Daily Digest — August 18, 2026
Texas Judge Blocks Westlake Vote on Circle T Data Center
A Tarrant County judge issued a temporary restraining order on August 17 preventing the Town of Westlake, Texas, from voting on a development agreement for the proposed 1.1 million-square-foot Circle T data center, according to the Fort Worth Star-Telegram. The TRO was filed by the Lakes at Marshall Ridge HOA in Keller and two Westlake residents, who allege the town failed to provide proper public notice for planning and zoning actions taken in December 2024 and January 2025. The Westlake Town Council unanimously tabled the vote until August 26, when an injunction hearing will determine the duration of the restraining order.
As reported by the Dallas Morning News, the proposed data center would sit on 88 acres off Highway 377 near the Keller border, approximately 500 feet from multiple Keller backyards. Over 100 people attended the special meeting, with public comment lasting more than 90 minutes. Keller Mayor Ross McMullin stated the city would continue reviewing its legal options, while Westlake Mayor Kim Greaves emphasized the council's responsibility to establish strict standards for noise, water, power, and emissions.
Westlake's town attorney stated there was no legal basis for denial as the agreement conformed to town code, according to CBS News. Developer PowerHouse Data Centers' Senior VP Jeff Parsons committed to sharing noise monitoring data but declined to allow Westlake to install independent monitoring devices. Westlake Mayor Armin Mizani pledged to advocate for stronger public notice requirements for data center projects in the state legislature.
Tarrant County judge temporarily blocks Westlake from voting on data center agreement
Fort Worth Star-Telegram
Westlake postpones vote on data center plan after judge issues restraining order
Fort Worth Star-Telegram
Judge temporarily blocks Westlake from moving forward with data center
Dallas News
Judge blocks Westlake vote on controversial data center, granting restraining order to Keller HOA
CBS News
Texas Data Center Politics Intensify Across Party Lines
Growing public opposition to data centers in Texas has prompted action from both Republican and Democratic leaders, according to CBS News. Governor Greg Abbott has issued multiple directives since June, including a pause on new data center development and an audit of all data centers in ERCOT's interconnection queue. Data center developers must now disclose ownership, funding sources, power acquisition methods, and anticipated power and water consumption, with only compliant projects granted grid access.
The audit covers up to 300 proposed projects, with ERCOT Senior VP Chad Seely indicating regulators are targeting completion of the first batch by April 2027, as reported by the Washington Examiner. Governor Abbott stated that future data centers must "bring their own money, bring their own power, reuse their own water" and called for the elimination of tax breaks. The Data Center Coalition and its 44 member companies have expressed support for this approach.
Democratic gubernatorial nominee Gina Hinojosa criticized Abbott's actions as a "political ploy," calling for a special legislative session to enact permanent laws, according to MS NOW. She cited an Emerson poll showing 60% of Texans oppose data centers near their communities. Texas Agriculture Commissioner Sid Miller separately called for a one-year moratorium and accused Abbott of a conflict of interest due to industry donations, as reported by Fox News.
State Rep. Raymond Peña of Laredo has also formally requested a special session, citing $1.3 billion in annual sales tax exemptions, the absence of statewide water use reporting, and concerns that a non-disclosure agreement linked to a data center project in Sinton is impeding emergency water pipeline construction for 500,000 residents, according to the Rio Grande Guardian. A University of Texas poll found 56% of Texas voters, including 44% of Republicans, oppose data center construction in their communities.
Meanwhile, local governments continue to drive development decisions. The Dallas Morning News reports that Denton is exploring code changes and a possible moratorium, Irving unanimously approved a three-building campus despite staff concerns, and five Dallas City Council members have requested a hearing on data center regulations.
Push back on data centers by Texas voters gains attention of state GOP leaders, Democratic challengers
CBS News
Texas gubernatorial candidate discusses data center policy
MS NOW
Texas agriculture commissioner warns of AI data center impact, urges moratorium
Fox News Clips
Raymond Peña calls for special session on data centers
Rio Grande Guardian
Abbott’s data center construction pause will take ‘several months’ for up to 300 projects in Texas
washingtonexaminer.com
Texas Local Governments Control Data Center Development Despite State Audit and Political Views
Dallas News
Chicago Mayor Signs Data Center Executive Order Amid Quantum Shore Backlash
Chicago Mayor Brandon Johnson signed an executive order on August 11 establishing new safeguards for data centers and creating an interdepartmental task force, according to Chicago Construction News. The order mandates enhanced air pollution evaluations, noise restrictions, and broader city oversight of water and electricity usage at data center facilities. The administration is also pursuing City Council legislation for a temporary moratorium on new data center construction and major expansions.
