Ideas for Progress: Where are the guardrails for our local data centers?

While national media have been putting our region under their microscope with such headlines as “the data center boom in the desert,” “The AI boom is heralding a new gold rush in the American West,” or “In Nevada, the driest state, some hope to limit water-guzzling data centers,”  the data center backlash is creating political fault lines and a litmus test for some as to whom they might vote for going forward. 

The concern is that mega data centers gobble so much precious energy as well as potentially putting a severe drain on local water supplies.

A “concerned resident” who wanted to remain anonymous wrote us a series of messages bemoaning how the Reno City Council last year overruled the Reno Planning Commission “the body charged with ensuring that new developments align with our city’s master plan and long-term welfare.”

That body, the resident pointed out “voted to deny a conditional use permit for a large new data center in the North Valleys, citing serious concerns about water and energy use, sustainability, and compatibility with community needs.  But just weeks later, the Reno City Council overruled that decision and approved the project, flipping the earlier denial and allowing the development to proceed. This back-and-forth highlights a troubling tension in Reno’s approach to data centers: important environmental questions are being pushed aside in favor of rapid development.”

The back and forth was for a Minnesota-based company Oppidan asking to operate a 61,500 square foot 5MW data center on seven acres along the north side of North Virginia Street on the east of its intersection with Stead Blvd with plans to use evaporative cooling.  

Last year, the Reno Planning Commission also voted to recommend the city place a pause on filing and issuing permits for data centers to better understand local economic and environmental impacts but the council decided to proceed without new code regulation guardrails, sticking to its conditional-use permit process instead.  

“I’m opposed to building data centers in the Peavine area or any other area of Washoe County, due to serious concerns for public health and environmental safety,” the local wrote in their messages, pointing to assigned day watering in our region.

“Reno has found itself at a crossroads between economic growth and environmental responsibility,” they added.  “Data centers are not small, quiet buildings that fit neatly into a neighborhood pattern. They are massive heat-generating facilities that require continuous, energy-intensive cooling systems and significant water resources, especially when they rely on evaporative cooling techniques. Many local residents and environmental advocates have warned that approval without stringent standards risks placing an undue burden on Reno’s already strained water supplies, electricity grid, and community infrastructure.”

They asked for business as usual at our council level to cease going forward.  

“At a time when Reno consistently ranks among the fastest-warming cities in the nation, we should be asking tougher questions about energy and water use, not short-circuiting those debates to speed permits through. Data centers can bring jobs — but they also bring demand for resources that residents, wildlife, and the local economy depend on,” they wrote.

“The Planning Commission’s denial wasn’t arbitrary — it reflected real concerns about whether the project could meet the city’s environmental and sustainability goals. Commissioners pointed to uncertainties around water supply, energy demand, and the precedent such a permit would set in the absence of clear rules for these facilities. In response to community voices and scientific evidence, the commission even encouraged the Council to consider a temporary pause on new data center permits so that thorough assessments and proper standards could be developed.

Instead of embracing this pause and using it as a chance to build robust community standards, the City Council chose to override the planning board’s decision and approve the permit — albeit with some added conditions. 

Council members justified this as balancing economic growth with protections — but when the rules don’t yet exist, there’s nothing clear to balance against. Without long-term policy guardrails, each project becomes a case-by-case debate, leaving residents, planners, and advocates constantly playing catch-up.

Supporters of data centers rightly point out job creation and investment. But we can — and should — have both economic opportunity and environmental accountability.”

They suggested ideas to look into based on examples from outside northern Nevada.

“Other cities facing data center growth are exploring:

Water-use limits and recycling requirements

Mandated renewable energy sources or offsets

Noise, land-use, and community impact safeguards

Public transparency and environmental reporting

These are not radical ideas — they’re responsible governance. Reno should adopt clear, enforceable standards before it continues to greenlight resource-intensive projects.

Reno is uniquely positioned to be a technology and innovation hub — but not at the expense of its environment, water security, and quality of life. The planning board’s denial showed that caution and scrutiny are possible. Now it’s time for the City Council to listen, not just override.

Let’s urge our city leaders to pause new data center permits, finalize strong environmental and sustainability standards, and involve residents fully in shaping Reno’s development path. Our desert city deserves nothing less.”

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