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Judge Halts Construction of Google-Backed Pine Island Data Center

The pause gives a court time to decide whether the city’s environmental review met state law before any work or pre-construction activity can begin.

Overview

  • A Goodhue County judge issued a temporary restraining order on Friday, May 22, stopping Ryan Companies from beginning or continuing any construction or pre-construction work on Project Skyway.
  • The Minnesota Center for Environmental Advocacy sued in October 2025, arguing the environmental review lacked specific analysis of electricity use, water demand, noise, and light impacts for a hyperscale data center.
  • The court said MCEA showed a likelihood of prevailing and denied the city’s and developer’s request to validate the environmental study as compliant with state law.
  • Construction had been planned to start in July and the court said the restraining order could remain for months while the lawsuit proceeds; Ryan Cos. is reviewing the order and Pine Island officials have not announced next steps.
  • The case highlights statewide tensions over large data centers in Minnesota, including disputes over massive energy and water needs (MCEA cited up to 2,700 MW), use of nondisclosure agreements, and failed state bills to tighten oversight.