Group sues Guadalupe county, commissioners court over data centers

Story by: Dalondo Moultrie | The Seguin Gazette Managing Editor

Jul 21, 2026 Updated Jul 22, 2026

A coalition of residents and property owners filed a lawsuit in an attempt to block Guadalupe County from allowing two large data centers developments.

A coalition of residents and property owners filed a lawsuit in an attempt to block Guadalupe County from allowing two large data centers developments.

The suit against Guadalupe County and its commissioners court says the county advanced the Cloudburst and Palomino Alpha data projects and granted them tax abatements through “inadequate public notice, private negotiations and unlawful conflicts of interest,” according to the lawsuit and a written statement attorney Bobby Levinski released Monday.

Levinski filed the suit on behalf of the Data Center Action Coalition and residents Kara Finlayson, Barry Lindsey and Torrie Martin, all of whom are listed as plaintiffs. The group is not seeking money but filed the suit as an attempt to save all taxpayers money, Levinski said.

To read the entire story click here to go the Seguin Gazette.

Seguin Seeks Federal Grant to Add Six School Resource Officers

Seguin has authorized an application for up to $750,000 in federal funding to create six new School Resource Officer positions in Seguin ISD schools.

Seguin Police SUV parked outside a school as students enter campus, promoting a proposed school safety grant to fund six new School Resource Officers.

At its July 21 meeting, the Seguin City Council approved a resolution authorizing the City to apply for a federal grant that could help fund six additional School Resource Officers for Seguin Independent School District campuses.

The application will be submitted through the U.S. Department of Justice’s Community Oriented Policing Services Hiring Program. The program provides financial assistance to local law-enforcement agencies seeking to hire or rehire officers for community policing and crime-prevention efforts.

The City is requesting up to $750,000, or a maximum of $125,000 for each of the six proposed officers, over a three-year grant period. The positions would be new Seguin Police Department positions assigned to Seguin ISD schools.

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How the Positions Would Be Funded

According to the City Council memorandum, the estimated salaries for the six officers would total approximately $1.31 million over three years, not including benefits.

The proposed federal funding would decrease during the grant period:

  • Year 1: $375,000
  • Year 2: $300,000
  • Year 3: $75,000

Seguin ISD has provided a letter of support agreeing to contribute approximately $555,584.72 toward salary costs not covered by the grant. The City of Seguin would be responsible for the officers’ fringe benefits and other grant-matching obligations.

The City’s memorandum contains two different estimates for its benefit costs. One portion lists approximately $610,000, while another lists approximately $650,000 over the three-year period. That difference should be clarified before any final agreement is approved.

An Ongoing Financial Commitment

The federal grant would not eliminate the local cost of these positions. It would provide temporary, declining assistance while the City and school district assume a larger share of the expense.

The grant also requires the City to retain the six positions for at least 12 months after the three-year federal funding period ends. If the application is approved, the City and Seguin ISD would be required to formalize their respective financial responsibilities through a memorandum of understanding within 90 days of the grant award.

It is also important to understand that the Council’s action authorizes an application. It does not guarantee that Seguin will receive the grant or that the six positions have already been funded.

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Better Seguin’s Perspective

Placing additional trained law-enforcement officers in local schools could provide meaningful benefits for students, teachers, staff and families. School Resource Officers can improve emergency response, strengthen relationships between young people and law enforcement, assist school administrators and provide a visible public-safety presence on campus.

This proposal represents a potentially valuable investment in school safety. At the same time, the City and Seguin ISD should provide the public with a clear long-term funding plan before the positions are created.

Residents deserve to know:

  • How the positions will be funded after the federal grant ends.
  • Whether Seguin ISD’s contribution will continue beyond the initial grant period.
  • The final and accurate amount of the City’s benefit obligations.

Better Seguin supports responsible efforts to strengthen public safety. We also believe major ongoing personnel commitments should be accompanied by transparent cost projections, clearly defined responsibilities and a plan that can be sustained after temporary federal funding expires.

Seguin Transportation Funding: What’s Changing

Seguin Transportation Funding Faces New Challenges — and Project Readiness Will Matter More Than Ever

Seguin’s participation in the Alamo Area Metropolitan Planning Organization has helped fund major road, trail and sidewalk projects. However, rising construction costs and uncertain state and federal funding are changing how future projects will be selected.

City roads funding announcement in Texas

The City of Seguin recently received an update on changes taking place within the Alamo Area Metropolitan Planning Organization, commonly known as AAMPO. These changes could have a significant effect on how future transportation projects in Seguin are planned, funded and constructed.

Seguin’s participation in AAMPO has already produced important benefits. However, transportation funding is becoming more competitive, construction costs are rising rapidly, and regional leaders are placing greater emphasis on whether a project is fully planned and ready to begin construction.

