CloudBurst Data Center Campus
Proposed size
1200 MW
Site area
220 ac
Building area
3,000,000 sq ft
Investment
$10.0B
Developer
CloudBurst Data Centers / Evolve Holdings
A data center campus at 2955 Francis Harris Lane that straddles Hays and Guadalupe counties, spanning approximately 220 acres across 16 properties (per developer's own Guadalupe County tax abatement presentation, Feb 24, 2026). Master-planned for up to 1.2 GW of capacity with an associated 1.2 GW on-site natural gas power plant. Groundbreaking was held November 5, 2025. Phase 1 is 50 MW targeting a Q4 2026 go-live. CloudBurst reversed its original pledge to run entirely on renewable energy after signing a 10-year gas supply contract with Energy Transfer. The developer disclosed 24,000 gallons per day of direct facility water use in their commissioner presentation — the first water figure released after declaring the formal feasibility study confidential in November 2025.
Water Impact
Daily water use (estimated range)
24K gal/day
Water returned per day
None reported
Per Developer-stated figure from Guadalupe County Commissioners Court tax abatement presentation (Feb 24, 2026), as reported by Community Impact (2026-03-26). Formal water feasibility study remains declared confidential by developer (Nov 2025). Crystal Clear SUD conducting independent capacity study., based on CloudBurst disclosed 24,000 gal/day at their Guadalupe County tax abatement presentation. This is the developer's own claim; no independent engineering review has been publicly released. The developer also cited 660,000 gal/building for closed-loop system fill — a maintenance volume, not a daily consumption rate.
vs. 5M gal/day (typical 400 MW facility)
The higher estimate is equivalent to the daily water use of approximately 240 households. San Marcos has approximately 25,000 households.
- Water intake
- 24K gal/day
- Lost to evaporation
- 100%
- Returned to system
- 0% (None reported)
+ Indirect water use (power generation)
1.3M – 3.6M gal/day estimated/day
Source: On-site natural gas power plant (Energy Transfer Oasis Pipeline)
Estimate based on 0.3–0.5 gal/kWh for combined-cycle gas generation at nameplate 1.2 GW capacity running 30% (Phase 1) to 90% utilization. Range: 0.3 gal/kWh × 720 MW continuous = ~1.3M gal/day low; 0.5 gal/kWh × 1,000 MW continuous = ~3.6M gal/day high. This water is used locally at the on-site plant, not at a distant grid facility.
Power plants use water to generate electricity — typically 0.3–0.5 gal/kWh for natural gas. When generation is on-site, this water is consumed locally.
Combined total (direct + indirect): 1.3M – 3.6M gal/day per day
Direct water figures are estimates from permit applications and developer disclosures. Indirect (power generation) figures are calculated estimates. Actual water use depends on technology choices, operating capacity, and weather conditions.
Location
Address: 2955 Francis Harris Lane, San Marcos, Hays County, TX
Distance to aquifer edge: 0 miles
Water source: Crystal Clear Special Utility District (confirmed: San Marcos Record, 2025-04-01; Seguin Today, 2026-02-25; Crystal Clear SUD service area listing Francis Harris Rd)
This project needs your attention.
Permitted — the decision is made, but conditions still matter
The primary decision cannot be undone, but the conditions attached to the approval can still be negotiated or enforced. Officials can be held accountable for permit violations. Community pressure matters for shaping how the project is operated and what monitoring is required.
Timeline
March 27, 2026
Clear Water Summit convenes in Dripping Springs — 6-county regional water meeting
Hays County Judge Becerra convened an invitation-only regional water summit at Twisted X Brewery in Dripping Springs. Nearly 100 participants from Blanco, Caldwell, Comal, Hays, Travis, and Bexar counties attended. State Rep. Erin Zwiener was initially denied entry, sparking controversy. Attendees agreed to meet quarterly. First concrete outcome: shared regional well monitoring system. CloudBurst water concerns cited as a driver of the regional coordination effort.
Source →(opens in new tab)March 26, 2026
Community Impact: CloudBurst campus spans 16 properties, ~220 acres
Community Impact reports that CloudBurst's tax abatement presentation to Guadalupe County Commissioners revealed the campus spans 16 properties and approximately 220 acres across both counties — significantly larger than the 45.96-acre parcel initially recorded. The same presentation disclosed 24,000 gallons per day of direct facility water use, the first concrete figure after the developer declared the formal water feasibility study confidential in November 2025.
