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As the construction of a data center looms in Michigan City, one resident and local activist said the land’s owners are not good neighbors for the community. “It’s deeply unsettling to have a neighbor that’s disrespectful and intimidating,” said Williams, Michigan City resident and executive director of Just Transition Northwest Indiana. “It’s not at all right. We already have a history of dealing with environmental issues across the city and a legacy of injustice, and this just exacerbates it.” Just Transition Northwest Indiana has launched its “30 Days of Accountability” campaign, which encourages Michigan City residents to come together and express concerns about the data center. According to JTNWI’s website, residents interested in assisting the campaign can be a community observer and document what they see at the site, volunteer with the organization and support efforts through outreach, research or public speaking. “We deserve better, and we know we deserve better,” Williams said. “We’re calling for them to do this. We’re asking for folks to join us, from academics, business owners, anyone and everyone to join us.” In September, the Michigan City Council passed four resolutions that would allow the construction of a data center at 402 Royal Road, which is currently owned by Phoenix Investors, according to Post-Tribune archives. A representative for Phoenix Investors was unable to immediately respond to a request for comment. Resolutions provided multiple tax abatements, designated the area as an economic revitalization area and approved a taxpayer agreement for “Project Maize,” also known as the data center location. The data center operator has yet to be announced, but Williams and other JTNWI members believe the end user will be Google. “We call on the Michigan City Common Council to demand an immediate halt to construction, full site remediation, and a comprehensive impact assessment at 402 Royal Road, and to revoke the tax abatements and hold Phoenix Investors accountable for exposing residents and our youngest generations to these hazards, so we can start to make things right,” Williams said. Residents, including Williams, spoke during public comment at multiple council meetings regarding the data center, voicing environmental, public health and financial concerns. A previous Phoenix Investors presentation said Michigan City is an ideal location for a data center because reusing an empty facility allows for a sustainable approach, its proximity to a NIPSCO substation, the available capacity for water supply and sanitary discharge, a low latency for users, it’s disaster-safe, and it has site-specific designs and a skilled workforce. The presentation also said the final economic impact for the city would be $26.1 million, and the city would feel about $6.6 million in the first 90 days. Chris Johnson, Michigan City Water Works Director, previously said the city has “more than enough” capacity left to supply water for a data center. Rick Calinski, director of economic development and public affairs for NIPSCO, said the utility will not raise customers’ electric rates to power the data center. Councilwoman Nancy Moldenhauer, D-6th, consistently voted against the resolutions out of concern for residents in the sixth ward, which is where the data center will be located. “I am concerned about pollution at brownfield sites like the Royal Road property and how it is handled, yet Michigan City is coordinating with (the Indiana Department of Environmental Management) and the develop to (ensure) Phoenix sets up a full information website of all permits, citations and responses for everyone to examine ongoingly,” Moldenauer said in an email to the Post-Tribune. Moldenhauer told the Post-Tribune that she doesn’t believe data centers belong in urban areas, but because the area is zoned as light industry, there wasn’t much the city could do to prevent a data center. In her email, Moldenhauer said the city has made several accomplishments to address data center concerns, such as an ordinance that sets the maximum sound level at 60 decibels instead of 65, which was originally proposed by the developer. The Michigan City Sustainability Commission also passed a resolution that requires “all Michigan City outdoor light fixtures be fully shielded with no light escaping above the horizon and that they be 3,000K or lower,” Moldenhauer said, adding that the developer also agreed to install sound level monitors by the roadside. Williams said JTNWI’s campaign launched after IDEM, on Oct. 9, cited Phoenix Investors with a violation letter at the data center site. The violation letter followed a Sept. 24 inspection that found violations in the uncontaminated soil policy, Williams said. According to the violation, IDEM found trichloroethylene, or TCE, which the National Cancer Institute defines as a “volatile, colorless liquid organic chemical” that can be found in air, water and soil. Williams said TCE has been linked to cancer, kidney disease, Non-Hodgkin’s lymphoma and cardiac defects. “They were transporting contaminated dirt and soil through our communities and past schools, where children, businesses and families all have potentially been exposed,” Williams said. “We felt very validated to see those violations handed down because it validates what our community has been saying all along.” Eileen Mark, another Michigan City resident, is involved with JTNWI’s accountability campaign. Mark’s concerns not only lie with the environmental and public health effects, but also with workers’ safety. According to a police report, a worker at the facility fell through the roof on Oct. 9. Mark owns an Airbnb in Michigan City, and she’s worried that the data center might impact her business, she said. “It could deter people from coming if the air smells like gas, or if there’s other issues,” Mark said. “Fortunately, I’m not very close to (the data center site), but I care about my neighbors and the ones who are close. It’s terrible that they’re going to have to live with this.” Dominic Yanke, a Michigan City resident and member of JTNWI, lives about three-quarters of a mile away from the proposed data center site, he said. Yanke has spoken about his concerns with the data center at Michigan City council meetings, detailing issues with dust that makes it difficult to drive down Royal Road and communicating with workers at the site about residents’ worries. “I’m concerned about the air quality for the most part,” Yanke said. “I have asthma, and there’s already days where the ozone’s too bad or other pollutants in the air are so high that I can’t even go outside. Or if I am outside, I start having trouble breathing.” Residents have been told that the data center will run backup generators once a month, Yanke said, which he said is “too much to have diesel fumes everywhere.” Although the noise at the data center will be lower than first expected, Yanke said it will “still be annoying” for those who live nearby. Yanke’s role in the accountability campaign includes taking photos of violations and environmental and public health concerns. He believes documenting issues will help residents build a better case against the data center. Through the accountability campaign, Mark said she plans to help with canvassing and encouraging people to watch More Perfect Union’s videos that show the negative effects of data centers. “It talks about Indiana being a target state for these data centers,” Mark said. “Since then, we’re seeing a lot of positive things happening in the way of shutting these down and sending them away. Where they’re going to go, we don’t know, but we have to fight for our own communities.” Mark would like to see more of a response from elected officials, including those in Michigan City and throughout the state of Indiana. “The opposition is going to continue growing,” Mark said. “When this thing’s up and running, and people can’t sleep because of the noise and light pollution, and the kids are on the playground breathing in diesel particles, and people start to get sick, people are really going to have opposition.” In a July 14 statement, Michigan City Mayor Angie Nelson Deuitch said city government officials were made aware of a potential data center development. Nelson Deuitch’s administration and council members entered into non-disclosure agreements to review the concept in a confidential executive session. The $800 million capital investment would come with “limited job creation and no assurances of community reinvestment or substantial tax impact,” Nelson Deuitch’s statement said. No formal agreement was reached at the time, the statement said, and it did not present binding commitments to ensure lasting benefits to Michigan City residents. “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,” Nelson Deuitch said in her statement. As the data center construction continues, Williams said it’s important for JTNWI members and Michigan City residents to stay vigilant and hold developers accountable. She wants more community members to see how big technology affects their lives. Williams would also like for JTNWI to be a resource for other communities that later have a data center. “A community doesn’t have to accept a data center, and they don’t have to be taken advantage of,” Williams said. “There’s other opportunities for the future of municipalities, so it’s important to stay vigilant and continue to provide all these platforms for people to take action.” mwilkins@chicagotribune.com