The message for Seguin is clear: participation in regional transportation planning remains extremely important, but the City may need to invest more money and effort upfront to keep local projects competitive.

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What Is AAMPO?

AAMPO coordinates long-range transportation planning for the San Antonio metropolitan region, which includes Seguin and portions of Guadalupe County.

The organization brings together local governments, counties, TxDOT, public transportation agencies, federal officials and other stakeholders to determine regional transportation priorities. The process is intended to be continuous, cooperative and comprehensive.

AAMPO does not normally build roads itself. Instead, it helps identify needs, prioritize projects and allocate available state and federal transportation funding. The actual work is generally carried out by TxDOT, cities, counties or transportation agencies.

This gives Seguin an important seat at the regional table. Without participation in this process, local projects would have a much more difficult time competing for federal and state transportation dollars.

What Has Seguin Received Through AAMPO Participation?

AAMPO’s Transportation Improvement Program, commonly called the TIP, has helped fund several important Seguin projects.

According to the City’s presentation, TIP funding has contributed to:

  • Tor Drive
  • Rudeloff Road
  • Cordova Road
  • Walnut Springs Trail
  • District 5 sidewalks

These projects demonstrate the direct value of Seguin’s participation in regional transportation planning.

One current regional priority list also identifies the proposed SH 123 project from Cordova Lane to Interstate 10 as a high-priority project. The project is listed as having environmental clearance and right-of-way completed, with plans reportedly at 100 percent. That level of readiness is exactly what transportation officials are now looking for when deciding which projects should move forward.

Where Does the Transportation Money Come From?

TxDOT’s transportation budget is funded through several major sources.

For the 2026–2027 biennium, the documents show approximately:

  • 30 percent from federal funding
  • 25 percent from fuel taxes, registration fees and the State Highway Fund
  • 20 percent from Proposition 1 oil and gas severance-tax revenue
  • 17 percent from Proposition 7 sales and vehicle-sales taxes
  • 8 percent from other sources

Each of these funding sources presents challenges.

Federal transportation funding is uncertain as Congress considers the next major transportation authorization. Traditional gasoline and diesel taxes have also lost purchasing power because the tax rate has not been indexed to inflation.

Proposition 1 funding can fluctuate dramatically depending on oil and natural-gas prices. Proposition 7 is more stable, but a large portion of the funding is fixed and does not automatically increase with construction costs.

Construction Costs Are Rising Faster Than Funding

The biggest immediate challenge is inflation.

The presentations report that highway construction costs increased approximately 55 to 60 percent in five years. In practical terms, a road project that cost $100 million several years ago could now cost approximately $160 million.

At the same time, TxDOT’s accumulated cash balance has been depleted, its ten-year construction program has been reduced and approximately $20 billion in projects statewide are being delayed. Funding for new projects, engineering work and right-of-way acquisition is also limited.

This means more Texas communities will be competing for a smaller pool of available money.

Seguin is not only competing against neighboring cities. It is competing against major metropolitan regions with much larger populations, more legislative representation and, in some cases, access to toll-road revenues that can be used as matching funds.

Why AAMPO Is Changing Its Process

Under the traditional process, cities and counties often submitted projects during a call for funding before all the planning, design, environmental work and right-of-way acquisition had been completed.

A project might be placed in the TIP with the expectation that the remaining work would be finished later. When projects were delayed, transportation money could remain committed for years without construction beginning.

According to the presentations, this has contributed to:

  • Projects that are not sufficiently prepared
  • Limited flexibility in moving money between projects
  • Large funding balances being carried over from year to year
  • Loss of purchasing power because of inflation
  • The possibility that unused funds could be redirected to another region

AAMPO is now considering a more needs-based and planning-driven process.

“Plan Slow, Deliver Fast”

The new approach is being described as “Plan Slow, Deliver Fast.”

That does not mean intentionally delaying projects. It means completing more of the difficult planning work before construction money is committed.

Under this model, a transportation project would move through corridor studies, public input, environmental review, preliminary engineering, right-of-way planning and design before being placed into the short-term funding program.

Only projects that are substantially “shovel ready” would receive major construction commitments.

The goal is to ensure that once money is awarded, the project can move quickly into construction instead of sitting in the funding program for years.

What This Means for Seguin

Seguin will need to maintain a pipeline of well-developed transportation projects.

In many cases, this may require the City to spend more local money upfront for:

  • Engineering and design
  • Traffic and corridor studies
  • Environmental reviews
  • Right-of-way planning or acquisition
  • Cost estimates
  • Public involvement
  • Grant applications
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Local funding can then be used to leverage much larger state or federal investments.

