Arizona AG calls for statewide pause on new data centers, a Glendale project could be in the crosshairs

Arizona Attorney General Kris Mayes has issued a strong call to Governor Katie Hobbs and state lawmakers, urging them to pass legislation imposing a statewide moratorium on new data center approvals. Mayes cited a dual crisis in Arizona: a rapidly dwindling water supply, exacerbated by federal cuts to the Colorado River allocation, and soaring energy costs, partly driven by the infrastructure demands of current and planned data centers. Projections indicate a potential 450% surge in data center water demand in the greater Phoenix area by 2025 if all proposed projects proceed.

The Attorney General's intervention directly impacts a proposed "Project Eagle" in Glendale, a development that would include three 330,000-square-foot data centers and an on-site power plant. The Glendale City Council held a workshop on August 25th to discuss annexing the property, which is near Litchfield Road and Olive Avenue. While Council member Lauren Tolmachoff noted the developer's existing county entitlements might make the project difficult to stop, Councilman Lupe Conchas expressed opposition, citing community benefits over fiscal impact.

Glendale resident April Butler, who lives near the proposed site, voiced significant relief at Mayes' announcement. Butler's concerns extend beyond water, encompassing potential chemical contamination from cooling systems, the heat island effect on neighborhoods, and a perceived lack of meaningful public input in the approval process.

Attorney General Mayes cannot unilaterally halt data center development; legislative action is required, with the Legislature not reconvening until January. In the interim, Mayes plans to host a town hall in Ahwatukee on October 14th to engage community members regarding another planned hyperscale data center project. The Glendale City Council has not yet formally voted on the annexation of Project Eagle.