The city of Taylor in metro Austin is gearing up to decide on a 664-acre data center project.

The Taylor Technology Campus, proposed for 3301 Farm to Market Road 112, will be considered for annexation and zoning during a city council meeting Thursday, the Austin Business Journal reported.

The developers, South Dakota-based Big Watt Digital LLC and Virginia-based PowerHouse Data Centers, and city officials agreed that the facility could generate nearly $5B in economic output to Williamson County over the next two decades.

The campus, previously called Project Mustang, is poised to encompass 500 megawatts of data center load and behind-the-meter, on-site power generation. The unidentified tenant can add 500 MW, the ABJ reported.

In early September, the developers withdrew the project’s original annexation request to further negotiate with the city on regulatory standards like “noise, water use, setbacks and community benefits,” according to a press release.

The city of Taylor is expecting pushback from locals. Data center opponents point to excessive water and power usage, noise, light and air pollution, and potential community displacement as key reasons to protest the facilities. And Taylor, which has a population of about 18,500, is no stranger to data center backlash. 

In March, after Dallas-based KDC got the green light to build out a 220-acre campus in the city, Taylor locals protested. And last summer, they spoke out against Austin-based Blueprint Projects’ plan for a $1B campus.

Some locals petitioned Taylor to impose a ban on data centers, but the city rejected their efforts. In July, they sued the city to call an election for residents to vote on a temporary ban.

There has also been significant statewide concern as plans for data centers multiply amid the artificial intelligence boom. In early August, Texas Gov. Greg Abbott halted all data center connections to the state grid to complete an audit of power demands, water use and ownership. 

Also in August, Fort Worth started the process of planning for a data center moratorium that would begin in early 2027. Later that month, the city approved a $10B campus to move forward.

Despite the anxieties data centers present, especially in a state with power grid issues, the developers of Taylor Technology Campus tout the positive impact the project could have. A commissioned report found the campus would generate $1.4B in gross tax revenue for Taylor from 2027 to 2046, plus 320 full-time jobs and 19,350 temporary jobs. Plus, $28.2M would reportedly be invested in community benefits.

City officials said in a press release that the campus will be designed with a closed-loop cooling system with an initial fill volume of 1.6 million gallons of reclaimed water, so no potable water would be permitted. The city also said the developers will offer concessions, including paying for utility improvements and landscaping buffers, and commit to light, sound and air-quality standards.

Big Watt and PowerHouse don't own the site yet, the ABJ reported.