Mat-Su Assembly data center proposal hits roadblock with mayoral veto

On March 5, 2026, Matanuska-Susitna Borough (MSB) Mayor Edna DeVries issued a veto against a resolution that would have partnered the borough with a private company, Terra Energy Center Corporation (TECC), to market public land for a large-scale data center or industrial facility. This follows the MSB Assembly 5-2 vote to approve the ordinance on March 3.

DeVries justified the move by stating that entering such a marketing agreement without a full public vetting of specific locations—including sites near Big Lake and Port MacKenzie—posed an unacceptable risk to the Borough.

“We as elected official owe it to our citizens to continue our reputation regarding providing transvers aria within our borough,” she wrote in her decision.

She also cited the lack of transparency, as a private entity is being tasked to represent the borough on a stage not vetted by citizens or the assembly.

During the Assembly meeting, residents expressed strong opposition to this, citing potential noise pollution, high energy consumption strain it could put on the local grid, and the necessity for added power generation, as well as misuse of MSB time and money.

“I don’t want our Borough’s limited money used indirectly for employees’ time to be spent on a marketing campaign on a project that…has no infrastructure created to connect to the grid, no roads built, and also recently failed to land a $400M grant from an administration that is very much indeed prioritizing coal growth,” said resident Mary Claire McCarthy, who said she opposed data centers being built in the Mat-Su that could have an impact on natural resources that our vital to the economy and way of life.

As a self-proclaimed staunch conservative and conservationist, Assembly member Michael Bowles persisted with his opposition to the resolution, citing fears of monopolization, site location, and environmental impacts to pollution and wildlife. “I absolutely want infrastructure growth and industry growth, but not at the expense of our salmon. Not if it’s going to cause any damage to our waters.”

He had earlier requested removing the ordinance, then later a postponement, and asking that TECC be present to address questions about data center technicalities, taxpayer benefits, and public concerns.

During the meeting, Assembly member Max Sumner argued that the resolution was not a commitment to build, but rather an exploratory step that requires public input for future proposals. Arguing to assess all options, he pointed out that data center property taxes would significantly benefit residents by lowering their tax burden. Regarding environmental concerns, he added that he knew of no marketing campaigns that have threatened salmon or moose.

Addressing the assembly, MSB Manager Mike Brown assured the members that approving the resolution—which authorizes the TECC to market lands from the RFI—does not constitute a binding agreement or a major time commitment. Brown explained that the borough often pursues business development opportunities that may or may not succeed. Addressing concerns regarding unilateral action, he emphasized that the process is not authorized to move forward in that manner.

Mayor DeVries agreed with the public, citing high energy usage, low employment density, noise, and security requirements, these uses which typically necessitate a conditional use permit—a topic not yet addressed by the assembly-as a third reason for her veto.

This is not the first time the mayor has vetoed an unpopular ordinance, most notably vetoing the widely unpopular gravel ordinance in June, 2023. Mayor DeVries has not wielded her veto power often, making this move even more startling. By blocking the resolution, she has reaffirmed her stance against what she views as "bad public policy."

She had raised the possibility of using her veto power earlier that night when the assembly was discussing whether or not to remove an agenda item that would have introduced pay raises for the assembly and mayor.

The future of the ordinance now rests with the Mat-Su Assembly. While the original resolution passed with a 5-2 majority, a successful override of Mayor DeVries’ veto will require at least five votes at the next regular meeting on Tuesday, March 17. Until then, the plan to market borough-owned land for high-tech industrial use remains at a standstill as both supporters and opponents prepare to make their case before the final vote.