Over the past year, residents have scrambled to organize against data center companies that are pushing to move next door. But, figuring out how land is approved in Marion County is confusing.
So, Mirror Indy broke down the land petition approval process.
How do residents learn about data center proposals?
The Metropolitan Development Commission, also known as the MDC, is a nine-member board that approves zoning changes. When a company submits a petition to change land usage rules, in most cases, they must notify:
- Property owners within two properties of the petition or within 660 feet of the property (whichever is less)
- Neighborhood representatives
- City-county councilors
What is the approval process?
Tech companies have taken two different approaches to getting their projects approved by the Metropolitan Development Commission. One process requires companies to go before city-county councilors for approval and the other doesn’t.
- A data center developer can file a rezoning petition, which reclassifies what can be built on a property. For example, if a company wants to build a data center on land that is zoned for residential use, it needs to file a rezoning petition to allow for a specific type of industrial classification. It needs approval from the MDC and the City-County Council.
- If the land is already zoned industrial the developer can request a variance. A variance will allow for specific exceptions for what can be built, such as adjusting requirements related to building height. This process doesn’t require the council’s approval.
You can also compare it to ordering food at a restaurant.
- If you already have a bacon cheeseburger, but you want to change it to a bacon chicken sandwich, that would be the same as rezoning property.
- If you have a bacon cheeseburger and you only want to add toppings that aren’t typically on it, such as mushrooms, that would be the same as a variance.
What does a city planner do?
While keeping state statutes in mind, a city planner reviews the land use petition, documents of support from utility companies and other agencies and letters from residents, which can be sent to PlannerOnCall@Indy.gov.
Then, they make a recommendation to the Metropolitan Development Commission’s hearing examiner.
Who approves zoning changes?
Zoning changes go before the MDC’s hearing examiner, Judy Weerts Hall, at 1 p.m. typically on the second and fourth Thursday of the month.
The process includes 15-minute presentations from the petitioner, representatives of the data center company, and remonstrators, which are community members against the proposal. After that, each side will be allotted roughly 5 minutes each for rebuttal before a councilor representing the district can provide comments.
Then, Weerts Hall will announce her decision to approve or deny the proposal. So far, she has been in favor of data center proposals in Franklin Township and Center Township.
Next, her recommendation is submitted to the MDC.
What if I disagree with the hearing examiner?
Either side has the ability to file an appeal, allowing the petitioner and remonstrators to present their case to the MDC. If an appeal isn’t filed, the MDC will adopt the hearing examiner’s recommendation.
Some zoning changes, such as land variances, receive final approval from the MDC. That’s the case for Sabey Data Centers in Decatur Township. Others must go before the City-County Council.
When does a proposal go before the City-County Council?
All rezoning proposals are packaged together and approved by the City-County Council as a unit, not individually. However, the councilor representing the area where the proposal is located can call down a petition. Then, councilors can vote on whether or not they want to discuss the issue, such as Google’s data center proposal in Franklin Township. If so, the majority of councilors who are present must agree to discuss the proposal at a later date.
If discussion is approved, the petitioner and remonstrators will present to city-county councilors. Community members need 15 councilors to vote against the proposal in order to block it.
Residents can voice their concerns by contacting their councilor individually or the entire council.
Who approves tax incentives for data centers?
If a company’s zoning proposal is approved, it will work with the Indianapolis Economic Development Inc., a city nonprofit in charge of business development, if they applied for tax incentives.
The MDC approves incentives for projects, which can be voted on at the same time as the land change, such as with Google’s data center proposal, or separately.
If a proposal is not in a tax increment financing district, which is an area with adjusted property tax rules to incentivize developers, it only needs MDC approval. Metrobloks and Sabey’s petitions aren’t located in TIF districts, so they won’t go before the City-County Council.
If it is in a TIF district, it must be approved by the City-County Council.
Want to keep up with data center conversations? Indy Documenters often cover the meetings. 📝 Read their notes.
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Mirror Indy reporter Elizabeth Gabriel covers the south side of Marion County. Contact her at elizabeth.gabriel@mirrorindy.org. Follow her on X at @_elizabethgabs.
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