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Hood County Commissioners Court held a regular session on March 24, 2026, featuring ceremonial recognitions, technical presentations on data center water consumption and cooling technologies, and extensive public testimony on two proposed data center projects and a solar farm development. The court approved various administrative items including equipment contracts, employee recognition, and plat recordings, while denying a development letter for the Rain Lily Solar Project and tabling action on the Project Red and Project Yellow data center concept plans pending additional information and legal review. Significant discussion centered on regulatory compliance, water resource allocation, environmental concerns, and the adequacy of developer transparency and project specifications. Multiple citizens and officials raised questions about entity ownership structures, operational track records, noise mitigation, water supply agreements, and cumulative impacts of industrial development in the county.
Call to order and opening ceremony The meeting was called to order with invocation, pledges, and a safety briefing for attendees. North Central Texas Council of Government aging programs presentation The director of aging programs reported on federal and state funding, program services, and Hood County participation for seniors and caregivers. Granberry High School Marine Corps JROTC Rifle Team proclamation The court honored the rifle team's 2026 Texas Civilian Marksmanship Program State Championship and ninth national championship appearance. North Central Texas Academy boys soccer state championship proclamation The court honored the Happy Hill Farm Pioneers for their third consecutive state boys soccer championship. Welcome Home Vietnam Veterans Day proclamation The court designated March 29, 2026, as Welcome Home Vietnam Veterans Day and announced a commemorative event. Water use in energy production presentation Dr. Andrew Wolfford presented technical information on water consumption in power generation facilities for data centers and comparable technologies. Closed-loop and air-cooled cooling technologies Dr. Wolfford clarified historical use of "closed loop" terminology and presented alternative air-cooled condenser technology for zero water consumption. Water consumption projections and questions for developers Dr. Wolfford provided data center water consumption estimates and recommended minimum information developers should provide. Expert witness introduction and qualifications An expert in industrial safety and risk assessment was introduced to the court with extensive credentials and professional experience. Data center cooling technology and water consumption Discussion of whether data centers can operate with minimal water consumption and the technical feasibility of alternative cooling methods. ESI data center project details and water requirements An ESI representative confirmed that all their data centers use water and evaporative cooling, with both power and air conditioning requiring water. Expert witness cross-examination regarding legal challenges Questions were posed to the expert about his experience as a legal expert witness and challenges to his credentials. Challenge to data center developers regarding presentation contents A commissioner challenged data center developers to refute or respond to the expert's presentation that was entered into public record. County employee service award presentations Multiple county employees were recognized for years of service with certificates of appreciation. Scott London law enforcement service recognition A retired law enforcement officer was commended for joining Hood County after nearly 30 years of law enforcement experience. Turning Point Academy resolution Hood County Commissioners Court adopted a resolution recognizing and commending the opening of Turning Point Academy of Granberry. Agenda item 13 withdrawal A miscellaneous business agenda item was removed from the court's docket prior to public hearing. Rural development regulations and compliance concerns A citizen speaker addressed development regulations for rural districts and argued that data centers do not meet rural district criteria. Community recognition appreciation A citizen speaker expressed gratitude for various recognitions and proclamations issued by the commissioners court. Company registration and fraud concerns A citizen raised concerns about the legitimacy and registration status of companies proposing data center projects. Upper Trinity water rights contest procedures A citizen provided information about challenging water well permits through the Upper Trinity Regional Water District. Mitchell Bend conditions and concerns A citizen living in Mitchell Bend described adverse impacts from existing industrial development in that area. Senate Bill 6 compliance and grid capacity issues A citizen detailed federal and state requirements for large industrial loads and questioned compliance with power interconnection regulations. Rain Lily project and regulatory concerns A citizen requested that commissioners not sign an approval letter for the Rain Lily project and expressed concerns about proximity to schools and daycare facilities. Mitchell Bend noise and quality-of-life impacts A citizen expressed serious concerns about the adverse impacts on Mitchell Bend residents from industrial development. Amazon Web Services power allocation and electricity costs A citizen detailed the impact of the Amazon Web Services agreement with Comanche Peak nuclear power plant on local electricity rates and capacity. Economic development comparison and regulatory framework A citizen contrasted the data center development approach with an alternative residential development model and cited existing Hood County regulations on environmental and safety impacts. Water resource utilization and data center demand A citizen presented data on current water obligations and allocations among entities served by Lake Granberry. Water demand and usage analysis County official presented data showing significant water consumption by Wolf Hollow and discussed projected increases due to data centers. Citizen comments on primary election and party factions Citizen speaker discussed March 3 primary election results and characterized two factions within Hood County Republican representation. PSO rifle resistant body armor grant funding Court approved funding for a fully reimbursable grant for