(Michigan City, IN) - Construction of an over $800 million data center is proposed in Michigan City, but local officials right now are not interested.

 

The Indiana Economic Development Commission last month approved a 35 year data center sales tax exemption as an incentive for the unidentified company planning a data center at the former Anco windshield wiper plant on Royal Road.  The exemption would save the firm over $40 million in taxes over the lifespan of the agreement. 

 

According to the IEDC, plans for the data center will be finalized once an agreement has been reached with the city.  However, Mayor Angie Nelson Deuitch said the city is not pursuing the project since no formal agreement has been presented by the company for the city to consider. 

 

Deuitch said initial talks were held with the firm in May, but data centers are not huge job creators and nothing else substantial enough in long term value to the community was offered during the previous discussions, she said. 

 

About 30 jobs are projected to be created by the proposed data center, according to IEDC.  

 

“Unfortunately, the developer did not present any binding commitments that would ensure lasting benefits for Michigan City residents,” she said.

 

She indicated the project could still gain support from the city if an offer is presented that meets the criteria her administration uses to evaluate major developments.

 

“Michigan City welcomes innovation and responsible investment, but our administration will always advocate for economic growth that is equitable, transparent and in the public interest,” she said.

 

Data Centers have generated considerable opposition in communities like Valparaiso due to limited job creation and the huge demand data centers have for water and power to operate.