Citizens group files lawsuit to halt construction of data center

JEFFERSON CITY, MO – A citizens group, Preserve Montgomery County, LLC has filed a lawsuit in Cole County circuit court seeking to halt construction of a data center in Montgomery County.

 

The proposed data center project requires the county to issue $35 billion in revenue bonds to fund the project with the data center receiving at least $245 million in tax abatement.

 

The lawsuit alleges Montgomery County officials violated several provisions of the Missouri sunshine law including the failure to properly notify the public of planned meetings, improperly conducting closed door meetings, and entering into nondisclosure agreements, all in connection with the approval of the data center project.

 

Also, the lawsuit alleges the Missouri Department of Economic Development failed to properly administer and monitor the $5 million grant awarded to Montgomery County for the mega-site project.

“We believe it is wrong for our county officials to sign nondisclosure agreements and hold closed door meetings with the data center developers,” said Tom Westhoff, a local resident. “The lack of transparency with the public is irresponsible.

 

“It is certainly questionable whether a trillion dollar company really needs any tax abatement,” said Harry Cope, a local business owner and farmer. “Although the data center would pay some taxes, the Montgomery County R-2 school district loses out on an estimated $195 million dollars.”

 

“The data center is projected to consume millions of gallons of groundwater annually,” said John Bognar, a registered hydrogeologist. “But, the information relied upon by the data center to show there is “plenty” of groundwater is based on a report issued by the Missouri DNR in 2020, which obviously does not include water usage by any data center in this immediate area.”

 

“This is about protecting our way of life,” said Sharon Ridgley, a local resident. “It is about a legacy of grit, determination, and farming traditions that we all love, and we refuse to stand by and watch it be destroyed.”

 

The lawsuit seeks to invalidate all approvals and agreements made by county officials concerning the data center, based on noncompliance with the Missouri sunshine law and other laws. The lawsuit also requests the Missouri Department of Economic Development revoke the grant agreement with the county and recover all funds paid to the county based on the county’s multiple and ongoing violations of state law.