Developers who want to build a data center in Coweta were rejected Monday night as the city’s Planning Commission voted 4-1 to deny rezoning for the site.
Beale Infrastructure tried during the four-hour meeting to persuade commissioners and the large crowd of 250 residents that the Project Atlas center would be economically beneficial for the city, bringing in millions of dollars. The company had proposed construction of the center on 270 acres of land between Highways 72 and 51-B north of the Arkansas River.
Many were against the project, raising concerns about the amount of water needed for cooling of such a large data center.
“We need good water now, and it won’t be any better if they come in. Our utilities have already started to go up because of the threat of a data center,” said Cathie Hogate from Coweta, reported KOTV News.
Another opponents, Billy Embrey, argued that Public Service Company of Oklahoma was not prepared for the data center.
“PSO, they’ve done seven rate increases in the past 10 years, I believe, and now they’re looking for another rate increase to be effective by July 1st. We just had a rate increase last January 2025 that average $12 a household. You can’t keep just piling this onto the people, and then they make a comment that they can provide the power.”
Lauren Harvey with Beale Infrastructure said that the company returned to the drawing board since October 2025 and “changed our plans.” The project would receive water from a Wagoner County rural Water District.
“All the infrastructure upgrades will be paid for by Beale, by the project. And as a result of this, the residents in the area who are also served by the water district should see an increase in their water pressure. Those are the main upgrades that we’re doing, and then utility rates. How will this project impact your water rates? If you’re a rural water district customer, it should not impact your water rates.”
KTUL TV News quoted Harvey as indicating that construction would result in hundreds of jobs.
Tensions were high during the meeting, according to Fox 23 TV News.
The project had at least one supporter, Eric Lemley with Iron Workers Local 584.
“Beale, we’re doing one of their other projects in North Tulsa, and they promised they’d hire local, and they did. One of our signatory contractors has the fabrication direction on it, and they’re putting our workers to work.”
“Good for the economy, I mean your mom and pop restaurants downtown, all your businesses downtown , even during the construction they’re probably going to double tax revenue,” he said.
The city planning Commission’s vote was a recommendation and the final decision will rest in the hands of the city council at a February 2 meeting.