Coachella City Council Floats Moratorium on Data Centers as Community Opposition Grows

The Coachella City Council is weighing a potential moratorium on data center development following significant community opposition to a proposed AI data center campus. Hundreds of residents, including those from Palm Springs, Palm Desert, and Cathedral City, attended a council meeting to protest the Stronghold Power Systems project, which would include six data centers on over 400 acres.

During the meeting, council members discussed a temporary halt to new data center development and are planning a special session to further address the moratorium, consider stopping Stronghold's proposal, and potentially terminate the Municipal Utility Development Agreement signed with the company in February. The city is also seeking independent legal counsel to review the contract. Residents voiced concerns about water consumption, air quality impacts, and energy demands, with some signing petitions for a complete ban on data centers in Coachella. Stronghold Power Systems representatives faced a tense crowd, requiring sheriff's deputies to escort them out for safety. Stronghold defends the project, citing potential jobs, infrastructure improvements, and affordable housing, while noting no environmental impact report has begun and no formal approval has been granted.