$Billion OpenAI Data Center Clears Major Legal Hurdle In Saline

The ruling preserves a consent judgment between the township and developer Related Digital, keeping one of Michigan’s largest proposed artificial intelligence infrastructure projects on track.

For readers unfamiliar with the story: this is not a small warehouse project. The proposed campus — backed by OpenAI and Oracle — is designed as a multi-building hyperscale AI data center that could eventually deliver more than 1 gigawatt of computing capacity. That level of electricity demand is comparable to hundreds of thousands of homes.

The project is widely reported to represent a multi-billion-dollar investment. Supporters call it transformational for Michigan’s technology economy. Critics say it has moved too fast and carries significant energy and environmental risks.

Saline Data Center Clears Major Legal Hurdle

The latest legal challenge centered on a motion by a township resident seeking to intervene in the earlier court settlement that allowed the project to proceed.

The resident argued that the township’s approval process may have violated Michigan’s Open Meetings Act and that the public was not adequately included when officials negotiated the consent judgment.

The judge ruled the motion to intervene was untimely because the case had already been closed when the settlement was finalized.

What that means:

• The consent judgment remains intact.

• The zoning pathway allowing the project to proceed stays in place.

• That specific settlement cannot be reopened through this motion.

Other legal or regulatory actions could still move forward, but this particular effort has been shut down.

What Is the OpenAI-Backed Saline Data Center Project?

The proposed Saline data center is part of OpenAI’s broader push to expand U.S.-based computing infrastructure to power advanced AI systems.

Key publicly reported elements include:

• More than 1 gigawatt of planned capacity at full buildout.

• Multi-billion-dollar capital investment.

• A multi-phase construction timeline.

• Hundreds of permanent jobs once operational.

The developer, Related Digital, sued Saline Township after initial rezoning requests were denied. Rather than engage in prolonged litigation, township officials entered into a negotiated consent judgment allowing the project to move forward under defined conditions.

Supporters argue the project positions Michigan as a serious contender in the AI economy at a time when states are competing aggressively for hyperscale data center investments.

Why the Saline Township Lawsuit Matters

The legal dispute exposed tensions between rural land use planning and high-intensity industrial development.

Opponents argue:

• The scale of the data center conflicts with the township’s rural character.

• The public process lacked transparency.

• Long-term impacts were not fully vetted before settlement.

Supporters counter that:

• Large-scale tech infrastructure is essential for economic growth.

• Litigation risk justified the settlement.

• The project will generate significant tax revenue and jobs.

The judge’s decision reinforces the township’s authority to resolve the lawsuit through settlement rather than extended courtroom battles.

DTE Power Agreement Raises Energy and Ratepayer Questions

Perhaps the most controversial aspect of the Saline data center is its electricity demand.

The facility would be powered under a major agreement with DTE Energy. The Michigan Public Service Commission approved the power contract, but Michigan Attorney General Dana Nessel sought reconsideration, raising concerns about transparency and potential ratepayer impacts.

Critics worry about:

• Grid strain from gigawatt-scale demand.

• Infrastructure upgrades required to serve the facility.

• Whether residential customers could indirectly shoulder long-term costs.

Supporters argue the agreement isolates costs to the data center customer and strengthens Michigan’s grid investment profile.

Energy demand from AI infrastructure is becoming a national flashpoint, and Saline Township is now part of that broader debate.

Environmental Concerns Surround the Michigan AI Infrastructure Project

Beyond zoning and energy, environmental questions remain central.

Issues raised publicly include:

• Wetlands and stormwater management.

• Water usage requirements.

• Construction traffic and noise.

• Long-term carbon footprint depending on power sources.

Environmental permitting remains ongoing, separate from the zoning settlement.

The broader tension is clear: how does Michigan balance economic development with environmental stewardship?

Timeline: Key Developments in the Saline Data Center Dispute

• Rezoning Request Denied – Township initially rejects proposal.

• Developer Lawsuit Filed – Related Digital challenges zoning.

• Consent Judgment Approved – Settlement allows project to proceed.

• DTE Power Agreement Filed – Large-scale energy contract proposed.

• MPSC Approval Issued – Regulators approve power deal.

• Attorney General Seeks Reconsideration – Transparency concerns raised.

• Resident Files Motion to Intervene – Attempts to challenge settlement.

• Judge Denies Motion – Settlement remains in effect.

What the Saline Data Center Means for Michigan’s AI Economy

The Saline data center fight is about more than one township.

Artificial intelligence systems require enormous computing capacity. That means land, electricity and capital on a scale rarely seen outside heavy industry.

If Michigan secures projects like this, it could anchor itself in the AI supply chain for decades. If communities resist them, the state risks losing billions in investment to competitors.

The judge’s ruling does not end the debate. Regulatory oversight continues. Environmental reviews continue. Political pressure continues.

But for now, the OpenAI-linked Saline data center has cleared another major legal hurdle — and the future of gigawatt-scale AI infrastructure in Michigan is moving from proposal to reality.