San Angelo: Next Data Center Boom

Chamber of Commerce executive Mike Berry spoke with Tammy Ramos from KLST on the potential of incoming data centers.  Berry noted they could flip San Angelo's taxation from primarily residential to business dominated.  

Mike cited area draws for data center location include excess power availability, abundant land (cheaply priced), proximity to natural gas, onsite solar generation, as well as state tax incentives.

Berry shared that City and County leaders are focused on adding infrastructure to accommodate this growth.  The level of capital investment represents billions of dollars.  Tax revenue comes from added business investment.

Berry noted one transaction could "potentially flip the ratio and take the burden of property taxes off the resident and push it back over to the business side."

Tom Green County Commissioners Court and San Angelo's City Council have taken the lesser taxation approach to date with several recent economic development projects.  The City of San Angelo granted Peregrine Energy's Zeppelin Battery Storage Farm an 85% tax break for three years.  Tom Green County gave Doral Renewables LLC Cold Creek Solar project a significant tax abatement via a payment in lieu of taxes arrangement.

At the time of the Zeppelin tax break the City needed funds to help retirees on their city sponsored health insurance.  Council chose to add two new deductibles to loyal longtime employees, many on minimal retirement incomes.

Residents don't have to look far to see San Angelo's future, only 86 miles north in Abilene.  Lancium or Project Ludacris started as a bitcoin mining, cheap energy arbitrage play but got swallowed by AI and was "the first Stargate" featured at President Trump's AI event.

Big Country Homepage reported:

Taylor County commissioners agreed to amend a tax abatement for the Lancium project. This abatement will allow Lancium to forgo paying taxes on 80% of their property value to Taylor County for the next 10 years  

Once the first two buildings are occupied and the Lancium project is underway – Taylor County will see $4 million to $4.5 million a year in revenue.

That's nothing to scoff at but San Angelo's annual budget is much larger according to the city website:

The City of San Angelo is projecting $261.79 million of revenue in FY2025

San Angelo Live reported in 2022:

Residential property taxpayers comprise 71 percent of property tax revenue generated. Commercial property generates only 14 percent of money to the City general revenue fund via property taxes. The remaining 15 percent of property tax revenue comes from taxable personal property, inventory, and business fixtures.

Skybox Data Centers is coming and Cloudnium believes the next data center boom will occur in San Angelo (where they already have a presence):

San Angelo, Texas, is poised to become the next major data center boom location, thanks to its unique advantages and the visionary leadership of Cloudnium.net. With its central location, business-friendly environment, robust infrastructure, and emerging tech ecosystem, San Angelo offers unparalleled opportunities for data center investment and growth. As Cloudnium.net continues to lead the way, the city is set to become a key player in the global data center landscape, driving economic growth and innovation for years to come.

Visionary leadership of Cloudnium....how many fingers are in this pie?  

City retirees already felt the mis-prioritization of recent high-tech tax abatements.  Who's next to get short shrift so Lancium, Blackstone, Crusoe, Blue Owl Capital, Microsoft, OpenAI and Primary Digital Infrastructure can make big money?

TIRZ Funds Bars, Bans Churches

San Angelo City Council finally put an end to potential TIRZ funding for nonprofit organizations in the North zone.  It has never been allowed in the South TIRZ zone.  Mayor elect Tom Thompson made the motion and it passed 6-1.  Councilperson Lucy Gonzales, the lone "Nay vote", said the issue has been going on for eight years and a nonprofit has never received TIRZ funding. 

The City Attorney informed Council it will need to pass ordinance changes to comply with Thompson's successful motion.   Next up on the agenda were three TIRZ projects, two bars and one retail establishment.

Voters approved a $41.6 million bond for Coliseum improvements for a nonprofit Rodeo Association.  

SASSRA will execute a “Chapter 380” agreement required for the bond process. SASSRA will assume maintenance and operations of the Coliseum. At that time, the operation of the Coliseum will be transferred into the existing lease agreement between COSA and SASSRA.

City Council had to approve the item being on the ballot.

The City of San Angelo gave $2 million to nonprofit Angelo State University for the pilot training facility.  It did so via the Development Corporation.

San Angelo's City Council has funneled big money to major nonprofits.  Yesterday it turned down staff's recommendation to allow nonprofits to access a portion of North TIRZ funding.  It did so permanently and without apology.

Animal Taskforce to Present to Council

City Manager Daniel Valenzuela's Animal Services & Control Taskforce, formed in January, will present their findings to City Council at the May 6, 2025 meeting.  

Vallenzuela formed the taskforce to "address critical issues related to animal services and control. The initiative was authorized by City Council and aims to develop effective, objective solutions to prioritize public health, safety and animal welfare."

The Animal Taskforce report comes during a time of flux for Council.  This will be Mayor Brenda Gunter's last meeting.  Councilman Tom Thompson won this weekend's Mayoral election and will be installed at a future Council meeting as will winners of two of the three open Council seats.  One Council position will go to a runoff election, scheduled for June.

The taskforce report comes as the Animal Shelter Advisory Committee increased its meeting frequency and is tackling more substantive issues.  

The Taskforce is addressing issues created by the shelter's adoption of "best practices" from American Pets Alive and Best Friends Animal Society.  Both groups reduce shelter intake without a focus on spay/neuter, effectively endorsing a "let them roam unaltered" policy.  

Years of choking off shelter intake gave San Angelo third world levels of loose animals.  City staff noted the increase in "animal on people" bites and the Taskforce was formed in the aftermath of the horrific dog attack on Animal Control Officer Floyd Bias, who has physically healed and returned to work.

Best Friends Animal Society has a parallel effort going which could result in a public-private partnership proposal for City Council.  If such a proposal were in the works, that could explain a portion of the two year delay in renovating the current shelter building.  Council approved borrowing funds for this urgent need in early 2023.

