Data center lawsuit looms over Cave City Council meeting

According to the agenda, the council’s closed session will include discussion of pending litigation and matters related to real property.

Data center lawsuit looms over Cave City Council meeting
Photo by Wesley Tingey / Unsplash

CAVE CITY, Ky. — With a court date approaching, the Cave City Council is expected to discuss ongoing litigation involving a proposed hyperscale data center during a closed session Monday.

The executive session is listed on the agenda for the council’s regularly scheduled meeting, following several special-called meetings in recent weeks during which council members approved a one-year moratorium on new data center developments within the city limits.

The moratorium paused new data center developments for one year and prompted a lawsuit from Kentucky Industrial Alliance LLC, a property owner working with a developer to build a hyperscale data center on property in Cave City and unincorporated Barren County.

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The company alleges the city’s actions unlawfully interfered with its planned development and is asking the court to invalidate the moratorium.

A motion hour is scheduled for July 20 at 9 a.m. in Barren Circuit Court, during which the court is expected to consider the company’s request for a preliminary injunction that would temporarily block enforcement of the moratorium while the lawsuit moves forward.

A separate lawsuit filed by Kentucky Industrial Alliance LLC challenging Cave City’s 2024 annexation of approximately 245 acres into the city limits also remains pending. The case has not yet been scheduled for a hearing.

According to the agenda, the council’s closed session will include discussion of pending litigation and matters related to real property.

Kentucky’s Open Meetings Act allows public agencies to meet privately in certain circumstances, including discussions involving litigation and real estate matters.

In other business, council members are expected to review routine financial and committee reports and consider an equipment purchase.

The meeting begins at 5 p.m. at Cave City Hall, located at 103 Duke St.


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