yahoo news | Data center opponents put Ken Paxton in bind ahead of Senate runoff
County officials in Texas—most recently in Fayette and Hood counties—have begun pushing back against a wave of data‑center proposals, citing fears that the massive facilities will drain local water supplies and drive up electricity costs. Residents and elected representatives argue that the rapid, water‑intensive development is outpacing public awareness, and they are looking to the state’s top lawyer, Attorney General Ken Paxton, for guidance on whether municipalities can legally halt or limit these projects. Paxton, who is also a U.S. Senate candidate, has been asked to interpret a state law that many Republicans claim bars cities and counties from imposing moratoriums on data‑center construction, but he has so far declined to comment. County attorneys, such as Delta County Attorney Edgar Garrett Jr., have written to Paxton seeking clarification on whether recent legislation grants explicit or implied authority for local moratoria.
The controversy comes as Texas positions itself as a key beneficiary of the AI and cloud‑computing boom, with firms like Oracle, OpenAI, Meta, and Palantir pouring money into the state and courting political allies. Tech‑backed super PACs—including Leading the Future and Forge the Future—have spent millions on Texas races, supporting candidates aligned with the industry’s growth agenda. State Sen. Paul Bettencourt, a vocal pro‑business Republican, has urged Paxton to uphold a law that blocks municipalities from blocking data‑center projects, arguing that “keeping Texas open to businesses” is essential for the state’s economic future, even as some local leaders resist the development.
While Paxton may delay issuing a formal opinion until after the November general election—potentially keeping the issue in limbo for the upcoming Senate runoff—local governments are already taking action. San Marcos and College Station city councils have rejected multimillion‑dollar data‑center plans over concerns about water and power impacts, and similar grassroots opposition is surfacing nationwide, as seen in a Wisconsin referendum on tax incentives for data‑center developers. The growing tension between Texas’s rural communities, state officials, and the tech industry highlights a broader debate over how to balance rapid economic expansion with environmental and infrastructure sustainability.
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