Transportation officials are also recommending that communities provide a meaningful local match or demonstrate that they have “skin in the game.” Cities with projects that are fully planned, publicly supported and ready to build will be in a much stronger position when unexpected funding becomes available.

The regional strategy also calls for better data, stronger partnerships with TxDOT, coordinated advocacy and creative funding arrangements, including public-private partnerships where appropriate.

Why the Public Should Pay Attention

Transportation planning may appear technical, but the results affect nearly every Seguin resident.

These decisions influence:

  • Traffic congestion
  • Road safety
  • Economic development
  • Emergency response times
  • Neighborhood access
  • Sidewalk and trail construction
  • The condition and capacity of major roads
  • How quickly Seguin can respond to continued population growth

A road project may take many years to move from an idea to construction. Decisions made today about planning, engineering and project readiness could determine which Seguin projects receive funding five, ten or even twenty years from now.

Seguin has benefited from being part of AAMPO, and continued participation is essential. But simply placing a project on a wish list will no longer be enough.

To remain competitive, Seguin must identify its most important transportation needs, complete the necessary planning and keep projects ready to move when funding opportunities arise.

That preparation will require discipline and, in some cases, an upfront local investment. However, failing to prepare could mean watching limited transportation dollars go to another community that was ready when the opportunity arrived.

Palomino Alpha Must Be Put on Hold

In Better Seguin’s opinion, no further approvals should be granted for the Palomino Alpha data center until serious conflict-of-interest questions are independently investigated

In Better Seguin’s opinion, no further approvals should be granted until serious conflict-of-interest questions are independently investigated

July 22. 2026

Story By Better Seguin

Editor’s note: This article expresses the opinions of Citizens for a Better Seguin based on public records and documents provided through open-records requests. Better Seguin is not alleging that any person or company has been convicted of, charged with, or conclusively proven to have committed a crime. Any determination of criminal or civil liability must be made by the appropriate authorities after a fair and independent investigation.

Better Seguin is not opposed to data centers simply because they are data centers.

Modern technology requires digital infrastructure. Properly located and responsibly developed data centers may provide investment, tax revenue, and other economic benefits.

But a data center must make sense for the community hosting it.

It must make sense financially and environmentally. It must account for water, electricity, roads, emergency services, wastewater, noise, and the potential burden placed on existing residents.

Most importantly, it must be considered through an honest, transparent, and legally compliant public process.

In Better Seguin’s opinion, the records now available raise serious questions about whether the Palomino Alpha project received that kind of process.

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The records raise substantial conflict-of-interest concerns

Publicly available property information and other records reviewed by Better Seguin indicate that Guadalupe County Judge Kyle Kutscher and members of his family own approximately 186 acres associated with the proposed Palomino Alpha development.

According to the records reviewed, the property was subject to a potential transaction involving the developer. If that transaction were completed, the Kutscher family could receive a financial benefit.

Judge Kutscher publicly abstained from certain Commissioners Court votes involving the project. However, other records appear to indicate that his involvement may not have been limited to those public votes.

The documents reviewed by Better Seguin appear to show that:

  • Representatives associated with the developer sent Judge Kutscher proposed development-agreement language for his review.
  • The developer requested comments, suggestions, or changes from Kutscher.
  • A tracked-change document identifies Kyle Kutscher as proposing edits to provisions of the county development agreement.
  • The developer asked Kutscher for his thoughts about a communication intended for another county commissioner.
  • Kutscher requested a private telephone conversation to provide additional information.
  • Communications involving Crystal Clear SUD indicate that Kutscher had discussed aspects of the proposed water service with district personnel.
  • Kutscher and other landowners with financial interests in the development later appeared publicly in support of the requested water connection.

These records do not, by themselves, establish criminal guilt. They may also be subject to additional context or explanation that has not yet been made public.

Nevertheless, in Better Seguin’s opinion, the apparent combination of a personal financial interest and private involvement in governmental matters affecting the project creates a serious appearance of impropriety and warrants immediate independent review.

A public abstention from a final vote does not necessarily answer questions about earlier discussions, document revisions, recommendations, or communications conducted outside the public meeting.

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The developer’s conduct also deserves scrutiny

The records appear to indicate that representatives associated with Palomino Alpha knew that Judge Kutscher held public office and knew, or reasonably should have known, that property belonging to his family was involved in the proposed development.

Despite that apparent knowledge, the developer sought his comments on a county agreement and communicated with him about matters involving other public officials.

Better Seguin is not presently accusing Palomino Alpha or any representative of bribery, conspiracy, or any other specific crime.

However, in our opinion, the developer’s apparent willingness to seek assistance from an official with a known financial interest is significant and should be included in any independent investigation.

