Judge tentatively blocks CEQA shortcut for Imperial Valley data center, says full environmental study required
An Imperial County Superior Court judge tentatively ruled that a proposed 950,000-square-foot data center cannot proceed under a CEQA "by-right" exemption and must undergo a full environmental impact report. This decision, in response to petitions from the City of Imperial and the Sierra Club, directs that key County approvals and CEQA exemption notices be set aside. The judge found substantial evidence that the project may cause significant environmental effects.
Imperial County Superior Court Judge L. Brooks Anderholt issued a tentative ruling blocking a proposed 950,000-square-foot artificial intelligence data center in El Centro from utilizing a ministerial, "by-right" exemption under the California Environmental Quality Act (CEQA). The judge determined that the 330-megawatt project, proposed by Imperial Valley Computer Manufacturing LLC on 75 acres, requires a full Environmental Impact Report (EIR) due to potential significant environmental effects.
The decision follows a July 29 trial on writ petitions filed by the City of Imperial and intervening petitioner Sierra Club against Imperial County. The court granted these petitions in part, directing that certain County approvals and CEQA exemption notices related to the project's grading, lot merger, and electrical facilities be set aside if the ruling becomes final. Judge Anderholt affirmed the validity of a 2017 County ordinance allowing data centers as permitted uses in industrial zones but found that the specific project's scale and components, along with the discretionary nature of its permits, precluded a CEQA exemption.
The court applied CEQA's "fair argument" test, citing substantial evidence that the data center project may significantly impact energy and the electrical grid, water supply, air quality, hazards, noise, traffic, and cumulative industrial growth. The tentative decision clarifies that the court is not ordering the approval or denial of the project itself, nor is it predetermining mitigation measures. The parties now have 20 days to meet, confer, and submit a proposed writ and judgment if the ruling becomes final.