Allen Park Planning Commission Rejects Data Center Proposal, Moratorium Proposed

Allen Park Planning Commission Rejects Data Center Proposal, Moratorium Proposed

News ClipPlanet Detroit·Allen Park, Wayne County, MI·6/5/2026

The Allen Park Planning Commission denied a 26-megawatt data center proposal from Solstice Data, citing incomplete studies, zoning non-compliance, and environmental concerns like noise and air quality. The City Council is now considering a six-month moratorium on data center developments to allow time to develop new ordinances addressing resource usage and other impacts. Residents celebrated the commission's decision but remain watchful.

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Gov: Allen Park Planning Commission, Allen Park City Council, Michigan Legislature, Governor Gretchen Whitmer, Allen Park Building Department

The Allen Park Planning Commission has rejected a 26-megawatt data center proposal from Solstice Data, planned for Enterprise Drive south of I-94 in the Downriver community. The commission's 7-2 vote to deny preliminary site plan approval came after multiple postponements and resident concerns about health impacts, noise, and water usage.

Commissioner Madison LaPalm moved to deny the project, citing the need for extensive revisions to comply with city zoning, missing information, and inadequate engineering and sound studies. The proposed facility's proximity to homes, Melvindale High School, and a senior living facility raised fears about increased pollution in an area already experiencing high rates of asthma and chronic lung disease. David Gibson, Solstice Data Senior Vice President, stated the company had been working to finalize designs but the commission found them insufficient.

Following the denial, the Planning Commission recommended the City Council adopt a six-month moratorium on data center developments. Councilmember and Planning Commissioner Daniel Lloyd noted the rapid pace of data center development and the city's lack of tools to regulate emerging technology. He indicated the moratorium would allow the city to develop ordinances addressing water usage, noise, and trucking. The Allen Park City Council is expected to vote on the proposed moratorium as early as next week.

Michigan House of Representatives candidate Joanna Whaley praised the commission for listening to the community. Solstice Data has not indicated if they plan to appeal the decision or pursue legal action, though a planner suggested they could appeal to the Zoning Board of Appeals. Earlier, Solstice Data had projected 200 temporary construction jobs, 30 permanent jobs, and annual property tax revenue of $6.2 million to $7.4 million.