What no one is telling you about Michigan data centers
Michigan state law (Michigan Zoning Enabling Act) prevents local governments from outright banning data centers, allowing only temporary moratoriums or setting standards. While some communities successfully deter projects, developers can still pursue legal action or annexation to override local decisions. Significant power and tax decisions are made at the state level, with Governor Whitmer currently opposing restrictive bills.
The video, titled "What no one is telling you about Michigan data centers," explains that under Michigan's Zoning Enabling Act, local governments cannot completely ban data centers due to a demonstrated need for the land use. While city councils or township boards can regulate aspects like noise, light, water, and setbacks, and implement temporary moratoriums (typically 6-12 months) to draft rules, an outright prohibition is not permitted. Over 50 Michigan communities have utilized moratoriums, covering about 1,500 square miles, sometimes leading developers to withdraw projects, as seen in How Township.
However, the video highlights loopholes developers can exploit. Selen Township, after denying rezoning for the "Stargate project," faced a lawsuit from the developer, claiming illegal exclusion of land use; they eventually settled, and the project is now under construction. Another township near Mason voted against a data center, only for the developer to initiate annexation of the land into a neighboring city, shifting the decision to an appointed three-person board in Lansing. Furthermore, a moratorium passed by Lyon Township came too late to affect an already approved 1.8 million square foot data center campus.
Crucially, major decisions often bypass local control. State-level entities like the Michigan Public Service Commission regulate electricity. Last year, the Commission fast-tracked a deal for DTE to supply 1.4 gigawatts to the Stargate project, despite objections from the Attorney General, without a contested hearing. The video also points out that the current state law, enacted in 2006, can be changed. While bills to cap water use, ban NDAs for officials, and repeal tax breaks have been introduced, Governor Gretchen Whitmer has stated she would veto them, though her stance may change with a new administration. The video urges Michiganders to question state lawmakers and electoral candidates on their positions.