Hays County to establish new water board and regulatory standards for data centers
Hays County commissioners unanimously voted to establish a review board for water-intensive developments like data centers and temporarily suspend related discretionary approvals through the end of the year. This action follows a lawsuit against Hill County by RCM Hill, LLC after it approved a similar moratorium, which was later rescinded. The new Hays County resolution aims to address water availability and conservation concerns, offering a template for other counties.
Hays County commissioners have unanimously approved a resolution to establish a review board tasked with evaluating proposed water-intensive developments, including data centers. The board will provide guidance to commissioners based on water availability studies, drought contingency plans, and conservation measures. Additionally, the resolution introduces a checklist for such developments, requiring transparency reports, projected water-use estimates, and independent environmental surveys.
The resolution also enacts a temporary suspension of “discretionary approvals” for data centers and other water-intensive projects within the county until the end of the year. Hays County Judge Ruben Becerra clarified that this measure is not a blanket prohibition but a temporary review period to demonstrate the county's commitment to water conservation. This action comes after a similar moratorium in Hill County led to a $100 million lawsuit against the county by data center developer RCM Hill, LLC, which subsequently resulted in Hill County rescinding its moratorium.
Hays County's legal counsel expressed confidence in the adopted resolution's language, stating it limits the county's exposure to similar legal challenges. Judge Becerra, who initiated the proposal in February, hopes the resolution will serve as a template for other Texas counties addressing data center development. The county's decision follows a recent vote by the San Marcos City Council to prohibit data centers within city limits, reflecting a growing community concern, as noted by local activist Abigail Lindsey.