Lawmakers advance bills to lift secrecy surrounding data center projects

Minnesota lawmakers are making strides in legislative efforts to mandate greater transparency for data center developments across the state. Two key bills, sponsored by Sen. Erin Maye Quade, DFL-Apple Valley, have advanced through the Senate, aiming to curb the use of nondisclosure agreements (NDAs) between local governments and private companies. These proposals also seek to require at least two public hearings and comprehensive disclosures, including the identity of the developing company, project size, and anticipated impacts such as energy and water usage. A similar measure banning NDAs has also moved forward in the House. The legislative push is a direct response to a pattern of data center projects being planned and approved with limited public knowledge, often under code names. Examples cited include "Project Bigfoot" in Rosemount, later revealed to be Meta Platforms, and "Project Skyway" in Pine Island, eventually confirmed as Google, both approved after residents received minimal notice. Aubree Derkesen, a Pine Island resident, testified about the "Project Skyway" approval, stating residents were given only four months' notice despite two years of private planning. Community members from across Minnesota, including Duluth and Monticello, voiced concerns during Senate hearings. Residents highlighted issues such as noise and light pollution, rising electricity costs, declining property values, and heavy water use leading to reduced water pressure. Jenna Van Den Boom of Monticello described how her community mobilized a group of 1,100 residents after only a small fraction received formal notice about two proposed hyperscale data centers. While some lawmakers, like Sen. Mark Koran, R-North Branch, and Sen. Andrew Mathews, R-Princeton, expressed reservations, stressing economic development needs and local government autonomy, most supported the transparency initiatives. Sen. Maye Quade emphasized that the bills are not about opposing data centers but ensuring government transparency and the public's right to know, preventing NDAs and code names from becoming standard practice in Minnesota.