Cannon Falls City Council Divided Over Data Center Project as Community Voices Concerns

The Cannon Falls City Council meeting focused heavily on a proposed data center project, sparking debate among council members and residents. The project, supported by some for its potential financial benefits to local schools, faced opposition over concerns about environmental impact, transparency, and long-term community implications. The council ultimately voted in favor of granting a conditional use permit for the data center, with four members supporting the measure and two opposing it.

The data center project, proposed by the company Track, promises a potential financial boon for the Cannon Falls Area Schools, with discussions of a $13 million agreement over 20 years. School officials, including the board chairman and superintendent, advocated for the project, highlighting the critical role it could play in bridging funding gaps and supporting educational opportunities. They emphasized the importance of collaboration with Track to ensure the project’s benefits align with the district’s needs.

Concerns ranged from the transparency of the agreements to the potential environmental and infrastructural impact. Norah Felton, a resident, questioned the decision-making process and urged for greater due diligence. Dean Couts highlighted that a portion of the community opposed the project, advocating for an environmental assessment to understand the facility’s potential negative consequences. Similarly, Tammy Riker presented a petition with nearly 600 signatures against the data center, citing rising utility costs and legal issues in similar projects in other cities.

The council faced pressure to ensure a review of the project, with residents like Peggy Lake urging for an environmental impact study to assess the local wells and surroundings. Concerns about job creation and utility costs were also prominent, with speakers noting that data centers typically offer limited employment opportunities post-construction. The potential rise in property taxes and the impact on the town’s character were additional points of contention among residents.

Despite these concerns, some voices, like Ferland Miller, argued in favor of the data center, pointing out the potential increase in property values and community growth. Miller presented the project as an opportunity for Cannon Falls to partner with a company willing to invest locally.

The council’s decision to approve the conditional use permit came after considerable discussion about the project’s implications. One council member pointed out the lack of tax incentives in the agreement, emphasizing that the development was largely at the developer’s expense rather than subsidized by the city. The council was also informed about the project’s alignment with the city’s infrastructure capabilities and growth potential.

Another aspect of the meeting was the discussion on the development agreement, which included clauses about infrastructure improvements and water use. The developers committed to funding over $5 million in necessary enhancements, such as water and sewer main extensions and a new water storage tank, aimed at addressing current system vulnerabilities and supporting future demand. The agreement specifies that no tax abatements were requested, with developers offsetting water and sewer access charges through substantial capital improvement fees.

Community members raised concerns about the agreement’s flexibility, particularly regarding potential future fee adjustments. Some council members expressed discomfort with the rapid changes to the agreement’s language, advocating for more time to review the implications. Despite this, the council proceeded with a roll call vote on the development agreement, resulting in a split decision.

The meeting also touched on other community matters, including the approval of a street reconstruction project, local event announcements, and updates on public initiatives like a new library food shelf. However, the data center project remained the focal point, with its potential to shape Cannon Falls’ future development and community dynamics.

Note: This meeting summary was generated by AI, which can occasionally misspell names, misattribute actions, and state inaccuracies. This summary is intended to be a starting point and you should review the meeting record linked above before acting on anything you read. If we got something wrong, let us know. We’re working every day to improve our process in pursuit of universal local government transparency.
Mayor:
Matt Montgomery
City Council Officials:
Ryan Jeppesen, Chad Johnson, Diane Johnson, Laura Kronenberger, Chris Nobach, Lisa Zimmerman

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