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Friday, October 2, 2026 at 5:34 PM

Monarch Data Center zoning change approved after hours of testimony

Monarch Data Center zoning change approved after hours of testimony

Lyon County commissioners approved the tentative development plan for a proposed $15 billion data center north of Yerington Thursday after hours of testimony over water, power, traffic, jobs and the project’s potential effects on neighboring residents.

The Aug. 6 hearing centered on Copia Power’s request for approval of a tentative planned unit development for a 4.6 million-square-foot, 1,000-megawatt data center approximately eight miles north of Yerington and east of U.S. Highway 95A.

The project calls for eight two-story data center buildings, a 500-megawatt battery energy storage system, a 500-megawatt natural gas generation facility, electrical substations and high-voltage transmission infrastructure.

Commissioner John Cassinelli abstained from discussion and voting on the item, citing his position with the Northern Nevada Development Authority and NNDA’s previous interaction with the applicant. Cassinelli said he had not signed a nondisclosure agreement regarding the project.

Senior Planner Louis Cariola told commissioners the Aug. 6 hearing was the fifth public hearing on Monarch since county staff first met with the developers in February 2025.

The Planning Commission recommended approval of the project’s specific plan in July 2025. The Board of County Commissioners initially tabled the project in August 2025 after staff raised concerns about access from Penrose Lane. Commissioners approved a master plan amendment and specific plan in December after the primary access was shifted to Sierra Way.

The Planning Commission voted 4-3 July 14 to recommend approval of the tentative planned unit development.

Cariola said the specific plan established the allowable uses on the property, while the planned unit development allows the county to impose more detailed standards addressing building height, setbacks, landscaping, noise, lighting and other development requirements.

The property is currently zoned Rural Residential 20-acre minimum and is used primarily for agriculture.

County staff recommended approval with conditions, including transportation improvements before construction begins.

The project is expected to generate approximately 1,200 vehicle trips during peak construction hours. Proposed improvements include turn and acceleration lanes at Sierra Way and Highway 95A, with the possibility of a temporary traffic signal during periods when multiple large projects are under construction.

County staff also recommended that Copia design and construct a northbound passing lane on Wabuska Hill before Lyon County issues construction permits for Monarch.

Penrose Lane would be limited to emergency access and would not be used for construction or regular operational traffic.

Copia representatives said the project would represent an investment of approximately $15.3 billion and create an average of 700 to 965 construction jobs during a three- to four-year building period, followed by an estimated 150 to 250 permanent jobs.

Copia consultant Jeff Page, a longtime Yerington resident and former Lyon County manager, told commissioners the project could help diversify the economy of southern Lyon County.

Copia estimated the project could generate approximately $2.5 billion in state and local tax revenue over 25 years, including sales, property and payroll taxes. Company representatives also said they would not seek available tax abatements, although details of a possible development agreement with Lyon County have not been finalized.

Water remained one of the most contested issues during the hearing.

Cariola said the project would rely on existing water rights currently associated with the property rather than requesting a new allocation. Changing the use from agricultural to industrial would require approval from the Nevada State Engineer and would result in a reduction in the amount available for use.

Copia representatives said approximately 2,000 acre-feet of water is currently associated with agricultural use of the property and said the completed project would use less than 800 acre-feet annually.

Company representatives described the data center cooling system as primarily closed-loop and air-cooled. Water would also be required for the proposed natural gas generation plant, domestic uses and other operations.

Commissioner Tammy Hendrix questioned how water consumption would be monitored. Cariola said wells would be metered and regulated by the State Engineer.

Several residents challenged the water figures, saying numbers contained in different project documents and presentations have varied. Others questioned how much water would be required during construction, how wastewater would be handled and whether additional water would be required to periodically refresh cooling systems.

Copia said an on-site wastewater treatment system would treat water for reuse where possible, while salts, solids and other residual materials would be disposed of in accordance with Nevada Division of Environmental Protection permits.

Electricity was another major issue.

Copia has requested up to 1,000 megawatts of service from NV Energy, but company representatives acknowledged the project cannot immediately obtain its full electrical demand from the utility.

Copia said the project would be phased and initially rely partly on its planned 500-megawatt natural gas generation facility until additional grid capacity becomes available. The gas plant could later become part of the larger regional power supply after interconnection with NV Energy.

Commissioner Scott Keller questioned whether the natural gas generation would continue operating after the project connects to the NV Energy system. Copia representatives said it could.

The company also agreed during the hearing to reduce its proposed maximum building height from 95 feet to 75 feet, consistent with provisions discussed during Lyon County’s Aug. 3 workshop on a proposed countywide data center ordinance.

That ordinance has not yet been adopted, and many opponents urged commissioners to delay Monarch until countywide data center regulations are in place.

Opposition dominated much of the public testimony.

Residents raised concerns about water availability, noise, traffic, air pollution, emergency response, wildlife habitat, property values, seismic conditions, flood hazards and the project’s proximity to homes and agricultural land.

Several speakers urged the county to impose a temporary moratorium on data center development.

Representatives and members of both the Yerington Paiute Tribe and Walker River Paiute Tribe also spoke against the project.

Walker River Paiute Tribal Chairman Melanie McFalls submitted a statement saying the tribe opposed the project because of potential impacts to Walker River water quantity and quality. Tribal representatives said the river is critical to agriculture, drinking water and cultural resources on the reservation downstream.

Representatives of the Yerington Paiute Tribe said the tribe had also adopted a resolution opposing data center development and raised concerns about cultural resources and historic tribal lands.

Copia said it had sent correspondence to both tribes and made a presentation to the Yerington Paiute Tribal Council in December 2025. Tribal representatives disputed the characterization of those contacts as meaningful consultation.

Supporters focused largely on jobs, tax revenue and Yerington’s long-term economic future.

Several lifelong residents recalled the decline that followed the closure of the Anaconda copper mine and argued that the community needs new industries capable of supporting higher-paying jobs and funding schools, emergency services and infrastructure.

Labor representatives also spoke in favor of the project, citing construction jobs, apprenticeship opportunities and potential long-term economic benefits.

Former Tahoe Reno Industrial Center project manager Chris Thompson told commissioners that data centers operating in Storey County are now generating millions of dollars annually in real and personal property taxes after abatements.

Commissioner Dave Hockaday expressed skepticism that the project met several of the findings required for approval of a planned unit development, particularly findings addressing traffic, public services, light, air and the project’s relationship to surrounding properties.

“I kind of come up with more of a negative,” Hockaday said of several of the required findings.

After several hours of testimony and discussion, commissioners approved Copia Power’s tentative planned unit development on a 3-1 vote. Hockaday voted against the project, while Cassinelli abstained.

As part of the approval, commissioners adopted the conditions recommended by Lyon County Community Development and limited the proposed data center buildings to a maximum height of 75 feet.

The approval does not authorize construction. Copia must apply for final PUD approval within one year and complete a series of additional local and state reviews before work can begin.

Those requirements include final drainage plans approved by the Lyon County Engineer, emergency response plans approved by the county’s Office of Emergency Management, fire suppression and response plans approved by the Mason Valley Fire Protection District, roadway improvements approved by Lyon County and the Nevada Department of Transportation, environmental permits from the Nevada Division of Environmental Protection and approval from the Nevada State Engineer to convert existing agricultural water rights to industrial use.

Under the company’s current timeline, initial data center construction would begin in late 2027, natural gas generation construction would begin in 2029 and later phases of the data center would enter service around 2031.

The county’s approval moves Monarch another step forward, while many of the issues raised during the hearing, including water consumption, electrical supply, emergency response and environmental effects, will remain part of the permitting and final PUD process.


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