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Lowell Township Rejects Data Center Moratorium as Microsoft's $1 Billion Plan Sparks Recall Threats

Lowell Township rejected a data center moratorium in a 2-5 vote despite resident opposition and recall threats. Microsoft is considering a $1 billion hyperscale data center campus at the Covenant Business Park in the township.

By||3 sources cited

A divided vote and a furious crowd

Lowell Township residents booed their elected officials last week after the board rejected a proposed moratorium on data center development. The 2-5 vote came as Microsoft considers building a $1 billion hyperscale data center campus at the Covenant Business Park in the township, just outside Grand Rapids.

The decision ignited immediate backlash from attendees at the May 18 township board meeting. Some residents called for the recall of board members who voted against the moratorium.

"Look out into this audience. You have an audience full of people who are willing to help you in this fight. Wouldn't you like to be known as the township that fought back against the data center and won?" said Jessica Mazarka, a resident who spoke at the meeting.

What the vote means for Lowell Township

The moratorium would have paused data center approvals for six months while the township developed specific regulations for the industry. Instead, the board chose to form a committee to draft a future data center ordinance.

Andy Vander Ziel, a Lowell Township trustee who voted against the moratorium, said the township needs outside expertise before making its next move.

"I am not a subject matter expert. We need to bring those people in around us, 'phone a friend,' so to speak. We need to be able to be open to have those conversations," Vander Ziel said, according to Michigan Public.

Microsoft's $1 billion proposal

Microsoft told Michigan Public it is committed to responsible development and plans to work with local officials and residents as it refines its application for the Covenant Business Park site.

"We are focused on making sure our presence adds value and respects local priorities, and we look forward to continued collaboration with township officials and community members as we listen and refine our application to reflect those priorities," a Microsoft spokesperson said.

The proposed campus has drawn attention because of Michigan's growing appeal to data center developers. The state's cool climate and freshwater resources make it an attractive location. But those same advantages have raised concerns among residents about water use, electricity demand, and the long-term impact on local infrastructure.

A state at a crossroads

Lowell Township's decision stands in contrast to neighboring communities taking different approaches. Meridian Township, east of Lansing, voted unanimously on May 19 to adopt a six-month moratorium on data center construction and approvals.

Scott Hendrickson, Meridian Township Supervisor, said his community has not received any data center proposals yet. He wants time to build a regulatory framework before an application arrives.

"Do I think that Meridian Township is the best place for a data center? No. But, in the off chance that someone does, we want to make sure that we've got a regulatory framework in place to handle that and keep our residents' interests safe," Hendrickson said.

As of May 2026, more than 15 data centers have been proposed across Michigan. At least 19 communities, including Detroit, have passed or proposed moratoriums, according to reporting from the Detroit Metro Times.

What happens next in Lowell

The Lowell Township board's new committee will work to draft a data center ordinance. Residents can attend future meetings and provide input on proposed regulations.

The recall threats against board members who opposed the moratorium remain active. Residents who supported the ban said they are willing to help organize next steps.

Microsoft's application for the Covenant Business Park site remains under review. The company has not announced a final decision on the project.

data centersMicrosoftLowell TownshipmoratoriumrecallCovenant Business Park

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