El Paso City Council Approves Meta Data Center Deal Amid Opposition, Raises Property Taxes
The El Paso City Council voted 5-3 to approve an economic development agreement with Meta for a data center project in Northeast El Paso, despite significant community opposition citing environmental concerns, electricity demand, and water supply issues. Simultaneously, the Council approved a budget leading to property tax increases, further frustrating residents. The Council also passed a policy to ban future hyperscale data center incentives.
The El Paso City Council approved an economic development agreement for a large Meta data center project in Northeast El Paso, facing hours of passionate opposition from residents, students, and community groups. Concerns were raised regarding the data center's potential environmental impacts, substantial electricity demands, and its burden on the region's limited water supply.
Despite nearly 200 public comments overwhelmingly urging the council to reject the deal, the council voted 5-3 to keep the agreement with Meta intact. Council members Lily Limón and Cynthia Trejo were among the dissenting votes.
Adding to public frustration, the council also adopted a Fiscal Year 2026-27 budget of $658.6 million, which includes a property tax rate that will result in estimated monthly increases of $9 to $20 for single-family homeowners. This tax hike is attributed to rising public safety costs, debt service, replacing federal funding, and state-mandated exemptions.
Simultaneously, the City Council passed a policy that bans future incentives for hyperscale data centers. Critics argue that the council's actions, including approving the Meta contract while raising taxes and adopting new policies, indicate a prioritization of corporate interests over community needs.