Palomino Alpha data center
A data center planned near Zorn in northern Guadalupe County holds a county reinvestment zone, tax abatement and development agreement, which a residents' lawsuit asks a court to void. Also known as: Palomino Alpha Reinvestment Zone #1.
Who is behind it
The record, newest first
The Data Center Action Coalition and three residents sued the county; their petition claims Open Meetings Act, Tax Code and conflict-of-interest violations and asks the court to void approvals for Palomino Alpha and CloudBurst, which it says span more than 1,700 acres. (Seguin Today, July 23, 2026; Community Impact, July 24, 2026; KSAT, July 23, 2026)
Commissioners voted 3-1, with the county judge abstaining, to enlarge the zone after the owner acquired more land and to require a buffer for neighboring landowners. (Seguin Today, Feb. 27, 2026)
Commissioners voted on a development agreement for the project. (Community Impact, July 24, 2026)
Guadalupe County commissioners voted on a tax abatement for Palomino Alpha; the reinvestment zone for the project was first approved that December. (Community Impact, July 24, 2026; Seguin Today, Feb. 27, 2026)
Conflicts and open questions
- Project acreage and MW were not found in opened sources. The petition puts Palomino Alpha and CloudBurst at more than 1,700 acres combined; CloudBurst is reported at 220 acres, which implies Palomino Alpha is well above 100 acres.
- The county attorney's office declined to comment on the pending suit.
The full record
- Status note
- County approvals are the subject of a lawsuit filed in July 2026 that asks a court to void them.
- Evidence
- News reports; primary records not yet obtained
- Size class
- Under 50 MW (outside main scope; kept for completeness)