Pima County will re-evaluate its existing non-disclosure agreements after the Board of Supervisors passed updates to its policies that were designed as guardrails against data centers.
Supervisors passed updates Tuesday to two policies that set new standards for NDA’s and environmental reviews for large-scale economic development projects. The policies were initially passed in September 2025 as the county grappled with the Project Blue data center.
The county shortened the maximum length of an NDA from five years to two, and set the initial term length at six months. The Board must also approve each potential extension, the first at 185 days and the second for a full year.
Tuesday’s update to the county’s NDA policy will allow the county to revisit its existing agreements.
Companies currently in a signed NDA will receive a letter informing them that since they signed before the board passed its policies, the agreement is no longer in compliance.
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If the company doesn’t inform the county they want to keep the NDA active and realign it with the new standards within 30 days, the agreement is considered invalid, according to a draft letter.
The updated language also expands the policy to include other land development projects, broader than the previous language of just economic development projects.
A planned data center complex in the Tucson area then known as Project Blue prompted strong opposition at public hearings.
Board Chair Jen Allen said she does not support NDA’s in government, but supported the policy as a step towards better transparency.
“The obscuring of information from the public and the sort of lack of transparency that they create, I just think is problematic for government,”
The second policy expanded the county’s criteria for the type of project that triggers a more extensive project review, what the county is calling “Enhanced Due Diligence.”
Certain types of projects are required to be assessed for their impacts on the environment and natural resources, cultural significance, public health, and other areas. The county amended the policy language to apply to large water and electricity users.
A large water user is defined as any developer that estimates their water use to be equal or above 10,000 centum cubic feet, which is the same as the City of Tucson’s criteria.
Allen said the board will likely need to revisit both policies again as technology evolves.
“Like all tools, they occasionally need to be sharpened and refined.”
The board approved both policy adjustments 4-1, with Supervisor Steve Christy voting no.
