The Coastal Zone Industrial Control Board entered its second day of arguments over Starwood Digital Venture’s data center plan.
Starwood’s legal representation Jeff Moyer argued that DNREC Secretary Greg Patterson applied undefined or inappropriate terms – like tank farm and smokestack– to deny the data center’s case.
Patterson told the board that he denied the multi-billion dollar group's application based on its potential to pollute within Delaware's coastal zone.
"I view my role as Secretary in protecting the Delaware coastal zone and reducing the environmental impact," Patterson said.
He cited Delaware's Coastal Zone Act, enacted in 1971, in his denial of Starwood's data center plan. Starwood's legal representation argued that data centers and its operations aren't specifically regulated or defined under the rule.
Patterson said lawmakers didn't anticipate the existence of data centers when the CZA was written. But it was created to protect the area and is meant to be applied liberally.
"You are supposed to apply the law and regulations as best you can," Patterson said. And his brief referenced legal precedent, Coastal Barge Corp. v. Coastal Zone Indus to support this approach.
"And so in viewing this and considering the impact on the coastal zone and the residents of Delaware, that's what we did," he said.
Starwood’s plan is the largest data center ever proposed for Delaware, Patterson said. And he deemed this an appropriate classification for heavy industrial use.
The Coastal Zone Industrial Control Board reviews appeals on the DNREC Secretary's decision. The board will hear closing arguments and public comment on Thursday before weighing in.