Among the questions that should be answered are:

  • What did the developer know about the Kutscher family’s financial interest, and when did it know it?
  • Why were county-agreement drafts sent to Judge Kutscher for review?
  • Did the developer understand that Kutscher had publicly recused himself?
  • Were any land payments, option payments, deposits, or other financial benefits made before or during the governmental approval process?
  • Did the purchase price or completion of the land transaction depend upon tax abatements, water service, development agreements, or other governmental actions?
  • Were all legally required conflict disclosures and vendor questionnaires completed accurately and on time?
  • Were complete and accurate representations made to Guadalupe County and Crystal Clear SUD?

These are questions, not findings of guilt. They should be answered through records, testimony, and an independent investigation rather than speculation.

Two things must happen now

1. Place a total hold on the Palomino Alpha project

Better Seguin believes that all discretionary governmental action involving Palomino Alpha should be suspended to the fullest extent allowed by law.

That should include:

  • Crystal Clear SUD’s consideration of the proposed water-service agreement.
  • Further county amendments, incentives, abatements, or concessions.
  • Expansion of the proposed development area.
  • Additional discretionary action under the development agreement.
  • New public infrastructure commitments intended to support the project.

A hold would not necessarily mean that Palomino Alpha is permanently prohibited from submitting another application or pursuing the project in the future.

It would mean that no additional public benefit or governmental approval should be granted until the integrity of the existing process has been independently reviewed.

In Better Seguin’s opinion, Crystal Clear SUD should not approve a non-standard service agreement while major questions remain about the project’s history, water requirements, financial arrangements, and governmental contacts.

Palomino Alpha has reportedly requested access to as much as 500,000 gallons of water per day. Other communications reviewed by Better Seguin appear to reference even greater potential future demand.

That difference must be fully explained.

Before any agreement is considered, the public should receive one complete and current application clearly stating:

  • Maximum daily water demand.
  • Average daily water demand.
  • Construction-related water demand.
  • Permanent operational demand.
  • Fire-flow requirements.
  • Potential future expansion.
  • Drought restrictions and curtailment provisions.
  • Infrastructure costs.
  • Responsibility for construction, maintenance, and replacement costs.
  • Possible effects on existing customers.
  • Possible effects on future residential, agricultural, and commercial needs.

No agreement should be approved until every material term has been publicly disclosed and independently evaluated.

2. Conduct a truly independent investigation

Better Seguin believes the county and Crystal Clear SUD should immediately preserve all records associated with Palomino Alpha.

The records preserved and reviewed should include:

  • Emails and text messages.
  • Telephone logs.
  • Calendars and meeting records.
  • Draft agreements and document metadata.
  • Land-purchase agreements, options, and amendments.
  • Conflict affidavits and disclosure questionnaires.
  • Communications involving county commissioners, employees, attorneys, and consultants.
  • Communications involving Crystal Clear employees, directors, attorneys, and engineers.
  • Communications involving Palomino Alpha, land brokers, development representatives, consultants, and participating landowners.
  • Records explaining changes in the project’s stated water requirements.

Any investigation should be conducted by attorneys and investigators who did not advise the county, the district, or the developer during the original approval process.

The appropriate independent authorities should determine whether any Texas conflict-of-interest, disclosure, contracting, ethics, or public-integrity laws may have been violated.

Better Seguin does not claim to make that legal determination.

Should Palomino Alpha be disqualified?

Crystal Clear SUD does not have authority to prohibit Palomino Alpha from conducting all business throughout Guadalupe County.

The district does, however, control whether it enters into a water-service agreement with the company.

In Better Seguin’s opinion, the existing application should not move forward under the present circumstances.

If an independent investigation eventually establishes that the developer knowingly submitted materially false information, concealed required disclosures, improperly participated in unlawful conduct, or violated applicable contracting requirements, the county and district should evaluate every remedy available under Texas law.

Depending on the facts and applicable agreements, those remedies might include:

  • Denial of the pending application.
  • Termination of negotiations.
  • Cancellation or voiding of an agreement where legally authorized.
  • Recovery of public funds.
  • Referral to law enforcement or regulatory agencies.
  • Disqualification from future governmental contracting where authorized by law.

Whether any of those remedies is legally available will depend on the evidence, the specific contracts, and the governing statutes and district rules.

Judge Kutscher should resign

Better Seguin recognizes that no court or prosecutor has made a final finding that Judge Kutscher committed a crime.

Our position is not based on a declaration of criminal guilt.

It is based on public trust.

In Better Seguin’s opinion, the records create the appearance that Judge Kutscher remained privately involved in a project tied to a potential financial benefit for his family, despite publicly abstaining from certain official actions.

Even where conduct has not been proven criminal, an elected official may lose the public confidence necessary to continue serving effectively.

For that reason, Better Seguin believes Judge Kutscher should resign as Guadalupe County judge.