It will be interesting to hear the Taskfoce's analysis and recommendations, as well as to see their reception from key players on the current and evolving City Council, city leadership, an invigorated Animal Shelter Advisory Committee, Animal Services staff and the general public.  

Everyone do their best to listen, incorporate the information shared and breath deeply several times.  It's an opportunity to hear from thoughtful, knowledgeable leaders on ways to address a growing, heretofore intractable problem for both people and unhoused pets. 

Update 5-7-25:  Taskforce Chair Judge Allen Gilbert led the presentation at City Council and all members participated in presenting recommendations.  A new City Council under Mayor Tom Thompson will consider the Taskforce's recommendations during the upcoming budget process.  

Update 5-8-25:  ConchoValleyHomepage ran a story on the Taskforce's presentation to Council.

Trickle Down: Elections, Projects & Jobs (?)

Commerce Secretary Howard Lutnick said bitcoin miners would locate above natural gas fields, using the flared gas to generate power.  He also said government needed to assist in the development of such infrastructure (buildings and associated power plant).    

Lutnik's son Howard has a major role in a new bitcoin company, while the Trump boys AI venture switched over to bitcoin mining, American Bitcoin.   The Sons of Monarchy expect concierge service.

Both the City of San Angelo and Tom Green County have been very accommodating to new energy sources (solar, battery storage) and I expect the same to happen with Skybox Data Centers.  So far, the city and county have given significant tax breaks to projects providing zero to just a few jobs.  That likely will continue.

So who would facilitate development in our region?  It would have to be someone with access to resources.  That usually means a municipality, given the sparseness of county government in our region.  City managers and Mayors have development staff, resources and budgets.  

The City of San Angelo holds elections next week for the Mayor slot and three City Council seats. 

Current City Councilman Tom Thompson is running for Mayor on economic development.  His website states:

Economic development encompasses housing, commercial growth, and public-private partnerships, all aimed at sustainable tax base expansion. 

We must prioritize welcoming new opportunities and streamlining development processes. Collaborative efforts with the Chamber of Commerce and Direct Marketing Organization are underway, and over $40 million in permitted commercial expansions and improvements are scheduled. We will pursue public-private partnerships to accelerate economic development and ensure tangible benefits for our community.

Thompson did not mention Council's strange conflict with the Chamber of Commerce's Walt Koenig or their heavy handed treatment of John Bariou, who did much for the Economic Development Board during his multiple stints.  Bariou is running for City Council District #2 (Thompson's current seat).

Candidate Thompson pulled a page from former Mayor Alvin New's playbook in targeting area nonprofits as non-taxpayers.  He should recognize the city fits that bill, as does his prior employer for ten years, the San Angelo Rodeo Association.

Council left millions on the tax table (Peregrine Energy Battery Storage Farm) before foisting two new health insurance co-pays on city retirees, many struggling on a miniscule fixed income.  

Thompson said "economic development is crucial for maintaining and lowering tax rates."  How about applying those rates to new commercial entities, especially those of the jobless variety.

Update 5-3-25:  Tom Thompson has been elected Mayor of San Angelo.

Update 5-7-25:  Council passed the sale of land to Skybox Data Centers in their May 6th meeting.

Tom Thompson's Public Safety Push: Animals Not Included

San Angelo Mayoral Candidate and current Council member Tom Thompson is focused on public safety, at least the departments that don't involve stray animals.  Police and Fire need to expand to serve the community as it grows.  The power vested in the Mayor is chairing City Council meetings and hiring the City Manager.  Should Thompson win, he would need the majority of Council to direct staff to prioritize the development of Police and Fire Departments.  

Animal Services is the third wheel in public safety.  I suggested in June 2022 that City Council consider Animal Services in their strategic planning sessions, providing Council members data from public information requests.  That did not happen, even though the suggestion fit with Thompson's "need to keep pace" public safety vision.

Just days ago, Animal Shelter contractor Concho Valley PAWS sponsored an animal focused candidate forum which Thompson could not attend due to prior commitments.  He did however send a written statement.  

PAWS served as the shelter's adoption coordinator and veterinary services provider for at least seven years.  PAWS has been there for the various crises, including the roach infestation/horrific hoarding conditions (September 2022).   Tom Thompson instructed staff in its aftermath to implement a hard cap on shelter capacity (November 2022).  He did so during a City Council meeting informational agenda item, one that required no vote.  

Thompson's letter cited funds set aside for Animal Shelter renovations, which Council clearly stated just gets the existing building to a functional state and does not take into account people or pet population growth.  

Should a candidate be proud of approving borrowing $1.6 million in early 2023 for a project that is yet to be bid over two years later?  

The city already had a $345,000 capital budget for shelter improvements when Council approved the first short term debt borrowing.  That makes up the majority of Thompson's "$400,000 in sales tax" money for the project.  

Tom Thompson has a record on public safety.  He's lucky animals can't vote.  

Update 4-29-25:

Leadership grounded in facts, absolutely.

Update 5-2-25:  The special Animal Services Taskforce will present their analysis and findings to City Council at their next meeting to be held on May 6, 2025.

Update 5-3-25:  Tom Thompson has been elected Mayor of San Angelo.

Update 5-14-25:  The Treasurer for Mayor Thompson's victory is former City Clerk Julia Antilley.  Mrs. Antilley was the force behind limiting citizen access to public information to thirty six hours of staff time in the fiscal year.  

Shelter Renovations: Projected Completion February 2026

City staff updated the Animal Shelter Advisory Committee on the status of shelter renovations.  San Angelo City Council approved borrowing $2 million in early 2023 as the need for the project was urgent.  

Shelter Chief Morgan Chegwidden referenced that borrowing in her ASAC presentation.  Does that mean the city paid interest over the last two years for a project that is still in the engineering phase?

