Texans rally against data centers at state capitol

News Clip1:59WFAA·Austin, Travis County, TX·7/27/2026

A rally against data centers was held at the Texas State Capitol, coinciding with a State Senate committee's review of the state's data center tax incentives. Protesters and state officials, including Texas Ag Commissioner Sid Miller, are calling for tighter rules and a special legislative session to address the rapid growth of data centers in Texas. The tax exemptions for data centers are projected to reach $3.3 billion by 2028.

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Gov: Texas State Senate Finance Committee, Texas Department of Agriculture, Governor of Texas

A rally against data centers converged on the steps of the Texas State Capitol, with participants from across the state protesting the expansion of data centers and artificial intelligence infrastructure. Speakers characterized the issue as a "spiritual war" and a "grave threat" to the state.

Concurrently, the State Senate Finance Committee was conducting a review of Texas's data center tax incentives. Industry representatives defended these exemptions, which have surged from $14 million in 2014 to a projected $3.3 billion by 2028. Lawmakers questioned the rapid growth of the data center sector in Texas, with one committee member noting that Colorado lacks a state sales tax exemption for data centers.

Grassroots organizations monitoring the legislative proceedings are actively calling upon the Governor and state lawmakers to convene a special session to address the issue. Texas Agriculture Commissioner Sid Miller echoed these sentiments, urging the Governor to take immediate action on data center regulations.