Urbana council tables data center settlement proposal for second time
Urbana City Council voted 4-2 to table a proposed settlement with Thor Equities for a disputed data center project, delaying a decision for the second time. The settlement would resolve Thor’s federal lawsuit but impose environmental, infrastructure, tax and community safeguards, while residents continue opposing the development.
Urbana City Council postponed consideration of a proposed settlement with Thor Equities for the Urbana Technology Hub data center, voting 4-2 to table the agreement until Nov. 3. The settlement would require Thor to dismiss its federal lawsuit, waive tax abatements, pay the city up to $50 million, fund environmental and utility studies and upgrades, and meet additional emergency response, cleanup and community hiring requirements.
The lawsuit followed Urbana’s approval of a 12-month moratorium on new data centers and repeal of zoning rules that permitted them. Mayor Bill Bean supports the settlement as a way to end costly litigation and provide protections and revenue, while residents have raised concerns about noise, water pollution, transparency and the project’s proximity to Cedar Bog, a school and a long-term care facility. The city has also placed a proposed ban on future data centers and a mayoral recall question on the November ballot.