Overview:
- A data center project in Saline Township moves forward after the community, developer sign consent judgment.
- The deal calls for millions in funding for farmland preservation and community investments.
- Related Digital alleged in its lawsuit that Saline Township engaged in "exclusionary zoning."
Saline Township settled a lawsuit earlier this month filed by a developer and landowners over the township board’s vote to deny rezoning for a large data center development.
A consent judgment filed Oct. 15 in Washtenaw County Circuit Court allows the data center project in the community of 2,277 people to go forward.
The deal includes $4 million for a township farmland preservation trust fund; $2 million for a community investment fund; $8 million for area fire services; protections for area water resources; and a decommissioning fund for the facility.
Approximately 200 acres of wetlands, open space, and agricultural land on the data center site will be preserved for agricultural use, with the exception of 47.5 acres of wetlands that will be protected with a conservation easement.
Water at the site will not be used for cooling, and the facility will have its own well and waste treatment system. The settlement imposes a noise limit of 55 decibels on the data center development.
Attorneys warned residents and officials the lawsuit could be amended to include potentially significant monetary damages.
The township regards the settlement as “the lesser of two evils,” municipal attorney Fred Lucas told Planet Detroit, adding that other communities fighting large data center projects may have more room to push back.
“Every community is different,” Lucas said. Saline Township’s predicament is largely the result of its absence of industrial areas, he said, allowing landowners and a LLC affiliated with developer Related Digital to argue the community engaged in “exclusionary zoning” by not allowing the project.
Data center settlement earmarks millions for Saline Township
The data center is slated to occupy 250 acres on 575 acres of agricultural land north of Michigan Avenue. The township board voted 4-1 to deny rezoning of the property Sept. 10. The project is in conflict with the township’s master plan, and the fire department and emergency services are not adequately prepared, Treasurer Jennifer Zink said at the time.
Related Digital sued the township two days later.
Saline Township is one of three Washtenaw County communities facing data center proposals, and some residents are raising concerns about impacts to water resources, energy reliability, and increasing utility costs from the facilities , which can use as much energy as a city and hundreds of thousands of gallons of water a day.
Related Digital spokesperson Natalie Ravitz said in a statement that tax revenue from the project would provide Saline Township with at least $1.6 million annually through 2039, and $8 million would go to area schools each year.
“We are pleased by the Board’s vote and that we were able to reach a resolution that allows this important project to move forward in a responsible way, with great long-term benefits to the surrounding community and respect for township’s character and heritage,” Ravitz said.
Related Digital owns 476 acres in neighboring Bridgewater Township and committed to Bridgewater in writing that it will not develop the property, Ravitz said.
Lucas said the settlement contains important protections for the community, including a commitment not to expand the facility, and money for farmland preservation.
The consent judgment calls for a total of $4 million in funding from Related Digital for a trust fund to preserve agricultural land in Saline Township and $2 million for a community investment fund to pay for projects like playgrounds and the upkeep of township buildings and cemeteries.
The addition of an industrial site in the community could insulate the township from further charges of exclusionary zoning, Lucas said — which Related’s lawsuit said occurs when “a community unreasonably excludes a legitimate land use.”
“The key thing is to ensure that we can try to avoid further development of this sort,” Lucas said.
Saline resident: Community should ask more of data center developer
Saline Township should have either asked for significantly more from the data center developer, or elected not to settle, said resident Tim Bruneau.
Bruneau is concerned that a requirement that the facility forgo a “high-water-use evaporative cooling” system will mean it uses more energy, he said.
A July University of Michigan report says that using less water for cooling requires facilities to employ more energy-intensive cooling systems.
The township’s lawyers scared the board by bringing up a $50 million judgment against a northern Michigan community in a zoning dispute, Bruneau said. Township attorney Lucas previously said this kind of outcome is “rare, but it’s not impossible.”
Bruneau said the township could have asked Related Digital for more, saying the amount of money the township received is “probably a joke for them.”
Related Digital is a development and investment platform launched by Related Companies, a real estate firm that says it has over “$60 billion worth of development and acquisition activity.” The founder of Related Companies is prominent University of Michigan donor Stephen Ross.
Lucas said the settlement provides money for protecting agricultural land that would have otherwise been out of reach for the township.
“If they had lost in court, (they) wouldn’t be getting all the protections we’re getting them.”
🗳️ Civic next steps: How you can get involved
Why it matters
⚡Data centers have large energy and water demands that environmental advocates argue could jeopardize Michigan water resources and state climate goals.
Who’s making civic decisions
🏛️ With this settlement, the Saline Township Board has approved Related Digital’s data center development. Pay attention to township board and planning meetings for further developments as this project unfolds.
How to take civic action now
- 📅 Attend Saline Township Board meeting 7-8 p.m. Nov. 12 at the Saline Township Hall, 5731 Braun Road, Saline, MI 48176. The Saline Township Planning Commission next meets 7-8 p.m. Dec. 2 at the township hall.
- 📩 Email Contact Saline Township via email at salinetownship@gmail.com or by mail at 4254 Arkona Rd., Saline, MI 48176.
What to watch for next
🗓️ Related Digital has said it plans to start work on the data center this fall.
Civic impact
🌍 Engaging with public officials on data center projects is one way residents can shape the impact these developments will have in Michigan.
⭐ Please let us know what action you took or if you have any additional questions. Please send a quick email to connect@planetdetroit.org.
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