Moratorium On Data Centers Being Discussed Again In Coachella

COACHELLA, CA — As many residents push back on data center developments, the Coachella City Council on Wednesday will consider extending a temporary ban on such projects for an additional 10 months and 15 days.

On June 4, the council adopted an urgency ordinance imposing a 45-day moratorium on applications and terminated its agreement with a former data center developer for the proposed Coachella Valley Technology Campus that was planned for 240 acres of agricultural land near the intersection of Avenue 52 and Fillmore Street.

Following months of protests from local community members citing concerns ranging from environmental to health issues, city council members enacted the moratorium.

Since the ban, city staff have examined numerous concerns relating to data centers, including a review of existing city regulations, held public hearings, a zoning analysis and consulted with legal counsel, according to a staff report.

The moratorium's extension would be in effect through June 4, 2027, if approved, and would be used as additional time to propose changes to the city municipal codes.

City staff are recommending the council approve an ordinance to permanently prohibit data centers and related uses in the city. The proposed ordinance is expected to go before the city's planning commission on July 18.

This week's city council meeting will be held at 6 p.m. Wednesday at City Hall, 53990 Enterprise Way.

The nixed Coachella project is not the first data center proposed for the Southern California desert. Earlier this year, the Imperial County Board of Supervisors voted 4-1 to make way for a massive data center complex that could rank among the largest in the U.S.

Like the Coachella project, the Imperial County project is fiercely opposed by local residents, most of whom are working-class Latinos who don't earn high wages.

Data centers are often located in "sacrifice zones." In California, those areas are largely populated by Black and Latino residents, a 2025 study found.

The desert data center projects are among dozens already operating or proposed for completion across California by 2030, according to the latest information gathered by analysts at Cleanview, a market intelligence platform.

Related: Massive, Water-Thirsty Data Centers Proposed In CA's Hottest Communities

City News Service contributed to this report.