Last Update: 09/22/2026 at 12:34 PM EST

Boulder City Tests Federal Data Center Approval

Coverage from Nevada Public Radio, KUNR, and others

Boulder City Tests Federal Data Center Approval topic image

The Townsite Data Center near Boulder City, Nevada, became a test of how federal agencies approve data centers on public land after BLM amended an earlier solar-project authorization for an 81-acre site.

Boulder City, environmental groups, and residents challenged the decision over local coordination, public participation, water use, and whether the existing environmental review was adequate. The Interior Board of Land Appeals later halted the approval, leaving the project’s planned 2027 construction and 2028 operations uncertain.

History
09/09/20262 new articles

The project is now more concretely characterized as a roughly $3 billion, 167-MW facility targeting construction in 2027 and operations in 2028, though the appeal has made that schedule uncertain.

09/02/20263 new articles

The dispute escalated from an unresolved appeal into an active legal halt: an Interior appeals judge suspended development after finding a persuasive potential NEPA violation. New water-use figures also sharpen the controversy, while a separate Colorado Springs approval broadens the regional context.

  • Interior Department appeals judge halted development during the challenge.
  • Judge found a persuasive case that BLM violated NEPA.
  • BLM cited 25 acre-feet for solar construction versus 560 acre-feet for data-center construction.
  • Colorado Springs approved Raeden’s 50MW Project Taurus.
  • Local residents joined the challenge.
08/24/20263 new articles

The update largely confirms the existing dispute and environmental-review framing, with no new ruling or implementation milestone. It newly identifies Skylar Capital Management as Townsite Solar 2’s reported parent company.

08/04/20261 new articles

The update adds a concrete municipal escalation: Boulder City has formally voted to appeal and seek a stay, turning the dispute into an active regulatory challenge rather than just a contested approval. It also sharpens the basis of opposition around the changed use of the parcel, water constraints, and broader environmental impacts.

08/02/20268 new articles

The story has broadened from a single Boulder City federal-land dispute into a two-track development fight, adding a Colorado Springs project that was upheld after appeals. The Boulder City case also now looks more procedurally advanced, with explicit appeals over public participation, utility impacts, and reused environmental review.

  • Colorado Springs Planning Commission denied appeals on Project Taurus, 6-2.
  • Project Taurus will redevelop a former Intel manufacturing site.
  • The Boulder City case now centers on an AI data center framing.
  • Appeals are active at the Interior Board of Land Appeals.
  • Opponents are disputing backup generation and substation capacity.
07/23/20260 new articles

The story now adds a broader regulatory and policy dimension: Boulder City’s appeal is paired with scrutiny from the Interior Board of Land Appeals, and the issue is increasingly framed as a test case for federal data center approvals on public land. It also tightens the factual dispute around the project’s water and local-control implications, including closed-loop cooling and reduced routine water use.

07/22/20268 new articles

The story has shifted from a local Colorado Springs zoning dispute to a federal land-use fight over a much larger Nevada data center. Boulder City is now challenging BLM’s approval process, arguing the amended project bypassed renewed review and local input.

  • Boulder City voted unanimously to appeal BLM’s June 26 approval.
  • The proposed project now targets 81 acres in Nevada’s Eldorado Valley.
  • Townsite Solar 2 LLC amended a solar-and-battery proposal into a data center project.
  • BLM relied on earlier environmental review for the amended proposal.
  • The appeal may affect federal data center approvals on public land.
06/29/20260 new articles

The main update is that the project is now more specifically framed as a 50MW data center conversion at a former Intel site, with a large-load power contract explicitly tying Colorado Springs Utilities into the dispute. The appeals also appear more immediate, with the approval effectively on hold while standing is checked.

06/23/2026Topic Formed

Project Taurus, a proposed data center in Colorado Springs, is facing multiple appeals after receiving administrative approval from city planning staff. The appeals challenge whether the project was approved under the correct zoning process and raise concerns about noise, electricity demand, and water and power impacts. The case now moves into a formal review path that could send it to the planning commission and, potentially, the City Council.