Published Aug 21, 2026 7:18 am
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Ione, CA — Earlier this week, Central Sierra Broadcasting (CSB) reported on the Buena Vista AI Factory, a data center under development at a former biomass site next to Harrah’s Northern California casino in Ione.
You can read more details about the project in part one of the series here.
Initial plans call for the plant to operate using only chipped logs and phase into handling a broader range of green waste that would then be managed through a separate business entity.
The primary purpose of the plant would be to supply renewable, behind‑meter (off-grid) power to the adjacent data center with the possibility of sending excess electricity to nearby facilities such as the casino next door. Future expansion of green‑waste processing onsite would create potential for new local businesses to emerge and supply the material the plant will eventually require.
Amador County District 3 Supervisor Jeff Brown shared that, as the project had generated considerable discussion, back in March, following a site visit, he posted what he described as notable clarifications on his Facebook page. Among them: that the converted biomass plant onsite had originally operated as a coal facility and was modified to use green waste, logs, and construction debris sourced from the surrounding region.
Brown added that from what he understood, the data center would rely exclusively on the biomass plant for electricity, except during scheduled maintenance; that the plant was designed to operate continuously; also, that during the maintenance periods, the power plant through its own generated energy would have already sold more electricity to CAISO than the data center would have consumed, resulting in a net positive contribution to the grid.
Water for the site, according to what Brown understood, would be untreated supplies from Jackson Irrigation District. He described, “Unlike traditional data centers, this facility will not use standard cooling towers, which consume large volumes of water. Instead, it will operate with a closed‑loop cooling system similar to a residential heat pump. While the cooling fans do produce noise, it is comparable to that of a typical home air‑conditioning unit.”
Brown added the operators had taken steps to replace bright LED lights in place with less intrusive fixtures that still met OSHA requirements. Overall, he indicated that the company appeared to have studied the environmental impacts associated with similar projects and taken meaningful steps to mitigate them.
The supervisor pointed out that Amador County Air District will have 24/7 access to operational data points from the biomass plant, ensuring transparency and ongoing oversight. A remaining concern Brown noted was the estimated 40 truck trips per day required to supply the biomass plant—an impact that he said will need to be addressed and mitigated.
Throwing ‘question marks’
CSB queried Michael Masuda, an engineer by trade with a background in data center and AI development technology, for his professional perspective about the project and data center development in general.
Masuda’s engineering background and service at the federal and state levels has specifically included identifying, assessing and developing public policy concerning critical and emerging science and technology issues and gaps. Masuda, who grew up in Amador County, is also closely following the project as a congressional candidate for the California 5th District seat currently held by Tom McClintock.
“When I was working for the state, I was working on the broader edges of the AI discussion,” Masuda began. “I have a bunch of question marks. The biomass part–I don’t have a problem with that– they have been very transparent on that side. My issue is on the data side…We need to know more.”
Among his concerns is understanding the system that will be used to cool the very dense microprocessing hardware. “It generates so much heat, if you touch it, it is going to burn your finger. They have all these things going on 24/7 and must go somewhere with the heat. In the past, cool air was used to cool it down and fans sucked out the hot air. In a closed system, the coolants stay in tubing that cools electronics…like the air conditioner in your house.
“AC units are typically located outside, where the hot liquid flows into the unit, is cooled, and goes back inside,” he further detailed. “Fans take hot air in a home and blow it outside. It’s a little more complicated for a data center but it is the same principle.
“So where does the heat from the liquid go in a closed system? Can you run it outside and blow air over it or run it through another liquid submerged in a cooler liquid like water? Will it go into water through a metal pipe?”
Masuda surmised, “A water bath is going to evaporate, and you get water loss through evaporation or cycling bath water. That is a big issue. We are talking about tens of thousands of gallons of water evaporating. So, how are they going to cool it? You can have two weeks of 100-degree ambient heat temperatures so how do you cool the system down when it’s hot, and what kind of noise will that generate? A lot of folks in (the Lake) Camanche (area) are concerned, and we just don’t know.”
He also threw a few question marks around regarding East Coast tech developers coming to drop hundreds of millions of dollars into Amador County. “Having worked in tech, major and startup companies from the tech scene up–and then conversely, trying to break through and help develop policy for it–I have seen a pitch or two.”
Having been in tech for his entire career, to date, Masuda said he has developed a healthy suspicion of companies coming in from elsewhere with a fiduciary responsibility to investors unless protective mechanisms can be put in place. “We are small counties,” he said. “I am all for innovation and long for ways to use technology. From where I sit, whatever designs and promises they make now–are they going to be able to keep them 20 years from now?
“If they put the center in, they are going to need to keep upgrading it. Can they keep the promises they made with water use, etc., 10 years from now, and what mechanisms are in place to hold them to it? These people have so much money in, and they are going to want to protect their investment.
“Can we trust them to represent the environment, the communities, jobs and all the things they are presenting themselves with?” Pausing for a second, Masuda described his concerns as pragmatically-based, noting, “I have sat across the table from big tech in these inquiries.”
Key to the project’s success over the long term for all concerned, Masuda added, is to get answers to all the questions upfront so that stakeholders can effectively work together.
You can read more details about NYGC’s biomass-fueled Buena Vista AI Factory project in part one of the series here.