Signal Texas AG investigates proposed AI data center on parkland-designated site

Summary

Texas Attorney General Ken Paxton announced on Thursday September 17 2026 that his office is investigating a proposed AI data center development in the city of Taylor. The land in question was conveyed more than 25 years ago under terms designating it for future use as public parkland. The investigation targets whether converting the site into an AI data center would violate the terms of that original conveyance. The probe is cited as part of a growing pattern of legal scrutiny over land-use disputes tied to the rapid buildout of AI data centers in Texas. The outcome of the investigation could substantially affect whether the proposed data center project at that site moves forward. It also illustrates broader tension over converting land conveyed for a public purpose to a different use.