Data centers promise big financial returns. Should that outweigh other determining factors?
Fort Worth and other Texas communities are weighing the economic benefits of data centers against concerns about water use, electricity demand, noise, land use and neighborhood impacts. Fort Worth City Council members have begun implementing a proposed 90-day construction moratorium, while the Texas Legislature is expected to consider broader regulation in 2027.
Data centers are generating substantial property tax revenue and attracting major capital investment in Texas, but their growth is prompting opposition over water consumption, electricity demand, noise, land use and impacts on nearby neighborhoods. Fort Worth estimates that four data centers generated $83 million in gross property tax revenue over five years, helping offset budget pressures and supporting city and school district finances.
Fort Worth officials and residents remain divided over whether the financial benefits justify the local costs. Council members have unanimously approved the first step toward a 90-day moratorium on data center construction amid recurring protests, while city staff and council members evaluate regulations, incentives and infrastructure needs. Texas Railroad Commissioner Wayne Christian supports regulatory guardrails that address problems without discouraging investment, and the Texas Legislature is expected to debate data center regulation in 2027. Google’s planned $40 billion Texas investment, including facilities in Armstrong and Haskell counties, illustrates the scale of the broader development boom.