League City Council Votes to Require Permits for Data Centers

League City officials voted to change how the city handles new data center construction. The City Council passed an amendment on Oct. 27 that requires developers to obtain a special use permit before building. Previously, the city's development code did not list data centers as a distinct use category. This gap allowed developers to potentially construct facilities by right in certain areas without specific approval.

The vote was unanimous. The Planning and Zoning Commission had recommended the change in an earlier meeting on Oct. 19. City documents confirm the commission voted unanimously to support the amendment. The council then moved to approve the ordinance on its first and final reading. This procedure allowed the measure to pass immediately without a second vote scheduled for Nov. 17.

Mayor Nick Long explained the reasoning behind the move. He stated that the city lacked specific standards to prevent data centers in certain properties. Long noted that a national discussion has emerged regarding these facilities. He said the city wanted to review proposals on a case-by-case basis in a public setting. The new code gives the city more authority over whether a project can proceed.

Council member Tom Crews cast the only vote against the measure. He argued that the city should add clearer regulatory language before the second reading. Crews wanted specific rules addressing water use and noise impact. Other council members disagreed with his approach. They argued that creating too many specific standards would create a checklist for developers to satisfy. Council member Chad Tressler said that trying to preplan around change in the industry would be problematic. He noted that the definition and operation of data centers are likely to shift.

The change comes as the state faces its own regulatory issues. The Texas Commission on Environmental Quality recently shut down its electronic filing portal for certain environmental permit applications. An agency spokesperson confirmed the shutdown on Oct. 22. This action followed reports that the agency violated an order from Gov. Greg Abbott. The agency had processed nearly three dozen permit applications for data center projects before the portal closed.

The League City ordinance takes effect upon passage. Developers now must seek council approval for any new data center. The city will evaluate each proposal individually. The previous code did not offer this level of review. The change reflects a local preference for discretionary control over these large-scale infrastructure projects.