County delays data center plan approval, moves forward on regulations

Hood County commissioners have postponed action on two proposed data center projects, "Project Lion" and "Project Panther," and authorized Freese & Nichols Engineering to update the county's permit regulations. The decision came during an April 14 meeting where commissioners also approved hiring Bojorquez Law Firm to represent the county in a lawsuit filed by data center developer Pacifico. Pacifico has sued Hood County, seeking a writ of mandamus to compel the approval of its data center plans near Pecan Plantation. Precinct 4 Commissioner Dave Eagle stated that Pacifico is demanding the county approve its plans. This lawsuit is part of a broader effort by the county to manage a recent surge of nine data center development proposals. County officials, including Christine Leftwich, ex officio chair of the County Development Commission, emphasized the urgent need for updated regulations to handle large-scale and hyperscale developments. Precinct 2 Commissioner Nannette Samuelson highlighted concerns from the Electric Reliability Council of Texas (ERCOT) about the impact of multiple large projects on the grid, noting that the Public Utility Commission of Texas (PUC) has indicated current infrastructure is inadequate, requiring new peak-use regulations and rate categories. Commissioners approved $130,000 for the first phase of regulatory updates, despite questioning some specific requirements like concept plans.