A point of discussion was the development agreement’s stipulation regarding water use. The agreement sets a cap of 43 million gallons per year at the end of a ten-year plan. This aligns with an existing irrigation well on the property, which permits 41 million gallons annually but can only be used in emergencies with approval from the Department of Natural Resources (DNR). The council emphasized proactive resource management, reflecting community concerns about sustainable water use. On the sewer side, the city’s existing treatment plant, now 25 years old, is limited to an average daily collection of 50,000 gallons. Discussions about infrastructure needs highlighted the importance of constructing a new water tower on the development site to accommodate increased demand. To address potential sewer capacity issues, the city is negotiating a capital improvement charge with the developer.

Energy management was another topic, with the council discussing assurances from Dakota Electric and Great River Energy. These companies have committed to covering infrastructure costs related to the development. Dakota Electric, in particular, has agreed to handle all upfront costs for necessary upgrades, which should alleviate potential financial burdens on the city and its residents. The discussions also emphasized that residential users would have priority in case of power outages, an aspect governed by regulatory frameworks in agreements with energy providers.

Noise pollution was addressed with the understanding that noise levels would be regulated by the Minnesota Pollution Control Agency (MPCA). If the development exceeds acceptable noise thresholds, the agency would enforce appropriate mitigation measures. Although the city’s noise standards are primarily vehicle-related, the stricter MPCA thresholds are expected to manage potential noise concerns effectively.

Financial incentives for the project were clarified, with assurances that the city has not received any requests for tax increment financing (TIF) or other tax subsidies to support the data center. Additionally, a park dedication fee amounting to $494,000, based on the city’s current plan, will be a one-time charge under the development agreement. This fee is intended to support community infrastructure and recreational spaces as the city grows.

The council also explored potential penalties for exceeding water usage limits, although specific penalties have not yet been established. This aspect remains under negotiation with Track, the developer, as the city seeks to finalize agreements that clearly define user responsibilities and consequences. The possibility of developing significant industrial user agreements was also mentioned.

Concerns about the financial implications of the project were addressed, with assurances that legal and engineering services engaged in the process would be covered under an escrow agreement. This arrangement ensures that the city does not directly bear these expenses, allowing for a more balanced financial approach to the project’s development.