October 30, 2025
Data center operator QTS has announced a proposal for a multi-billion dollar development in Dane County, a project that includes the creation of a $50 million fund for local institutions and is supported by a major renewable energy agreement with Alliant Energy.
According to an October 30th announcement, the Sterling, Virginia-based company plans to submit a zoning application to the DeForest Village Board in November. The proposed development involves the potential construction of up to five data center buildings over time, though the final plans are contingent on the village approval process. QTS has purchase agreements for the project site that are dependent on successful rezoning.
Tag Greason, co-CEO of QTS, emphasized the company's commitment to local investment. He stated that QTS will cover the project's infrastructure costs, which are often financed through property tax revenue from new developments. "We will then also invest in new, renewable energy generation which I think will be a benefit to the community as well," Greason told the Milwaukee Journal Sentinel.
The project is expected to create hundreds of jobs, with Greason pledging to hire area construction firms and workers. “When we say ‘It’s a project for Dane County,’ it’s about employment opportunities for those who live in and around the region," he said. The operational data centers would also employ hundreds of workers.
Addressing environmental concerns, Greason highlighted the company's use of a closed-loop liquid cooling system designed to conserve water. "We're not tone deaf to what it means to put a data center in a community," he added.
A cornerstone of the proposal is a planned $50 million fund to support local institutions. This fund would establish scholarships and workforce partnerships with Madison Area Technical College and research partnerships with the University of Wisconsin-Madison.
Alliant Energy Supports with Renewable Power
The project has secured the support of Alliant Energy. The two companies have agreed on the purchase of 750 megawatts of renewable energy credits to help power the data center campus. Raja Sundararajan, Alliant's executive vice president for strategy and customer solutions, explained that the chosen location has significant existing grid capacity.
“You won’t see a massive amount of transmission upgrades being built,“ Sundararajan said. “And the local community impact, as a result of new grid upgrades, will be minimum. That’s what made this location so attractive.”
Sundararajan also assured that the utility has taken steps to protect existing customers. "We have an obligation to make sure existing customers are not harmed as a result of QTS coming in," he stated, noting that the marginal revenues from QTS are projected to far exceed the cost of serving the new customer.
Expressing confidence in the project's approval, Greason said, "My expectation is that we will be successful in our rezoning." QTS, which serves approximately 1,200 clients including large technology companies, is poised to begin development pending the outcome of the village board's decision.
Source: jsonline
