The Lower Rio Grande Valley Development Council (LRGVDC) has unanimously approved a community benefit agreement term sheet for hyperscale AI data center developers. Regional leaders called the move historic for South Texas. The agreement was written by the RGV Broadband Coalition with Connect Humanity and the LRGVDC Economic Development Advisory Committee. It covers Cameron, Hidalgo, Willacy and Starr counties.

Under the framework, data center operators would contribute to local infrastructure, environmental safeguards, workforce training and regional connectivity. The agreement is described as legally binding. LRGVDC Executive Director Manuel "Manny" Cruz said the document is a flexible template that a city, county or developer can use. He said the council was not aware of any similar agreements in Texas, based on a recent survey by the National Association of Development Organizations.

The agreement was developed over several months of community workshops with about 50 local participants, policy experts and regional stakeholders. Jordana Barton-Garcia, director of the RGV Broadband Coalition, said water was the main concern raised in those sessions. She said the agreement includes practices to limit water and energy overuse and to reduce emissions.