Minnesota Daily reports…

A halt on the construction of data centers in Minneapolis took effect in July after the Minneapolis City Council discussed the need for more time to understand the facilities’ potential environmental impacts.

The Council approved the halt through November by an 8-5 vote in May. Members said the halt allows time to study the environmental impacts of data centers and plan their development more conscientiously.

However, Council members not in favor of the halt said it will result in reduced tax revenue and may drive away businesses willing to invest in downtown Minneapolis.

Data centers are not new to the Minneapolis area, but community concerns have grown in recent months, President of Minnesota Building and Construction Trades Council Dan McConnell said.

The article gives room for various views of the data center issue, including the unions…

The American Federation of Labor and Congress of Industrial Organizations’ website claims that data centers are a staple for the modern job market and help to create more jobs, but labor protections for workers and regulations to protect surrounding communities are needed.

Resolution 7, a plan created by the AFL and CIO, outlines labor protections for data center employees and regulations aimed to protect surrounding communities. The plan calls for legislation that would require data centers to conserve water and energy. It seeks transparency from data center operators, union labor agreements and policies requiring data center operators to pay their share of energy and water costs.

Hometown Source reports on view of data centers in Lonsdale…

Data centers have become one of the most contentious issues across the nation, with lawmakers on both sides of the aisle raising concerns about water use, energy consumption and transparency as more projects are proposed across southern Minnesota.

Sen. Bill Lieske (R-Lonsdale) said data centers are “definitely right up there next to the fraud discussion and the affordability discussion” among the issues he hears about from constituents.

Another local elected official chimes in too…

Rep. Kristi Pursell (DFL-Northfield) said she has focused on water usage because of her expertise in that area, as the former executive director of Clean River Partners. She noted that data centers have been “deeply unpopular” in Farmington, where residents have organized against a proposed project.

“I love to see grassroots organizing, especially if it’s against multi-billion dollar corporations,” Pursell said. “They should have a say.”

Non-disclosure agreements

One of the key issues Pursell highlighted is the use of non-disclosure agreements, which prevent public officials from discussing details of data center negotiations. She called them “literally antithetical to our democracy.”

The topic is coming up on both sides of the aisle…

Both lawmakers agreed that data centers are part of the future and cannot simply be banned outright. But they also agreed that thoughtful regulation is needed.

“We need data centers. The reality is we’re all moving in the direction of these higher-level technologies,” Lieske said. “We have to be able to be prepared at all costs. But I’m not saying to sacrifice our health and our neighborhoods.”

Pursell was more skeptical of the industry’s long-term value.

Mankato Free Press publishes an editorial about communities and data centers

Upcoming discussions on data center moratoriums by Mankato and North Mankato stand as wise first steps in understanding the economic and community impact of these technologically advanced, new-age developments.

There is no comparison to other local developments that might offer clues on data center impact. New energy, water and power requirements will affect neighbors and the community at large. Sound and lighting can be issues in massive projects that cover sometimes as much as 4 million square feet. In fact, the energy used by data centers can impact large energy needs by business and consumers during extreme hot weather.

Data center developers were asked to be prepared to use their backup power during the recent East Coast heat wave. Much of that backup power is diesel driven and creates emissions that can be harmful.

Proposed data centers around the state have drawn public and legal attention with citizens opposing them in many places while groups such as the Minnesota Center for Environment Advocacy have filed suits in a number of cases. Judges have ruled in cases in Faribault and Pine Island that local officials didn’t conduct proper environmental reviews, and the projects have been halted.

Eagan, Inver Grove Heights, Rosemount and Minneapolis also have imposed data center moratoriums. The Mankato City Council voted unanimously for a moratorium and will conduct a public hearing July 13. North Mankato City Council discussed a moratorium at its Monday council work session and is considering a study on implications of a moratorium.

But data center developers also have struck back, suing Eagan as developers say the city overstepped its authority when it set a moratorium on data centers that used more than 9 megawatts of power. Developers Eagan Capital claims only the Minnesota Public Utilities Commission can regulate power.

These examples offer even more reasons for cities to move forward cautiously and with care for the legal consequences of their actions. We hope both Mankato and North Mankato can get legal advice from experts in this field beyond what their own legal advisers can provide.

As a follow up to a post on the court decision, Faribault Daily News reports on the Faribault Council’s response…

Following the Minnesota Court of Appeals ruling citing deficiencies in the environmental study for a proposed data center in Faribault, the City Council requested more information with a deadline of March 31, 2027.

In 2024, Archer Datacenters purchased land in Faribault to develop up to 50,000 square feet of data center buildings on 87 acres of land south of 150th Street W and east of Acorn Trail near Met Con. Based on criteria set by the Minnesota Environmental Review, the site would require an environmental assessment worksheet to study the potential environmental impacts based on square footage but not an environmental impact statement, which would be a further, more in-depth study.

The city of Faribault hired an independent firm to conduct the EAW, and the findings concluded that further study of an EIS would not be needed. However, the Minnesota Center for Environmental Advocacy filed a legal challenge claiming that the EAW failed to adequately assess the potential air and noise pollution along with greenhouse emissions. The Minnesota Court of Appeals ruled that the EAW did not contain ample information for the city to determine whether an EIS would be needed.

At Tuesday’s City Council work session, council discussed their options moving forward to address the lawsuit. Community and Economic Development Director Dave Wanberg laid out the two choices. Either the city could “coordinate with Archer Datacenters to obtain more exhaustive and specific environmental information regarding Archer’s proposed data center” or they could require a discretionary EIS.

The Carlton Pine Journal reports…

The board will weigh a moratorium to pause data center construction for one year at the urging of grassroots organizers.

At the urging of grassroots organizers, the Cloquet County Board of Commissioners will consider a one-year moratorium on data center construction within the county.

On Tuesday, organizers with the Carlton County Land Stewards, which formed in opposition to Enbridge’s Line 3 project, filled the Carlton County Transportation Building to argue for the moratorium. The board subsequently voted to advance the proposed interim ordinance for further consideration at its July 14 meeting. The ordinance would pause data center construction — and authorize a study on whether additional regulation within the county would be required.

“There has not been a proposal yet for a data center in our county, but I believe it is in the county’s best interest to restrict the expansion and establishment of data centers for the development of property for a data center while the study is ongoing,” Commissioner Sue Zmyslony said at the workshop meeting.

…

The board will likely hold a public hearing on the moratorium in August, Berg said.

You can learn more about the Carlton County Board of Commissioners meetings online.

The MN Star Tribune reports…

As opposition to data centers swells across the state, this southern Minnesota city is getting a boost from the race to build them.

Rolls-Royce has invested $24 million to expand the Mankato factory where it builds generators used in data centers, hospitals and airports.

The expansion includes a 250,000‑square‑foot logistics center at its main plant in Mankato just north of Highway 14 and the promise of 100 new jobs. The company is investing $4.5 million at another site in Mankato that also produces generators.

The expansion by Rolls-Royce, a British manufacturer and military contractor that separated from the similarly named luxury car brand in 1973, is part of a bid to profit from the rise of the data center industry, which is hungry for electricity and relies on generators as backstops during power outages.

Companies across Minnesota are capitalizing on the rapid growth in data centers, even as many cities and counties are hitting the brakes on their development in the state. Mankato is considering its own moratorium on data centers at a City Council meeting Monday.