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Concerns raised about Michigan City data center at IDEM meeting

December 10, 2025 by Chicago Tribune

For 33 years, in her career as a nurse, Michigan City resident Donnita Scully has worked with children who have asthma so bad that they can’t catch their breath to walk.

Now, Scully is worried that an incoming data center development will exacerbate respiratory problems, including asthma, for Michigan City residents.

Debra Shore, former regional administrator for EPA Region 5, speaks during a public meeting on the draft air permit for Lavender Fields Holdings LLC to bring 70 diesel backup generators online for their data center in Michigan City on Tuesday, Dec. 9, 2025. (Kyle Telechan/for the Post-Tribune)
Debra Shore, former regional administrator for EPA Region 5, speaks during a public meeting on the draft air permit for Lavender Fields Holdings LLC to bring 70 diesel backup generators online for their data center in Michigan City on Tuesday, Dec. 9, 2025. (Kyle Telechan/for the Post-Tribune)

“In our region, we already have greater than the state average level and also respiratory illnesses, and then now you’re going to bring these diesel pollutants into our community,” Scully said. “When you make decisions, you should make decisions based on the region and the county. … This is really going to affect us in a negative way.”

The Indiana Department of Environmental Management hosted a public meeting Tuesday night for an air permit that, if approved, would allow 70 diesel generators at a Michigan City data center site.

More than 30 speakers expressed concerns for the air permit and the environmental impact that the Project Maize data center will have on their homes, schools and city.

Jenny Acker, air permits branch chief in the IDEM Office of Air Quality, answered questions about the proposed permit. Acker told speakers that she could only answer questions about the permit, and any other concerns will have to be addressed by other IDEM branches.

IDEM air permits branch chief Jenny Acker, center responds to a question during a public meeting concerning a draft air permit for Lavender Fields Holdings LLC to bring 70 diesel backup generators online for their data center in Michigan City, on Tuesday, Dec. 9, 2025. (Kyle Telechan/for the Post-Tribune)
IDEM air permits branch chief Jenny Acker, center responds to a question during a public meeting concerning a draft air permit for Lavender Fields Holdings LLC to bring 70 diesel backup generators online for their data center in Michigan City, on Tuesday, Dec. 9, 2025. (Kyle Telechan/for the Post-Tribune)

Acker also encouraged speakers to submit written comments to get answers.

Before construction and operation of the data center can begin, the company must receive the permit from IDEM, according to the Environmental Law and Policy Center.

The site would have 66 diesel-fired critical emergency generators “that would have no control device to limit emissions and would exhaust outdoors,” according to the Environmental Law and Policy Center. It would also have “insignificant activities,” which include two diesel-fired site entrance emergency generators, two diesel-fired fire pump emergency generators, and 70 belly tanks with a “a maximum storage capacity of 5,373 gallons to store fuel with no control devices.”

Ashley Williams, Michigan City resident and executive director of Just Transition Northwest Indiana, has been outspoken about her opposition to Project Maize for months.

LaPorte resident Jason Teets speaks during a public IDEM meeting on the draft air permit for Lavender Fields Holdings LLC to bring 70 diesel backup generators online for their data center in Michigan City on Tuesday, Dec. 9, 2025. (Kyle Telechan/for the Post-Tribune)
LaPorte resident Jason Teets speaks during a public IDEM meeting on the draft air permit for Lavender Fields Holdings LLC to bring 70 diesel backup generators online for their data center in Michigan City on Tuesday, Dec. 9, 2025. (Kyle Telechan/for the Post-Tribune)

“Tonight, we are trying to take back our power,” Williams said Tuesday. “We demand that you deny the permit for 70 uncontrolled diesel generators, engines so secret their details are redacted from the public. These generators will operate within one mile of our schools, our green spaces, our homes, of nurses, teachers, retirees and loved ones.”

Williams asked for an extension of the public meeting, she said Tuesday, but IDEM denied that request. An IDEM official previously told the Post-Tribune in an email that in addition to not postponing the meeting, Dec. 15 is the deadline for written comments.

Acker reiterated Tuesday that IDEM saw no need for an extension. She told meeting attendees that the agency has to rely on federal and state regulations and requirements, and they cannot deny the permit as long as it meets those requirements.

