Festus approves development agreement for data center

News Clip1:49KSDK News·Festus, Jefferson County, MO·3/31/2026

The Festus City Council approved a controversial development agreement for a $6 billion hyperscale data center, despite significant community opposition. Residents, concerned about property buyouts, job allocation, and water usage, have initiated a lawsuit following the 6-2 council vote. The approved agreement includes voluntary home buyouts within 1000 feet and a cap on the data center's daily water consumption.

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Gov: Festus City Council, Festus City Attorney's Office, Police Department
The Festus City Council recently voted 6-2 to approve a contentious development agreement with CRG for a hyperscale data center off Highway 67. The decision was met with vocal opposition from hundreds of residents who do not want the data center, expressing their disapproval with shouts. CRG, a developer owned by Clayco, plans to construct a $6 billion facility on over 360 acres of wooded land. Festus City Attorney Brian Malone highlighted that the deal is projected to generate $1.3 billion for the area. Key changes to the agreement included extending the timeframe for voluntary buyouts for homes within 1000 feet of a data center building, and mandating a water infrastructure plan that caps the maximum daily water usage by the data center. Despite promises of thousands of temporary construction jobs, speakers at the meeting noted that local unions were not guaranteed these positions. The agreement does include a commitment for 150 permanent jobs, which Festus resident Austin Jackson believes would benefit the community. Residents, including Rosalind Daniels and her daughter Mercy who were offered buyouts, expressed uncertainty about their future. In response to the council's approval, residents have united to file a lawsuit, although the specific nature of the legal action remains unclear.