As information technologies rapidly evolve, data centers have become critical infrastructure, powering everything from cloud computing to machine learning and artificial intelligence (AI). Despite their innovation-forward image, these facilities have a significant water footprint – taxing local utilities and water-strained communities. xAI has taken a unique approach to supply recycled water to its own Colossus supercomputer and surrounding energy production and private industry in Memphis, Tennessee. The Colossus Water Recycling Plant (CWRP) will be a one-of-a-kind facility, drawing on partnerships with the City of Memphis for the use of secondary-treated wastewater from the City’s T.E. Maxson Wastewater Treatment Facility, and TVA and local industry as end users of up to 13 MGD of high-quality reuse water produced by the CWRP. xAI, in leveraging its own need for large volumes of water for cooling Colossus, has orchestrated these distinctive partnerships that will result in significant reduction of groundwater withdrawn from the Memphis Sands Aquifer, the sole drinking water supply for the City of Memphis, southwestern Tennessee and southeastern Arkansas. The CWRP, when completed, will be the world’s largest ceramic membrane bioreactor (MBR). This project highlights how advanced treatment technologies can support reliable and resilient reuse water production for high-demand users like Colossus and TVA. Tennessee water quality regulations recognize and encourage reuse of treated wastewater as an alternative to impacting local water supplies and discharging more pollutants to receiving waters. As the state’s first dedicated water reuse facility constructed under Tennessee’s new reuse regulation, collaboration with the Tennessee Department of Environmental Conservation (TDEC) Division of Water Resources on permitting requirements has been key to ongoing project progress. A key element of the CWRP permitting process is application for a State Operating Permit (SOP) as a facility treating wastewater that does not have a direct discharge to any surface or subsurface waters. Under the TDEC Division of Water Resources Rules regarding SOPs (Chapter 0400-40-06), the requirements for permitting non-potable reuse facilities and projects are specified, including applicable reuse water quality requirements and development of a Reclaimed Wastewater Management Plan (RWMP). This presentation will provide an overview of the steps in the permit application, technical review, and public comment and review process leading to issuance of the CWRPs SOP. Design and construction document review and approval for the CWRP proceeded per TDEC’s plans review and approval of sewage works requirements. Aspects of the permitting and plans approval process specific to the CWRP will be discussed, including applicable design criteria, use of ceramic membrane technology, end user coordination, and local permitting requirements, all highlighting relevant and useful experience in permitting construction and operation of this unique facility in support of good stewardship of local water resources.