Texas counties push for say in where data centers can be built
Texas state government has implemented new regulations for data centers regarding power grid infrastructure, noise limits, and water recycling, with companies like OpenAI, Meta, and Oracle agreeing to comply. However, local governments, including Grayson County, are advocating for additional legislation to grant them more authority over data center location and environmental impacts, citing concerns about water contamination and local control.
Following Governor Greg Abbott's pause on new data center growth for review, the state of Texas has enacted new regulations. These rules require data center companies to fund their own power grid infrastructure, limit noise near residential areas, and recycle their water.
However, Grayson County Judge Bruce Dawsey argues that these statewide regulations do not adequately address local concerns. Dawsey emphasized the need for cities and counties to have more regulatory authority over where data centers are built, rather than relying solely on state-level checklists. He highlighted issues such as companies acquiring land and beginning construction without prior engagement with local governments, and raised alarm about potential water contamination from heavy metal concentrations in treated water discharged into local creeks.
Through the Texas Association of Counties, local governments are actively seeking new legislation to gain greater control over data center development. Judge Dawsey announced plans for roundtable discussions among county officials, beginning in August, with the goal of presenting united legislative demands in January. He acknowledged Texas's property rights owner status but stressed that the scale of the data center industry necessitates more stringent local regulation to protect the rights of adjacent property owners.