Rochelle Council Reviews Project Crossroads Data Center Proposal

ROCHELLE — The Rochelle City Council reviewed a draft development agreement for the proposed Project Crossroads data center during a discussion Monday night. Interim Rochelle City Manager Sam Tesreau said the agreement with Midwest Power Investors is about 95 percent complete and would allow a Phase One data center of up to 300,000 square feet south of Interstate 88 near Steward Road and South Main Street. Electric service would be capped at 50 megawatts, with all electric infrastructure, water system expansion, and roadway improvements paid for by the developer. Water use would be limited to 50,000 gallons per day. City officials said existing ratepayers would not see added utility costs. The facility would use city owned fiber internet. The developer has requested a Lee Ogle Enterprise Zone tax abatement but no other incentives. Staff estimated the project could generate $300,000 to $400,000 dollars a year for the city and nearly double utility tax revenue, while schools would receive the largest share of property taxes, estimated at about $3.5 million a year after abatement. Any future expansion by the developer would require a new agreement and council approval, and the proposal will return at a later meeting for possible action.