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Hood County rejects Comanche Circle data center settlement, permit appeal

Hood County commissioners discuss a proposed data center development by Sailfish Investors during a commissioners court meeting. The proposal drew debate over permitting requirements, environmental concerns and potential impacts on the community.
Emmanuel Rivas Valenzuela
Hood County commissioners discuss a proposed data center development by Sailfish Investors during a commissioners court meeting. The proposal drew debate over permitting requirements, environmental concerns and potential impacts on the community.

Hood County commissioners rejected a proposed settlement with data center developer Sailfish Investors and unanimously denied the company’s appeal of its on-site permit applications Tuesday, following hours of public testimony and debate over development regulations, environmental impacts and the county’s authority.

The proposed settlement would have reduced the Comanche Circle project’s footprint in Hood County from about 2,523 acres to approximately 1,375 acres. The company also offered commitments involving setbacks, cooling methods, light pollution and repairs to county roads

The votes mark another setback for Sailfish managing partner Ryan Hughes, who has sought approval to move forward with the Comanche Circle data center project and related developments known as Project Lion and Project Panther.

In an Oct. 1 email to county officials, Hughes argued the agreement would help avoid litigation and allow the project to proceed with additional restrictions. He warned that rejecting the deal could lead to a lawsuit and a larger project with fewer restrictions.

Commissioners voted 3-1 to reject the settlement proposal. Commissioner Kevin Andrews was the lone dissenting vote. Commissioner Nannette Samuelson was not present at Tuesday’s meeting.

The commissioners later voted unanimously to deny Sailfish’s appeal of the county’s decision on its on-site permit applications.

Andrews, who represents Precinct 1, said the county should continue negotiations over the proposed agreement.

“We have been offered concessions that we can’t regulate, and I think it would be a good idea for us to continue to negotiate to try to get to terms that work for the county,” Andrews said.

Andrews also said the appeal was placed on the agenda on the advice of legal counsel and because county regulations allow the developer to appeal.

Residents urged commissioners to scrutinize the project’s potential effects on water resources, wildlife, nearby properties and the county’s regulatory process.

This is a developing story and will be updated.

Emmanuel Rivas Valenzuela is KERA’s breaking news reporter. Got a tip? Email Emmanuel at erivas@kera.org.

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