LIMA, Ohio (WLIO) – Following extensive discussion at a special meeting, Lima City Council voted to move forward with the sale of city water to the American Township data center known as Project BOSC.
The measure passed on a 6-2 vote, with Councilors Thompson and Jordan voting “no.”
Under the agreement, the company behind the data center — whose identity has not been disclosed because of non-disclosure agreements — will invest $13.7 million in water infrastructure improvements. The company also agreed to contribute to projects expanding Lima’s current water capacity.
In the proposed 20-year agreement, Lima Mayor Sharetta Smith said the data center company expects to use 5 million gallons of water per day, with a maximum of up to 10 million gallons daily. The projected usage has raised concerns among some residents about the city’s water capacity.
“With our 5 reservoirs right now, they hold about 15 billion gallons of water. And so, this customer's usage only would represent about 16% of that. Our current water treatment plant- we're able to treat about 30 million gallons a day. One of our largest customers now used to use about 8 million gallons of water a day, and they now since scaled back. And so, offering 5 million gallons a day to a customer is not unusual, so we have the capacity to do more. The customer will pay for what they use, not our ratepayers,” says Mayor Sharetta Smith, City of Lima.
Smith said the company will make a $500 million capital investment, calling it the largest private-sector investment in the region’s history. The artificial intelligence and high-tech data processing facility is expected to create 50 permanent jobs.
A groundbreaking ceremony is not expected to take place until at least 2026, Smith added.
