El Paso City Council Rejects Proposal to Terminate Meta Deal

The El Paso City Council voted 5-3 on June 9, 2026, to reject a proposal to negotiate the termination of a tax incentive agreement with Meta. The deal, approved in 2023, provides Meta with an 80% property tax break for 25 years and $12.5 million in road infrastructure improvements for a data center campus in Northeast El Paso.

Mayor Renard Johnson and four city representatives voted to maintain the agreement, citing a potential $800 million litigation liability warned by legal counsel Sandy Gomez. The decision followed a marathon public hearing where 183 residents testified. Opponents, including the Amanecer People's Project, argued the project consumes excessive resources, estimating a daily water use of 400,000 gallons and requiring a new $500 million power plant that could raise residential electricity rates.

In contrast, supporters and union representatives emphasized the project's $10 billion investment, which Meta claims will create 3,000 permanent and 4,000 construction jobs. To mitigate environmental impact, Meta pledged to restore 200% of the water it consumes through Rio Grande watershed projects and provide $40 million annually for electricity-related costs. Following the vote, some community organizers indicated they are considering recall efforts and challenging city officials in the November 3, 2026, elections.