It’s probably still not too bad but there’s at least some work done that’s „used up“ by letting tap water (or probably demineralized water used for cooling) evaporate.
When that water source is underground wells, this can take years (on the fast end) or decades (on the moderate end) to get back down. Look at California's water issue -- so many wells extracting water for farming has changed the land topography.
Also, when water 'comes back', it might come back in the ocean and not on land... reducing the available fresh water without desalination.
Data centers need the water to cool... but maybe there's room to find incentives for them to do so while making sure our water bills don't go up like our electric bills are because of the extra load they are putting on utilities.
[0]: https://www.theregister.com/2024/08/19/virginia_datacenter_w...