Inver Grove Heights has reached a pivotal moment in its ongoing debate about data centers. The City Council has approved a one-year moratorium on new data center development, including a proposed project at 5842 Carmen Avenue East, but now faces pressure to adjust that decision.
Moratorium Passes Despite Tensions
On June 26, the council voted 3-2 to enact a one-year moratorium on data center construction and expansion across the city, including the pending application for the Carmen Ave site. Supporters cited concerns over noise, energy use, traffic, and community impact. Dissenting votes noted potential legal exposure, as the project developer claims losses could reach up to $150 million if blocked. The moratorium was approved in part to allow time for broader study of such impacts.
Residents Organize, Petition Filed
Inver Grove residents have mobilized around the issue. One organized citizen petition submitted enough signatures to trigger an Environmental Assessment Worksheet (EAW) process—a statutory review that could delay the project further. Public meetings have become heated, with many sharing firsthand concerns about how the project might affect quality of life.
Navigating Legal and Ordinance Changes
On August 10, the City Council approved the first of three readings of an ordinance that could remove the proposed Carmen Ave project from the moratorium. The second reading is scheduled for the next regular council meeting on August 24, when public input will again be considered. Legal counsel has warned the city about the financial risks involved with restricting a proposal that’s already in process.
What Comes Next
The upcoming council meeting will be critical. If the ordinance passes the remaining readings, the Carmen Ave development could be exempted from the moratorium. Meanwhile, the EAW petition process continues, potentially shaping how data center reviews are handled in Inver Grove Heights going forward.
For residents concerned about the proposed ordinance, the city is accepting emailed comments up to noon on August 24, and public comment will be heard in person at the council meeting that same day.