EL PASO, Texas (KFOX14/CBS4) — El Paso City Representative for District 2 Josh Acevedo has placed an item on the June 9 City Council agenda seeking to terminate the Chapter 380 Economic Development Program Agreement between the City of El Paso, Wurldwide LLC, and its parent company, Meta Platforms Inc.
According to Acevedo, the proposed action comes amid growing community opposition to Meta’s planned hyperscale data center project and follows months of public meetings and discussions regarding the facility’s potential environmental impact.
We have heard loud and clear from the community on this issue and now is the time to break the contract agreement with Meta,” Acevedo said in a statement. “This hyperscale data center will drain our region’s water resources and bring further pollution to the area with its gas-powered electrical plant.
According to Acevedo’s office, the City of El Paso conducted six community meetings to gather public input on a proposed data center policy framework. Acevedo also held additional community and internal meetings to discuss the project. He said residents consistently expressed opposition to hyperscale data centers and urged city leaders to revoke the incentive agreement with Meta, even if doing so could expose the city to legal challenges.
“As residents of a desert community, the value of our water and air far outweigh any revenues the City would collect or possibly lose from this major data center,” Acevedo said. “With a massive data center planned for Fort Bliss and one in neighboring Doña Ana County, we cannot afford to put our community’s health and natural resources at risk. Action must be taken now.”
Acevedo also criticized the role of the Borderplex Alliance in advancing the project, arguing that the development prioritizes corporate interests over local concerns. He specifically criticized Borderplex Alliance CEO Jon Barela and broader state efforts to attract data center development to Texas.
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“This data center was brought forth with the help of the Borderplex Alliance to satisfy the wealthy,” Acevedo said. “That is not innovation that will turn El Paso into the next Silicon Valley. It is another giveaway to the fossil fuel industry that puts us on the backend of the AI bubble.”
In April, the City released a press release that stated: “Council was further advised that terminating the agreements without cause would expose the City to significant legal and financial risk, including potential liability exceeding $1 billion.”
Acevedo spoke about the consequences of a possible lawsuit if the agreement is terminated.
“There is always a risk for something like this. We understand the risk of a lawsuit. The city said a few months ago that Meta could sue for a billion dollars, but I think we need to see all options and measure that with real will and see how we can get out of this, Acevedo said.
Next Tuesday’s City Council meeting is expected to draw significant public interest, and Acevedo is encouraging residents to sign up to speak during the meeting and share their perspectives on the proposal.
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