Morgan shared there would no commercial laundry equipment as the city had difficulty arranging maintenance of those washers and dryers.  She said there would be a cost associated with additional electric service due to AEP's need to add capacity to ensure the new HVAC system could operate properly.

Construction Manager Al Torres indicated the engineers need three months to finish the updated electrical and he expects City Council to approve the project in their first meeting in August with construction starting that month.  If that schedule holds, it would be two years since the City paid back the first bond intended to fund this project.  

Torres expects shelter renovations to be complete in February 2026, three full years after City Council approved funding this urgently needed project.

Staff indicated there have been issues with the temporary shelter and getting that building ready.  Torres shared that the temporary facility would be finished in August, just in time for renovations to start on the existing shelter building.  He is working with a Buyboard contractor on the temporary shelter plans.  

Morgan stated that shelter staff is not sufficient to do enrichment (supervise play yards) at the main shelter and did not see availability to add enrichment at the temporary shelter site.  Later, Morgan revealed that shelter pets "do not go outside" under current facility operations.

It remains to be seen what comes before City Council as the main shelter renovation planning continues and the temporary shelter is made ready.  Many Council positions will change after the May election is concluded.  Departing Council members heard repeated missed timelines.  Hopefully, that won't be the case for newly installed officials.

Update 5-2-25:  The special Animal Services Taskforce will present their analysis and findings to City Council at their next meeting to be held on May 6, 2025.

City of San Angelo to Subsidize Railport Outside City Limits

City Council will consider a two step move to facilitate the further development of the San Angelo Railport.  Step one is to sell city land to the Development Corporation for $1.4 million.  Step two is for Wisener Holdings, LLC dba South Plains Lamesa Rail Road, to pay $1 million in cash and for the remaining $400,000 subject to repayment under an economic development agreement.  

Council's background packet states:

COSADC will carry a loan for $400,000 payable over 5 years at $80,000 per year. Loan payments will be offset at a rate of 50% for capital investment in infrastructure improvements to the property.

If the Railport owner spends $160,000 per year on capital improvements over the next five years the city would forgive the $400,000 loan.   What are Weisner Holding's plans regarding capital improvements?  Surely, they have a budget for such.

The Railport is outside City limits so there are no taxes received by the City of San Angelo for the project.  City staff's background information makes no projections as the number of jobs added, a key goal of the Development Corporation.

This could be the second major subsidy for a capital project that provides no discernable direct jobs.  Council approved an 85% three year tax break worth $2.2 million to Zeppelin Battery Storage.  At least that project is within City limits.  

The item is included in the Consent Agenda, which means a member of Council needs to request it be moved to the Regular Agenda for the public to receive a staff presentation.  Even with such a request, a presentation is not assured.  

Hopefully, an astute member of City Council will pull the item to clarify who is actually paying closing costs.  The following is stated in one place:

The purchase price from the City will be the approximate appraised value of $1,400,000 plus closing costs. The sale price to SPLRR will be $1,400,000 plus closing costs.

Later the packet states:

Net cost is $400,000 plus closing costs.

In the end, who is paying those closing costs?

Why should the public be concerned?  Because not long ago Council required City retirees to pay an additional $500 annual deductible and an additional $250 co-pay for outpatient surgery.  

Two weeks later Council approved the initial tax abatement request from Peregrine Energy for the Zeppelin project.  That abatement was finalized last meeting.

West Texas is front and center for energy and projects requiring energy.  Council approved a letter of intent to sell land close to the Railport to Skybox Data Centers.  A new data center has the potential to create jobs.

The three new projects, Battery Port, Rail Port (expansion) and Data Port are in close proximity.  It remains to be seen how much citizens will subsidize Skybox's data center, but the first two total $2.6 million.  City retirees may be concerned about giveaways that could have been used to keep their coverage stable with no increases in insurance costs.

Update 3-31-25:  The Development Corporation approved the Railport land subsidy and indicated the operator "will spend alot more than $400,000 on improvements."  That left the impression that the interest free loan will be forgiven in total.

Update 4-1-25:  The $400,000 subsidy passed alongside other items in the Consent Agenda.

Update 4-17-25:  City Council approved a budget amendment of $1.4 million for the Development Corporation to purchase the land from the city.

Update 5-7-25:  Council passed the sale of land to Skybox Data Centers in their May 6th meeting.

Bite Investigations Continue to Rise

The Animal Shelter Advisory Committee met today and shared statistics for the first two months of 2025.  Bite investigations are included on a slide relative to Animal Control cases (not in the background packet).  I went back to the January 2025 video and added statistics for the last three months of 2024.  Animal Control Officer Floyd Bias was attacked by dogs in early November of last year and recently returned to work.

Animal to Human bites rose significantly last fiscal year.  

The number of bites since the 2024 fiscal year end is 180 (over a five month period) or 36 bites per month.  Annualized that number would be 432 and would be off the chart pictured above.

Public safety has been a concern in other communities that have shut off shelter intake under Best Friends Animal Society & American Pets Alive policies.  "Let them roam unaltered" has been the result from implementing BFAS and APA practices.  

Last month San Angelo City Manager Daniel Valenzuela reversed shelter "shut off" in the interest of public safety.

Hopefully, efforts can be undertaken to reduce the number of horrific dog attacks experienced by the city's most vulnerable.  

Shelter Chief Morgan Chegwidden informed the ASAC that 76% of dog to human bites result from unaltered male dogs.  

That seems like a good place to start.

Update:  Morgan said "88% of pets coming into the shelter are unaltered."  Managed intake of owned and unowned pets started in 2019.   Six years of BFAS and APA, neither of which prioritize spay/neuter, drove "let them unaltered", which turned San Angelo city streets into third world levels of loose dogs.  A better statistic to share is how many pets leave the shelter fixed, spayed-neutered. 

