Hill County to pay up to $100,000 in data center lawsuit settlement

News Clip0:32KCENNews·Hillsborough, Hill County, TX·7/16/2026

Hill County has settled a lawsuit with data center developer RCM Hill, which stemmed from the county's temporary moratorium on data center development. As part of the settlement, the county will pay up to $100,000 in attorneys' fees and adopt a revised industrial development review policy.

legalmoratoriumgovernmentzoningopposition
Gov: Hill County

Hill County officials have reached a settlement in a significant lawsuit filed by data center developer RCM Hill. The lawsuit originated from the county's temporary moratorium on data center development, which followed widespread community outrage and strong opposition from residents during special meetings.

RCM Hill had intended to develop an 800-acre data center campus near Hillsborough, a project that generated considerable local controversy. According to the motion for settlement, the lawsuit has now been withdrawn. As part of the agreement, Hill County will pay up to $100,000 to cover the plaintiffs' attorneys' fees.

Additionally, the settlement requires Hill County to adopt a revised industrial development review policy. This action indicates a move by the county to formalize its approach to regulating future industrial developments, including data centers.