Google and Ryan Companies Agree to New Environmental Review for Pine Island Data Center

A proposed data center in Pine Island faces a second state environmental review after Google and Ryan Companies reached a settlement with environmental advocates. The agreement resolves a lawsuit that challenged the adequacy of the project’s initial environmental documentation. The dispute centers on whether the original review provided enough detail to evaluate the facility’s impact on the local community and natural resources.

The Minnesota Center for Environmental Advocacy filed the lawsuit in October 2025. At the time, the group argued that the first Environmental Assessment Worksheet lacked the specificity required by law. The organization claimed the initial analysis failed to properly account for potential environmental effects. This legal challenge delayed the project’s regulatory timeline for more than a year.

Under the terms announced Wednesday, the MCEA will dismiss the case. In exchange, Google and Ryan Companies must prepare a new Environmental Assessment Worksheet and submit it to the Minnesota Pollution Control Agency. The MPCA will analyze how the data center affects water and energy systems. The agency will also evaluate noise and light pollution levels.

Once the state study concludes, the developers have agreed to create a plan to mitigate identified impacts. Residents and government agencies will then have 60 days to comment on the project. Kathryn Hoffman, CEO of the MCEA, said the settlement restores transparency to a process she described as previously lacking openness. She noted that the group will continue to monitor the process as new information is released.

The new review process marks a shift in how the project is evaluated. The MPCA will conduct a broader analysis than the initial worksheet. This additional step provides a formal period for public input before the developers finalize their mitigation strategies. The 60-day comment window begins after the state completes its assessment.