ASAC committee members asked about the status of shelter renovations/updates and the projected use of the temporary facility.  Funds were received in April 2023 to pay for shelter updates but the project is yet to be bid.

Near the end of the meeting Morgan said that "most bite investigations are animal to animal."  That means the last five months of data has a wider scope than the animal to human bite information in the graph.  The two are not directly comparable.

It can be a challenge monitoring a measure given staff's history of changing the measure's definition/calculation or shifting presentation content over time.  The good news is the city has the data and a strong public communications department.  It can publish results in picture format at any time for the public to view.

Update 5-2-25:  The special Animal Services Taskforce will present their analysis and findings to City Council at their next meeting to be held on May 6, 2025.

Zeppelin Tax Break

San Angelo City Council will consider approving an 85% tax break for three years for the Zeppelin Energy Storage project on 28th Street.  A private equity firm, Peregrine Energy, is behind the project.

The tax abatement agreement has a start date and an end date.  

“Effective Date” shall mean the day after the later of the full execution hereof by all of the Parties. 

“Expiration Date” shall mean March 1 of the calendar year following the expiration of the last of the tax abatements provided herein.

There is no ten year term with a commitment by Peregrine to pay $4.1 million for years 4-10.  Future taxes will be based on value of the asset in year four.  

The IRS allows accelerated depreciation (five years) for some energy projects: 

Owners of qualified facilities, property and energy storage technology placed into service after December 31, 2024, may be eligible for the 5-year MACRS depreciation deduction.

Council persons should recognize the projected ten year tax revenue may not materialize as they consider offering the Zeppelin Battery Storage project a massive 85% three year tax break.  

City Council may wish to consider other obligations such as retiree healthcare.  Last year Council decreased health benefits for retirees, impacting those with the least ability to pay greater "out of pocket" costs.  They may desire to reverse that change with Zeppelin tax proceeds.   

Update 3-18-25:  City Council approved the tax abatement 7-0 in today's meeting.  There was no public comment.  Mayor Brenda Gunter asked for the abatement number.  Assistant City Manager Michael Dane said it was around $2.2 million.

Best Friends Bigwig Brings Game

Best Friends Animal Society's Senior Director of National Programs Brent Toellner met with City Manager Daniel Valenzuela last week.  Their meeting occurred the day after a contentious public comment session at City Council.  Numerous Concho Valley PAWS supporters opposed the recent change to open up shelter intake in an effort to get loose dogs off city streets.  

Toellner referred to the change:

...pets won't be denied entry into the shelter and that there should be no one told to drop a dog back on the streets or to just "let them roam". 

This is all fair policy and supported by Best Friends Animal Society and proven best practice.

The problem is Best Friends has been advising the shelter all along.   In their numerous site visits and other consultations there has been no evidence that BFAS found any concerns with the shelter's actual practice, "Let them roam unaltered (and hope no one is harmed)."

Also, Toellner recommended the parties responsible for shelter management for the last seven years work on "eliminating public confusion," caused by BFAS partner Concho Valley PAWS.

The City of San Angelo can be quite recalcitrant, sticking to its dysfunctional ways long past any reasonable call for change.

The Best Friends gang brings slick talk and bags of money.  Imagine sticking to your bureaucratic guns (no service for you!) and getting a new pot of money (or the chance to jettison a significant pesky expense).  That may be in our near future.

An Animal Taskforce is working in parallel track to the Shelter-BFAS-PAWS behind the scene machinations.  The Taskforce is addressing the problems caused that very collaboration (which shut off intake, failed to enforce pet ordinances and failed to ensure citizens microchipped or spayed/neutered their pets).

This recent Best Friends contact with its "other follow up items" could be concerning. Remain aware for what city leaders do next.  Will it be an RFP, the acceptance of a proposal or a letter of intent?  Time will reveal.

Update 3-14-25:  BFAS has a playbook and the game in San Angelo is well into the second half.  For a reminder of what Best Friends did in the first half:

Update 5-2-25: The special Animal Services Taskforce will present their analysis and findings to City Council at their next meeting to be held on May 6, 2025.

Rest assured the BFAS conflagration that has been in place for seven years has a contra-plan that levers their political connections.  I expect it will involve privatization of the shelter and continuation of the system's failure to properly address San Angelo's third world level of street animals.  Potential future Mayor and long term thinker Tom Thompson may or may not already be on board.  His 2017 run for City Council was for the future Coliseum upgrade for the Rodeo Association.  His Council service runs nearly simultaneously with the City's walk back on shelter intake, only recently reversed in stated policy.

Tax Abatement for $120 million Solar Plus Battery LLC

Tom Green County Commissioners Court meets tomorrow and has a proposed tax abatement agreement on the agenda.  Doral Renewables LLC is behind the $120 million Cold Creek Solar project.

The County designated the "Cold Creek Solar reinvestment zone Number 1" in their February 11, 2025 meeting.

A similar one, two move occurred in March-April 2024 for the Peregrine Energy Solutions LLC battery storage project projected at $160 million.  The City of San Angelo granted tax abatement as well but refers to the project as Zeppelin.

The City of San Angelo granted approval for a letter of intent to sell 350 acres of land to Skybox Data Centers.  That tax abatement should be significant as well.  

City and County employees have worked at the low end wage wise for decades.  That unfortunate feature of our local economy will likely continue, unless elected officials do otherwise.  The big money is pouring in.   County Commissioners and City Council may just abate it away.

Update 3-11-25:  Tax abatement passed with little discussion and no official presentation.  A representative from Cold Creek LLC said a few words about the project, referencing information Commissioners had already received.  After the vote one Commissioner commented that this is the fourth solar farm in the county and he thought they'd be lucky to get two.  The tax abatement amount was not shared with the public.

