JANESVILLE — The city of Janesville is expected to begin seeking proposals to bring a data center to the former GM/JATCO site on the city’s south side.
After the recent acquisition of the property, developers have approached the city inquiring about the site’s potential for hosting a data center, according to a news release.
A data center is a large industrial facility that houses computer systems, storage and networking equipment — basically the backbone for what people refer to as the digital cloud.
Data centers are expanding rapidly across the country as demand for AI and cloud computing booms. They typically use vast amounts of electricity as well as water for cooling. However, the centers employ relatively few workers considering the size of the investment.
There currently are at least five data center projects in development in Wisconsin.
They range from a $3.3 billion project from Microsoft on the former Foxconn site near Racine to a $200 million project in Wisconsin Rapids.
Gov. Tony Evers on Tuesday signed Wisconsin Act 16, which will create exceptions for Tax Increment Districts in Port Washington and Beaver Dam. The legislation aims to support attracting new data centers and continue growing the multi-billion-dollar data center industry in the state.
At the Janesville City Council meeting on Monday, July 14, city administration will request council consideration and action on a proposal to review and approve a Request for Proposal (RFP) for a Data Center Developer to redevelop the former GM/JATCO site.
An RFP process would be a part of a strategic initiative to gather detailed information from qualified developers regarding the site’s potential for this type of use, according to the city.
Proposals will also help assess whether a potential data center development aligns with community priorities.
It does not commit the city to any specific project but is intended to determine viability, attract serious interest, and identify the best path forward for the long-term economic redevelopment of the site.