Supervisor Manuel Perez rescinds letter of support for proposed Coachella data center

COACHELLA, Calif. (KESQ) - A March 9th letter from Supervisor V. Manuel Perez encouraging the construction of a proposed data center in Coachella, has now been rescinded according to his team.

The Fourth District Supervisor's letter was sent to project developer, Stronghold Power Systems, highlighting the benefits of the project.

It reads, "I am pleased to offer my strong support for the City of Coachella's effort to establish the Coachella Municipal Utility and advance development of the Coachella Data Center campus, including both Phase I and Phase II."

The letter goes on to say, "Based on current city and project estimates, the project is expected to generate approximately $50 million in new revenue for the city through utility operations, local taxes, fees and associated economic activity."

In a statement to News Channel 3, the Supervisors team said the letter had been rescinded.

"This project needs a lot of work, such as an EIR and a thorough CEQA process and the necessary community input. Not to mention concerns about water and electricity.  As a result, Supervisor Perez rescinded the letter through the developer and the city manager who both took action to withdraw the letter."

It comes after a fiery community meeting between the city, developers and residents this week discussing the project.

The development would be built through a Coachella municipal utility agreement with Stronghold Power Systems at Avenue 52 and Filmore Street.

Stay tuned this evening for the full story.