body armor equipment with no local match required. Owner's agent selection for jail construction Court awarded construction management services to Kitchell CEM from four qualified submissions reviewed on March 9. P25 radio consultant selection and city-county cooperation concerns Court heard citizen comments on radio system coordination challenges and selected Federal Engineering as consultant after split vote. February legal services payment Court approved payment for monthly legal services invoice from Bojorquist Law Firm. JP court state fees reimbursement Court approved payment to state of Texas for uncollected justice of the peace court fees identified during audit covering 2019-2023 period. Opioid settlement opt-in approval Court approved annual opt-in document for six remnant defendants opioid settlement. Multi-jurisdictional emergency response team agreement discussion Court heard extensive citizen and official comments raising legal and operational concerns about proposed memorandum of agreement for regional tactical response team. Joint task force SWAT team interlocal agreement review The court reviewed a joint task force SWAT team memorandum of agreement with questions about policy direction, board responsibility, and originators of the document. Reconvene after break The court reconvened and moved to agenda item number eight regarding 911 service fee adjustment. Statewide wireless 911 service fee adjustment and sustainable funding model Official requested the county judge sign a resolution supporting legislative action to adjust the state 911 services fee and establish a sustainable funding model for next-generation 911. Annual renewal of aggregates contract with Vulcan construction The court approved annual renewal of the RFB 202504 aggregates for surface treatment contract with Vulcan construction, including a $3 per ton price increase. Joint amendment to inmate telephone service agreement with TouchPay and Via Path Technologies The court authorized the county judge to sign amendment number three to the inmate telephone service agreement with TouchPay Holdings LLC and Global Tech Link Corporation DBA Via Path Technologies LLC. District clerk office position upgrade The court approved moving a new hire in the district clerk office from Clerk 1 to Clerk 2 position based on relevant experience and qualifications. February legal services payment to Bracewell LLP The court approved payment of February invoice for legal services from Bracewell LLP. Development department relocation and DPS office move The court discussed moving the development department from Action Annex to Annex 3 and relocating county DPS office from Annex 3 to the vacated Action Annex space. Audio video equipment upgrade for small jury room The court authorized the county judge to sign AVI SPL contract to upgrade audio and video equipment in the small jury room for executive meeting and professional video conferencing use. Excess tax sales proceeds deposit into attorney fee account The court accepted $150,582.37 in excess tax sales proceeds (Texas Tuesday tax sale proceeds) into the county budget as a new attorney fee account. Rain lily project concept plan requirement determination The court heard legal argument regarding whether the Rain lily project requires a concept plan under Hood County development regulations and scheduled public comment. County regulatory authority over land use County legal counsel clarified the limits of Hood County's regulatory powers under state law regarding land use controls. Strict interpretation of land modification regulations Discussion raised concerns about inconsistent enforcement of regulations requiring permits for "all land modifications." Development regulation process and commission authority Court staff indicated that if changes to development regulations are needed, the development commission was established to work on modifying them. Citizen support for Rain Lily Solar: environmental stewardship and community engagement A 30-year Pecan Plantation resident spoke in favor of the Rain Lily project, highlighting the developer's commitment to environmental mitigation and community outreach. Environmental expertise and solar project analysis A former Navy nuclear engineer and longtime environmental advocate presented technical perspective comparing the solar project to alternative land uses. Process concerns and battery energy storage risks A citizen speaker raised concerns about the development approval process and battery energy storage system (BEST) safety issues, citing regulatory gaps and fire hazards. Battery technology and fire suppression concerns A speaker detailed BEST unit technology risks and urged the court to require a concept plan for comprehensive review of safety systems. Fire response and emergency preparedness gaps A Pecan Plantation resident detailed inadequate emergency infrastructure and lack of preparation for BEST fire incidents. Regulatory compliance and project approval timeline Speaker challenged the appropriateness of issuing a letter without defined conditions and expressed concerns about the regulatory process. Vague letter terms and regulatory ambiguities A speaker critiqued the letter's language as dangerously nonspecific and lacking enforcement mechanisms. Past approvals and regulatory pattern concerns A resident questioned whether past industrial approvals should constrain future decision-making and expressed concern about unchecked industrial growth. Generational values and contemporary development practices A speaker from depression-era generation reflected on values of stewardship versus contemporary "rush, build, big, cheap" development approach. Solar farm siting concerns in tornado alley A citizen raised concerns about locating a delicate energy-producing structure in an area prone to severe weather, hail, and tornadoes. Community support for county protections and regulations A long-time resident and retired grocery industry executive praised recent county actions and expressed concern about protecting Hood County's future. Hail risks and solar panel vulnerability in Texas Hail Alley A realtor resident documented hail damage patterns and solar panel failures in Hood County and nearby areas. Insurance withdrawal and real estate market decline Insurance companies have ceased new coverage in the area due to hail risk, and home sales are suffering. Lead and chemical contamination concerns from damaged panels Environmental and wildlife protection concerns centered on hazardous