The executive order came days before a contentious town hall in South Chicago, where over 350 residents gathered to protest the $9 billion Quantum Shore development planned for the former U.S. Steel South Works site, as reported by the Chicago Reader. The project, led by Related Midwest and Related Digital, includes a proposed hyperscale data center. Residents chanted "Reverse the permits. Shut it down" and demanded the mayor halt the project.
Mayor Johnson did not commit to stopping the Quantum Shore project, according to the Chicago Tribune. The project has backing from Governor JB Pritzker and Cook County Board President Toni Preckwinkle and is slated to receive substantial public funding, with anchor tenants including IBM and PsiQuantum. The Illinois Quantum & Microelectronics Park CEO stated the IQMP campus would not house a data center, though community groups argue this does not address the separate data center proposed by Related Digital for the north end of the site.
The city's Department of Planning and Development has not approved any building permits or business licenses for Related Digital's data center, as reported by Block Club Chicago. Community organizer Lia Terrell expressed disappointment with the mayor's stance and announced a rally planned for September 12. WBEZ noted that data centers have emerged as a contentious issue in the current election cycle.
South siders call for Mayor Brandon Johnson to ‘revoke the permits’ for a controversial quantum computing facility
Chicago Reader
Mayor's Support For Quantum Campus Irks Some South Siders: 'Shut It Down, Mayor Johnson'
Block Club Chicago
Mayor Brandon Johnson pressured by anti-data center activists at rally
Chicago Tribune
Chicago mayor orders new safeguards for data centers, seeks temporary moratorium
Chicago Construction News
Chicago Mayor Brandon Johnson signs executive order for data center moratorium
WBEZ Chicago
Memphis City Council Considers Data Center Moratorium Amid xAI Expansion Concerns
Three Memphis City Council members — JB Smiley Jr., Yolanda Cooper-Sutton, and Council Chairwoman Jana Swearengen-Washington — have introduced a resolution proposing a temporary moratorium on data center development, according to The Center Square. The proposal calls for further study of data center impacts on water, utilities, and surrounding neighborhoods, and would establish a study group to identify best practices.
The moratorium follows over two years of rapid expansion by xAI in the Memphis region, as reported by ABC24 Memphis. xAI announced plans for the world's largest supercomputer facility in Memphis in June 2024 and has since expanded with "Colossus One" in Southwest Memphis and "Colossus Two" in White Haven, with further operations in South Haven and DeSoto County, Mississippi. Environmental groups estimated the facility could require 1 million gallons of water daily.
The council will also discuss allocating $3.3 million in tax revenue from xAI's Colossus data center, earmarked for nine community projects including home repair assistance, neighborhood cleanup, and environmental monitoring, per The Center Square. Councilman Smiley stated the pause is not intended to stop economic growth but to allow the city to study impacts and establish more stringent regulations, according to WREG.
The article also notes that Nashville's data center moratorium is facing a federal legal challenge from DCB Nashville, a subsidiary of DC BLOX, after the council moved to seize the company's data center land through eminent domain.
Spartanburg County Delays Data Center Moratorium Vote to September
Spartanburg County Council unanimously voted to delay the third reading of a proposed 12-month moratorium on new data center developments until September 21, according to the Post and Courier. Council Member Monier Abusaft led the decision, which aims to allow an additional Public Safety Committee meeting for public input on the scope of the proposed pause.
Residents packed the chambers and voiced strong opposition to data centers, citing concerns over power and water consumption, noise, and air pollution, particularly from the NorthMark project, as reported by WSPA. The meeting was marked by heated exchanges, with two individuals escorted out for not complying with meeting rules, according to FOX Carolina.
The proposed moratorium would not halt the ongoing NorthMark project but would pause approvals for new or pending data center plans. The NorthMark facility is projected to generate over 450 megawatts of power primarily from on-site natural gas turbines. The county also faces a lawsuit alleging non-compliance with land use regulations concerning NorthMark's development permit. Council members noted that environmental groups like the Southern Environmental Law Center were invited to speak at an earlier meeting but declined.
Several council members who supported data center development lost their primary elections, with challengers campaigning against data centers, per the Post and Courier.
Spartanburg County Council Delays Vote on Data Center Moratorium
Post and Courier
Spartanburg Co. council meeting on data centers filled with surprising scenes
FOX Carolina News
Spartanburg County Council delays vote on data center freeze
WSPA 7News
Spartanburg County Council delays data center moratorium vote
WSPA 7News
Spartanburg County delays vote on data center moratorium
FOX Carolina News