Saline Township Votes for Smaller Tax Abatement, Data Center Developer Considers Options

Wednesday night, the Saline Township board voted 5-0 to approve a tax abatement on $4.6 billion of investment at The Barn, the Related Digital/Oracle data center development on the west end of the township. That was the value of the development estimated last fall when the township and development lawyers agreed to a consent judgment to settle a lawsuit brought against the township for denying a rezoning of the land for the data center. Last week, however, the developers revealed their development would be worth more than $43 billion. The consent judgment called for a "maximum exemption," or a 50 percent break for 12 years, and the developers sought that tax break on the $43 billion development.

The developers are looking hard at the township's decision.

"We are evaluating the validity of the Board’s actions, as well as their legal obligations under the consent judgment, which we view as inconsistent with what occurred. We have no further comment at this time,” said Related Digital spokeswoman Natalie Ravitz.

The crowd that packed the Saline Township meeting Wednesday cheered when the board voted to pass the limited tax break. After almost two hours of at times contentious public comment, Trustee Dean Marion motioned to pass the Industrial Facilities Exemption Certificate requested by the developers, recommended by the township's attorneys, and called for in the consent judgment. Marion's motion was not supported.

"I can't," said Gary Luckhardt, who opposed the data center rezoning when he was on the planning commission.

The audience erupted with cheers.

Luckhardt said he was swayed by the public comment, especially the words of Eric Grossman and Jim Laramie.

Luckhardt said the showing of public opposition to the project would have made things "a lot easier" if it had been shown six months ago. He noted that at times, the public treatment of the board and planning commission was not fair.

"At the end of the day, I've got to sleep a night," Luckhardt said.

Marion made the motion to pass the IFEC, but at the lower level it was at in October 2025. The motion was seconded by Luckhardt.

It was passed by a 5-0 vote.

The meeting began with Supervisor Tom Hammond listing the advice of attorney Dave Landry, who was used specifically for this case.

"The township has been ordered by the court to approve the IFEC. To deny the IFEC would be a violation of the court order. The township does not have the ability," Hammond said, reading the correspondence from Landry.

Hammond said violating the court order could expose the township to billions of dollars in damages. Referencing Landry's letter again, he noted the consent judgment offers protections to the township, like keeping the center on the current 250-acre footprint, or the provisions limiting water usage. Another provision would prevent the property from being sold or leased to an entity that could avoid paying property taxes, like a university.

"I think there are things built in (the consent judgment) to help affect us as much as we possibly can," Hammond said. "I just don't think it will be beneficial to our community, not only for the financial loss, but for the issues that are going to come up on a daily basis."

It appeared the meeting might then pivot to the board voting on the tax break. Residents demanded a public comment session. Hammond warned the public to settle down or risk being thrown out by the Michigan State Trooper there to keep an eye on things.

"If we're not allowed public comment before a decision, how else are we supposed to be heard," one man asked.

Hammond relented, and the board amended the agenda to allow comment before the vote.

One of the early speakers was Saline Township resident Erik Grossman.

"I was wondering why you can't make a motion that says we agree to a tax abatement of 50 percent for a period of 12 years on $4.8 billion outlined in the consent judgment. Would it be in keeping of the boundaries of the consent judgment?" Grossman asked. "The real issue is they discussed numbers in the consent judgment but they've got a much higher number now."

Grossman suggested if the developers wanted to fight the difference, the township could hire an attorney.

"Money from this data center is going to be there to help you fight the data center," Grossman said, calling it data center money a lottery ticket.

Jim Laramie, of Saline Township, echoed Grossman's call for an abatement on a smaller number. He said the tax abatement request amounted to a $4,000 subsidy for every person in the township.

"We are subsidizing Oracle? They threatened us. Nobody wanted it. You voted against it and they threatened to bankrupt the township," he noted. "We signed the contract on their supposedly good-faith estimate of $4.5 billion, that's what we should be negotiating on, not $45 billion."

Jeff Parness told the board that he led the effort in Scio Township to stop a Consumers Energy plant.

"You are not alone. Communities all around the United States are facing these tsunamis. This is happening in our 250th anniversary of our country. This is ultimately about our life, liberty and the pursuit of happiness. They all have choices to make. Are they with the British, with the loyalists or with the Patriots?" he said. "There are resources out there, experts who could stop this on a technicality."

He said he'd be willing to help the township put together a fight against the data center.

Another woman referenced the July 2025 planning commission agenda, which included the original data center proposal.

"You will see how they were deliberately misleading us right from the beginning," she said. She pointed to a proposal for two Walmart-sized buildings and 200 employees.

"That was absolutely a lie."

Saline Township resident Chris Boulter said many of the arguments he'd heard that night "held water," but he didn't know whether the township could fully consider them, noting the deadline to agree to the tax abatement was within the week.

"Right now, time is on Oracle's side because we have to agree or disagree on this literally next week, I believe," Boulter said.

He said he's not sure there's enough time for the township's attorneys to vet the ideas brought up by the public.

Comments were made by dozens of others, including County Commissioner Shannon Beeman, and politicians from Ypsilanti and Ann Arbor.

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