CANTON – City Council is set to vote on a tax break for a proposed Perry Township data center.
The project, planned for 100 acres off Faircrest Street SW, sits within a Joint Economic Development District between Canton and Perry.
Stark County and Canton officials confirmed this week that Amazon is behind the project, which involves the construction of two 220,000-square-foot buildings and two 154,000-square-foot buildings, along with an American Electric Power substation and above-ground water tanks.
State law requires all parties within the JEDD agreement to approve the tax abatement before it can move forward.
Perry officials have already approved the deal. Canton City Council is next in line to consider it. Stark County commissioners can OK the request only if both parties consent first.
The proposal would give a 75% property tax break for 30 years and provide Perry $2.75 million upfront, as well as the remaining 25% of the property tax over three decades.
Canton legislation is expected for first reading at the April 20 council meeting, with a final vote anticipated May 4.
Council’s consideration comes amid an unresolved annexation dispute between Canton and Perry Township, which has left some council members hesitant to consider the tax deal.
What’s happening with the ongoing Perry/Canton feud?
Tucked into a 2023 Joint Economic Development District agreement was a clause barring the city from annexing from Perry without trustee approval. The relationship between the two communities unraveled when Canton attempted to annex the former Fishers Foods property, now the site of a 7 Brew and future Chick-fil-A on Tuscarawas Street W.
The city withdrew its annexation request and asked for negotiations to amend the agreement.
Mayor William V. Sherer II has held strong in his stance, pushing to remove the annexation clause from the JEDD agreement. Perry Township officials, on the other hand, have expressed a desire to keep the provision in place.
Perry has threatened legal action against the city. In response, Canton refused new residential water hookups for 41 days and has continued to deny commercial and industrial hookups. Discussions have been held, but the two sides have yet to come to an agreement.
Mayor requests legislation, but the decision is council’s
In a April 7 communication to council, Sherer requested that council adopt a resolution consenting to the tax abatement for the data center.
“Both Perry Township and the City entered into the Faircrest JEDD for economic development purposes, and the … abatement is necessary for the data center to move forward,” Sherer wrote.
He acknowledged the ongoing disagreements but said he supports the project.
“I’m in favor of the data center moving forward 100%,” Sherer said, noting the final decision will come from council.
Under the JEDD agreement, income tax revenue is split between Perry (0.5%) and Canton (2%). Perry Township retains all property taxes.
Canton has also agreed to provide water to the data center.
Some council members express uncertainty
Majority Leader John Mariol II has had conversations with Perry Township trustees, with hopes to renegotiate the JEDD agreement “in good faith.”
“My hope is that we can get this done and solve some of the contention between Perry and Canton,” he said.
But Mariol is hesitant to consider the tax deal without reaching an agreement with Perry about the JEDD terms first.
“I think that those issues have become somewhat intertwined,” Mariol said. “I can speak for myself. The approval of one is dependent upon the agreement of the other.”
For now, Mariol said he would not definitively vote one way but would have some reservations if discussions with Perry do not end with an agreement before the May 4 vote.
Councilman Richard Sacco echoed Mariol’s concerns, though both said they do not speak for the rest of council.
From Sacco’s perspective, Perry and Canton should resolve existing issues before council considers approving the abatement.
“If Perry comes to the table and drops the lawsuit, I’m all for it,” he said.
Some residents have voiced concerns about the proposed data center, with crowds showing up at township meetings to oppose the project.
Elsewhere in Stark County, local governments have been introducing restrictions on data centers. Massillon has a 60-day moratorium in place, Canton Township and Plain Township have both implemented 12-month bans, while Alliance is considering zoning restrictions.
Contact Abreanna Blose by email at ablose@usatodayco.com or by phone at 330-580-8513.
This article originally appeared on The Repository: Canton council to vote on data center tax break amid dispute with Perry Twp.
Reporting by Abreanna Blose, Canton Repository / The Repository
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