Overview:

- Saline Township resident Kathryn Haushalter's motion to intervene in the settlement between a data center developer and the township is denied by a judge Friday.
- The data center developers have already paid DTE Energy a nonrefundable $40-million deposit and $2 billion in specialized equipment has been ordered, says an attorney for the landowners and developers.
- Haushalter and other residents filed a separate complaint against Saline Township Jan. 28 that makes what is known as a mandamus claim.

A Washtenaw County judge Friday denied a Saline Township resident’s motion to intervene in the settlement that allowed a $7-billion Oracle and OpenAI data center to move forward.

Kathryn Haushalter alleged the township did not vote in public to settle a lawsuit filed by data center developer Related Digital, in violation of the Open Meetings Act, and that she has a right to intervene as a nearby landowner.

Robby Dube, Haushalter’s attorney, argued during a Friday motion hearing that the consent judgement between the developer and the township enabled a form of conditional zoning that is barred by the township’s zoning ordinance.  

The zoning issue renders the consent agreement void, Dube said.

Washtenaw County Circuit Court Judge Julia Owdziej sided with lawyers for Saline Township and the developer, and said by-right intervention is not possible in a closed case. 

The request was untimely, as it was made several months after the consent judgement was signed by the court, she said. 

The consent judgment was entered Oct. 15. 

Although Saline Township’s meeting minutes for the vote on the consent agreement suggest it occurred in a closed session, Owdziej said, she said she can’t ignore what occurred. The video shows the vote occurred in an open meeting, the judge said.

Saline Township attorney Fred Lucas and Clerk Kelly Marion previously told Planet Detroit the vote to move forward with the settlement was held during a crowded meeting Oct. 1, but a clerical error in the meeting minutes makes it appear as though it was done in a closed session.

Alan Greene, an attorney for landowners and developers, said delaying the data center project would be prejudicial to the parties obligated to comply with the consent judgement.

“Governmental agencies, utilities, contractors, subcontractors, workers, suppliers, investors and lenders have all relied on this consent judgment, and they’ve made substantial commitments and expenditures of time and money and effort,” he said. 

The data center developers have already paid DTE Energy a nonrefundable $40-million deposit and $2 billion in specialized equipment has been ordered, Greene said. 

Court hearing follows months of resident pushback on data center

The Saline Township data center has generated significant statewide pushback over concerns that it could prolong the state’s dependence on fossil fuel power generation or leave residents paying for stranded assets if the project leaves before grid investments are recouped.

The legal settlement at issue Friday followed a  Sept. 10 vote by the township board to deny the rezoning of 575 acres needed for the project. 

Landowners and project developer Related Digital sued the township in Washtenaw County Circuit Court days later, alleging the township’s refusal constituted exclusionary zoning barred by the Michigan Constitution. This occurs when “a community unreasonably excludes a legitimate land use,” the lawsuit said.

Dube expressed disappointment with Owdziej’s decision in a press call after the hearing, and said developers are ignoring data centers’ impacts on water resources, electricity prices, and the availability of farmland.

“They see vulnerable communities, they move in, they go after them, and they sue them if they don’t bend,” he said.

Friday’s hearing is just one step in a process, and Haushalter has not decided if she will appeal the decision or file a motion for reconsideration, Dube said. 

Haushalter and several other residents filed a separate mandamus complaint Jan. 28 in Washtenaw County Circuit Court against the township, alleging the Saline Township Zoning Board of Appeals failed to hold a required hearing on a permit for temporary structures and fencing for the data center. 

A mandamus claim says a unit of government has no choice but to take a given action. 

The complaint says the township clerk refused to publish a notice in a newspaper regarding the township board’s Jan. 14 adoption of a rezoning amendment to its official zoning map for the data center property.

Planet Detroit contacted a township attorney for comment on the complaint. 

🗳️ What’s next? Tips for civic action

Why it matters
⚡ Opponents of the  Saline Township data center say it could impact DTE Energy customers’ bills, which the utility denies. Supporters of the project like Gov. Gretchen Whitmer say it will create thousands of temporary construction jobs, hundreds of permanent jobs, and bring tax dollars to local communities.

Data center power demands could make it more difficult for the state to meet its climate goals, depending on what generation sources are used.

Who’s making civic decisions
🏛️ Washtenaw County Circuit Court Judge Julia Owdziej will decide on Kathryn Haushalter and others’ mandamus complaint. 

What to watch for next
🗓️ Any action taken by the Washtenaw County Circuit Court on Kathryn Haushalter and others’ mandamus complaint, and any potential appeal of Friday’s decision by Haushalter’s attorney.

⭐Please let us know what action you took or if you have any additional questions. Please send a quick email to connect@planetdetroit.org.

MORE ON THE SALINE TOWNSHIP DATA CENTER

Brian Allnutt is a senior reporter and contributing editor at Planet Detroit. He covers the climate crisis, environmental justice, politics and open space.