City Council Votes to Pause Industrial Development Amid Community Concerns

PORTAGE, Mich. — The City of Portage has voted unanimously to impose a one-year moratorium on any new data centers and electrical battery storage facilities in town, but community members say they would prefer a permanent ban.

During a public hearing Tuesday night, residents expressed frustration that existing high-tech plants have already driven up utility bills in neighboring communities and pose real physical and environmental dangers.

Cheryl Lathrop, a Portage resident, said her Consumers Energy bills are already high enough.

"The high-tech plants can create brand new kinds of cataclysms that most local public safety departments are not equipped to handle," said Jason Mikkelborg and Katelyn Clarey.

Council Votes to Pause Until Regulations Are Updated

Without further discussion, the city council voted to impose the moratorium until the end of this year, or until officials can put city zoning and ordinance amendments in place to regulate these operations.

Mayor Pro Tem Jim Pearson addressed the community during the hearing.

The vote was unanimous.

State Approves Massive Battery Projects While Communities Push Back

While Portage pauses consideration, the Michigan Public Service Commission has approved six energy storage projects totaling 1,332 megawatts of capacity. These contracts include:

  • 450 MW Big Mitten Energy Center
  • 350 MW Monroe I Energy Center
  • 200 MW Fermi Energy Center
  • 132 MW Fish Creek Energy Center
  • 100 MW Cold Creek Energy Center
  • 100 MW Pine River Energy Center

The last three contracts will serve a 1,383 megawatt data center being developed by Green Chile Ventures LLC in Washtenaw County's Saline Township.

"In researching the options for amending our city code, we decided that as a proactive measure, we should recommend a temporary moratorium for those types of uses in the Portage area," said Peter Dame, chief development officer for the City of Portage.

Community Concerns Include Noise, Water, and Safety

Portage officials noted the city has not received any applications for either facility type, but recent proposals in surrounding townships prompted the discussion to get ahead of the issue.

"We have an opportunity to evaluate what we need to do to make sure the city is protected," Dame said.

The concerns residents have raised include:

  • Facilities are very large but don't have many employees
  • Noise and vibration issues
  • Proximity to residential areas
  • Depletion of water resources
  • Environmental impact

Placement Already Regulated Under Current Zoning

According to Dame, placement of large industrial facilities within Portage would come with limitations already in place, including size and location restrictions.

"This type of use in a city would be regulated already and would typically be steered into an industrial zoned area," Dame said.

The city council's unanimous vote reflects a growing trend across Michigan as local communities push back against rapid industrial development while state regulators move forward with approvals.