Story perspectives

San Marcos Bans Data Centers, State Official Vows Appeal

7/1/2026

Summary

Story summary

San Marcos City Council voted 4-3 to bar data centers under city zoning, creating Texas’s first municipal ban.
State Sen. Paul Bettencourt says the ban violates House Bill 2559 and the 2023 Death Star Law, planning to appeal.
Rep. Cody Vasut and County Executive Matt Sebesta argue local officials should keep authority over data-center projects.
Gov. Greg Abbott urges repealing data-center sales-tax exemptions while branding Texas the AI development epicenter.

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Story summary

San Marcos City Council voted 4-3 to bar data centers under city zoning, creating Texas’s first municipal ban.
State Sen. Paul Bettencourt says the ban violates House Bill 2559 and the 2023 Death Star Law, planning to appeal.
Rep. Cody Vasut and County Executive Matt Sebesta argue local officials should keep authority over data-center projects.
Gov. Greg Abbott urges repealing data-center sales-tax exemptions while branding Texas the AI development epicenter.