As data center development expands across Texas, some of the companies behind the massive projects are putting millions of dollars into the water systems of the communities where they operate.
Two major investments announced this week illustrate the trend.
Google announced Tuesday that the City of Vernon will receive $4.5 million to replace an aging water pipeline, the first project funded through the company's $10 million commitment to community water infrastructure and access projects in Texas.
Meanwhile, QTS announced Monday that it plans to invest $250 million over the next decade in water infrastructure, conservation, replenishment and water-free cooling technology in Texas communities.
One of the first communities to benefit will be Turkey, a Panhandle town of just 317 people that is dealing with an aging water system and a recently failed water tower as a $10 billion data center campus begins taking shape just a few miles away.
Google invests $4.5 million in Vernon
Google's contribution to Vernon will help replace an aging water pipeline, which the company says should reduce water loss and improve the resilience of the city's utility system.
"[Google's] investment in our infrastructure is more than an investment in our city — it is an investment in economic growth, future opportunities, and the quality of life for our residents," Vernon Mayor Pam Gosline said.
Gosline said the project would not have been possible without Google's support.
The funding is the first project announced under Google's $10 million Texas community water infrastructure commitment, which the company launched in June as part of its efforts to address water use in communities where it operates data centers.
"When we launched our Texas community water infrastructure commitment earlier this year, our goal was to help strengthen vital water resources through solutions tailored to local watersheds and community needs," said Ben Townsend, Google's global head of infrastructure strategy and sustainability.
Google says it currently has 165 water stewardship projects across 97 watersheds worldwide and has set a goal of replenishing more freshwater than it consumes, on average, across its offices and data centers by 2030.
In Texas, that work also includes a partnership with AgriCapture and the Bonneville Environmental Foundation involving 6,000 acres of rice farmland in Southeast Texas. The program, scheduled to run through 2033, is projected to reduce irrigation withdrawals by as much as 34% compared with conventional flood irrigation methods.
Turkey faces a much different water problem
About 200 miles west of Vernon, the tiny community of Turkey is confronting a water infrastructure problem that has been building for generations.
Lynette Findley took over as Turkey's city manager in December 2025 and inherited a financially struggling city with water infrastructure that in some places is roughly a century old.
Much of the town still relies on clay and cast iron pipes that are prone to leaks and need to be replaced.
"Not just for functionality, but we need to make sure that we are staying within regulations — and exceeding regulations — to make sure that we are providing safe water and wastewater services," Findley said.
Then, about two weeks ago, another major piece of the system failed.
Turkey's water tower, the tallest structure in town, broke down following years of repairs after a spiral fracture developed near the bottom of its vertical pipe.
Most residents still have access to water, and the city issued a boil water notice, but some residents have been left without water as officials work to restore service.
Fixing Turkey's broader infrastructure problems will be expensive.
The city operates on an annual budget of roughly $500,000, while completely upgrading its water and wastewater infrastructure could cost millions of dollars. Without outside help, Findley said, completing all of the work could take decades.
At the same time, a project that could dramatically change Turkey's future is rising just five miles south of town.
A $10 billion neighbor arrives
QTS and land developer Lancium have reached an agreement with Hall County to build a $10 billion data center campus in an unincorporated area near Turkey.
Plans call for an 11-building campus covering 465 acres.
At the peak of construction, the project is expected to bring about 7,000 workers into the rural area. Once operational, QTS expects the campus to employ approximately 350 people — more than Turkey's current population.
The influx is already being felt.
Findley said the handful of restaurants in town have struggled to keep enough supplies on hand to serve construction workers.
Long term, those workers could also create an opportunity for Turkey. The town is the closest community to the development and could become home to some of the data center's permanent workforce.
But Turkey needs infrastructure capable of supporting that growth.
"Getting this water and wastewater infrastructure is paramount to any kind of growth for the city of Turkey," Findley said.
QTS pledges $250 million
QTS' newly announced $250 million Texas water commitment could help Turkey address some of those problems.
The company says the money will be invested over the next 10 years in water infrastructure, conservation, replenishment and water-free cooling technologies.
For Turkey, that includes a new water tower and assistance upgrading the city's water system.
Tag Greason, co-CEO of QTS, said working closely with communities is critical as the company expands.
"We have found that the communities that we engage with at the very basic partnership level end up being the most successful projects that we are a part of," Greason said.
QTS currently has more than 100 active or planned data centers nationwide. The company has five campuses operating or under development in Texas, with another campus under consideration in Howard County.
The expansion comes as data centers face growing scrutiny over their potential impact on electricity, water, roads and utility costs.
Those concerns have become particularly acute in rural communities, where enormous industrial projects can arrive in places with small populations and limited infrastructure.
Turkey is no exception.
"We want to make sure that the people coming into our area are respectful to our area," Findley said.
She said the community's concerns include water, traffic, road damage and whether local infrastructure has enough capacity to handle the development.
Water remains a key concern
Greason said communities should demand answers from data center developers.
"You should ask us about power and infrastructure. You should ask us about utility rates. You should ask us about water. You should ask us about noise," Greason said. "And we, as a responsible developer, should answer those questions directly."
QTS says the Hall County facility will use a closed-loop cooling system requiring a one-time draw of water rather than continuously consuming water for cooling.
Greason said that over its lifespan, the facility is expected to use roughly half as much water as a golf course consumes in one year.
Findley said she talks with QTS officials daily about the development and its potential impact on Turkey.
The city has welcomed the water infrastructure investment, particularly as it deals with the failure of its existing water tower. But officials have also made clear that the contribution does not settle every concern surrounding a development of this size.
"While we are incredibly grateful for this commitment, it is just a small portion of the effort to address larger-scale concerns and priorities as the project develops," the city said in a social media post Monday evening.
For communities such as Turkey and Vernon, the investments demonstrate one potential upside of Texas' data center boom: companies with enormous capital budgets can finance infrastructure projects that small cities might otherwise struggle to complete.
In Turkey, that relationship is especially stark. A town with a $500,000 annual budget is trying to repair century-old infrastructure while a $10 billion development takes shape just outside its borders.
