EL PASO, Texas (KFOX14/CBS4) — The U.S. Army has conditionally selected Global Investment Firm Carlyle to build and operate a commercial data center on underutilized land at Fort Bliss, a project the Army said would come at no projected cost to taxpayers and could bring thousands of jobs and billions in private investment to the El Paso region.

The Army said the project advances its strategic imperative to build artificial intelligence capability quickly “to outpace our adversaries.”

Under the Army’s Enhanced Use Lease program, the lease would finance, construct, operate and decommission the facility entirely through private capital.

The Army said the arrangement would generate revenue that can be invested in critical quality-of-life improvements for soldiers and families at Fort Bliss.

The project is projected to bring an estimated 2,000 jobs and billions of dollars in private investment to the El Paso region, according to the Army.

The proposed facility is designed with power and water solutions intended to minimize the impact on local infrastructure and resources.

Fort Bliss has been part of El Paso since 1848,” said Lt. Col. Jessica Rovero, a spokesperson for the 1st Armored Division and Fort Bliss. “This project reflects that history – contributing to national security while honoring our commitment to this community.

The Army said the lease terms remain subject to final negotiations led by the Department of the Army and the U.S. Army Corps of Engineers, along with an evaluation team composed of Fort Bliss installation leadership.

“As the project progresses, we will provide updates to keep the community informed,” Rovero said. “Our service members, families, and civilians live here, and we have a vested interest in how this project will impact our community.”

Rep. Veronica Escobar provided the following statement:

El Pasoans have expressed legitimate concerns — which I share — regarding the impact data centers will have on our resources, utility costs and the environment, and they deserve to have a voice, especially as data centers proliferate in our community. Today’s announcement about a data center on Fort Bliss began as a directive from the Trump Administration and did not include Congressional or community consultation. I urged Army leadership to heed the community’s concerns and asked that the decision and announcement be delayed until true community consultation could take place, but the Army proceeded anyway. I’ve also asked for robust community and media engagement for maximum transparency, and will continue to press for both, especially before any contracts are signed. Separately, I intend to work with my colleagues to create legislative guardrails on data centers to protect communities and ratepayers as best possible.

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