KY city may seize land to protect drinking water supply from massive data center
Ashland officials are considering using eminent domain to seize land for a proposed $12 billion data center in Northeastern Kentucky. The city aims to protect its vital Ohio River drinking water intake system, which runs through the 500-acre site. Negotiations with the property owner, Cleveland-Cliffs Inc., for access to the infrastructure have stalled, while Rubix Data Centers seeks to develop the site.
Ashland, Kentucky, is contemplating the use of eminent domain to acquire portions of a 500-acre former steel plant site to safeguard its drinking water supply from a proposed $12 billion hyperscale data center. Ashland City Attorney Andrew Wheeler has recommended that city commissioners evaluate this legal action to protect the city's critical raw-water intake lines, which traverse the property. The site, owned by Cleveland-Cliffs Inc., is under consideration by Rubix Data Centers for a massive data center campus.
Negotiations between Ashland and Cleveland-Cliffs Inc. regarding access to the water infrastructure have reportedly stalled, prompting Commissioner Richard "Sonny" Martin to indicate that the city commission will advance an eminent domain measure if a planning and zoning application for the data center is received. This potential clash pits Ashland's vital public resource against a significant economic development project, with city officials concerned that the data center's construction could disrupt the essential water system.
Ashland recently lifted a five-month moratorium on data center construction by approving a modified zoning ordinance imposing strict regulatory limits within city limits. While Ashland planning and zoning officials have not yet received a development application for their portion of the site, Rubix Data Centers has informed Russell officials that the majority of its proposed 2-gigawatt data center would fall within Russell's city limits, which also shares the former AK Steel Ashland Works site.