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Commission approves construction-power agreement for proposed data center amid heavy public concern
Summary
The Pickwick City Commission adopted a resolution authorizing a temporary electric service agreement to supply construction power to the proposed J5 LLC data center, while a related AES franchise ordinance remains at first reading amid resident objections about eminent domain, on-site generation and long-term franchise terms.
The Pickwick City Commission on July 7 approved a resolution authorizing the city to provide temporary construction power for the proposed J5 LLC hyperscale data center and held a first reading of a related franchise ordinance that would allow AES Ohio to construct transmission facilities to serve the project.
The construction-power resolution, R-80-26, authorizes the city's municipal power system to provide up to 10 megawatts at transmission voltage for construction activities and requires the data-center customer to fund infrastructure improvements, post collateral and reimburse the city for related legal and consultant costs. "The agreement covers temporary construction power only up to a maximum of 10 megawatts at transmission voltage of 69 kV that will be used to build the facility," Power System Director RJ Monyer said during the presentation.
Why it matters: Residents raised sustained concerns during an extended public comment period about the long-term consequences of the project and whether the city is preserving its territorial rights to serve customers. Opponents warned of possible eminent-domain impacts, noise and emissions from backup generation, and that the city could be ceding future retail opportunities. Proponents said the project will bring major infrastructure investment and jobs.
What staff and developers said: Project and city representatives said the customer will fund the needed transmission line and substation construction, and that the assets will remain city-owned after construction. Matt McQuaid of the Pickwick Land Company said the campus will support peak construction employment of roughly 1,800 skilled-trade jobs and "50 permanent full time jobs" per building at full buildout. He added the project has committed an estimated $76 million in public infrastructure paid by the end user.
Opposition and questions: Jonathan Wessel, a longtime local commenter, framed the issue as a constitutional and territorial concern: "This only works if PICWA agrees to get it from the table," he said, arguing the city has an exclusive right under the Ohio constitution to serve customers inside city limits. Other residents asked whether on-site generation language in the agreements would permit nonemergency generators and pressed for more detail on water use and local environmental impacts.
Next steps: The AES franchise ordinance (O-7-26) had its first reading; staff said the franchise would permit AES Ohio to build facilities only to serve this customer and would prohibit AES from pursuing other customers in the city, with a penalty for violation. That measure will return for additional readings. The construction-power resolution R-80-26 passed on roll call during the July 7 meeting.
What to watch: Staff said infrastructure bids will be public and any contracts above statutory thresholds will return to the commission for award. Citizens asked that the commission delay further action until outstanding records requests and impact studies are made available.
