After months of residents demanding more information, Caldwell County, Texas, has put tax breaks for large-scale data centers on hold.
As KVUE reported, the situation is getting even more contentious as a disclosed pre-sale land deal involving the county judge intensified scrutiny.
Here's what to know
On Thursday, county commissioners voted to suspend tax abatements for all large-scale data centers, according to the outlet. The decision came after months of complaints from residents who said multiple projects were moving through their rural community without enough public information.
Earlier this year, the county approved two Chapter 312 tax-abatement agreements for proposed data centers, according to KVUE. County Judge Hoppy Haden said those incentives were meant to secure development agreements with protections for water resources and limits on noise and light.
Concern escalated after Haden told commissioners at a July 23 meeting that his private ranch land was included in a pre-sale arrangement connected to another proposed data center.
KVUE also reported that a former county assistant district attorney disclosed a similar plan to sell private ranch land for the project and was later fired because of a conflict of interest. Residents said the disclosure destroyed their trust.
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"We trusted your words for months that your hands were tied and you would do everything in your power to protect the citizens of Caldwell County from data centers, only to turn around and sell your land to a data center developer," resident Claudia Hollern said, per the outlet.
More background
For some residents, the number of proposals seemed to grow before the public understood what was happening. Hollern, who founded the Caldwell Data Center Action Team, said the change was swift.
"It just felt like one day we woke up, and there were five proposed ones in our backyard," she told KVUE.
Hollern told the outlet that many people felt the projects were advancing before the community fully understood how they were progressing.
The agreements tied to the developments were intended to address concerns about water use and potential noise and light pollution. In a rural county, those issues can shape quality of life, future land use, and trust in local leadership.
The dispute has also turned into a political issue. According to KVUE, Haden said some residents want him out while others want him to remain in office and run again. He has said he does not intend to resign and will let voters decide in November.
What's being done?
Haden said leaders believe developers may accept the same county terms even without those breaks, which KVUE reported he described as a good-faith gesture to the community.
Haden also said that all parties tied to the pre-sale agreement have been released from it, per the station. He has maintained that he submitted the required disclosure paperwork the day after he signed the pre-sale documents.
Even so, many residents say the county has not gone far enough. They are calling for greater transparency around project review, agenda items, and conflicts of interest.
"You stood before this community and pledged to fight for the overwhelming majority of residents that were against data centers," declared resident Diego Morita during public comment, per KVUE. "In the same time, you were making promises to signing pre-sale agreements."
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