San Marcos council annexes land but rejects preferred‑scenario change tied to proposed data center

San Marcos City Council on Aug. 19 approved annexation of roughly 64 acres on Francis Harris Lane but did not approve a change to the city—s comprehensive plan that the developer said was required for the site to be rezoned for a proposed data center campus. The result leaves the proposal in limbo: the city took the land into its limits, but the zoning that would allow the light‑industrial/data center use could not be considered because the council voted down the preferred‑scenario amendment that would have allowed that zoning.

The outcome followed a packed public comment period in which speakers repeated concerns about local water supplies, electric grid impacts, noise and light, and corporate secrecy, while supporters said the proposal would use less water than an already‑entitled housing development and would bring large property‑tax revenue and construction jobs. John Mayberry, the property owner and applicant, and Michael Whelan, attorney for the applicant, described a restrictive covenant they say will limit water use and set other conditions if a data center is built.

Why it matters: The council—s split action preserves city authority over the parcels that were annexed, but it leaves open whether a data center will be approved on land now inside the city or built later outside city limits under county rules. Supporters argued that annexation lets San Marcos impose enforceable conditions and capture tax revenue; opponents said the city—s controls are insufficient and that the project threatens springs and the San Marcos River and nearby residences.

What the council did - Annexation (agenda item 14): council approved annexation of the parcels by a 7‑0 vote. The annexed area includes land immediately adjacent to the Hays Energy power plant and a small cemetery that the applicant says will be preserved. - Preferred‑scenario amendment (agenda item 15): council considered a motion to approve a change in the comprehensive plan that would allow light‑industrial zoning on the site. Because the amendment…