materials in solar panels and groundwater contamination. Circumvention of county development regulations A citizen raised procedural concerns about a letter that appeared to bypass established development approval processes. Clarification of letter origin and processing A commissioner explained the background of a letter that became a procedural point of contention. Disputed communications regarding permit requests Commissioners described conflicting accounts of who contacted whom about the Rain Lily matter. Expectations of concept plan submission A commissioner described conversations about when a concept plan would be submitted. Procedural issues with letter and development process Discussion clarified that commissioners had conflicting recollections about procedural steps. Precinct representation and jurisdictional concerns A precinct chair raised concerns about proper representation in the decision-making process. BEST system vulnerabilities and fire response readiness A speaker detailed concerns about Battery Energy Storage System (BEST) technology risks in the area. County regulations enforcement and attorney guidance A speaker referenced recent commissioner statements about regulatory compliance and cited legal guidance being ignored. Plea for regulatory adherence and local protection A speaker made an emotional appeal against inconsistent treatment of residents. Solar farm classification and development submission requirements A commissioner clarified regulatory language regarding solar farms as power plants. Emerging technology risks and financial liability concerns A speaker detailed risks associated with new battery storage technology and cited major incidents. River water quality and solar thermal impacts A citizen speaker raised concerns about how heated rainwater from solar panels could affect river temperatures and aquatic life. E North America project team introduction and commitments The project manager introduced the Rain Lily Solar Project team and outlined the company's engagement with the community and commitment to addressing concerns. Solar design compliance and technical standards The project's lead engineer outlined compliance with fire codes, grid reliability standards, and cyber security requirements across federal, state, and international standards. Battery storage safety and procurement practices The battery storage consultant presented the firm's independent technical evaluation and multi-layered safety approach for lithium iron phosphate battery systems. Environmental assessment and water management The environmental consultant detailed the site selection process, avoided areas, native plant restoration, and stormwater management approach. Community engagement and transportation planning The environmental consultant representing Rain Lily described ongoing coordination with county staff, commissioners, and community regarding project siting and operational concerns. E North America corporate commitments and phasing strategy The head of project development outlined the company's development philosophy, partnership commitments, and addressed questions about project phases and grid injection capacity. Solar panel environmental concerns and pollinator habitat Presenter addressed environmental questions about insects and pollinators on the proposed solar facility, confirming pollinator habitat and native seed mix commitments for the site restoration. Concept plan submission requirements and timeline County official questioned why the developer had not submitted a written concept plan despite having met with commissioners for nearly two years and possessing all necessary documentation. Public comment opposing rain lily solar project Citizen expressed concerns about the project's financial and environmental impacts on the community, requesting the county deny the development letter and require the applicant to locate elsewhere. Motion to deny development letter for rain lily project Court voted unanimously to deny the letter that would have exempted the developer from following the county's established development process. Consent agenda approval Court approved the consent agenda without modifications or requests to pull individual items. Payment of invoices certification Auditor presented certification of payment for invoices covering February 27 through March 12, 2026, totaling $821,857.48, with auditor's office recommending payment. Hood County Sheriff jail commissary and inmate funds audit review Court accepted the 2025 audit review of Sheriff jail commissary and inmate funds financial records as recommended by the auditor's office. Public hearing scheduled for landings east replat Staff recommended and court approved setting a public hearing for the replat of Landings East lots 3800 R1 and 3800 R2 in Precinct 2. Timberview Preserve Phase 2 recording approval Court approved recording of Timberview Preserve Phase 2 plat in Hood County pursuant to interlocal agreement with Parker County. Texas EMS Decardoba edition final plat approval Court conditionally approved final plat for Texas EMS Decardoba edition (Lot 1, Block 1, Precinct 3) contingent on recording of shared access easement or driveway approval. Public hearing for Comanche Cove replat Court convened public hearing and approved replat of Comanche Cove Section C, reconfiguring four lots into three larger approximately 0.1-acre lots. Project Red and Project Yellow data center public hearing continuation Applicant representatives returned for continued public hearing on Project Red and Project Yellow data centers with updated traffic impact analysis and water supply agreement information. Traffic impact analysis and highway intersection improvements Applicant submitted traffic impact analysis addressing construction traffic concerns, identifying required improvements at Highway 144 and Mitchell Bend Highway intersection. Water supply agreement and consultant statement Applicant confirmed execution of final water supply agreement with Brazos River Authority and provided consultant statement refuting prior water usage claims. Data center cooling system and water consumption clarification Consultant statement clarified that data center cooling systems are air-cooled rather than evaporative, contradicting prior testimony about water consumption levels. Brazos River Authority water supply agreement documentation Court requested documentation of BRA water supply agreement; applicant noted industrial use entity at site owns water currently feeding industrial