Skybox Data Centers Coming Soon!

San Angelo City Council exited closed session and addressed the sale of over 350 acres of city owned land to Sky Box Data Centers LLC.  Council approved City Manager Daniel Valenzuela's completing a letter of intent to sell that land for the specified price of $50,000 per acre.  

In January Council approved item "AI" in close proximity to President Trump & OpenAI announcing the giant "Stargate AI" project and corresponding investment.  I wondered if Stargate was headed here.

It may or may not be Stargate AI but Council approved the intent to sell 350 acres to Skybox Data Centers for $17.5 million.  Skybox helps "clients curate their best data center solution."

There's more to come given these projects need infrastructure, possibly city funded, and are only feasible with sizeable tax abatements.  Chamber of Commerce Vice President Michael Looney thanked Council today for approving the item.  He knows client expectations better than anyone and someday a few of those will be shared (the ones requiring public funding).  Stay tuned.

Update 4-29-25:  Commerce Secretary Howard Lutnick, whose son has a major role in a new bitcoiin mining company,  said in an interview that bitcoin miners would locate atop natural gas fields.  Trump's elder sons switched from AI to bitcoin with their American Bitcoin.  Looks like the Sons of Monarchy are going to be our new neighbors.

Update 5-7-25:  Council passed the sale of land to Skybox Data Centers in their May 6th meeting.

Update 6-1-25: Concho Valley Homepage ran a video segment on data centers coming to San Angelo. Lancium Abilene is well on its way to eight buildings and 1.4 GW. That could power over 400,000 homes. Crusoe Energy, Primary Digital Infrastructure and Blue Owl Capital are involved in adding buildings on Lancium's site.

Animal Shelter Opens Intake After Five Years

Nearly six years ago the City of San Angelo Animal Shelter implemented managed intake for owned pets.  Months later they added strays or unowned pets.  Both of these changes made it harder for citizens to surrender their pet or a found stray to the shelter.  

In November 2022 that became near impossible, after Council put a hard cap on shelter capacity.  

For fiscal year ended 2024 the Shelter accepted 22 dogs for owner surrender, less than two per month.  

San Angelo's street dog population exploded due to the cumulative impact of these changes combined with irresponsible pet owners.  Dog on dog attacks rose.  Dog and dog pack attacks increased, harming children, the disabled and elderly on city streets.  

Note the city's press release on the change starts with:

To improve public safety and address the number of stray dogs....

Concho Valley PAWS mobilized their PR machine, expressing concern over the euthanasia of dogs for space.  

Five years of the City's "let them roam unaltered" means San Angelo has a surplus of loose animals.  CVPAWS has been a close partner of the shelter that whole period.  

It took years of inattention to the public's needs for the problem to grow so severe and for residents to be attacked by dogs with increasing frequency.  Protecting human life is more important, especially those most vulnerable.   

PAWS has ready access to the media and a history of political influence.  Citizens attacked by a roaming dog(s) rarely wish to share that story.  Council members know because concerned parents, employers and neighbors contact them, frequently sharing their outrage.

In November 2024 a City Animal Control Officer was brutally attacked and mauled.  Thank God, he survived.  That event got Council's attention.  If it could happen to a professional what chance would a child or elderly person have?  

The owner of the dogs that attacked the Officer had been cited for having too many pets.  Social media reports indicate the owner tried to surrender dogs to the shelter but were refused.

Leaving loose, unaltered dogs on the streets has not worked for San Angelo.  There's a way to get to "No Kill" and its not through slick fundraising, slogans or exhortations. It would have been wonderful if every dog that entered the shelter in the last five years left spayed/neutered, went to the home of a responsible pet owner with a well fenced yard, and never got out of their enclosure or off their leash while on a walk.  That did not happen. 

San Angelo's Animal Shelter has to deal with the bad hand it helped create.  Having its adoption/veterinary service partner adhere to an unsuccessful "No Kill" strategy that harms vulnerable citizens should tell City Council something.  They get to decide what that is.

Update 3-1-25:  PAWS PR arm is going into overdrive with a protest planning meeting scheduled for Monday evening.  Supporters will plan their messages for public comment at Tuesday's Council meeting.  I haven't seen where dog bite victims and their families are getting together to coordinate testimony.  Children, the disabled and the elderly aren't quite as politically nimble as PAWS.

Update 3-4-25:  PAWS supporters took up most of the seats at City Council's meeting this morning.  City Manager Daniel Valenzuela was clear that he opened intake for public safety purposes and to address San Angelo's loose dog problem.  PAWS Director Jenie Wilson and PAWS supporters did not agree with Valenzuela's assessment or action.  Wilson characterized the situation as "stirred up by several people."  However, Animal Services data on "animal to people bites" indicates otherwise.  Council members know full well the complaints they regularly receive from citizens regarding dog packs and dangerous dogs in their neighborhoods.

Update 3-5-25:  PAWS calls the shelter actually serving citizens vs. large, long stay, difficult to adopt shelter dogs "catch and kill."  Concho Valley Homepage ran a story on the campaign, while San Angelo Live published PAWS Director Jenie Wilson's letter.

Update 3-13-25:  Best Friends Animal Society's Senior Director of National Programs Brent Toellner attended the contentious City Council meeting and met with City Manager Daniel Valenzuela later that week.

No Sign of Shelter Renovation Bidding

Two years ago San Angelo City Council approved borrowing $2 million to fund two capital projects. Animal Shelter renovation and street light installation.  

The street light went in but shelter renovations are yet to even go out for bid.  City staff missed date after date after date it represented to Council.  

Mayor Brenda Gunter asked staff for an update at a recent Council meeting.  So far there is no sign of a public response.

Update 3-16-25:  The current Capital Improvement Plan has a 4-2-24 start date for Animal Shelter Rehabilitation.

