A large data center and gas power plant slated to go up just outside of Taylor will move forward without seeking a partnership with the city, at least for now.
On Sept. 3, Taylor officials announced the developer of Project Mustang withdrew an application for annexation and will build without going through city channels.
“Because the property sits outside city limits, Taylor currently has no authority to stop this project or regulate how it's developed,” according to a post from the city. “The city and developer are continuing negotiations on annexation, which remains the best path forward for addressing community priorities including noise, water use, setbacks and community benefits.”
In August, the Taylor Planning and Zoning Commission put a 90-day pause on approval for the project’s requested annexation and zoning changes, asking the developer to bring back more information.
Taylor officials also want more time to develop their own zoning guidelines for digital and high-tech businesses, as well as consider feedback from the public.
The developer did not mention whether the community’s opposition or the P&Z pause on rezoning influenced the decision by Big Watt Digital LLC and PH Digital Data Center LLC, the companies behind Project Mustang, said Taylor’s Executive Director of Community Services Daniel Seguin
“We can speculate, but what matters most is that we come to an agreement that will ensure protections for the neighborhood and benefits for the community,” Seguin said.
At the Aug. 18 P&Z meeting, Big Watt representative John Stokes told commissioners the project in Taylor’s extraterritorial jurisdiction would move forward with or without city collaboration, and the plant plans to be fully operation by 2028.
“We hope the city brings us in and includes us. But we do have to mention that if that doesn’t happen, if we’re not included in the city, we do intend to pursue the project anyway. But we hope to be part of the city, be part of that neighborly view,” Stokes said at the time.
The 665-acre data center site spans former farmland between U.S. 79 and FM 112 in the city’s extraterritorial jurisdiction. It is surrounded by farming families and homesteads.
The P&Z commission is an advisory board to the City Council. The council occasionally has disregarded the commission’s recommendations.
Regardless of the P&Z request to hold off on any approvals for zoning, a public hearing for the data center was added to the Sept. 10 council agenda. That item has since been canceled.
An agenda item to receive legal counsel concerning the project is on the executive session list for the meeting.
“The people of Taylor want land and human-centered zoning,” said community advocate Carrie D’Anna. “The community that is impacted the most is pushing back on the whole project, data center and gas plant.”
Under state law, there are no zoning requirements and minimal development regulations in the extraterritorial jurisdiction. The city also cannot collect property and sales/use tax revenue from the data center if it is outside city limits, potentially missing out on millions of dollars of tax revenue annually.
For more information about the project, visit Taylortx.gov/Mustang.
During the last several months, Taylor officials and those in nearby Hutto have considered several data center projects, with most generating controversy from residents espousing health and pollution concerns.
In April, Zydeco Development pulled the plug on plans to construct a 70-megawatt data center in Hutto in the wake of intense public backlash.
