
Valley residents confront officials at data center town hall over unanswered questions
News ClipThe Palm Springs Post·Coachella, Riverside County, CA·5/13/2026
A town hall in Coachella, California, regarding a proposed 450-acre data center project left residents frustrated, accusing city officials and developers of avoiding direct questions on water, noise, and climate impacts. While city representatives stated no formal project has been approved, residents pointed to the Coachella City Council's unanimous approval of a municipal utility development agreement with Stronghold Power Systems Inc., which explicitly names the data center as an "anchor tenant."
zoningoppositionenvironmentalannouncementgovernmentelectricity
Gov: Coachella City Council, Imperial Irrigation District, Riverside County Sheriff's Department, Indio City Council, City of Coachella
A community town hall in Coachella, California, regarding a proposed 450-acre data center campus, the Coachella Valley Technology Center Campus, concluded with many residents expressing frustration over a perceived lack of transparency from city officials and project representatives. Over 100 residents from the Coachella Valley attended, pressing for specific answers on water consumption, noise pollution, and climate impacts related to the development, which is planned for 450 acres at the intersection of Fillmore Street and 52nd Avenue. The project is envisioned in two phases, with Phase 1 including three data center halls consuming 270-300 megawatts.
Despite city consultant Beatrice Eslamboly of CV Strategies repeatedly stating that no formal data center project or environmental impact report has been approved, residents highlighted the Coachella City Council's unanimous February 11 vote to approve a Municipal Utility Development Agreement with Coachella Valley Power Services LLC, a subsidiary of Stronghold Power Systems Inc. Jonathan Avila, Stronghold's business operations director, previously described the data center as the "anchor tenant" for the future utility system and outlined timelines for construction by 2029. Stronghold CEO Scott Bailey also noted "notable partners" lined up to operate the data centers and projected significant financial returns for the city.
Stronghold has already purchased four parcels for Phase 1, investing approximately $17.3 million, despite the land currently being zoned for irrigated farmland. The developer and city are working to rezone the property for industrial use. During the contentious meeting, some residents displayed anti-data center signs and interrupted presentations, leading to one individual being escorted out by Riverside County Sheriff's deputies. Concerns mirrored national controversies regarding data center water usage and environmental reviews.
Coachella officials and Stronghold representatives emphasized the project's potential economic benefits and the necessity of reliable infrastructure for future growth. Indio City Councilmember Oscar Ortiz, who attended the meeting, also expressed concerns about high-impact projects and stated he would ask Indio city staff to explore a policy requiring development agreements for projects with high water or energy demands, including data centers.