BOULDER CITY (KTNV) — The U.S. Department of the Interior Board of Land Appeals has halted a proposed data center near Boulder City, Nevada, the first of its kind to be approved on federal public land — after residents and environmental groups challenged the Bureau of Land Management's approval process.
The board issued the stay Tuesday, pausing the project while an expedited appeals process plays out. Both sides have until Sept. 21 to submit a briefing schedule.
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Cherubael Laub, one of many locals who opposed the project, said the decision was an emotional moment.
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"When I first learned the stay was granted, I was so overjoyed that I was practically in tears."
The project has its roots in a 2023 BLM approval of a solar plant with a battery storage system on an 80-acre plot of land in Eldorado Valley. This year, Texas-based Townsite Solar 2 submitted a new proposal for a data center on the same plot of land as the solar plant, and the BLM approved the new plan — without conducting another environmental analysis.
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That decision drew sharp criticism from residents and local officials. The Boulder City Council, which has jurisdiction over the federal land in question, filed an appeal. So did the Center for Biological Diversity.
Patrick Donnelly, Great Basin Director at the Center for Biological Diversity, said the agency overstepped.

"It's pretty clear the Bureau of Land Management violated the law in approving the data center," said Donnelly.
Donnelly said Tuesday's ruling signals the appeal has merit.
"Well the board found in our motion that we are likely to succeed in the full evaluation of this case."
For Laub, the stay is proof that community opposition made a difference.
"We have a real chance to save our wildlife, our beautiful landscapes, as well as protect the health of our local population," Laub said. "It means that our voices matter."
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The stay halts the project for now, but the process is not over. The company said it will participate fully in the appeals process and that it is committed to meeting all environmental requirements. It remains unclear how long the briefing and appeals process will take or whether the project will ultimately be approved or rejected.
Townsite Solar 2 sent me a statement on Tuesday saying:
"TS2 acknowledges the decision by the Interior Board of Land Appeals to grant a Petition for Stay regarding the Bureau of Land Management’s right-of-way approval of the TS2 Data Center project. The company respects the administrative process and will participate fully as the matter proceeds.
Since the beginning, TS2 has committed to responsible development on public land and will conduct a comprehensive environmental review to evaluate project impacts, confirm compliance with federal standards, and provide clear information to the community. This review will include water use, biological considerations, construction impacts, and operational systems.
TS2 is committed to meeting all environmental requirements and ensuring that the data center project is developed responsibly. The company will continue coordinating with the BLM, Boulder City, regional partners, and community members as the project advances. TS2 believes that responsible development and environmental stewardship can work together to support long‑term community benefits.
The proposed data center is being developed by Townsite Solar 2 LLC, a joint effort that includes lead developer Skylar Opportunities LLC."
Boulder City also sent Channel 13 a statement regarding the decision as well:
"This morning the United States Department of Interior Board of Land Appeals (IBLA) granted a stay of the BLM’s decision to authorize Townsite Solar 2, LLC to construct a data center facility on BLM managed land near Boulder City.
The IBLA concluded that appellants are likely to succeed on the merits of their claims that the BLM’s analysis of the solar plant project’s environmental effects was insufficient because the projects are not “substantially the same”.
The IBLA further concluded that the environmental groups who appealed at the same time as Boulder City demonstrated permanent and irreparable harm is likely to occur to the members recreational interests in the project site and the harms outweigh the harms to Townsite.
Because the IBLA concluded that the environmental groups met the four factors for obtaining a stay, the BLM did not rule on Boulder City’s petition for a stay. The IBLA is expediting the appeal."
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