“If we’ve done our job, and we believe we have, the permit that is public does contain all federal and state requirements that are applicable to the source, and such as being protective of human health and environment,” Acker said. “Barring comments that would cause us to believe something needs to be corrected in the permit, if the permit is correct, if it contains all federal requirements, then we will issue the permit.”

IDEM employees air permits branch section chief Heath Hartley, on left, and air permits branch chief Jenny Acker, look through documents as they answer questions during a public meeting concerning a draft air permit for Lavender Fields Holdings LLC to bring 70 diesel backup generators online for their data center in Michigan City, on Tuesday, Dec. 9, 2025. (Kyle Telechan/for the Post-Tribune)
IDEM employees air permits branch section chief Heath Hartley, on left, and air permits branch chief Jenny Acker, look through documents as they answer questions during a public meeting concerning a draft air permit for Lavender Fields Holdings LLC to bring 70 diesel backup generators online for their data center in Michigan City, on Tuesday, Dec. 9, 2025. (Kyle Telechan/for the Post-Tribune)

Chris Cleveland, a La Porte resident, said Tuesday night that it’s “widely known” that Michigan City “cut a horrible deal” on the data center.

“The odds that (the operator) will actually comply with the rules that you set for them are very, very low,” Cleveland said, asking if IDEM has included city or county officials in their discussions.

Acker told Cleveland that they sent notice to local government officials about the permit, and they’ll follow up when a decision is made.

“Do we reach out to them and engage them in the permitting process? No,” Acker said. “We understand the regulations and the requirements, and we follow them. A councilman doesn’t because they’re not trained to do that analysis and we do.”

Just Transition NWI executive director Ashley Williams speaks during a public meeting on the draft air permit for Lavender Fields Holdings LLC to bring 70 diesel backup generators online for their data center in Michigan City on Tuesday, Dec. 9, 2025. (Kyle Telechan/for the Post-Tribune)
Just Transition NWI executive director Ashley Williams speaks during a public meeting on the draft air permit for Lavender Fields Holdings LLC to bring 70 diesel backup generators online for their data center in Michigan City on Tuesday, Dec. 9, 2025. (Kyle Telechan/for the Post-Tribune)

Michigan City Councilwoman Nancy Moldenhauer, D-6th, also spoke Tuesday night, saying she wants stricter emission standards for the end user. Once completed and operating, the data center will be located in Moldenhauer’s ward.

In addition to stricter emission standards, she’d like to see filters installed that can capture particulate matter to reduce pollution, high-grade diesel fuel and a limit on the number of generators, Moldenhauer said.

Moldenhauer would also like to see Indiana consider using battery storage systems at sites like Project Maize.

“I think that we as a state should seriously consider using other ways to back up energy when it’s necessary, especially when it’s close to where people live,” she said. “As people have said, there’s three schools (nearby) … There are several residential areas and also golf courses right next to the facility. … I think it’s important for people to know about alternatives and what could be considered.”

Acker said that IDEM cannot require the operator to use battery storage because that is not what state and federal regulations mandate.

“The requirement to use battery storage, if it’s coming in other states, it’s because the other state has required above and beyond what the federal regulations are requiring,” she added. “If you want to see battery storage as an alternative in this state, you need to go to your legislators and push for some state rules that require that type of energy storage.”

The end user for the data center has yet to be announced, but some Michigan City residents suspect it will be Google.

The Michigan City Common Council, in September, passed four resolutions that would allow the construction of a more than $800 million data center at 402 Royal Road, according to Post-Tribune archives. The resolutions provided multiple tax abatements, designated the area as an economic revitalization area and approved a taxpayer agreement for Project Maize.

Local politicians and Local 150 have expressed concerns that the project has hired out-of-state workers instead of union and local workers, and according to Local 150, the project has received $42 million in tax incentives through the Indiana Economic Development Corporation.

Kelley Smith, an administrator for the Michigan City Mayor’s Office, previously told the Post-Tribune that Project Maize is a private project and the city isn’t involved with the construction. Smith said Nelson Deuitch is supportive of the local workforce, and other unions are working at the site, including Local 210 plumbers, Local 1485 carpenters and Local 531 electricians, according to Post-Tribune archives.

“Neither the mayor nor any other city official can decide who gets hired to work at Project Maize,” Smith previously said. “The city does not have the authority to tell any private developer building a private project that they must fire their current workers and give those jobs to local people.”

mwilkins@chicagotribune.com

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