FRANKFORT, Ind. — The City of Frankfort has received the first $1 million payment from DataOne under the community enhancement agreement governing the proposed data center campus on the city’s west side, but Mayor Judy Sheets says the developer remains a long way from breaking ground.
Speaking Wednesday on WILO and Boone 102.7 FM’s Party Line, Sheets said the payment — due within 30 days of the agreement’s approval — has been deposited into the city general fund, with no decision yet on how it will be spent.
“They can move forward in some things as far as process,” Sheets said, noting DataOne appeared before the Board of Zoning Appeals this week for a couple of variances. “But they will not get any permission to start construction out there until certain things are met. And the big thing that we’re waiting on to meet are the studies.”
Studies Remain the Hurdle
Sheets said the outstanding studies include sound, light, building height and impervious surface — issues that drew discussion at the recent BZA meeting. DataOne is supposed to deliver those studies to the city and return to the board to discuss them, she said.
The city is also exploring bringing in a third party to oversee the project. A proposal was presented to the Common Council at Monday night’s meeting, but no decision was made. Some council members were seeing the proposal for the first time, Sheets said, and the city has not determined how an overseer would be paid — though the DataOne money could be used.
Under the agreement’s schedule Sheets described, another $1 million is due at the time of permitting, additional payments follow through the project’s stages, $5 million arrives in 2029, and after that the city receives $4.6 million plus 3% for 25 years.
Asked whether the city would owe the money back if the project stalls, Sheets said she believes the first payment was made in good faith either way.
“We’re not gonna let up on them,” she said. “They know what they need to do in order to come here and for it to continue to move forward.”
Tight Budget Ahead
The mayor said the timing of the payment matters because the city’s budget is under strain. Health insurance costs rose by more than $400,000 for next year, she said, and the 2027 budget was balanced without cutting employees — though some capital improvements and equipment purchases were pushed back a year.
“A million dollars sounds like a lot to the general folk, but when you’re running a city, a million dollars can go pretty quickly,” WILO Party Line Host Cindy Loveless said.
She said the real crunch comes in 2028 and 2029, and the city is watching whether state legislators make changes to tax reform. Longer term, DataOne funds could support roads, parks and infrastructure, though she stressed those remain conversations, not commitments.
Growth and Housing
Housing construction continues across the city, Sheets said. The Meadowbrook subdivision is in phase two with lots and homes for sale, the development near Riley School is down to its last two buildable lots, and a new National Homes development planned for the Haven Road area is expected to offer moderately priced housing.
The mayor also pointed to this week’s news that the Frankfort Clinton County Regional Airport is buying 26 acres for new hangars and, eventually, a longer runway, calling it a selling point for developers and investors.
“I don’t want us to grow like some cities have or towns. I want to keep our small town feel,” Sheets said, adding that growth is most likely in the annexed area to the west and possibly to the east.
Holiday Season Underway
The Parks Department is still installing displays for the Festival of Lights at TPA Park, which opens Thanksgiving, with attendance last year estimated at 10,000 to 12,000 visitors.
“Thousands of people come through our park,” Sheets said. “And our parks department’s been working really hard on getting the lights set up.”
Gem City IMPACT, a new community group, is planning a Christmas Village at Prairie Creek Park, and the Christmas Kitchen program is returning this season. Muffins with the Mayor, temporarily relocated to the Frankfort library while the TPA Park concession stand prepares for the season, continues on the second Tuesday of each month, and Sheets said evening sessions at locations across the city may be added next year.
She encouraged residents to learn how the city budget works, inviting them to her office or to Clerk-Treasurer Carol Bartley.
“I would love to sit down with anyone,” Sheets said when talking about questions about the budget.
