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Texas accused of allowing data centers to use loophole in pollution regulationsWOAITexas Dem governor candidate calls on Abbott to issue data center moratoriumYahooSmall plots of land fuel big suspicions among Lubbock residents, who fear it’s for a data centerThe Texas TribuneWillie Nelson speaks out on proposed data centers in TexasNEWS10 ABCData center controversy is hot topic at Texas CapitolFOX 7 AustinWillie Nelson urges Americans to fight 'water thieving' AI data centers devouring rural Texas farmlandFox NewsMap Shows Data Centers In Texas As Willie Nelson Speaks OutNewsweekWillie Nelson is fighting data centers near his Texas hometown: 'The last thing we need'Business InsiderRowan files for second building at data center campus in Temple, TexasData Center DynamicsWillie Nelson Lashes Out at AI Data Center Construction in Texas: ‘Loud, Water-Thieving, Light Polluting’BillboardData centers are being built across Texas every day. Here's what goes on inside one in Austinkut.orgData Center Debate Has Both Political Parties Fired UpHouston PressWillie Nelson Says AI Data Center Is ‘the Last Thing’ His Texas Hometown NeedsPeople.comAustin leaders eye water conservation measures for major projects as data center growth raises resource concernsCommunity Impact
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BIG DATA DAMAGEThe Texas Data Center Watchdog

Your rights

Texas water & property law, in plain English

You don't need a law degree to understand what protects your land. Here are the concepts that matter most when a data center moves in next door — and the actual Texas cases and statutes behind them.

The groundwater under your land is your property

In Texas, the groundwater beneath your land is your property — not just a resource the state rations out. The Texas Supreme Court held that a landowner owns the groundwater in place as a vested real-property interest, the same way the law treats the oil and gas under your feet. And courts have held that severely restricting it can amount to a compensable regulatory taking.

Key authority: Edwards Aquifer Authority v. Day, 369 S.W.3d 814 (Tex. 2012); Bragg v. Edwards Aquifer Authority, 421 S.W.3d 118 (Tex. App. 2013).

The Rule of Capture — and its real limits

Texas follows the “rule of capture”: you may generally pump water from beneath your land even if it draws down a neighbor's well, and the courts have repeatedly declined to adopt a “reasonable use” rule. But the rule has never been absolute — no malicious pumping, no willful waste, and liability for negligently causing a neighbor's land to sink. For an industrial-scale operation, those limits are where a landowner's leverage begins.

Key authority: Houston & Texas Central Railway Co. v. East (Tex. 1904); Sipriano v. Great Spring Waters of America, Inc., 1 S.W.3d 75 (Tex. 1999); City of Corpus Christi v. City of Pleasanton, 276 S.W.2d 798 (Tex. 1955); Friendswood Development Co. v. Smith-Southwest Industries, Inc., 576 S.W.2d 21 (Tex. 1978).

Subsidence — when the ground itself sinks

When an aquifer is over-pumped, the land above it can sink — cracking foundations, slabs, and roads. Texas law treats this as more than bad luck: a landowner who negligently causes subsidence on a neighbor's property can be liable for that damage, a harm separate from the loss of the water itself. High-volume, closely-spaced pumping is exactly the conduct that can cross from lawful capture into negligence.

Key authority: Friendswood Development Co. v. Smith-Southwest Industries, Inc., 576 S.W.2d 21 (Tex. 1978).

Private nuisance — your peace and quiet at home

Owning land includes the right to use and enjoy it. When an activity substantially and unreasonably interferes — through constant noise, dust, odor, or light — Texas law calls it a private nuisance. The round-the-clock, low-frequency hum of cooling fans that ruins sleep and makes a home hard to live in is exactly the kind of interference it addresses — and the real doctrine behind a neighbor's “quiet enjoyment.”

Key authority: Schneider National Carriers, Inc. v. Bates, 147 S.W.3d 264 (Tex. 2004); Rankin v. FPL Energy, LLC, 266 S.W.3d 506 (Tex. App. 2008).

Groundwater Conservation District (GCD) permits & protests

Most Texas groundwater is managed locally by Groundwater Conservation Districts. The Legislature calls them the state's “preferred method of groundwater management” — meant to protect property rights, not rubber-stamp industry. GCDs can require permits and adopt rules to prevent waste and subsidence, and the permit process is often a landowner's most direct leverage, especially before a permit is finalized.

Key authority: Tex. Water Code §§ 36.0015, 36.001; Barshop v. Medina County Underground Water Conservation District, 925 S.W.2d 618 (Tex. 1996); South Plains Lamesa Railroad v. High Plains Underground Water Conservation District No. 1, 52 S.W.3d 770 (Tex. App. 2001).

Diminution of property value

Harm to your property isn't only about comfort — it can be measured in dollars. Texas measures nuisance damages by the reduction in your property's market value, judged by its highest and best use. If a data center makes your home harder to sell, or sellable only at a discount, that lost value is a concrete, recognized injury — not just a feeling.

Key authority: Meat Producers, Inc. v. McFarland, 476 S.W.2d 406 (Tex. Civ. App. 1972); Schneider National Carriers, Inc. v. Bates, 147 S.W.3d 264 (Tex. 2004).

This page is general information about Texas law, not legal advice about your specific property — every situation is fact-specific. The primary sources include the Texas Water Code, Chapter 36 and the Texas court decisions cited above.

Not sure which applies to you?

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