In an unusual move, the City of Tucson has cut off the water supply for the building of a major data center just to the southeast of the city.
What is known as Project Blue encompasses a campus of 290 acres at the Southeast Employment and Logistics Center with a design vision calling for the construction of up to four data centers, the first of which is set to become operational sometime in 2027.
The project, which sparked energetic opposition from area residents who expressed concerns about its water use potential once completed, has seen early work undertaken by the company Ames Construction, which has offices in Scottsdale.
That work, according to reports, has entailed the company using water from the utility company Tucson Water for dust control at the construction site. In a letter, Tucson City Manager Timothy Thomure charged that a water meter to be used within a defined water service area was transported beyond that area for the site work.
Thomure added that “The City of Tucson will not provide any services, including our water supply, to be used for Project Blue.”
The developer of the project, Beale Infrastructure, however, has maintained that Tucson in fact did issue a permit for “temporary water per the normal course of business.”
As reported in the Arizona Star, Beale has subsequently stated: “We are procuring construction water through an alternative source of nondrinking water.”
Project Blue was initially linked to Amazon but has proceeded on its own after the retail giant pulled out of the project late last year.
Specializing in data center development, Beale late last month announced it was beginning the construction of a $3 billion data center campus in De Soto, Kansas, that will comprise more than 1 million square feet in four buildings.
May 12, 2026
By Garry Boulard
