Local 359 helps secure landmark project labor agreement, jobs for members in Arizona

In December 2025, SMART Local 359 helped secure a rare and significant milestone for Arizona’s construction industry in Tucson, when the Pima County Board of Supervisors approved a binding memorandum of agreement tied to the Project Blue data center development. The approval cleared the final hurdle for construction to begin and formally secured the project under a project labor agreement (PLA), leading to a win for SMART members and a historic first for Tucson: a 100% union-built project.

Union solidarity helps overcome challenges

Project Blue faced nearly six months of community opposition, primarily centered on concerns over land transfer and water use in a drought-stricken region. During a marathon public comment session lasting more than seven hours, union representatives, including leadership from Local 359, stood alongside other building trades to articulate the economic, workforce and community benefits of the project. The vote was close (3–2) but decisive. With approval secured, the project is expected to break ground in the first quarter of 2026.

The power of the PLA

The project labor agreement covering Project Blue will deliver outcomes rarely seen in southern Arizona:

• 100% union construction, the first of its kind in Tucson
• Strong local hiring potential in a market where union density is limited
• Clear pathways for nonunion workers to transition into union careers

For Local 359, which fights hard for market share in Tucson, the PLA represents a breakthrough opportunity. The project is expected to require 50–100 sheet metal workers over two years, exceeding the local Tucson-area membership base and creating real opportunities to put members on the job while organizing new workers into our union.

Union victories are community victories

In response to public concerns, the data center project’s design was modified from water-cooled to air-cooled systems, significantly reducing water consumption. This change not only addressed some of the environmental objections brought up by community members; it will also increase work opportunities for sheet metal workers and other union trades workers, demonstrating how collaborative problem-solving under a PLA can align community interests with unions and workforce development.

Setting a precedent in Arizona

Arizona, which is a so-called right-to-work state, rarely sees PLAs on large-scale private developments. Project Blue now serves as proof that advocating for PLAs can succeed even in traditionally hostile markets — delivering jobs for SMART members, community accountability, environmental responsibility and economic impact without delays or labor disputes.

Project Blue is a model for how project labor agreements can work in Arizona. It shows that even in low-density union markets, unions can use PLAs to:

• Put members to work
• Win tough political battles
• Address legitimate community concerns
• Deliver high-quality, efficient construction
• Create real pathways to good union jobs

This success story demonstrates that when organized labor, good-faith employers and public officials align around shared goals, real victories can be achieved for union members and communities alike. Great work, Local 359!