Val Verde County court votes unanimously not to offer tax incentives to data centers

The Val Verde County Commissioners Court voted unanimously to adopt an order stating the county will not grant tax incentives or abatements to data-center projects, following a lengthy discussion of legal and land-use concerns.

County Judge opened discussion on Item 15, noting the court had received numerous calls and requests from residents asking for a moratorium or a ban on data centers. Commissioners and members of the public raised concerns that transmission-line projects and associated fiber-optic installation could make properties more attractive to data-center developers. One commissioner warned that a local moratorium might expose the county to litigation if it overstepped its authority.

A commissioner moved that Val Verde County not provide tax incentives or abatements for data centers; another commissioner seconded the motion. The court voted in favor by voice vote, and the motion carried 5-0.

During the debate, a participant described a scenario in which fiber installed along a proposed transmission route would enable future data-center siting near the line, saying the presence of fiber would make it easier for operators to locate facilities adjacent to the corridor. Commissioners discussed economic and property impacts, including rapidly rising offers for acreage in nearby counties when similar projects arrived.

The order adopted by the court is a commissioners-court action (not a county ordinance) and staff noted it can be rescinded by a future court. The court did not adopt a moratorium; instead, it took the narrower step of pledging not to offer tax incentives or abatements to data-center projects at this time. The court emphasized it will address proposals on a case-by-case basis if developers approach the county.

The court did not identify specific parcel sales or applicants at the meeting. Next steps: the order will be recorded as a commissioners-court action and disseminated to staff and the public.