It's One of Many

The City of San Angelo has designed and implemented Animal Services policies and practices that are maddening.  Responsible people are treated like criminals and irresponsible pet owners have a perpetual free pass.

This sleight of hand is accomplished with a cadre of partners.

The failure to accept loose dogs has had significant public health impact with large increases in "animal to people" bites and "dog on dog" attacks.  Those attacks severely harmed children, the disabled and even a trained Animal Control Officer.  

This is why there is an Animal Services & Control Taskforce.  Six years of "managed intake" turned into "no intake."  The shelter accepted 22 dogs via owner surrender in FY 24.  In 2016 the Animal Shelter accepted 2,920 owner surrenders of all types.  The difference (over eight years) did not all end up on city streets, but many did.  

You couldn't design a better system to "not serve" citizens.  And the Shelter Chief and City Council state otherwise.

Update 2-24-25:  Most members of City Council have been highly complimentary of shelter management and staff, ignoring the many voices that have expressed concerns over the years.  Most, but not all....

Update 2-26-25:  San Angelo is not the only community to be hoodwinked by BFAS, American Pets Alive and their local partner CVPAWS.  We do have six years of data, much of that in various posts on this blog.

El Paso saw a significant rise in stray animals, which caused public safety risks, health concerns, and stretched local animal services thin. As Ron Comeau, director of Lucy’s Dream Rescue, put it, “It’s going to take El Paso years to recover from Best Friends’ programs.”

Ditto for San Angelo... 

Tom Thompson's Two Goals in May Election

San Angelo City Councilman Tom Thompson said at the last Council meeting in regard to a $41.7 million Coliseum bond project that will go before voters in May.

Justin, I think there's some key things here that are in the elements of the presentation that the Association does, and I have institutional knowledge working with y'all for ten years, taking this position in 2017 to be on Council, a lot of the goal of that was just for this one decision today.

Thompson went on to ask about skyboxes, suites and meeting rooms.  He talked about the foundation which provides scholarships to rodeo/stock show related youth.

There are many positives about the planned Coliseum improvements and voters will decide on the proposed bond.  

Voters will also decide on Thompson's replacement and San Angelo's next mayor.  Hopefully, Mr. Thompson will highlight any similar goals for his Mayoral candidacy.

As for Thompson's replacement it's John Bariou, once the face of San Angelo economic development, vs. Joe Self, Jr.  Thompson took over Marty Self's seat in 2017.  Both Marty and Joe Jr. work for Automatic Fire Protection.  The amount of business the city did with AFP became an issue for Marty during his time on Council.  I imagine there will be significant fire suppression work in the Coliseum renovation, but that will be dealt with at the appropriate time, hopefully.

There's a lot of chess pieces on the move given how hot West Texas is for economic development.  San Angelo is in the sweet spot for oil/gas, renewable energy (wind/solar/battery storage) and not far from major crypto/data center activity.  

Bariou has a history of doing economic development work on the up and up.  That may or may not be wanted by our local powers that be.  

Voters will decide many things come May.  Although I live in a neighboring county, I look forward to learning more about the candidates and the two bond issues, SAISD and Coliseum expansion/renovation.  Twenty five years of living there leaves a mark, mostly the good kind.

Shelter-PAWS-Best Friends Alliance Latest Move

The San Angelo Animal Shelter partners with Concho Valley PAWS but has "no official relationship" with Best Friends Animal Society (BFAS).  So why then would BFAS pay other local animal rescues to take dogs from the city's perennially overcrowded Animal Shelter?

Concho Valley Homepage reported:

San Angelo Animal Shelter is full and offering incentives through the Best Friends Animal Society Network of animal welfare organizations for rescue agencies who help rehome dogs. 

According to a press release from Concho Valley PAWS, this is an effort to avoid euthanasia.  

“Best Friends Animal Society is offering a $150 stipend per dog or $300 per litter of puppies to 501(c)3 organizations that transfer dogs from the San Angelo Animal Shelter for adoption,” said Concho Valley PAWS.   

The offer is valid until 40 animals are transferred out or until Feb. 28.

This offer comes as City Council seeks advice from an Animal Crisis Task Force, formed in the aftermath of the horrific mauling of a city Animal Control Officer.  The official name of the advisory group is Animal Services & Control Task Force.  Several area rescues have representatives on that task force.  Concho Valley PAWS and BFAS do not have representatives and both are highly skilled in managing the media and public opinion.

My guess is this "offer" is part of a sophisticated media strategy hatched by leaders of the three organizations, Shelter Chief Morgan Chegwidden, PAWS Executive Director Jenie Wilson and BFAS.  Stay tuned for their media rollout intended to coincide with the release of the Task Force recommendations.

It took over seven years for the City's lack of ordinance enforcement, inattention to spay/neuter shelter compliance and choking off pet intake for San Angelo streets to reach its current loose dog crisis.  The groups that gave us "let them roam unaltered" are the three in the press release.   Keep that in the forefront of your mind as City Council considers a new path forward. 

Update 2-8-25:  The City of San Angelo is not alone as other cities experienced similar outcomes under the tutelage of BFAS.

Update 4-11-25:  San Angelo Live reported on the conviction of James Michael Wilson, the former husband of PAWS Executive Director Jenie Wilson.  Their divorce decree was issued 1-14-25.  Michael performed numerous duties at PAWS over the years.

James Wilson, 57, was indicted in September and pleaded guilty in December 2024 to Production of Child Pornography and Transportation of Child Pornography. He was sentenced Tuesday to 600 months in federal prison by U.S. District Judge James Wesley Hendrix, who also ordered Wilson to pay $106,500 in restitution. 

