Why a controversial data center dropped its annexation request in Taylor
Developers of Project Mustang, Big Watt Digital and PowerHouse Data Centers, have withdrawn their annexation and zoning request with the city of Taylor, Texas, following significant resident pushback. The project, which includes a data center and gas plant, will now proceed in Williamson County where zoning authority is limited. Taylor residents have previously petitioned for a moratorium on data center developments and the city is updating its zoning code to address concerns.
The developers of Project Mustang, Big Watt Digital LLC and PowerHouse Data Centers, have withdrawn their annexation and zoning request for a large-scale data center development in Taylor, a fast-growing Austin suburb. This decision comes after significant resident opposition in the City of Taylor, where community members protested and submitted a petition calling for a moratorium on new data center developments.
Project Mustang, a 665-acre development planned to include a data center and its own gas-fired generating plant, along with a closed-loop cooling system for water conservation, will now move forward in Williamson County. City officials noted that proceeding in the county will limit the City of Taylor's ability to enforce regulations on noise, water use, and setbacks, as the county possesses very little zoning authority.
The pushback in Taylor has been ongoing, with residents previously signing a petition seeking to halt developments, which the Taylor City Council declined to act on citing state law. Following this, the City of Taylor is working to update its development code to regulate large-scale digital infrastructure projects, addressing concerns like noise, light, air pollution, water use, and setbacks. However, the proposed amendments faced a setback when the city's planning committee failed to approve them, casting doubt on a scheduled City Council vote.
The development context is influenced by Samsung Electronics' nearby semiconductor campus, which has attracted other industrial and technology projects. Resident opposition against data centers is also evident in other Central Texas cities, with protests recently held in Austin advocating for a statewide moratorium.