Farmington city officials entered into a non-disclosure agreement with a data center developer more than six months before residents learned of a plan to build a sprawling facility on the outskirts of town, raising questions about transparency surrounding the controversial project.
Five city leaders in October 2023 signed the three-page document, which the Minnesota Star Tribune obtained through a public records request. It bars them from sharing information about the project that Tract, the developer, deems confidential, including discussions related to service requirements and utility capacity.
Tract and the city haven’t named the company that will occupy or manage the dozen planned data center buildings — windowless warehouses that contain hardware that powers computers and phones. That’s frustrated neighbors who want more details about the 2.5-million square foot development proposed just 250 feet from their homes.
“I feel that the NDAs … are the means of how these developers keep the city quiet,” said Nancy Aarestad, who lives one street away from the proposed site. “We don’t know what’s even being kept quiet.”
Farmington Economic Development Director Deanna Kuennen said in an email that it’s “fairly common” for developers to request cities sign NDAs, which allow them to shop different locations and negotiate purchases before publicizing an official project. Farmington officials have signed at least five such agreements since 2018, according to documents the Star Tribune obtained.
Officials in other cities, from nearby Hampton to North Mankato, have also signed NDAs related to potential data centers as the facilities have proliferated in recent years. That concerns advocates for government transparency.
Don Gemberling, a spokesman for the Minnesota Coalition on Government Information, said state statute stipulates all government data is public, unless state or federal law classifies it as protected.
“A non-disclosure agreement is neither a statute nor a federal law,” Gemberling said, meaning government entities “can’t sign an agreement that makes data not public.”