Hood County Rejects Moratorium on Data Centers Despite Resident Backlash

Commissioners vote 3-2 against pause on new large-scale data center developments, sparking protests and resignation demands from locals.

Published on Feb. 25, 2026

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Hood County commissioners have rejected a proposed moratorium on new large-scale data center developments for the second time this month, voting 3-2 against the pause despite sharp backlash from residents worried about environmental and infrastructure strains. The decision came amid pleas from dozens of locals during a heated meeting, where speakers urged officials to allow more time to assess potential impacts from the projects. Several residents left the session in protest and are now demanding the commissioners' resignation.

Why it matters

The rejection of the moratorium highlights the tensions between local governments and residents over the rapid growth of data centers, which have fueled demonstrations across the country citing concerns about pollution, electricity usage, and other effects. The decision in Hood County could set a precedent for how other communities handle similar data center proposals in the future.

The details

More than six data centers have been proposed in Hood County, including a recently approved 2,100-acre site that has drawn particular scrutiny over noise, water consumption, and power demands. Residents argued that the projects would be a 'huge drain' on the power grid and make the water 'unusable', with one warning that 'once these things go into the ground, something that is several thousand acres, it can't be easily reversed.' Commissioners cited legal constraints and the risk of intervention or lawsuits from the Texas Attorney General as reasons for rejecting the moratorium, despite the residents' pleas.

  • On February 24, 2026, Hood County commissioners voted 3-2 against a proposed moratorium on new large-scale data center developments.
  • Earlier in February 2026, the commissioners had also rejected a proposed moratorium on new data centers.

The players

Hood County Commissioners

The elected officials responsible for governing Hood County, Texas, who voted 3-2 against a proposed moratorium on new large-scale data center developments.

Jordan Schmidt

A resident of Hood County who spoke out against the commissioners' decision, describing it as 'a slap in the face' and warning that the data centers would be 'a huge drain on our power grid' and make the water 'unusable'.

Mark Lowery

A candidate for Hood County judge who warned that bringing in the data centers would 'change the appearance of Hood County'.

Sailfish Investors

The developer behind the recently approved 2,100-acre data center project in Hood County, who welcomed the commissioners' decision and said the project would bring 'substantial private investment, significant tax base growth, and long-term economic benefits to the region'.

Paul Bettencourt

A Texas state senator who asserted that local governments lack the authority to enact a sweeping ban on data center facilities.

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What they’re saying

“It is a slap in the face. It is absolutely disgusting, and they had no care, no respect for us.”

— Jordan Schmidt, Resident (CBS News Texas)

“This is permanent. Once these things go into the ground, something that is several thousand acres, it can't be easily reversed. So these things, the toxic rare earth mineral batteries, these things are going to be a huge drain on our power grid, they are going to make our water unusable.”

— Jordan Schmidt, Resident (CBS News Texas)

“By bringing these data centers in, it's going to change the appearance of Hood County.”

— Mark Lowery, Candidate for County Judge (CBS News Texas)

“We believe this outcome reflects a commitment to the rule of law, regulatory certainty, and the long-term economic interests of Hood County and its residents. Sailfish remains excited about the potential of Comanche Circle, a transformational project designed to bring substantial private investment, significant tax base growth, and long-term economic benefits to the region.”

— Sailfish Investors (CBS News Texas)

What’s next

County officials plan to review water protection codes on March 10 to determine if they can curb the facilities' effects on Lake Granbury and other resources. Opponents have also vowed to press Governor Greg Abbott to address the issue in a special legislative session.

The takeaway

The rejection of the moratorium on data centers in Hood County highlights the ongoing tensions between local governments, residents, and developers over the rapid growth of these facilities. The decision underscores the need for more comprehensive planning and oversight to balance economic development with environmental and community concerns.