Batavia council approves amendment limiting data center water use, drawing public criticism
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Summary
The City Council approved a first amendment to the data center master services agreement that adds a 1,000 average daily gallon limit for cooling water and bars blockchain computation; the vote was 9–3 after public speakers urged clearer, written commitments on closed‑loop cooling and water sourcing.
The Batavia City Council on Tuesday approved a first amendment to the master services agreement with Batavia DC Corporation (doing business with data center operator Hut 8) that sets a cap on water usage for the facility’s cooling system and prohibits blockchain computation at the site.
The amendment, approved by a 9–3 roll call vote, includes a limit of 1,000 average daily gallons of water for cooling and specifies that drinking‑water supplies for human consumption must be handled separately from water and wastewater services for the data center’s cooling system. Council members voted in favor 9–3; Alderwoman Lehman, Alderperson Lohman and Alderperson Beck voted no.
The vote followed extensive public comment and debate about whether the amendment clearly requires a closed‑loop cooling system or the trucking in of water. Susan Russo, a Batavia resident who spoke during public comment, said the amendment is vague and “does not require Hut 8 to install a closed loop cooling system. It implies that it will.” She warned that “contracts that do not say what they mean to say are vague. Vagueness leads to litigation.”
Casey Hubert, another resident, urged greater transparency and more time for public review: “The source of our electricity and management of our water resources are critical to the future and well‑being of the Batavia community,” he said, adding that the council’s timeline had limited opportunities for residents to become informed.
A council summary provided by City Manager Laura Newman characterized the amendment as addressing council concerns about water use and confirmed that the data center had agreed to the 1,000‑gallon cap and to not conduct blockchain computation at the Batavia facility. Newman said the cap and the blockchain restriction were the material changes negotiated in response to council questions.
Supporters on the council emphasized the limited scale of the water request compared with other local uses. One alderman noted that a municipal fire truck carries about 1,000 gallons of water, and that a 1,000‑gallon daily use equates roughly to the indoor consumption of around 10 people. Several council members also said staff had been transparent and that the agreement was an economic development opportunity for the city.
Opponents said the amendment failed to put key operational commitments in explicit contractual terms (for example, explicitly requiring a closed‑loop cooling system or precisely identifying the water source), and they worried that the MSA permits assignment of rights to affiliates or future owners without the city’s prior written consent.
The council discussion noted that the amendment also addresses water and wastewater services for the site and that the mayor and staff had received additional public input in the weeks since the original master services agreement was approved. The amendment will be recorded with appropriate documents and staff will continue to monitor implementation, Laura Newman said.
No changes to the city’s electric supply agreement for the site were described in the amendment; the action before the council was limited to the first amendment to the master services agreement related to water, wastewater and prohibiting blockchain activities at the Batavia facility.
The council approved the amendment by roll call: Malone, Wolfe, Solfa, Barron, Pieper, Anderson, Vogelsinger and Lancey voted yes; Lehman, Lohman and Beck voted no. Two members were absent.
