Henderson to require data center operators to enter into development agreements
Henderson City Council has decided to require data center operators to enter into negotiated development agreements, evaluating each proposal individually. This decision moves away from a proposed 180-day moratorium on new data center applications. The new approach aims to address resident concerns regarding environmental impacts and ensure developer accountability.
The Henderson City Council voted on Tuesday to mandate that data center operators enter into negotiated development agreements for all future proposals. This measure will require city staff to update Henderson's development code, evaluating each project on a case-by-case basis.
This decision marks a departure from a proposed 180-day moratorium on new data center permit applications, which was discussed during a nearly hourlong City Council meeting. Mayor Michelle Romero stated that the individualized agreements would allow the city to address concerns related to electricity demand, water consumption, and other environmental impacts, ensuring accountability from developers.
During public comment, dozens of residents, including Cullen McGinnis from the Sierra Club, urged the city to implement a ban or pause on new data center projects. Concerns were also raised about the unknown impacts of AI-focused data centers and potential surveillance. While McGinnis acknowledged development agreements are an improvement, he expressed disappointment that the city did not adopt clearer, enforceable ordinances.
The city's move to require development agreements contrasts with actions in other parts of Nevada. Clark County recently approved a data center expansion for Switch, while Nye County Commissioners enacted a temporary moratorium, and the Reno City Council extended its moratorium through August 2027.