01/21/2026
The following emails between Committee member Regis Klingler and City Council member Derek Perry are being shared to help citizens to stay informed regarding important potential projects the City Council is considering.
As you can see, Regis has done extensive research on the subjects.
Derek, I understand that the City of Marshall can't do exclusionary zoning. The City can create a zoning section for data centers or strengthen existing zoning ordinances. Solar and wind production is certainly in line with I-1 and I-2 uses like machine shops, light manufacturing, industrial assembly and other power generation uses. There are already special sections in Marshall zoning for solar, wind and data towers.
Cities and Townships across Michigan are doing just that. That are placing moratoriums on data centers to give them time to study. learn, and put in place zoning restrictions, not exclusions, on data centers. Bay City is doing this even though it has not been approached by developers https://www.wnem.com/2025/12/30/resolution-prepares-potential-data-center-bay-city/ . The City of Mason, Jim Durian's hometown coincidentally, has recently done this also Read more on Mason pauses data center approvals as council seeks public input at https://www.wilx.com/2026/01/06/mason-pauses-data-center-approvals-council-seeks-public-input/. Allen Park did this in the past week https://www.facebook.com/share/1CUUuNKTsP/. I know that Howell Twp and Lowell Twp have also put moratoriums on data center development in place after being approached by developers.
So why can't Marshall be proactive like these other cities? Residents have clearly shown their opposition to data centers. So the City can't exclude data centers completely, but they can certainly develop meaningful restrictions on data centers. The fact that the City LDFA has signed a purchase agreement with Alterra, does not mean there is an active project or request for site plan approval in process at this time. That was made clear by both the City and Alterra. In the meantime before Alterra, or some other developer, files for a site plan approval, why doesn't the City be proactive and do its homework and institute restrictions either specifically for data centers or that strengthen existing I-1 and I-2 zoning requirements? Those requirements should include:
Mandatory closed loop cooling for data centers.
A strict noise limit of 85 dBa on the site of data centers and power generating turbines to protect workers and no more than 50 dBa at the property line to protect neighbors and users of Stuart Lake and the Brooks Nature Center.
A requirement that any needed transmission, distribution or generating facilities needed by Marshall Electric Dept, be fully reimbursed initially and throughout the life of the data center.
A requirement that any effect on the surrounding water table or Stuart Lake, by construction of the data center and power plant, and "mitigation" of wetlands is fully paid for and restored by the developer.
Some of these requirements are specific to the proposed data center and power generation at Brooks Industrial Park, but they should be applied to all data centers proposed for land that the City of Marshall owns or controls. Some of these requirements are covered by State level permits, but specific requirements for environmental and health protection can also be implemented at the Local level.
Even with closed loop cooling systems, data center development in Michigan will use lots of water for makeup water and for new required power generation. The local power generation that Alterra is proposing will require water makeup on its steam systems. Statewide, if new power generation is required using natural gas turbines or nuclear power, water use will increase for those power uses also.
Here is a good article from Bridge Michigan covering that topic: https://bridgemi.com/michigan-environment-watch/report-states-like-michigan-simply-not-prepared-for-data-center-water-demand/?utm_source=Bridge+Michigan&utm_campaign=6effa3719b-Enviro+Watch+12%2F30%2F25&utm_medium=email&utm_term=0_c64a28dd5a-6effa3719b-83170476
Outside of Marshall, the development of data centers will certainly increase rates for customers of the State utilities and ultimately Marshall City Electric Customers. If even a portion of the proposed data centers are built, new generation and transmission facilities are going to be needed to meet that demand. Those facilities take years, if not decades, to build. In the meantime, there will be shortages of both, which will mean increased prices for companies, utilities (including Marshall and the Coop it belongs to) for transmission of wholesale power. Here is a very interesting view on those increased costs by a utility transmission engineer who is very familiar with that topic of concern.
https://www.facebook.com/share/p/1bmAJ3PWJm/
At the very least Marshall should place a hold, or moratorium, on data centers and associated power generation, and do its own research to identify and address the many problems associated with data centers. There is much public information and SMEs out there who can assist the City with that. The City should then put in place needed restrictions on data centers and associated power generation. The City needs to be proactive on data centers and not reactive. Listen to what people in the City and the State are saying about data centers, and the consequences they have already caused around the country.
Regis Klingler
Concerned Marshall Resident
https://www.facebook.com/share/p/1bmAJ3PWJm/
On Fri, Jan 9, 2026 at 11:24 AM Derek Perry wrote:
Good morning Regis:
Local government units can modify their zoning ordinance and classifications, but it can't be in an effort to be exclusionary to a particular project or use, which is the concern. The Brooks Industrial Park was purchased, zoned, developed and intended for industrial use and specifically the I-1 portions are designated for less intense industrial uses (research, technical, etc.). My worry is that an intentional carving out of "data centers" would be difficult to defend in that it's similar to allowed light manufacturing, laboratories, indoor warehousing, machine shops, packaging and assembly operations. The current public discourse is no data centers, and under Michigan law, that's not permissible.
Now the proposed associated power generators are a more intense use and would fall into the I-2 classification as it expressly allows for power plants/central stations with a Special Land Use. This actually prompted a rezoning of several of the Brooks I-1 parcels to I-2 in 2018 to accommodate the land purchased for the now defunct Marshall Energy Center plan.
Questions and concerns related to the site plan, impact of water supply, wetlands, noise and energy use are items that we and our State regulatory partners can control and mitigate. In fact, we plan to recommend that we add developing and implementing a noise ordinance to the City’s 2026 Action Plan. This would be applicable City wide and provide a mechanism to enforce noise level standards outside of zoning for a variety of loud and nuisance noise creators.
Respectfully,
DEREK N. PERRY
City Manager
[email protected]
Direct: 269.558.0315
323 W Michigan Ave.
Marshall, MI 49068
cityofmarshall.com
CONFIDENTIALITY NOTICE: This e-mail message, including any
attachments, is for the sole use of the intended recipient(s)
and may contain confidential and privileged information. Any
unauthorized review, use, disclosure or distribution is
prohibited. If you are not the intended recipient, please
contact the sender by reply email and destroy all copies of the
original message.
From: Regis Klingler
Sent: Wednesday, January 7, 2026 5:20 PM
To: Derek Perry
Subject: Zoning on Data Centers
*********(
Derek, help me to understand why the City can't change the zoning ordinances for industrial, I-2 or developing a separate special zoning for Data Centers. I can see that if the developer has already submitted their application info and site plan that would be the case. As of now the developer has presented the idea of a data center, but there has been no formal submittal of plans, permits and other design information. If that is true, wouldn't that prevent the City from changing the Industrial zoning requirements anytime a developer came to the City and said I am thinking of doing this project, whether it is a solar field, meat-packing plant, machine shop or other. The developer says, I have to do some preliminary research, ie, due diligence, before I am ready to apply for a site plan permit, but hold off on changing any zoning requirements until after I do. Would the City really accept that? Is the City even legally able to do that?
Regis Klingler
Concerned Marshall Resident
