Facing legal threat, Inver Grove Heights officials approve data center carve-out
Inver Grove Heights officials voted 3-1 to remove a specific data center developer, HUE LEVER LLC, from a previously enacted moratorium, effectively approving the project. This decision was made under the threat of a lawsuit from the developer, which could have cost taxpayers millions. Residents who had opposed the data center expressed disappointment at the outcome.
Inver Grove Heights, a Twin Cities suburb, recently faced a legal challenge that forced its city council to go against the wishes of some residents regarding a data center project. Despite passing a moratorium on data center construction over the summer due to public outcry, the city council voted 3 to 1 to remove a specific developer, HUE LEVER LLC, from the moratorium's scope.
The developer had threatened legal action, arguing that their proposal met all legal requirements and the city could not reject it. The city's attorney advised that losing in court could cost taxpayers at least $20 million, leaving councilors feeling constrained. This vote effectively satisfied a legal settlement, allowing the HUE LEVER LLC data center to proceed.
Residents like Zain Hebert, who believed the issue was settled until next year, expressed significant disappointment, stating the "overwhelming sentiment" was that they had lost this battle. The three councilors who voted for the carve-out declined to comment, while the lone dissenting councilor, Married to Kash, acknowledged that communities like theirs often underestimate the rapid changes in data center development.
Another vote is scheduled for September 28th for the major site plan review. According to attorneys, city councilors are bound to approve this, and it is at this stage that the developer is expected to agree to projected metrics.