Festus City Council Election Reflects Backlash Against Data Center Development

In a significant municipal election, voters in Festus, Missouri, ousted four incumbent city council members shortly after the council approved a controversial development agreement for a $6 billion hyperscale data center. This election, characterized by high voter turnout and widespread dissatisfaction with the approval process, resulted in a reshaping of half the eight-member council.

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On March 30, 2023, the Festus City Council approved a deal with CRG, a subsidiary of Chicago-based Clayco, for a data center planned on 360 wooded acres in the city. The approval sparked a backlash against large-scale data center projects across the United States, with residents expressing concerns over transparency and the handling of the development agreement. Critics allege that the council engaged in unlawful "spot zoning," violated Open Records Law, and failed to provide adequate public notice for key meetings.

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The election saw the defeat of incumbents Jim Collier, Brian Wehner, Bobby Benz, and Jim Tinnin, with new council members Karl Weekley, Allen Joseph McCarthy, Dan Moore, and Rick Belleville pledging to prioritize transparency and oppose the data center project. The opposition group, Wake Up JeffCo, has initiated a recall effort targeting the mayor and remaining council members, aiming to replace them with leaders who would terminate the development contract.

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City Attorney Brian Malone defended the council's actions, stating, “The City of Festus took all steps required by law to enact regulations applicable to data centers.” Meanwhile, Clayco's founder, Brian Clark, acknowledged the company's need to build community support for the data center project.

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Residents have expressed frustration over the perceived lack of transparency in the council's decision-making process. Emails and texts obtained through public records requests revealed political support for the project that extended to Missouri Governor Mike Kehoe, who was reported to have lobbied planning commissioners. Critics argue that the council's actions have undermined public trust and led to significant electoral consequences.

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The newly elected council members are expected to be sworn in soon and will face immediate decisions regarding the future of the data center project. Additionally, the opposition's lawsuit will continue in St. Louis County Circuit Court, challenging the legality of the development agreement. Missouri Republican Senator Josh Hawley has also introduced legislation aimed at imposing stricter regulations on data centers to mitigate their impact on local residents' energy costs.

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• “It’s really the way the deal was handled that led to this kind of uprising,” — Rick Belleville, Newly Elected Council Member

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• “The City of Festus took all steps required by law to enact regulations applicable to data centers, to annex property, to rezone property to I-1, and to approve a development agreement,” — Brian Malone, City Attorney

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• “Clayco's founder, Brian Clark, told First Alert 4 that the company had work to do to convince the community that the data center was a good idea.” — Brian Clark, Founder of Clayco

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