Texas Gov. Greg Abbott is calling for new AI data centers to be blocked from development in rural neighborhoods, stating during a property tax event in Bullard that companies "must bring their own money, bring their own power, use their own water" and that "we must eliminate the tax break they are getting." This contrasts with a November 2025 press release in which Abbott praised AI data centers and called Texas the "epicenter of AI development." In June, Abbott sent a letter to Thomas Gleeson, chairman of the Public Utility Commission of Texas, and Pablo Vegas, president and CEO of the Electric Reliability Council of Texas, instructing them to "guarantee any data center development does not come at the cost of Texans and our local communities." The proposal follows rural residents' concerns about noise, electricity demand, water consumption, and limited permanent jobs. Last month, San Marcos became the first Texas city to ban data centers in a 4-3 city council vote, with residents arguing facilities would strain the Edwards Aquifer. Communities from Fort Worth to Henderson County have also voiced opposition.