Texas officials face limited penalties as data centers fail to report water use

Texas officials face limited penalties as data centers fail to report water use

News ClipKDBC·TX·10/14/2026

Texas officials are investigating data centers that failed to report their water use, but violations currently carry a maximum fine of only $500. The Texas Water Development Board says roughly 233 of 334 facilities identified from 2020 through 2025 never submitted a required water-use survey, limiting the state’s ability to plan for future water demand.

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Gov: Office of the Governor of Texas, Texas Water Development Board, Texas Commission on Environmental Quality, Electric Reliability Council of Texas, Public Utility Commission of Texas, Office of the Texas Attorney General, Texas Legislature, Texas Municipal Courts Education Center

Gov. Greg Abbott and Attorney General Ken Paxton have directed Texas agencies to pursue data centers that failed to complete legally required water-use surveys. The violations are Class C misdemeanors with maximum fines of $500, and state officials acknowledge that the Water Development Board lacks authority to prosecute cases directly. Abbott has asked the board to notify county and district attorneys, while Paxton has opened an investigation into facilities across several Texas counties.

The reporting requirement applies to large water users, but compliance has remained low as the data center industry expands. Of 334 facilities identified in records covering 2020 through 2025, 233 never submitted a requested survey, and the board said it lacked enough information to incorporate data center demand into the state’s next water plan. Industry representative Cameron Poursoltan said operators support annual reporting and attributed some noncompliance to contact and data discrepancies. Meta reported water use from its Fort Worth facility, which consumes about 72 million gallons annually, and said its Texas facilities use water-efficient cooling systems.