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Leonard Calls for Data Center Moratorium

Petition for a Repeal of All Corporate Welfare and for a One-Year Moratorium on Data Center Construction in Michigan
To: Governor Gretchen Whitmer, Michigan State Senate, Michigan State House of Representatives
We, the undersigned residents, business owners, and community members of Michigan, respectfully petition the Michigan State Legislature to immediately enact a one-year moratorium on the approval of new data center construction permits throughout the state and immediately repeal all legislation that gives corporate welfare subsidies to data centers.
WHEREAS:
• The Michigan legislature has passed legislation that takes millions of dollars from every day citizens and gives it to big tech data centers in the form of corporate welfare;
• Michigan’s citizens are already burdened by skyrocketing energy costs and data centers consume extraordinary amounts of electricity placing unprecedented strain on Michigan's electrical grid and contributing to rising residential energy costs;
• Data centers require millions of gallons of water daily for cooling operations, threatening Michigan's precious freshwater resources, agricultural needs, and the sustainability of local aquifers and infrastructure;
• The rapid proliferation of data center proposals across Michigan is occurring without meaningful community input, adequate environmental impact assessments or local infrastructure planning;
• Current zoning regulations and approval processes were not designed to address the unique challenges posed by industrial-scale data center operations, including 24/7 noise pollution, massive heat generation, and limited local employment benefits;
• Some local governments are signing non-disclosure agreements, keeping their citizens in the dark;
• Michigan residents are bearing the infrastructure costs of data center expansion through utility rate increases, while many data center operators receive substantial tax abatements and special commercial electricity rates;
• Other states have successfully implemented data center regulations after recognizing the need for comprehensive planning and community protections;
THEREFORE, WE CALL UPON THE MICHIGAN STATE LEGISLATURE TO:
1 Immediately pass legislation to repeal all tax subsidies that are given to data centers in the form of corporate welfare.
2 Enact an immediate one-year moratorium on the approval of pending or new data center construction permits, effective upon passage, to allow for comprehensive planning and policy development;
3 Conduct thorough environmental impact assessments examining the cumulative effects of data center development on Michigan's electrical grid capacity, water resources, air quality, and noise pollution;
4 Develop comprehensive statewide regulations governing data center siting, operations, and community impact, including:
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Mandatory water usage limits and conservation requirements,
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Energy efficiency standards,
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Noise pollution controls and setback requirements,
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Fair cost-sharing for infrastructure upgrades,
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Ensuring local control is paramount in the permitting of data centers.
5 Establish a transparent public review process requiring meaningful community input and local government approval before any data center project can proceed;
6 Ensure equitable rate structures that prevent residential ratepayers from subsidizing data center infrastructure costs while operators receive discounted commercial rates;
7 Create accountability mechanisms to ensure data center operators fulfill commitments regarding job creation, environmental protections, community benefits, and that local governments cannot legally sign non-disclosure agreements.
This moratorium is not anti-technology or anti-development.
It is a common-sense pause that will:
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Preserve local control,
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Prevent taxpayer dollars from going to data centers,
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Prevent higher electricity rates,
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Protect our natural resources, especially our water, and
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Allow Michigan to develop smart, sustainable policies that balance economic development with the protection of our communities, environment, and quality of life.
We urge the Michigan State Legislature to act swiftly to protect Michigan communities and ensure responsible, accountable development for our state's future.