Source →(opens in new tab)March 23, 2026
Rep. Zwiener forms Hays County data center working group
State Rep. Erin Zwiener formed a bipartisan working group of elected officials, nonprofits, and experts to examine data center impacts on Hays County water. Participants: Hays County Commissioners Ingalsbe and Hammer, San Marcos Mayor Hughson, Councilmember Rodriguez, Wimberley Watershed Association, Barton Springs Edwards Aquifer Conservation District, San Marcos River Foundation, TESPA, Hill Country Alliance, and Robert Mace (Meadows Center). Goal: 4–6 meetings in 2026 to produce recommendations for the January 2027 legislative session.
Source →(opens in new tab)February 26, 2026
Water advocates vow continued fight as Edwards Aquifer hits 20-ft deficit
KUT reports that the Edwards Aquifer is running 20 feet below its 10-year average. the Central Texas Data Center Tracker and regional water advocates pledge ongoing opposition to all five proposed data center projects in the Hays/Caldwell County area. CloudBurst did not respond to KUT's request for comment.
Source →(opens in new tab)February 24, 2026
Guadalupe County denies $500M, 10-year property tax abatement (3-2 vote)
Guadalupe County Commissioners Court votes 3-2 to reject a 10-year tiered property tax abatement worth approximately $500 million for the CloudBurst campus. Commissioner Germann: "We are out of water." Developer did not provide water consumption figures at the meeting. County Judge Kutscher abstained due to a family land conflict of interest.
Source →(opens in new tab)January 20, 2026
Hays County launches $542K countywide water study
Commissioners Court authorized an 11-month, $542,360 water study by HDR Engineers Inc., assessing supply from GBRA, LCRA, Dripping Springs WSC, Aqua Texas, and individual cities — specifically to address data center water demands. Results expected December 2026 / January 2027.
Source →(opens in new tab)November 5, 2025
Groundbreaking ceremony announced
CloudBurst Data Centers and Evolve Holdings announced a groundbreaking for the 1.2 GW AI/HPC campus at 2955 Francis Harris Lane.
Source →(opens in new tab)June 5, 2025
Texas Tribune: "Data centers are building their own gas power plants in Texas"
Texas Tribune covers the statewide trend of data centers building behind-the-meter natural gas generation, using CloudBurst as a primary example. Notes that this approach bypasses ERCOT grid queue but raises emissions concerns.
Source →(opens in new tab)June 4, 2025
KUT/Texas Standard: CloudBurst reverses renewable energy pledge
KUT Radio and Texas Standard publish investigative coverage revealing CloudBurst reversed its original promise to run entirely on renewable energy, citing unreliable grid supply. The company signed a 10-year natural gas contract with Energy Transfer. No binding renewable transition timeline was given.
Source →(opens in new tab)June 1, 2025
Energy Transfer natural gas supply contract signed
Energy Transfer and CloudBurst signed an agreement for natural gas supply via the Oasis Pipeline — enough to power up to 1.8 GW of on-site generation.
Source →(opens in new tab)April 1, 2025
Hays County Judge confirms county cannot stop the project
County Judge Ruben Becerra states publicly: "This is going to pass. It's going to get approved. There's nothing we can do about it." The county's only review tool — the Flood Hazard Permit — must be approved within 30 days if minimum standards are met.
Source →(opens in new tab)March 30, 2025
Central Texas Data Center Tracker holds first organized protest
the Central Texas Data Center Tracker, organized by Si Frede, rallies at the Francis Harris Lane site and at Tantra Coffee House in San Marcos. Concerns center on water use, the on-site natural gas plant, and developer lack of transparency regarding the water feasibility study.
Source →(opens in new tab)March 18, 2025
Hays County Flood Hazard Development Permit filed
CloudBurst filed a Flood Hazard Development Permit with Hays County — the only permit instrument the county has jurisdiction over. Data center buildings and the on-site gas plant fall under Guadalupe County jurisdiction.
Source →(opens in new tab)February 13, 2025
KXAN: "A new AI data center is coming to San Marcos"
First major TV news coverage of the CloudBurst project. KXAN reports on the proposed 1.2 GW campus at Francis Harris Lane.
