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City council votes to approve $6B data center despite citizens showing up in droves to oppose it

"You are putting the city at risk."

A tense town hall meeting with attendees in red shirts protesting against a data center proposal.

Photo Credit: X

The Festus City Council approved an ordinance that essentially opens the door to build a $6 billion data center project despite major pushback from residents, St. Louis NPR reported

Developer CRG, the data center arm of area developer Clayco, wants to build a data center on roughly 360 acres north of Highway 67 in Missouri.

During Monday's special meeting of the city council, Festus council members voted on an ordinance that created a framework of requirements for data center developer CRG, such as requiring it to pay for infrastructure upgrades to water, sewers, and streets if the data center is built.

The meeting was held at Festus High School, and its gym bleachers were filled with residents who oppose the project. Protest signs and raised fists were visible among the sea of attendees as a flood of complaints and jeers poured from the crowd.

Though 39 people signed up to speak, Mayor Sam Richards cut off public comment after two hours and gave 25 residents the opportunity to voice their concerns.

One of these residents, Lauren Albers, lives just three houses down from the edge of the zone where the developer CRG has said it will offer buyouts to homeowners.

"I am not against growth," Albers said, per St. Louis NPR. "I'm against putting data centers between homes. I am against rushing into development before residents get real information, real answers, and a real voice."

Like several others who spoke at the meeting, Albers believed the city council had already made up its mind on the proposal.

The council's 6-2 vote in favor of the developer sparked significant outcry.

"You are putting the city at risk," declared resident Matthew Ramsbottom, per St. Louis NPR.

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City Attorney Brian Malone defended the project, explaining that even with a five-year tax abatement, the project could garner $80 million in tax money annually for Festus.

The council's decision has added to growing tensions nationwide between tech companies and local communities over data center construction. 

But as some areas fail to stop construction of data centers, other parts of the country prevail. One Kentucky family turned down a $26 million bid to sell their farmland to data center developers, and Maine just became the first state to ban construction of data centers for a year.

Data centers are often criticized for their impact, as they consume substantial amounts of energy and raise electricity prices for residents, require massive amounts of water, and threaten public health through pollution and excessive sound.

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