
Data center offers incentives for Hutto services
News ClipTaylor Press·Hutto, Williamson County, TX·3/18/2026
Iron Mountain Data Centers is proposing to build a large facility in Williamson County, near Hutto, Texas, offering incentives to the city in exchange for wastewater services. The Hutto City Council discussed the offer, which is unusual as developers typically seek incentives rather than provide them. The proposed site is located in Taylor's extraterritorial jurisdiction and plans for seven data center buildings and an electric substation.
governmentelectricitywaterannouncementzoning
Iron Mountain
Gov: Hutto City Council, City of Hutto
Iron Mountain Data Centers is planning to construct a significant data center facility in Williamson County, Texas, specifically on a 500-acre site on CR 404, just south of Samsung Austin Semiconductor. This would mark Iron Mountain's first data center in Texas and the second such facility proposed for this industrial corridor, following KDR's 'Project Comal'.
During a March 12 presentation to the Hutto City Council, Iron Mountain representatives offered incentives to the city in return for wastewater services. City Manager James Earp expressed interest in the offer, noting its unusual nature, and stated plans to investigate the legality of the company making substantial payments to the city that could aid in debt service or reduce resident taxes and utility rates. Mayor Pro Tem Dan Thornton highlighted public unpopularity of data centers and the need for clear financial benefits to the city if services are extended.
The proposed facility will feature seven data center buildings, an electric substation, a utility yard, and a retention pond, with plans for a closed-loop water recycling system to minimize usage. Steven Walton, director of site selection for Iron Mountain, clarified that the site is within Taylor's extraterritorial jurisdiction and does not intend to annex into any city, thus avoiding city taxes. The site was previously approved for a residential project, Taylor Meadows Development, which will now be scaled down.
Walton acknowledged public concerns regarding data centers' high power demands and infrastructure costs. He noted Iron Mountain's significant capital investment with Oncor Electric Delivery for infrastructure build-up and power purchases, indicating ongoing discussions to address these needs.