Source →(opens in new tab)
Sources
- 1. CloudBurst and Evolve Break Ground on 1.2GW Campus — Evolve Holdings, 2025-11-05. Link →(opens in new tab)
- 2. Hays County unable to stop development of CloudBurst data center — San Marcos Record, 2025-04-01. Link →(opens in new tab)
- 3. A 'gut-wrenching' feeling: family learns two data centers coming to rural Hays County — KXAN, 2025-03-01. Link →(opens in new tab)
- 4. Energy Transfer and CloudBurst Sign Agreement for Natural Gas Supply — Energy Transfer, 2025-06-01. Link →(opens in new tab)
- 5. CloudBurst breaks ground on gigawatt-scale data center campus in Texas — Data Center Dynamics, 2025-11-05. Link →(opens in new tab)
- 6. Data Centers Spark Protests — San Marcos Record, 2025-03-30. Link →(opens in new tab)
- 7. CloudBurst Data Center Ceremony Ignites Protests — San Marcos Record, 2025-11-05. Link →(opens in new tab)
- 8. New data center planned near New Braunfels and San Marcos sparks debate — Community Impact, 2025-05-21. Link →(opens in new tab)
- 9. Hays County residents aren't happy about a data center moving in — KUT Radio (Austin NPR), 2025-06-04. Link →(opens in new tab)
- 10. Hays County residents aren't happy about a new neighbor moving in: a data center — Texas Standard, 2025-06-04. Link →(opens in new tab)
- 11. Hays County says AI data center is likely to go forward despite community outcry — KXAN, 2025-04-01. Link →(opens in new tab)
- 12. Data centers are building their own gas power plants in Texas — Texas Tribune, 2025-06-05. Link →(opens in new tab)
- 13. Guadalupe County Commissioners decline tax abatement for $10B data center project — Seguin Today, 2026-02-25. Link →(opens in new tab)
- 14. Guadalupe County commissioners vote down $500M tax cut for proposed data center — Community Impact, 2026-03-26. Link →(opens in new tab)
- 15. With 5 data centers on the horizon, Hays County water advocates see the fight as just beginning — KUT Radio, 2026-02-26. Link →(opens in new tab)
- 16. CloudBurst Data Center power plant — Global Energy Monitor, 2026-04-01. Link →(opens in new tab)
- 17. Crystal Clear Special Utility District — Service Area — Crystal Clear Special Utility District, 2025-01-01. Link →(opens in new tab)
- 18. WATER WARS BOIL OVER — San Marcos Record, 2026-04-01. Link →(opens in new tab)
- 19. A Common Well: Why Our Regional Water Future Depends on Unity, Not Conflict — San Marcos Record, 2026-04-05. Link →(opens in new tab)
- 20. Data Center Watch: Lessons from a San Marcos Coalition's Defeat — Deceleration, 2026-03-24. Link →(opens in new tab)
- 21. Rep. Zwiener establishes Hays County group to address data center concerns — Community Impact, 2026-03-23. Link →(opens in new tab)
- 22. Becerra tables water usage moratorium amid pushback from Commissioners — San Marcos Record, 2026-02-22. Link →(opens in new tab)
- 23. Hays County launches countywide water study to plan for future needs — Hays County, 2026-01-20. Link →(opens in new tab)
- 24. Texas data centers and water use: PUCT orders study — Houston Public Media, 2026-02-09. Link →(opens in new tab)
- 25. Thirsty Data: The Hidden Water and Energy Costs of Texas' Data Center Boom — HARC (Houston Advanced Research Center), 2026-01-21. Link →(opens in new tab)
- 26. Hays CAD Parcel R10831 — Data Center LB LP (CloudBurst campus, 45.96 ac) — Hays County Appraisal District, 2026-04-08. Link →(opens in new tab)
- 27. CloudBurst campus spans 16 properties, ~220 acres — Guadalupe County votes 3-2 to deny $500M tax abatement — Community Impact, 2026-03-26. Link →(opens in new tab)
- 28. Guadalupe County Commissioners decline tax abatement for $10B data center project (CloudBurst cofounder Cynthia Thompson named) — Seguin Today, 2026-02-25. Link →(opens in new tab)
Community Notes
Because the property straddles Hays and Guadalupe counties in an unincorporated area, neither county has zoning authority to stop the project. Hays County Judge Becerra stated publicly: "This is going to pass. It's going to get approved. There's nothing we can do about it." The Central Texas Data Center Tracker, organized by Si Frede, has been active since March 2025. Coalition leaders state that CloudBurst executives promised to release the water feasibility study to Hays County Commissioners but then declared it confidential. CloudBurst originally marketed the facility as running on 100% renewable energy. The company reversed course after signing a 10-year natural gas supply contract with Energy Transfer, stating: "Once the state catches up with needs, we're happy to take green power." No timeline or binding commitment for renewable transition exists. Crystal Clear Special Utility District — the project's water source — experienced four water main breaks in a single year and has limited capacity headroom. Guadalupe County Commissioner Germann cited water scarcity explicitly in voting to deny the $500M tax abatement (3-2 vote, February 24, 2026). The campus spans approximately 220 acres across 16 properties in both Hays and Guadalupe counties — significantly larger than the original 45.96-acre parcel recorded at project announcement. As of February 2026, the Edwards Aquifer is running 20 feet below its 10-year average.