Legislation, Public Policy & Civic Engagement

Data Centers: Growth Comes With a Cost

Texas wants to lead in technology, AI, and economic development, and data centers are a significant part of that growth — but these facilities can require tremendous amounts of electricity.

• The House Committee on State Affairs has been examining data centers’ economic impact, regulation, and the effect of large new electricity loads on the ERCOT grid.
• The Senate has also been reviewing the state’s sales-tax exemption for qualifying data centers — its estimated cost has grown dramatically over the past decade and is projected to reach billions of dollars in the coming biennium.

Who Pays for the New Power? Transmission Lines & Landowners

That question grows more pressing with the proposed 765-kV transmission lines reaching into West Texas. The Senate Business & Commerce Committee and the House Committee on State Affairs have both held interim hearings on the proposed infrastructure and its impact on Texas landowners and communities — asking who should pay for it, how property owners’ rights are protected, and whether the state has fully considered the alternatives.

“You don’t have to be an energy expert to ask who is paying the bill. You don’t have to be an attorney to understand the importance of private property rights. You don’t have to be a public office holder to make your voice heard.”

— Lucy Trainor, HCRW Legislative Chair, September 2026 HCRW Newsletter

Grassroots Texans Are Making a Difference

What’s encouraged Trainor most is seeing everyday Texans — landowners, farmers, ranchers, and local officials — take time away from their jobs and families to travel to Austin, testify, and sit through hours of committee hearings. Her advice for HCRW members: committees are gathering information now, ahead of the decisions that could shape future legislation. Watch the legislative calendar, find the issues that matter to you, and participate.

Read Lucy Trainor’s full piece in the September 2026 HCRW Newsletter. Members can also track these issues directly through official Texas legislative resources.

Key Points for Members

• Current County tax rate: ~$0.3999 per $100 valuation. County Budget Officer Scott Woodland has proposed raising it to $0.4099 — a one-cent increase — per Hays Free Press’s Aug. 11 budget workshop coverage.
• A countywide salary study found 84.7% of civilian County employees fall below market pay; the Court is weighing a $6.49 million full market-alignment option against a $4.87 million phased option.
• According to Commissioner Morgan Hammer, the budget also pulls roughly $3.8 million from reserves — leaving only about four months of operating and maintenance expenses on hand, which she says could put the County’s bond rating at risk.
• Hammer has also pointed to a potential future hospital district, which could add another property-tax burden for Hays County residents down the road.
• Hays County’s bond rating was upgraded to AA+ in 2022, with S&P specifically crediting “very strong liquidity and reserves” as a reason for the upgrade.

Make Your Voice Heard

Hays County Commissioners Court meets Tuesdays at 9:00 AM (unless otherwise posted) at the Historic Courthouse, 111 E. San Antonio St., San Marcos. Upcoming meetings: September 1, 15, and 29, 2026.

Official Resources

📅 Full Schedule & Agendas — Commissioners Court

📝 Submit Written Public Comment

📄 Review the FY2027 Budget Documents

🔗 Hays Free Press — “Hays County begins fiscal year 2027 budget discussions” (Aug. 4, 2026)

🔗 Hays Free Press — “Budget talk continues, requests made at Hays County Commissioners Court” (Aug. 11, 2026)

🔗 Hays County, TX — “Hays County Bond Rating Upgraded to AA+”

🔗 Hays County, TX — Fiscal Year 2027 Budget Documents