Champaign County Commissioners release statement on proposed data center

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As questions continue to circulate regarding the Highland Real Estate development and the possibility of a data center project in Urbana, the Champaign County Board of Commissioners has released the following letter to city officials and members of the media for clarification and transparency. The full text of the release appears below:

Dear Urbana City Officials,

Over the last several weeks, members of the Champaign County Board of Commissioners have been approached by citizens in our community, including members of the Urbana City Council, regarding the Highland Real Estate Development and the possible building of a Data Center. Through these inquiries, it has become clear to the Commission that there is substantial misinformation regarding the Commission’s involvement in this development and any legal authority the Commission may have to regulate or curtail the development of any Data Center that may be built.

Given the number of inquiries received by the Commission, including inquires made from members of the Urbana City Council, this letter is being presented to you in-order-to provide specific information regarding the Commissions involvement in this development. Additionally, a copy of this letter is also being provided to members of the media in-order-to provide community transparency regarding the issue and to encourage an open legislative process that allows for citizen inquiry.

In March of 2024, the Board of Commissioners were approached by representatives from Highland Real Estate (“Highland’) along with government officials from the City of Urbana and CEP Director Richard Ebert. During this meeting, City officials introduced the Board of Commissioners to representatives from Highland. It was explained to the Board of Commissioners by the City officials that Highland was working on constructing a proposed housing development behind Walmart in the City of Urbana. During this meeting, Highland expressed interest in purchasing property for a separate project, on South State Route 68, for the purpose of developing an industrial park. Highland indicated that they desired to purchase land from private owners and they also expressed an interest in purchasing adjoining land from the County. While it was understood by the Commission that there would be industrial development at this location. at no time was it represented to the Board of Commissioners that a data center was being contemplated as part of the development.

The Commission evaluated the potential sale of the land sought by Highland and considered the potential of a new industrial park at the proposed location. The Commission noted that such a development had the potential to bring new jobs to our community, increase the local tax base and is consistent with current area usage along the State Route 55 corridor. Additionally. development in this location could include a beneficial road from State Route 68 to Route 55 and is consistent with the countywide Champaign County Comprehensive plan. With these factors in mind, in June of 2024, the Board of Commissioners voted unanimously for Champaign Economic Partnership to act as the County’s economic development agent for the purpose of entering a multi-year option to sell the property to the developer on behalf of the County.

In recent weeks, it has come to light industrial development contemplated by that the the developer may include the building of a data center. This development of a data center at this location has given rise to significant community interest. Questions have been posed to the Board of Commissioners regarding the effect a data center would have on water usage and/or quality, energy consumption and strain on the local grid along with a host of other questions regarding zoning and development. While the Commission is concerned about the same issues that the public conversation has centered around, the fact is that Champaign County Board of Commissioners has not been privy to the formation of a development plan involving a data center or any other potential use in the proposed industrial park.

Furthermore, all of the parcels involved in any potential development including a data center are wholly within the corporation limits of the City of Urbana. Therefore, the Champaign County Board of Commissioners has no role or legal authority to impose zoning restrictions, conditions, permission or denial regarding a project being developed wholly within the City of Urbana. While the Board of Commissioners are also interested in learning of the possible effects and benefits of a proposed data center that may be coming to the area, those issues must be dealt with by City government.

The Board of Commissioners is confident that members of the City Administration and City Council have a strong desire to do what is best for the citizens of our community. The planning of such a development is certainly a heavy burden as it requires you to balance the public interest of development while preserving the quality of life within our community. The Champaign County Board of Commissioners wishes to extend our gratitude for your service in government and to extend our best wishes to you as you strive to serve our community in overseeing this project.

Sincerely,
CHAMPAIGN COUNTY BOARD OF COMMISSIONERS