According to court documents, Wilson "employed" a 9-year-old victim to produce at least two videos of her engaged in sexually explicit conduct. Wilson admitted to using a social media application to transport multiple videos of child pornography over the Internet. He also admitted to possessing and transporting a video that depicted a 10-year-old female child engaged in sexually explicit conduct. 

Wilson admitted to law enforcement that he had viewed and downloaded child pornography for several years.

I've hesitated to report on this until the court reached a verdict.  The substantial fine is noteworthy.  I'm sure PAWS has done an internal examination of any potential illicit activity as Wilson admitted his behavior had been going on for years.  Wilson also worked as a contractor for the City of San Angelo for many years.

City Owes IRS for Profiting on Wastewater Bonds

San Angelo's City Council will consider a report from staff regarding its 2019 Wastewater and Sewer Bonds.  The city made more money on investment proceeds from those bonds than is allowed. 

Since the bonds were issued in 2019 the city made millions in interest revenue, i.e. they made a greater return on the unused funds than they paid out in the bond's 2% coupon (interest expense to the city).

Investopedia notes:

Tax-exempt municipal bond issuers are subject to strict federal arbitrage compliance rules as a condition of issuance requirements, such as bond covenants. Any computed profits, which are called rebates, must be paid to the federal government. Federal arbitrage rules are designed to prevent issuers of tax-exempt bond debt from obtaining excessive or premature debt and therefore profiting from the investment of bond proceeds in income-generating investments.

Money borrowed for projects normally does not sit around for a long period of time, like five years.  The time frame for the borrowing can relate to the asset's future life as revenues from the project are designated to pay associated capital costs, fees, interest and principal repayment.  

Council has this item on the regular agenda under a budget amendment ordinance.  I don't expect much discussion. although it does fit under Council's strategic oversight.  What happened for the funds to sit unused longer than expected so the city could earn over $3.2 million?  

Are there other similar situations where the city has/had outstanding borrowings where the funds sit/sat mostly unused?  Hint:  In February 2023 City Council discussed and later approved borrowing $2 million to renovate the Animal Shelter and install a traffic light.  City Council minutes from 2-21-23 state:

Neighborhood and Family Serves Assistant Director Morgan Chegwidden gave overview of proposed improvements to the Animal Shelter 

Direction:   Consensus of Council was to proceed with the proposed plan of finance as presented.

Staff cited the need for an urgent shelter update due to multiple problems with the facility.  Nearly two years later, this urgent project is yet to go out for bids.

Texas Wants SpacePorts

The Concho Valley's Mission to Space operation kicked off with a state funded feasibility study.  The Texas Space Commission grant will identify spaceport sites in our thirteen county region, according to FoxWestTexas.

The grant applications were approved by the Texas Space Commission Board of Directors on Friday.  The meeting was livestreamed but no video has been posted.  An agenda showed the action item but had no additional information on applicants or the scope of their grant applications.

A confluence of forces are driving economic development in our area include proximity to oil/gas, available renewable energy sources (wind/solar/battery storage) and artificial intelligence's voracious needs for data centers near plentiful energy.  With our open land and greater potential for year around launches it appears the space imperative may join the potential bonanza.

San Angelo's Bright PEU Lights

In November 2024 I wrote about private equity's interest in West Texas energy deals.  Eight days later Businesswire reported:

Wynnchurch Capital, L.P. (“Wynnchurch”), a leading middle-market private equity firm, announced today that it has acquired Principal Industries, LLC (“Principal” or the “Company”) alongside Principal’s founders, Bryan and Blake Vincent, as well as the management team.

The local company received a $550,000 economic development incentive from the City of San Angelo Development Corporation in 2017.  Those funds enabled Principal Industries to move into a vacant building in the city's Industrial Park.

Principal Industries had five funding rounds since its inception and expanded through acquisitions. Principal bought SloanLED in 2022 and the company's website is www.principalsloan.com

The company's acquisition by Wynnchurch Capital, a private equity underwriter (PEU), occurred during a time of increased interest in San Angelo and West Texas, according to Chamber of Commerce VP Michael Looney.  He shared this with Development Corporation Council last October. 

This is the use and parlaying of private investment, private equity, on the projects we have in process or those that we are aspiring to have in process. This serves as an accoutrement to half cent sales tax dollars. We're finding that private equity is very hungry for positions within tertiary markets, like San Angelo, and oftentimes they don't necessarily want to share any market positions with municipalities, which is not necessarily a bad thing.

VP Looney noted: 

We are well into discussions with the development of speculative buildings within the Business Park. That goes along with several private equity investment companies we are working with. 

His "value proposition" close included: 

Access to private equity relationships

I sought public information on PE backed speculative building development in the Industrial Park on 11-6-24.  The city asked for an exception from the Texas Attorney General's Office.  The AG will determine what information the city has to release on 2-17-25.

Exercising political influence and tapping government coffers have been two key success factors for many PEUs.  As Looney noted "they don't necessarily want to share any market positions with municipalities."  If PEUs don't want their information public, maybe they shouldn't seek public subsidies, direct or indirect.   

Update 1-25-25:  Transparency is an issue in Kentucky over illicit handling of state retirement investments by PEUs KKR and Blackstone.  Private equity underwriters consider almost everything they do as a trade secret, even their fleecing of taxpayers and retirees.

Update 3-5-25:  The AG's office finished their review and the city shared that response yesterday, nearly four months after submission.  The developer of the spec building in the industrial park is Wheelhouse Commercial Development LLC and related company NAI Wheelhouse.  The Lubbock based property developer completed a number of projects in San Angelo, many retail establishments around the Sam's Club.  There were no references to private equity firms in the PIR  release.

Is Stargate Coming to San Angelo?

Capital Brief reported:

Trump said the new company (Stargate) will invest US$500 billion in AI infrastructure, creating over 100,000 jobs, in what he called "the largest AI infrastructure project by far in history, and it's all taking place right here in America". 

