Benefits & Tradeoffs
A balanced look at the proposed SA1 data center's potential benefits and community concerns
Economic Benefits
Property Tax Relief
Expanding the commercial tax base allows the city to lower residential property tax rates over time.
$29B+ Economic Output
Estimated local economic activity generated over the multi-year construction and development period.
Construction Employment
3,000–5,000 construction jobs during the build phase, supporting local workers and contractors.
Low Service Demand
Unlike residential growth, data centers generate tax revenue without requiring new schools, roads, or emergency services.
Infrastructure Considerations
Limited Permanent Jobs
Data centers typically employ only 30–50 permanent staff despite massive infrastructure investment.
Power Grid Pressure
1.2 GW of demand places significant strain on the ERCOT grid, especially during peak Texas summer heat.
Water Infrastructure
Even with closed-loop technology, initial fill and maintenance water requirements need city planning.
Housing & Inflation
Large construction workforces can drive up housing costs and cost of living for existing residents.
Key Tradeoffs
Water Usage
Closed-loop system uses ~5 households/day ongoing vs. 1.5–9M gallons/day for evaporative cooling.
Noise Levels
Capped at 55–60 dBA at property lines — equivalent to a quiet office or moderate rainfall.
Jobs Created
3,000–5,000 construction jobs; 30–50 permanent operations staff after completion.
Tax Revenue
Significant commercial property tax base expansion; specific abatement terms still being negotiated.
Environmental Impact
200-ft residential setbacks, no evaporative loss, crypto mining prohibited by ordinance.
Grid Impact
Customer-funded CIAC upgrades to AEP substation; no cost to existing ratepayers for infrastructure.
Important Caveats
Phase 1 (Construction, 2026–2028): 3,000–5,000 construction jobs, significant local spending on materials and services.
Phase 2 (Operations, 2028+): 30–50 permanent staff, ongoing property tax revenue, minimal city service demand.
Important Notes:
- •All projections are estimates. Final terms depend on negotiated development agreement.
- •Tax abatement details have not been publicly disclosed as of April 2026.
- •Job numbers reflect industry averages; SA1-specific figures have not been independently verified.
- •Water usage figures assume closed-loop compliance; enforcement mechanisms are still being drafted.
- •Economic output projections come from developer materials and have not been independently audited.
- •Community impact on housing and cost of living is speculative and based on comparable projects.
How to Stay Informed
Attend City Council Meetings
Public comment periods are open at every council session. Your voice directly influences the development agreement terms.
Read the Draft Ordinance
The draft data center ordinance is publicly available. Understanding its specific provisions helps you ask better questions.
Track the Development Agreement
The final development agreement will contain binding commitments on jobs, taxes, water, and noise. Watch for its public release.
Connect with Neighbors
Join community groups, sign petitions, and share verified information with your neighbors to build an informed community.