Council OKs data center agreement

The Festus City Council in Missouri recently approved a data center development agreement with CRG Acquisition in a 6-2 vote, despite vocal opposition from numerous residents. The proposed project, a $6 billion initial investment on 361 acres, faced criticism regarding transparency, potential environmental impacts, and concerns over increased utility rates. Residents, many speaking against the project at a special meeting held at Festus High School, accused city officials of rushing the process and circumventing Missouri's Sunshine Law through alleged closed-door meetings. City attorney Brian Malone outlined the substantial financial benefits for Festus, including $8 million annually in utility tax, increasing to $22 million by 2031, $40 million in community benefit payments, and $89 million in property tax and PILOTs over 25 years. The agreement also mandates infrastructure upgrades and a new firehouse, and is projected to create 150 jobs. Mayor Sam Richards maintained that the opponents do not represent the majority of citizens and affirmed his belief that the project would be a boon for the city. CRG President Chris McKee and Clayco-CRG founder Bob Clark expressed their satisfaction with the council's decision, emphasizing a long-term commitment to Festus and Jefferson County, focusing on job creation and economic benefits. However, opposition leaders like Travis Layton and Chris Ganey criticized the agreement's wording and the lack of a public vote. The "Wake Up Jeffco" group, represented by attorney Steve Jeffery, vowed to continue fighting the project, citing concerns about electricity and water rates, noise, health, and property values. Jeffery also raised questions about unverified reports of gravesites on the property and urged investigation by the State Historic Preservation Office. Despite the council's approval, opponents declared that their fight is "just begun."