This is an opinion based on the information presently available. Judge Kutscher and all other involved parties should have the opportunity to provide additional records, explanations, or corrections.

Data centers must benefit the community—not private interests

Guadalupe County should not reject every data center.

It should reject bad deals.

It should reject projects that place unreasonable demands on water, electricity, roads, emergency services, or taxpayers.

It should reject approval processes that create a reasonable appearance that private financial interests may have influenced public decisions.

A legitimate project should be able to survive transparency, independent investigation, public scrutiny, and full disclosure.

If Palomino Alpha is a sound project, an independent review should help establish that fact.

If the project cannot withstand that review, it should not move forward.

Better Seguin therefore calls for:

  1. An immediate and complete hold on the Palomino Alpha project.
  2. Preservation and public release of all relevant records.
  3. A truly independent investigation.
  4. No additional water agreement, incentive, amendment, or discretionary approval until the investigation is complete.
  5. The resignation of County Judge Kyle Kutscher based on Better Seguin’s opinion that public confidence in his impartiality has been irreparably damaged.

Not another agreement. Not another amendment. Not another public resource until Guadalupe County residents receive complete and credible answers.

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Seguin Council to Consider 1,323-Home Canvas Development

The Seguin City Council is being asked to approve a major development agreement for Canvas, a proposed master-planned community of approximately 1,323 single-family homes on roughly 354 acres near State Highway 123, Friedens Church Road and Link Road.

Seguin Council to Consider 1,323-Home Canvas Development and Up to $95 Million in PID Bonds

July 19, 2026

Story by Better Seguin

The Seguin City Council is being asked to approve a major development agreement for Canvas, a proposed master-planned community of approximately 1,323 single-family homes on roughly 354 acres near State Highway 123, Friedens Church Road and Link Road.

The development would include several housing types, neighborhood commercial space, public trails, parks, open space and major water, wastewater, roadway and drainage improvements. The agreement also establishes the framework for annexing portions of the property into Seguin and creating a Public Improvement District, or PID, and a Tax Increment Reinvestment Zone, commonly called a TIRZ.

Residents can follow this item and other upcoming municipal decisions through Better Seguin’s City Council Schedule or review meeting agendas and supporting documents through the City’s official meeting calendar.

What Is Being Proposed?

Canvas would be developed by subsidiaries of Red Oak Development Group and would encompass approximately 354 acres. About 80 acres are already inside Seguin, while the remaining property is within the city’s extraterritorial jurisdiction and would be annexed as different phases are prepared for development.

The project is expected to include:

  • Approximately 1,323 single-family homes
  • At least 10,000 square feet of commercial or retail space
  • Approximately two miles of public trail
  • A future 12-foot-wide regional shared-use path
  • Neighborhood parks and open spaces
  • Amenity centers and recreational facilities
  • New streets, water lines, wastewater facilities and drainage improvements

The development agreement would remain in effect for 15 years. During that time, its terms would generally control when they directly conflict with later City development regulations, to the extent permitted by law.

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Parks, Trails and Community Amenities

The project’s parks and trails plan identifies approximately 107 acres of parks, open space, amenity areas, detention ponds and drainage areas. However, about 37.7 acres of that total consist of detention or drainage-conveyance property, meaning the amount of traditional, usable park and open space is smaller than the headline figure may suggest.

The developer would be required to contribute at least $3 million toward public park improvements before the Phase 3 final plat is recorded. The agreement calls for approximately two miles of trail and requires the developer to select at least one major destination amenity, such as:

  • A splash pad
  • A large inclusive playscape
  • A large public pavilion

The developer must also provide at least one supporting amenity, such as pickleball courts, additional trails, an outdoor fitness area, a bicycle skills course or a smaller pavilion.

These amenities would provide real value to residents. However, the City and developer should clearly explain which parks and trails will be maintained by the homeowners association and which will eventually become a City maintenance responsibility.

How the PID Would Work

A PID allows public infrastructure to be financed through special assessments placed on property within the development. These assessments are separate from ordinary property taxes and become liens against the individual properties.

Under the proposed agreement, assessments could remain in place for as long as 30 years. Future buyers would be required to receive disclosures explaining the PID assessment before purchasing a home.

The agreement permits a maximum PID assessment equivalent to $1.304 per $100 of estimated property value. The agreement expressly acknowledges that this exceeds the $0.55 maximum contained in the City’s current PID policy.

For perspective, an equivalent rate of $1.304 per $100 represents:

Estimated home valueMaximum equivalent annual assessment
$250,000$3,260
$300,000$3,912
$350,000$4,564
$400,000$5,216

These figures illustrate the gross equivalent assessment before any applicable TIRZ credit and do not necessarily represent the final payment for a particular home.

