sitebraid.

BLOG

Reporting on Texas campus decisions

Interconnection, water, approvals and capital: the decisions that determine whether a data center campus phase moves.

Can Texas counties stop data centers? Mostly no. Their say comes through roads, plats, flood rules and tax abatements.

A Texas county's real say over a data center comes through the approvals a site needs from it, such as road closures, plats, flood rules and tax abatements.

Your site plan closes a county road. One no vote stops it.

Closing a Texas county road for a campus takes a unanimous commissioners court vote and a ready replacement. Haul terms come by permit or agreement.

Abatements can't touch school taxes. No JETI deal covers a data center.

Texas school districts can't sign Chapter 312 abatements. JETI can limit school M&O, but none of its 29 listed projects is a data center.

TCEQ is screening data center authorizations claimed without a permit. Its letter never names backup generators.

TCEQ's Oct. 19 data center letter says it is screening claimed authorizations and names no rule. Generators within §106.511's limits need no registration.

TCEQ has halted data center applications for construction stormwater coverage, which an operator needs before grading a large campus site

TCEQ says the Governor's data center permit halt covers Construction General Permit applications, the coverage large-site operators need before grading.

Returning the TWDB survey doesn't put a campus outside the AG's investigation

The Texas Attorney General said Oct. 15 it has issued letters to 156 data center developments in 32 counties seeking up-to-date, accurate water-use data.

Outside ERCOT, §25.194 isn't the deal. Utility tariffs are.

Non-ERCOT Texas campuses face utility-by-utility large-load tariffs. SPS's intervention window closes Nov. 9, 2026.

Batch Zero isn't the last large-load study rule

ERCOT's CTP Batch 1+ workshops remake study, carry-forward, and restudy rules before Revision Requests file.

Co-located net metering isn't firm before PUCT approval

PUCT decided Docket 59115 under PURA §39.169; its Order says §25.205 does not apply to that pre-rule filing. Underwrite approval and hold-harmless risk.

PUCT sued to shield two survey fields. Your load isn't one.

The PUCT sued Oct. 5 to withhold two survey fields, county and regional water planning area, and the AG had ordered them released with most other answers.

ERCOT will not issue a new voluntary medium-load RFI after Monday.

Market Notice M-B091426-02, sent September 24, 2026, sets Monday, October 5, 2026 as the last day ERCOT will issue a new voluntary Medium Load RFI.

CIAC is cash you do not get back. Financial security returns on a 20-percent schedule. Model them as one line and campus liquidity breaks.

Under adopted 16 TAC §25.194, CIAC is cash-only, invoiced before the utility incurs direct interconnection costs, unpaid after 10 working days means draw on financial security and cancel the interconnection, and CIAC itself is not refundable. Financial security returns 20 percent of the remaining balance at energization. Model them as one collateral line and campus liquidity breaks. Effective October 8, 2026.

Your campus is still provisionally classed. CapEx that assumes a final base or studied seat before verification cures is sequencing construction interest against a flip risk.

Batch Zero classification issued September 3, 2026 was provisional. ERCOT Market Notice M-A080326-04 ties conditional inclusion to verification, dynamic-model cures, or a PUCT good-cause exception; failure may disqualify the Large Load. Base-to-studied flips use Planning Guide §9.3.1(2)(a). Sequence irreversible land and long-lead CapEx against Oct-Nov Verification cure and the December Eligibility Verification Report, not a provisional label.

Oct 12 is not another Batch Zero exhibit clock. It is the State and Community Impact RFI.

Campus capital still prices ERCOT's October 12 State and Community Impact RFI like optional paperwork beside Batch Zero Verification. Market Notice M-B091426-01 requires a complete RIOO package and notarized attestation by 5:00 p.m. CPT October 12, 2026; non-response is reported to the PUCT and Governor. Section C water answers are TWDB-authorized under §16.012.

The rule accepts three forms of interconnect security. The election is a liquidity, rating, and bank decision, not a checkbox.

Under adopted 16 TAC §25.194, interconnect financial security may be posted only as cash collateral, a rated guaranty, or a rated letter of credit. Cash can credit intermediate→SLLIA; guaranty and LOC return at allocation. Batch Zero Verification Load Type E/G IFS trees then ask different evidence for each path. Instrument election is a liquidity, rating, and bank decision, not a checkbox.

Every invoice in the draw can check out and the campus can still be a million dollars short of finishing the switchyard.

On a customer-built or build-transfer switchyard, reconciled invoices are not a cost-to-complete test. Available funding after the draw must cover forecast cost to complete; restricted interconnection security is not budget; retainage is not free contingency; TSP-accepted scope is a second gate. Worked example from Sitebraid handbook SB-DRAW 3.2.0.

Your capital release still treats "financial security posted" as one checkbox. The Verification RFI Exhibit List splits it across three submitters.

The BZ Verification RFI Exhibit List splits site control and financial security across ILLE, TSP, and DSP exhibit rows. An ILLE deed does not cover the FS row; TSP ACH and DSP LOC confirmations are separate utility exhibits. Capital that treats "financial security posted" as one checkbox fails the 10-Business-Day package.

A missed TWDB water survey is a criminal offense and a Chapter 11 permit bar under state law, and the Governor ordered enforcement. Oct 14 was the deadline for TWDB's first enforcement update.

Under TEX. WATER CODE § 16.012(m), failure to complete and return the TWDB water-use survey is a criminal offense, and failure to timely return bars TCEQ Chapter 11 permits. Governor Abbott's September 14, 2026 letter ordered TWDB to enforce those remedies. October 14, 2026 was the deadline for TWDB's first enforcement-progress update to the Governor, not a permit green light.

Behind 265.5 MW of wind, Texas approved 525 MW of load. Curtailment is not capped by paired gen.

Docket 59220 (PURA §39.169): the 260 MW Crusoe Two Load must fully curtail on ERCOT emergency instruction, on top of Crusoe One. Paired gen is no cap.

Two Texas pauses hold up data centers: TCEQ permits and ERCOT approval to energize

TCEQ says it has paused permits for infrastructure directly supporting data centers. ERCOT paused approvals to energize new data centers of 75 MW or more.

You cannot sell the capacity. You can sell the project that holds it.

Texas prohibits reassigning transmission capacity, but the interconnection request transfers with the entity. What recovery looks like when phase 2 has already stalled, priced against a recent Texas transaction.