Hill County ends data center moratorium after lawsuit

News Clip0:40KCENNews·Hill County, TX·6/5/2026

Hill County has ended its temporary moratorium on data center development, just one week after a developer filed a lawsuit against the county. Commissioners unanimously rescinded the ban, citing legal risks, and approved a new review process for data center projects. This new process requires developers to disclose details regarding water use, traffic, environmental effects, and power demands.

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Gov: Hill County Commissioners, Hill County

Hill County Commissioners have unanimously voted to lift the temporary ban on data center development, a decision made swiftly after a developer filed a lawsuit against the county over the moratorium.

Commissioners stated that maintaining the moratorium posed significant legal risks to the county and its taxpayers. In place of the ban, the county has implemented a new, comprehensive review process for future data center developers. This new process mandates that developers disclose detailed information concerning water usage, potential traffic impacts, road damage, flooding risks, power demands, environmental effects, and emergency response plans.

This agreement also allows the data center project that initiated the lawsuit to proceed. County leaders expressed that these new regulations will provide residents with greater transparency into upcoming developments and help address community concerns.