power grid.
Crosby characterized the Texas audit as primarily targeting speculative developers who intended to sell power access rather than build data centers. He urged other states considering moratoria to "raise the bar" for developers instead of imposing outright bans, arguing that data center companies are willing to invest billions into communities through infrastructure, workforce development, and property tax revenue. Crosby stated that Compass has not used water since 2011 and believes developers should pay their own way for electricity.
Virginia Regulators Order Dominion Energy to Develop Data Center Cost Allocation Plan
Virginia's State Corporation Commission has ordered Dominion Energy to develop a policy ensuring data centers pay for power grid upgrades built exclusively for their operations, according to WJLA and The Center Square. The order, issued July 31 as part of Dominion's annual Rider T1 transmission expense recovery request, prevents these costs from being passed to general ratepayers.
Key deadlines in the order, per The Center Square:
- 90 days: Dominion must submit proposed amendments to its line-extension policy
- 120 days: Status update on a broader cost assignment approach
- November 28: Update on a symmetrical cost assignment method developed with Old Dominion Electric Cooperative and other distributors
Governor Abigail Spanberger's administration praised the ruling, projecting hundreds of millions in savings for Virginia ratepayers. The administration had advocated for stricter tests to identify transmission projects driven by large customer demand, including customers in the GS-5 class (25 MW or more), which encompasses many large data centers.
Separately, according to WJLA, opposition to data centers and associated transmission lines continues across multiple Virginia counties, with Loudoun County schools taking a transmission line dispute to the Virginia Supreme Court. Lt. Gov. Hashmi has also urged regulators to extend the review period for Dominion Energy's proposed merger with NextEra.
Virginia Primary Elections Yield Wins for Data Center Opponents; New Legislation Under Consideration
Candidates opposing data center development secured victories in Virginia's primary elections, according to Politico. The results reflect growing political influence of anti-data center sentiment at the local level.
Separately, the Washington Times reports that new legislation is being considered in Virginia that could curb the state's data center boom, driven by public resistance from residents concerned about noise and utility bills.
