The most useful window is the interim, not the first week of session. By the time a bill is filed, many of the questions have already been framed. Organizations that follow the hearings and the committee charges are further along than those who wait.
Senate committees
Business & Commerce. Managing data center growth. Hearing to be set. The charge looks at whether current frameworks can handle large-load electricity demand, and how that balances against landowners, property rights, water and communities. It reaches operators planning Texas builds, energy-intensive technology companies, utilities and transmission providers and developers and landowners on site selection.
Finance. Data center investment and fiscal effects. Hearing July 27, 2026. The state sales tax exemption for data centers has grown from $14.6 million in 2014–15 to a projected $3.3 billion in 2028–29. The study looks at cost, consequences and safeguards. It reaches owners using the exemption, out-of-state and international investors, companies buying capital equipment and funds underwriting project economics.
Water, Agriculture & Rural Affairs. Assessing water demands. Hearing September 1, 2026. The charge covers cooling-water use, transparency for local water providers and whether industrial growth affects affordability for residents and agriculture. It reaches facilities on water-based cooling, rural and exurban projects and providers of water-efficient cooling.
House committees
Natural Resources. Data center water use and conservation. Hearing to be set. The charge covers direct and indirect water use and permitting for water-efficient development, especially in water-stressed regions.
State Affairs. Growth, grid and competitiveness. Hearing held April 9, 2026. The broadest study: economic impact, national security, grid reliability, ERCOT’s large-load process, workforce and permitting. It reaches anyone with a near-term expansion or site decision, and companies that need a predictable interconnection timeline.
What happens next
- Now through fall 2026: hearings continue. Agencies present findings. Stakeholders can be invited to testify.
- Fall 2026: interim reports and recommendations. Pre-filing opens in November.
- January 2027: the 90th Texas Legislature convenes.
This is a monitoring note, not legal advice. Legal work, if any, is with Gray Reed. The source report is on the Gray Reed site.