The City could eventually authorize multiple series of PID bonds with a combined principal amount of up to $95 million. The bonds could be used for infrastructure, financing costs, reserves, administrative expenses and limited capitalized interest.

Approval of the development agreement does not automatically issue the bonds. Future bond issuances would remain subject to additional City Council action, market conditions and financial review.

How the TIRZ Would Reduce the Homeowner’s Payment

The proposed TIRZ would capture 50% of the City property-tax increment generated within the project. The City would also seek participation from Guadalupe County.

That tax increment would be used first for administration and then to reduce the annual PID assessment charged to individual properties. In practical terms, the structure works like this:

Gross PID assessment
minus TIRZ credit
equals the homeowner’s net annual PID payment

This may make the annual payment more affordable to homeowners, but it does not eliminate the underlying assessment or lien. It also means that a portion of the new property-tax revenue generated by Canvas would be redirected toward project financing rather than becoming available for the City’s general operations.

The Council memo describes this arrangement as a way to “pay down” the PID and keep the project’s overall tax burden within an acceptable range.

Residents can review Seguin’s general property-tax information through the City’s Tax Rate Information page.

Why Begin With Such a High PID?

The higher PID assessment provides security for the bonds and ensures that sufficient revenue is legally available if the development does not grow as quickly as projected or if the anticipated TIRZ revenue falls short.

The TIRZ credit is dependent upon homes being built, property values reaching projected levels and tax revenue actually being collected. Bondholders may therefore want the full PID assessment available, even when the expectation is that future tax revenue will reduce what homeowners pay each year.

However, this raises an important public-policy question:

Why not issue fewer PID bonds and establish a lower assessment from the beginning?

A lower PID could require the developer to provide more private capital, finance more infrastructure directly, defer reimbursement or reduce the amount of infrastructure financed through public mechanisms.

Better Seguin feels the City should require a clear comparison showing how much lower the PID assessment could be if the developer financed a greater portion of the project itself.

Estimated Infrastructure Costs

The development agreement estimates approximately $87.5 million in improvements:

Improvement categoryEstimated cost
Major off-site and regional improvements$11.9 million
Direct public improvements$51.8 million
Private improvements$23.8 million
Total$87.5 million

The developer would initially construct much of the infrastructure. Eligible public improvements could later be reimbursed through PID bond proceeds, assessments or TIRZ revenues.

The developer would also receive compensation of at least 4% of eligible hard construction costs when it performs construction oversight for authorized improvements.

The City’s Financial Commitments

The agreement includes several commitments by the City of Seguin.

The City plans to construct:

  • An off-site 12-inch waterline loop along SH 123 and Link Road
  • An off-site 24-inch wastewater trunk line between the development and the Cordova Lift Station

Both projects are currently anticipated to be completed in 2027.

The City would also agree to:

  • Maintain accepted public roads and wastewater infrastructure
  • Maintain certain public trails and improvements
  • Contribute 50% of eligible incremental City property-tax revenue to the TIRZ
  • Consider using eminent domain for necessary off-site easements when voluntary acquisition is unsuccessful
  • Reimburse eligible public infrastructure costs through PID or TIRZ financing

The developer would be responsible for the costs of any eminent-domain proceedings requested for the project, although qualifying costs could later be reimbursed through PID assessments.

Developer Commitments

The developer’s obligations include:

  • Constructing internal roads, utilities and drainage facilities
  • Paying approximately $1.52 million toward expansion of the Navarro Lift Station
  • Extending water and wastewater lines across Link Road
  • Constructing traffic improvements required by the project’s traffic study
  • Contributing up to $400,000 toward a teacher-housing initiative
  • Constructing at least 10,000 square feet of commercial or retail space
  • Dedicating right-of-way for the future Outer Loop and Geronimo Creek bridge project
  • Establishing a mandatory homeowners association
  • Providing two-year maintenance bonds for public infrastructure
  • Indemnifying the City against certain construction-related claims

The homeowners association would maintain private amenities, common landscaping, detention ponds, screening walls, entrance features, parking areas and other improvements not accepted for City maintenance.

The City Is Waiving a Significant Fee

Seguin’s PID policy normally provides for a Community Benefit Fee equal to 10% of net PID bond proceeds. The proposed agreement waives that fee in recognition of the parks, trails and other amenities being included in Canvas.

Because the agreement allows as much as $95 million in PID bonds, the potential value of the waiver could be substantial. The actual amount would depend upon the bonds ultimately issued and the net proceeds produced.

Better Seguin feels the Council should receive a dollar-for-dollar comparison showing:

  • The estimated value of the waived fee
  • The actual cost of the public amenities
  • Which amenities the City will maintain
  • Which amenities the HOA will maintain
  • Whether those benefits justify the full waiver

Questions That Should Be Answered

Canvas could bring new housing, commercial activity, trails, parks and infrastructure to Seguin. The project may produce a positive long-term result, but its financing is complicated and will affect future homeowners and City taxpayers for many years.