(Oracle's Larry) Ellison said 10 data centres are under construction in Texas, with 10 more planned.

The first Texas AI data center is the Lancium site in Abilene, originally developed for bitcoin mining.  Hanwha Solutions was an early backer of the project which leveraged our plentiful supply of renewable energy.  The Lancium Project shifted to Artificial Intelligence in a deal with Crusoe Energy Systems.  It's now part of Stargate.

West Texas is hot for energy projects to support AI and its voracious power needs.  The Concho Valley has both solar and wind energy generation.  San Angelo will soon have a battery storage facility on 28th Street.  The Zeppelin Energy Storage project is private equity backed.  City Council provided a $2.65 million tax break for Peregrine Energy (consent agenda - 9-3-24) before saying it had no funds to keep retiree health insurance benefits static (regular agenda - 11-5-24).  

The project will provide virtually no jobs, normally a requirement for economic development incentives.

Council proved to the big money boys it can play, i.e. help them achieve their investment hurdle rate.  Could San Angelo be in Stargate's sights?  OpenAI CEO Sam Altman noted:

AI is a little bit different from other kinds of software in that it requires massive amounts of infrastructure, power, computer chips, data centers, and we need to build that here and we need to be able to have the best AI infrastructure in the world to be able to lead with the technology and the capabilities.

CBS News reported:

Stargate investment will be directed toward constructing data centers to support AI development, according to the announcement. Already, there are data centers under construction in Texas, with the first one located in Abilene, Oracle's Ellison said at the press conference. 

The goal is to construct 10 data centers initially, with plans to expand to 20 locations of about half a million square feet each, he added.

City Council approved the annexation of 1,200 acres north of town.  The land is city owned. 

 

A one million square foot data center takes up roughly 23 acres.  A half million sized one requires 11.5 acres.

Abilene's Lancium site is 1,100 acres and 800 of that came via annexation.  

The 1-21-25 item came from Council's executive session so the public did not get to hear any discussion or deliberation.  Council approved the annexation under item "Ai."  How often does an agenda numbering convention line up with a business use case?

West Texas is hot for voracious, energy sucking AI.  Will Surprising San Angelo play a role in Stargate, directly or indirectly (energy supply)?  Time will reveal if yet another "boom or bust" commodity is headed our way.

If they do come, I hope Council keeps enough tax revenue to keep promises made to retired employees and maybe reverse the recent harms done to that group of people.

Update 1-26-25:  A California battery storage facility caught fire.  Some characteristics of that project are different than Zeppelin, however it highlights the need for an appropriate fire response, something Tom Green County is not equipped to handle.

Update 1-27-25:  If Stargate AI doesn't pan out the Concho Valley may be a candidate for a SpacePort.  The Texas Space Commission approved a site selection grant for the thirteen county Council of Governments.

Update 3-4-25:  It may or may not be Stargate AI but City Council just approved the sale of 350 acres of land to Skybox Data Centers LLC for $50,000 per acre.  Skybox helps clients curate their best data center solution.

Update 5-7-25:  Council passed the sale of land to Skybox Data Centers in their May 6th meeting.

Update 6-1-25: Concho Valley Homepage ran a video segment on data centers coming to San Angelo. Lancium Abilene is well on its way to eight buildings and 1.4 GW. That could power over 400,000 homes. Crusoe Energy, Primary Digital Infrastructure and Blue Owl Capital are involved in adding buildings on Lancium's site.

Which City of San Angelo Animal Group?

The "new" Animal Shelter Advisory Committee met yesterday, according to Concho Valley Homepage.  The only new thing since December 2024 was the resignation of ASAC Chair Victor Schultze, DVM.  Otherwise, this is the same ASAC since August 2024 when two new members joined the committee.

CVH reported the committee would "determine how to improve the facility and process and control stray animal populations."  The story seemed to confuse the ASAC with City Manager Daniel Valenzuela's new Animal Crisis Taskforce.  Daniel informed City Council he was close to filling the taskforce at the January 7th meeting.  City Council minutes from that meeting state:

City Manager Daniel Valenzuela provided an update on the Animal Services Task Force and is hoping to finalize the task force and schedule the first meeting within the next week

CVH interviewed Animal Shelter Director Morgan Chegwidden who has traditionally not involved the ASAC in anything strategic, focusing solely on "meeting Texas state law."  

Citizens could easily be confused as to which group is doing what after watching the news story.  A major clue for anyone watching the actual meeting was that members had to pull monthly shelter numbers from the consent agenda to discuss them.  Another clue is Morgan never mentioned Daniel's taskforce, who is on it, the taskforce's aim and how it differs from the ASAC.  Chegwidden also failed to give an update on shelter facility renovations, a project Council approved financing almost two years ago.  Another clue included the failure to mention the resignation of former ASAC Chair Victor Schultze, DVM.

San Angelo Mayor Brenda Gunter expects a quick turnaround from the City Manager's Animal Crisis Taskforce, thirty to forty five days.  The next ASAC meeting is scheduled for March 20th.  A group meeting once every two months will not fill the Mayor's desires to address the city's loose animal crisis in an urgent manner..  

I don't blame CVH for being confused.  It's hard to paint the big picture when information is kept piecemeal and doled out sparingly.  That has been the case with Animal Services for quite some time.

Update 1-21-25:  City Manager Daniel Valenzuela released the composition of his Animal Services & Control Taskforce.  ConchoValleyHomepage made it their top story.  FoxWestTexas ran a piece as well.  The members include:

• Judge Allen Gilbert
• Assistant Police Chief Adam Scott
• Dr. Catie Morris
• Heather Hegwood
• Kris McGuffin
• Sharon Halfmann
• Mary Golder
• Kim Spooner
• Mark Lack