facility, requiring BRA reuse application approval. Project ownership and entity structure clarification Applicant's legal representative clarified corporate structure, explaining National CRA Holdings and Greenland Capital as affiliate entities under Starwood Capital with specific contractual purposes. Shell entity structure and investor transparency concerns Court official raised concerns about layered LLC structure and questioned whether transparent entity naming served to obscure investor identities and facilitate asset transfers. End-user tenant identification uncertainty Applicant acknowledged that specific end-users (tenants) who will lease server space have not been identified and will be determined during and after construction. Concept plan applicant name submission question Court official questioned why Starwood Capital's name does not appear on concept plan despite being identified as the project developer. Articles of organization and entity status documentation Applicant provided or agreed to provide articles of organization for both LLC entities; received yesterday and initially thought to be Florida-based but confirmed Delaware incorporation. Starwood Capital corporate relationship and transparency issues Court official's research found no clear published relationship between Starwood Capital and the LLC entities, prompting questions about why county attorney could not identify the relationships. Starwood's data center development experience and project disclosure Applicant asserted qualified and experienced team with collective 10-gigawatt experience but declined to identify specific operational data center projects due to confidentiality. Operational data center information and SB6 large load applications Court official questioned specifics of operational data center projects and status of large load applications required under SB6. Company identification and public disclosure timeline The applicant entities' ownership structure and submission status remain unclear; a lag exists between submission and public record availability. Diesel generator specifications and backup power plan Diesel generators will serve as redundant backup power; the number and capacity per building will vary based on project design progress. Traffic and regional project coordination concerns The applicant has discussed traffic impacts with a state transportation authority who expressed concern about multiple large-scale data center projects planned in the county and region. Concept plan timeline and legal advice Legal counsel confirmed that concept plans are not subject to a 30-day approval clock, allowing the court additional time for information gathering. Citizen speaker on project transparency and design challenges A citizen speaker stated that the project lacks sufficient disclosure of design details and argued that challenging the project's lack of specifics validates the need for transparency. Citizen speaker on Marathon Digital and Mitchell Bend operations A citizen speaker raised concerns about Marathon Digital Holdings' involvement, citing past nuisance violations and the impact on existing residents at Mitchell Bend. Citizen speaker on sound mitigation and concept plan deficiencies A citizen speaker detailed concerns about containerized data center noise, sound wall ineffectiveness, and the absence of comprehensive phasing details in the concept plans. Citizen speaker on field observations and water supply concerns A citizen speaker visited the site and confirmed severe noise conditions; water supply claims require verification against Brazos River Authority records. Citizen speaker on water allocation discrepancy A citizen speaker reported that the applicant's claim of water from Brazos River Authority is not confirmed on the BRA's sales list. Citizen speaker on regional water crisis and concept plan approval concerns A citizen speaker provided a national and regional water crisis context and urged the court to deny the concept plan without confirmed water allocation. Citizen speaker on moral and health impacts to residents A citizen speaker characterized the project approval decision as a moral choice between protecting or harming Mitchell Bend residents and reported severe health consequences to existing residents. Acoustic consultant testimony on data center noise control An acoustic consultant with 37 years of experience testified that data centers are acoustically manageable industrial uses when designed with appropriate noise mitigation. Citizen speaker on developer track record and drainage design failures A realtor speaker provided examples of poor site design and drainage management by the development team hired for an adjacent residential project. Water quality district regulations and project drainage Citizen speaker addressed water quality district rules and their application to the proposed projects near the Brazis River. Community impacts and comparison to existing data center Precinct chair described harms from existing Bitcoin mine operation and community opposition to additional facilities. Air pollution and power plant emissions Precinct chair documented specific air pollutants emitted from power plants and pattern of facility operational changes. Regulatory framework and subjective standards Speaker explained subjective versus objective requirements in county development regulations and their application to projects in rural and water quality districts. Property rights and water availability concerns Resident speaker near proposed data center discussed private property rights and current well water constraints. Air quality data and monitoring gaps Resident presented recent air quality study showing Fort Worth pollution ranking and Texas monitoring deficiencies. Project zoning classification dispute Representative for data center project addressed zoning and entity structure claims made by critics. Joint venture structure and entity separation Representatives clarified relationship between Mara and Starwood amid public documents showing strategic partnership. Project naming and transparency concerns Commissioner questioned project marketing name and requested transparency regarding submitted documentation. Cumulative infrastructure impacts and TXDOT coordination Commissioner raised concerns about multiple projects on same highway corridor and coordinated evaluation approach. Motion to table and executive session Commissioner moved to postpone action pending information gathering and legal consultation.