Arizona is joining Nevada's legal challenge to the federal government's new Colorado River rules, adding the state facing the deepest near-term cuts to the fight over how federally mandated cuts are divided among the seven basin states.

There are more than 70 data centers either operating in or planned for Nevada, but Nevadans are turning out in droves at public meetings to protest them.  Despite this public disdain, almost everyone uses them. In this explainer, The Indy separates data center facts from fiction. 

The groundbreaking capped more than 15 years of research, testing and planning, and once complete, officials say the facility will reduce the region's reliance on the Truckee River and provide a locally controlled water source for residents.

Nevada's lawsuit comes after states and the federal government have been in tense negotiations over how to manage the Colorado River after current guidelines expire at the end of this year.

The lawsuit challenges the record of decision released Friday, which governs how Colorado River water is divided among the seven basin states. Under the decision, Nevada's 300,000-acre-foot allocation could be cut by up to 213,556 acre-feet.

Since January 2023, the Las Vegas Valley Water District has charged residential customers a flat $9 for every 1,000 gallons they use beyond a seasonal threshold — roughly five times the district's base tier rate, and nearly 1.5 times its top-tier rate. 

Nevada is one of three states to see its water rights curtailed under a new federal proposal. The state hopes to negotiate a better agreement.

For nearly two years, the developer of the Tahoe-Reno Industrial Center has traded legal barbs with the quasi-governmental entity that provides water to companies. 

Nevada will give up 50,000 acre-feet of Colorado River water a year over the next two years under a federal operating framework released Friday that cuts distributions to three states.