Community Corner

Shakopee Council Hands Out $250k Tax Break to Data Company

The Shakopee Council approved a $251,555 tax abatement deal for Dallas-based Compass Datacenters, a company considering building a $67 million data center.

The Dallas-based company considering building a $67 million data center in east Shakopee has received a promise of more than a quarter-million dollars in tax abatement from the city—about $150,000 less than was requested.

The Shakopee City Council approved last week a $251,555 nine-year property tax abatement deal for Compass Datacenters, which is hoping to build a 109,000 square foot data center on an 11.3 acre site in the Dean Lakes, the Shakopee Valley News is reporting.

The complex would employ 40 to 65 people at an average salary of $68,500, according to a council agenda item.

Find out what's happening in Shakopeewith free, real-time updates from Patch.

Compass has requested a total of $2.1 million in assistance from Shakopee, including the abatement, utility rate cuts and fee waivers.

Most of Compass' requests have been dismissed by the council as exorbitant, but the council is still considering granting 50 sewer access charge credits, worth $121,750.

Find out what's happening in Shakopeewith free, real-time updates from Patch.

A public hearing on the sewer credits and other business subsidies is expected to be held by the council on May 7.


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