Town of Lansing to Draft Data Center Ban Following Public Anger
Lansing’s Town Board voted to draft a ban on new data centers after more than 200 residents attended a contentious meeting and overwhelmingly spoke against the proposed Lake Hawkeye Data project. The project’s developer, TeraWulf, faces ongoing opposition, a lawsuit challenging its zoning classification and uncertainty stemming from New York’s state permitting moratorium.
The Lansing Town Board decided to draft an all-out ban on new data centers after a special meeting drew more than 200 residents, most of whom spoke against TeraWulf’s proposed Lake Hawkeye Data project. Residents cited noise, strain on the electrical grid, environmental concerns and the potential cost of litigation if the developer violates agreements. Town Supervisor Ruth Groff called the project a potential “fiscal nightmare,” while Council Member Judy Drake said a highly regulated facility could support economic development.
TeraWulf secured an 80-year lease for the former Milliken Station power plant and approval for a data center with up to 400 megawatts of capacity. Vice President of Project Development Pace Ralli defended the project as an opportunity to reuse industrial land and create economic benefits. Opposition groups have gathered nearly 23,000 petition signatures and sued TeraWulf and the Lansing Zoning Board of Appeals over the project’s classification as a general processing facility. The litigation remains ongoing, while a one-year state moratorium on permitting data centers above 50 megawatts has created additional uncertainty but does not directly halt local reviews.