Tucson Mayor and Council vote not to proceed with the Project Blue annexation and development agreement

On August 6, 2025 the Tucson Mayor and Council, after a study-session presentation on the Project Blue economic analysis and annexation steps (agenda item 3, requested by Council Member Lee), voted unanimously to direct staff to stop work on the annexation of the Brekke and Harrison parcels and the development agreement for Beale Infrastructure's proposed data center campus on 290 acres of Pima County land at the Southeast Employment and Logistics Center, ending the city's reclaimed-water supply plan for the project. Pima County's June 17, 2025 rezoning and purchase agreement with Beale remained in force; Beale returned in September 2025 with an air-cooled design served by a Tucson Electric Power energy supply agreement filed with the Corporation Commission on August 25, 2025.