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Council forms TIF review committee as residents voice strong concerns about proposed data center
Summary
The council formed a review committee for a proposed TIF district along Yukon Parkway and appointed Rodney Zimmerman (chair) and a planning commission representative. During public comment, multiple residents raised environmental, water-supply and infrastructure concerns about a proposed hyper-scale data center and referenced a pending state bill to impose a moratorium.
The Yukon City Council voted Feb. 3 to form a review committee to evaluate a proposed tax-increment financing (TIF) district along Yukon Parkway from 10th Street to Main Street and to nominate Rodney Zimmerman as committee chair and a planning commission representative (Mister Nuckols). The committee will include taxing jurisdiction representatives, planning commission representation and public/retail stakeholders and will meet in public under open-meetings rules.
Council described the committee s the mechanism to examine whether a TIF district is appropriate, to review proposed geography and to make recommendations back to the council. The council said one potential development discussed by the Yukon Economic Development Authority is a multiuse project across from Yukon High School that includes a $17 million recreational facility, hotel, sports medicine health-care facility, restaurants and retail. Staff emphasized the TIF committee must define the district's exact boundaries.
During the public comment period, residents raised objections to a proposed hyper-scale data center in the area and urged more study. Jonathan Downey (616 Beckman Court) told the council the data center would demand large quantities of water (he cited 5,000,000 gallons a day), could require new transmission lines and substations paid by ratepayers, employ relatively few local workers, and create air-quality and public-health concerns because of diesel backup generators. Residents referenced Senate Bill 1488, a state proposal to place a multi-year moratorium on data centers, and urged the council to delay action until broader review is complete.
Council members and staff said the TIF committee's work will include public input and interaction with taxing jurisdictions; they recommended interested citizens review the January Yukon Economic Development Authority materials to understand the proposed development. No formal development approvals were taken on Feb. 3; the council's action was to form the review committee and appoint members.
Next steps: The TIF review committee will meet publicly to define geography, analyze potential tax capture and return a recommendation to the council.
