The Ypsilanti Township Board of Trustees unanimously approved a resolution Wednesday calling for a 12-month moratorium on providing water to data centers. The move aims to slow development of a $1.2 billion computing facility jointly planned by the University of Michigan and Los Alamos National Laboratory.

The moratorium request highlights growing local concerns about data center expansion driven by Michigan’s tax incentives, with officials citing potential strain on water and sewer systems that have not undergone comprehensive capacity assessments.

The University of Michigan project could consume up to 500,000 gallons of water daily, according to university officials. The university said the facility will create 200 jobs and support public research in medicine, climate science, energy, and national security.

The Ypsilanti Community Utilities Authority’s wastewater treatment plant operates at limited capacity, township officials said. Providing service to multiple hyperscale data centers could impact the utility’s collection system and water-recovery facility, according to Luke Blackburn, the YCUA executive director. The resolution urges the utility to plan and complete environmental and water system studies before committing to serve data centers.

Water and Infrastructure Constraints

Doug Winters, the Ypsilanti Township attorney, said the township must “hit the pause button” on data center developments to assess potential impacts to the environment and the township’s ability to accommodate other businesses and housing. “You’re borrowing this land, these resources, from future generations,” Winters said. “You have the absolute responsibility to ensure that what you return to the waters is going to be safe.”

Blackburn said the utility would address the township’s moratorium request at a YCUA board meeting scheduled for April 22.

Data Centers in the Region

Beyond the University of Michigan project, similar facilities are advancing across the region. Thor Equities has proposed a data center in nearby Augusta Township within YCUA’s service territory that could use 1 million gallons of water daily, according to reports. That project faces a ballot question in August.

The University of Michigan, as a public university, is exempt from local zoning requirements and does not require township approval for its project. The university has described the facility as a “high-performance computing facility.”

State Incentives and Mounting Opposition

Developers are drawn to Michigan for data center projects because of its water, energy, and state tax incentives, Winters said. The township board is performing the environmental due diligence the state should have completed before approving those incentives, he said.

The resolution marks an escalation in the township’s opposition to the project. On March 31, the Ypsilanti Township Board adopted a resolution declaring opposition to siting the University of Michigan and Los Alamos data center project anywhere in the township. That earlier resolution emphasized concerns about Los Alamos’ role in nuclear weapons research and designated the facility as a potential “Tier 1” terrorist target that could transform the township into “a potential target zone.”

A Los Alamos official told The Michigan Daily in January that the laboratory would perform nuclear weapons research at the proposed facility.

Ypsilanti Township Supervisor Brenda Stumbo said during Wednesday’s meeting that she had not spoken with anyone who supports the data centers. “The stress that the state of Michigan has put on not only our residents, but on all residents in the state of Michigan, it’s unforgivable,” she said.

The YCUA supplies drinking water and sewer services to multiple communities in Washtenaw and Wayne counties.