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Coachella approves development agreement to build municipal electric utility serving data‑center campus
Summary
The Coachella City Council on Feb. 11 approved a development agreement with Coachella Valley Power Services LLC (Stronghold affiliate) to launch a city‑owned municipal electric utility serving an initial technology campus in the city’s eastern undeveloped area. Council members discussed financing, market risk and interconnection with IID before a unanimous vote.
The Coachella City Council voted Feb. 11 to approve a comprehensive development agreement with Coachella Valley Power Services LLC, an affiliate of Stronghold Power Systems, to create the Coachella Municipal Utility (CMU) and build an initial technology campus to serve large data centers in the city’s eastern undeveloped area.
City Attorney Ryan Barron told the council the agreement covers Phase 1 of a turnkey public‑private partnership under which the city will remain the publicly owned utility while Stronghold and its affiliate will design, permit, finance, construct and operate core electrical infrastructure. "Under the development agreement, the city is the independent publicly owned utility, you know, what we call the Coachella Municipal Utility or CMU," Barron said.
Why it matters: council members said the project could give Coachella greater local control over electricity, provide new revenue streams and…
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