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Pocatello Upholds AI Data Center Denial
Coverage from Shoshone-Bannock Tribes, KIVI-TV, and others
Articles
12
Active Days
73
The Topic
Pocatello, Idaho, denied and later upheld the denial of Lex Developments’ proposed AI data center at the former Hoku Materials site. City findings focused on incomplete analysis of power, water, wastewater, air quality and environmental impacts, while public testimony and the Shoshone-Bannock Tribes raised concerns about rates, river resources and pollution. Lex Developments has indicated it plans to continue appealing, leaving the project’s scale, utility arrangements and timeline unresolved.
First Article: 05/09/26
Latest Article: 07/20/26
Summary
- Pocatello’s City Council voted 4-1 to uphold the denial of Lex Developments’ conditional-use permit.
- The proposed project would convert the former Hoku Materials site into an AI data center estimated at $2.6 billion.
- City findings said the application did not adequately show that public facilities and services could support the project.
- Power estimates varied from 100 MW in city and utility materials to 200 MW in developer presentation materials.
- Lex Developments proposed closed-loop liquid cooling and near-zero ongoing potable water use, but wastewater and chemical-discharge questions remained unanswered.
- More than 90 people testified at the permit hearing, with most opposing the proposal.
- The Shoshone-Bannock Tribes cited potential effects on electricity rates, water resources, the Portneuf River and environmental conditions.
History
The story is largely unchanged, but the current version sharpens the project’s framing and adds more concrete details on the hearing opposition and water strategy. It also clarifies that further appeals remain possible, with the main unresolved issues still centered on utilities and environmental impacts.
The biggest change is that the dispute is no longer just at the hearing-examiner stage: Pocatello’s City Council has now upheld the denial, making the project effectively blocked for the moment and pushing the fight into further appeal territory. The current version also adds sharper detail on unresolved power, utility, and environmental concerns, plus stronger opposition from the Shoshone-Bannock Tribes.
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Timeline: 73 Days
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