The city of Fort Worth is considering an ordinance that would tie data center development to approval by a pair of Texas agencies.
Under the proposed ordinance, data center developers would have to prove they got all the necessary approvals from the state Public Utility Commission and Electric Reliability Council of Texas before getting approved for city development permits.
The ordinance would not apply to a data center requesting annexation into the city, and the definition of data center excludes bitcoin mining, according to the ordinance.
A spokesperson for the city of Fort Worth acknowledged receiving a request for comment from the Star-Telegram, but did not immediately respond with answers about the exceptions.
The move comes days after Texas Gov. Greg Abbott directed the Public Utility Commission and ERCOT to audit all data center projects working their way through the agencies’ approval process to connect to the state power grid.
The directive puts a pause on approvals for all data center projects while those agencies work through the audit.
In an email to the Star-Telegram, District 3 council member Michael Crain said he appreciated the governor’s move to pause approvals while the state agencies complete their audit.
“This is a fast‑evolving industry, and it is essential that any future rules we adopt are grounded in expert analysis of electricity, water, land use, neighborhood impacts, and long‑term economic value,” Crain said in his email.
The proposed ordinance is one of a slew of data center rules and regulations the city will be considering, including starting a moratorium process, creating a “data center infrastructure committee,” and requiring data center developers to get special water permits before being allowed to operate.
In his email, Crain said the proposed data center committee would give the City Council an opportunity to hear from academic, industry and community experts to help the council develop policies that would protect neighborhoods, uphold health and safety, and protect quality of life.
The City Council agenda does not say how many people would be on the committee and what would qualify someone to serve. It simply directs City Manager Jay Chapa to create the committee without offering specifics.
A city spokesperson did not immediately respond to an email from the Star-Telegram requesting information on the make up of the committee.
Similar committees in the past — like the one that helped shape Fort Worth’s gas well ordinance — have been made up of residents appointed by council members as well representatives of the industry affected by the regulation.
The city council will take up the slate of data center related items at its 6 p.m. meeting on Aug. 11 meeting at City Hall.