The Board of Supervisors will be asked Tuesday to approve an  agreement between Pima County and Beale Infrastructure — the developers of Project Blue — on several "community benefit investments" the company committed to last month.
The agreement negotiated between county administration and Beale outlines the $15 million in community investments along with the developer's pledge to match 100% of the data center's energy use with renewable energy  under terms the developer committed to in early November, County Administrator Jan Lesher said in a memo to the board last week.
Key aspects of the Memorandum of Agreement are that the data center will be air-cooled instead of water-cooled; that water for "domestic applications like kitchens, bathrooms and fire suppression systems" will be obtained from a source approved by the Arizona Department of Water Resources; and Beale Infrastructure "will use commercially available means" to match its energy consumption with renewable energy.
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Details in the proposed agreement on how Beale will do so is sparse.
"On an annual basis, commencing upon the commercial operation of the Project and through the term of the (energy service agreement with Tucson Electric Power), Beale will engage an independent and qualified third-party verifier mutually agreeable to the Parties to provide a written statement of verification that the Project has achieved the Renewable Energy Commitment in accordance with recognized industry standards," the proposed agreement reads.
Previously, when the Project Blue developers sent a letter to county committing to matching its energy use with renewables, Beale said it would do so through the energy supply agreement it was seeking with Tucson Electric Power. In the letter, Beale said it would "seek to accelerate the development of new renewable energy resources for TEP’s grid that produce enough energy to match 100% of the data center’s energy consumption — at the data center’s cost.â€
Project Blue plans to buy what was described as renewable energy credits during the Arizona Corporation Commission meeting earlier this month, when the ACC approved the energy service agreement between Beale Infrastructure and TEP. The renewable energy credits will be used to satisfy its pledge made with the county.
Supporters during that meeting said the purchase of credits from other sources will ensure the use of renewable energy until such infrastructure can be built.
Beale will also will make an "initial $5 million donation" to go towards science, technology, engineering and mathematics (STEM) scholarships and funding for students and trade schools in Pima County. And an additional $10 million donation will be made "during subsequent phases of the project to fund community benefit initiatives identified with the County to address local priorities," Lesher said in her memo.
Additionally, Beale Infrastructure will agree that the data center "will meet the County’s Preliminary Integrated Water Management Plan (PIWMP) requirements," Lesher said in the memo.
Lesher

