
Water district seeks answers on Palomino Alpha data center
The Crystal Clear Special Utility District board is considering delaying or rejecting a water request for the 870-acre Palomino Alpha data center in Guadalupe County. Board members expressed concerns about insufficient information from developers, high water consumption, and environmental risks, though they could not take formal action at the recent meeting. Local residents and a state representative are actively opposing the project due to water and environmental impacts.
The Crystal Clear Special Utility District (CCSUD) board is grappling with a water supply request for the proposed 870-acre Palomino Alpha data center in Guadalupe County, Texas. At its August 27 meeting, board members expressed strong reservations and a desire to delay or potentially reject the request, citing a lack of crucial information from project representatives who failed to attend the meeting. Board member Joseph Benavides criticized the absence of a detailed design plan, suggesting the district was being "hoodwinked" by a lobbying firm.
The nonstandard service water agreement outlines a potential consumption of up to half a million gallons of water daily, raising concerns among board members about sustainability and environmental impact, including "forever chemicals." CCSUD attorney Howard Slobodin clarified that while the district would benefit financially from the fixed payment, a directive from Gov. Greg Abbott regarding a "pause on all data centers" was specifically related to the electric grid and not water supply, meaning the data center would have no water demand until connected to the grid.
Local residents, including Mary Littlefield Devine and Saunders Drukker of the Data Center Action Coalition, voiced staunch opposition during public comment. They were joined by a statement from state Rep. Alan Schoolcraft, whose district encompasses the area, urging the CCSUD to deny or delay the project due to excessive water demand, environmental risks, and community impacts. Despite the board's strong inclination, they were unable to take formal action at the meeting as the item was listed for discussion only.