Before moving forward, Better Seguin feels residents and Council members should receive clear answers to several questions:

  1. What would the annual PID payment be on a typical Canvas home before and after the TIRZ credit?
  2. How much City property-tax revenue will be redirected over the life of the TIRZ?
  3. How much lower could the PID be if the developer contributed more private financing?
  4. What is the estimated dollar value of the waived Community Benefit Fee?
  5. What infrastructure and park-maintenance expenses will eventually become City responsibilities?
  6. What happens to homeowner payments if projected property values or TIRZ revenues fall short?
  7. How much net annual revenue will remain available for police, fire, streets and other City services?
  8. Why does the agreement allow an assessment substantially above the limit in the City’s current PID policy?

How Residents Can Participate

Residents should review the supporting documents, follow the Council agenda and communicate their questions to elected officials before final financial commitments are approved.

You can:

Responsible growth requires more than approving new homes. It requires careful planning, understandable financing, protection for future homeowners and an honest accounting of the long-term costs and benefits to the entire community.

The City Council resolution would approve the development agreement and authorize the City Manager to execute it and associated documents. The staff memo states that formal PID and TIRZ actions would return to the Council at a future date.

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Regulators Approve Plan To Manage Large-Load Requests, Including Data Centers

A new process has been approved by state regulators to expedite the connection of multiple large electricity users to the Texas power grid, including data centers

By Hunter Burney – Texas Score Card

  • A new process has been approved by state regulators to expedite the connection of multiple large electricity users to the Texas power grid, including data centers. Hunter Burney has the details.
       
  • The plan from the Public Utility Commission and Electric Reliability Council of Texas is intended to streamline the processing of more than 438,000 megawatts of large-load requests—nearly 89 percent of which are from data centers. As part of the new process, large users may be required to develop on-site self‑generation to supplement their power needs and must agree that ERCOT can limit their electricity use when transmission constraints arise.
      
  • The change follows reports that several large data centers recently failed reliability tests, raising concerns about their potential to destabilize the Texas grid. It also comes after Gov. Greg Abbott cautioned state regulators that data centers should pay their own infrastructure costs.

Presentation regarding policies and practices related to lease of the Seguin Events Complex

Presentation regarding policies and practices related to lease of the Seguin Events Complex, including but not limited to the October 2026 booking by Riverside Pride, the provision of security for events and activities at the Seguin Events Complex and elsewhere within the City of Seguin, and the ability of City Councilmembers to make statements of personal religious belief in relation to items before Council.

June 16, 2026 Seguin Council Meeting

Presentation regarding policies and practices related to lease of the Seguin Events Complex, including but not limited to the October 2026 booking by Riverside Pride, the provision of security for events and activities at the Seguin Events Complex and elsewhere within the City of Seguin, and the ability of City Councilmembers to make statements of personal religious belief in relation to items before Council. Since this agenda item will contain Attorney/Client Communications, the City Council may, by majority vote, opt to hear all or portions of this presentation in Closed Session, pursuant to Section 551.071 of the Texas Government Code (Consultation with Attorney). – Mark Kennedy, City Attorney

James Parker, Pastor of One Hope Church, spoke in opposition to the Riverside Pride event. He stated that Christians should base their beliefs and actions on what he described as the unchanging truth of God’s Word rather than cultural acceptance. He expressed concern that some churches and pastors are affirming conduct that he believes the Bible identifies as sinful, arguing that their role should instead be to preach repentance and the Gospel. Pastor Parker stated that the issue extends beyond whether individuals choose to attend the event, asserting that publicly celebrating values he believes conflict with biblical teachings has broader implications for the community. He stated that his opposition was rooted in his religious convictions that God created male and female, that marriage is between one man and one woman, and that love and truth are not enemies. He urged the City Council to base its decision on biblical principles rather than societal or cultural pressures. Joseph Brown, a member of One Hope Church, presented a petition containing approximately 100 signatures from individuals opposing the Riverside Pride event. He stated that he believes the event celebrates sexual behavior and promotes a definition of love that is based on individual preference rather than moral or religious principles. Mr. Brown discussed his interpretation of the constitutional principle of separation of church and state, stating that it was intended to prevent government interference with religion rather than remove religious principles from government. He further expressed his belief that strong families are foundational to healthy communities and voiced concerns that the event promotes values inconsistent with his religious convictions.

City Attorney Mark Kennedy stated that he was asked 3 things; why does events that are objectionable happen; how does the City address added security needs and who bares the cost of those needs; and what are the implications of a councilmember expressing their religious beliefs. He said that typically these types of explanations are done in Closed Session and are protected under Attorney-Client privilege. City Council gave consensus to continue the discussion in Open Session and to waive their Attorney-Client privilege. City Attorney Kennedy explained the difference between the Non-Public Forum, Limited Public Forum, Designated Public Form, Traditional Public Form because each one is awarded different 1st Amendment protection. He explained that any regulation should be content neutral, not based on the content of speakers words, unless it incites violence or violates he law. He also shared that assumptions being made about SB12 may not be correct. He informed that the coordinators of the event have indicated that SB12 would not be violated. Mr. Kennedy reviewed the provisions of Senate Bill 12, enacted in 2023, which amended the Texas Health and Safety Code, Penal Code, and Local Government Code. He explained that the law prohibits sexually oriented performances on public property, defining such performances as those involving nudity or sexual conduct intended to appeal to a prurient interest in sex. He stated that a drag performance is not automatically considered a sexually oriented performance under the law and provided examples of performances involving cross-dressing, such as Shakespearean productions and school pep rally skits, that would not violate the statute. He further noted that the event organizers had indicated that the event would be limited to individuals 18 years of age and older; however, regardless of the audience, any performance conducted on public property must comply with the requirements of Senate Bill 12. Addressing security, Mr. Kennedy explained that the City has historically provided law enforcement support for spontaneous First Amendment activities, such as the George Floyd protests and the No Kings rally, without charging organizers because those events did not require reservations for the use of public space. He stated that this practice is consistent with the City’s historical approach to First Amendment activities. Regarding the Riverside Pride event, he stated that organizers had indicated they would hire and pay for private security personnel. He further explained that, under normal procedures, the City would assign additional law enforcement officers as necessary to maintain public safety and separate opposing groups if protests occurred. He also discussed the concept of the “heckler’s veto,” explaining that government generally may not restrict or terminate protected speech because of the anticipated reaction of those who oppose the event. Mr. Kennedy also addressed questions concerning councilmembers expressing their religious beliefs during Council meetings. He stated that elected officials inevitably bring their personal beliefs and values into public service; however, they also take an oath to uphold the Constitution and the laws of the United States and the State of Texas. He explained that comments made during Council meetings should generally be germane to the posted agenda item, while councilmembers remain free to express personal opinions in other appropriate forums, including social media. He advised that when the law clearly governs an issue, councilmembers must consider their legal obligations when voting, regardless of personal beliefs. Mr. Kennedy further explained that there was no action currently before the Council because the facility lease agreement had been executed administratively in the normal course of business and did not require City Council approval. Councilmember Carlsson stated that he appreciated hearing from the members of the public who had spoken and asked whether the lease agreement would come before the Council for a vote. Mr. Kennedy responded that the agreement had been execute Councilmember Gaytan asked whether the matter could nonetheless be brought before the City Council for consideration. Mr. Kennedy replied that the lease had already been executed and that any future Council action would involve consideration of terminating the agreement. Councilmember Gaytan then asked what legal grounds would exist to reverse the decision. Mr. Kennedy responded that if evidence demonstrated a violation of Senate Bill 12 or another applicable law, staff would notify the City Manager and the matter could be brought forward for appropriate consideration. He added that, based on the information currently available, he had not heard any facts indicating that such a violation had occurred. Councilmember Lievens thanked everyone who participated in the meeting and expressed appreciation for those who took the time to publicly share their views during a difficult and controversial discussion. Councilmember Eveld stated that statements regarding religious beliefs had been made several times during the discussion. He emphasized that while his personal religious convictions are important to him, they do not authorize him to violate the law or disregard the terms of a valid lease agreement. He referenced comments made by a member of the public describing the issue as a spiritual matter and shared his concerns regarding messages that he believes could affect young people struggling with gender identity. Councilmember Eveld stated that, while the religious issues involved are significant to him personally, he remains obligated to follow the law in carrying out his duties as an elected official.

Representative Alan Schoolcraft on opposition to PrideFest


Posted on the Representatives X account. We need more strong willed elected officials to follow suit.

I have been in contact with the Mayor and the city council members of Seguin regarding the Riverside Pride Fest scheduled to take place at the Seguin Events Complex on October 31, 2026. They are currently looking for legal avenues to address this and I have offered my full support to stop this vulgar event

Link to post: https://x.com/Schoolcraft4TX/status/2057162528145465535

Rep. Alan Schoolcraft

@Schoolcraft4TX

I have been in contact with the Mayor and the city council members of Seguin regarding the Riverside Pride Fest scheduled to take place at the Seguin Events Complex on October 31, 2026. They are currently looking for legal avenues to address this and I have offered my full support to stop this vulgar event.

6:12 PM · May 20, 2026147Views