Monteagle Planning: Data Centers; Municipal Property Acquisitions
by Leslie Lytle, Messenger Staff Writer
At the Sept. 1 meeting, the Monteagle Planning Commission revisited data centers in response to the Monteagle Council’s action the previous evening, banning data centers outright instead of adopting an ordinance amendment limiting them to Industrial zoning as a special exception. The Commission also took up another issue on the table as a consequence of a Council discussion the night before: municipal land acquisition for the rehabilitation and enlargement of the pump station behind Waffle House.
The rationale for the proposed ordinance amendment limiting data centers to Industrial zones was that Monteagle has no property zoned industrial. Commenting on the Council’s reason for not adopting the ordinance, Commissioner and Alderman Dan Sargent said, “It was the wrong way to go about it. We felt like we wouldn’t have good footing in a court of law if we were challenged. We would be declaring we were not allowing something in an area that doesn’t exist.”
Town planner Jonathan Rush concurred. “Anything you have as an industrial use, you have to have an industrial zoned area for,” Rush said. “You can’t use zoning to outright ban anything.” Rush pointed out Monteagle had assigned Adult Entertainment to Industrial zoning for the same reason.
“A data center sits in a different category from Adult Entertainment,” said Alderman Grant Fletcher. “We have further justification for not allowing data centers. The difference with a data center is infrastructure limitations. That’s the avenue we’re going to go down with legal to make sure Tennessee code can allow it [an outright ban].”
“It’s zoning without mentioning zoning,” Rush cautioned. He cited the alternative of a moratorium on data centers. “I see a lot of moratoriums in Tennessee based on ‘We’re working toward regulations.’”
At the August meeting, the commission asked Rush to draft a more concise definition of a data center to be used in the proposed amendment. Since the amendment did not pass, the commission did not review and took no action on the definition Rush prepared.
Taking up the municipal land acquisition issue, Commissioner and Alderman Nate Wilson explained part of the current pump station was not on the town’s property, due to a boundary line mistake. Also, the rehab and enlargement of the pumping station required more land and easements, with the total land acquisition less than an acre.
At the Council meeting, Mayor Greg Maloof proposed condemnation of the land needed.
“Condemnation is not a great look,” Wilson acknowledged, “but that would allow us to bypass planning and zoning and for the property transfer to take place more quickly. In other places in Tennessee, acquisitions for municipal services are not subject to planning and zoning.”
“State law says the division of property five acres or less for transfer has to go through the subdivision process,” Rush said elaborating on Wilson’s point. But Rush added, “In many cases, local governments can choose not to be put under enforcement of those regulations.”
Wilson proposed Monteagle exempt land acquisitions for municipal services from the subdivision process, which would require a site plan and hiring an engineer. “[The exemption] would save government money,” Wilson observed. He maintained the subdivision process was not “relevant to municipal services acquisitions.”
Fletcher suggested a one-time exemption.
“Can you imagine a scenario where land acquisition for water and sewer needed to go through the subdivision process?” Wilson asked in reply.
Commissioner Dan Brown spoke in favor of amending the ordinance to allow the exemption. The commission voted unanimously for approval. For the ordinance amendment to be adopted, the amendment must go before the Council for a vote, as well.
Monteagle Bans Data Centers; Water Rate Woes
by Leslie Lytle, Messenger Staff Writer
“We have the option to not allow data centers. If it goes to court, I think we have a case just from the standpoint of we don’t have the infrastructure to support a data center,” insisted Alderman Grant Fletcher at the Aug. 31 Monteagle Council meeting, arguing for banning data centers outright instead of passing on second reading the ordinance approved in July, limiting the location of data centers. Fletcher prevailed. The Council also grappled with the State Revolving Fund (SRF) refusing to loan the city money for critical sewer needs if Monteagle did not raise water and sewer rates.
The data center ordinance approved on first reading in July only allowed data centers as a special exception on property zoned Industrial, the rationale being Monteagle has no property zoned Industrial. Challenging the ordinance before the second reading vote, Fletcher said, “The way we’re going about this, I disagree with. We have the authority to say we don’t want a data center.” Fletcher pointed out numerous other communities in the state had banned data centers.
“It is illegal to declare something to not be a permitted use,” countered Alderman Nate Wilson. “If you need time to study it, you can do a temporary moratorium, but it has to have a term. That’s how Grundy County is doing it. A lot of the bans happening statewide will not hold up in court. People are doing it to make a statement.”
Only Wilson voted yes for approving on second reading the ordinance amendment allowing data centers as a special exception in Industrial zoning. Fletcher’s subsequent resolution passed unanimously: “We do not allow data centers as a permitted use within our zoning ordinances.” Mayor Greg Maloof will research the resolution’s validity and path forward with the city attorney and Tennessee’s Municipal Technical Advisory Service.
In refusing to loan Monteagle money if they did not raise water and sewer rates, SRF maintained the town would be unable to repay the loan and unable to fund the depreciation for the two infrastructure projects, i.e., set aside money for replacing the infrastructure in the future. Monteagle applied for funding to replace the pump station behind the Waffle House, a critical need for sewer service to continue on the west side of town, and for more Inflow and Infiltration remediation preventing groundwater from seeping into sewer lines, reducing the lines’ capacity and increasing the cost for sewage treatment. Monteagle applied for a $5 million SRF loan for the two projects. SRF responded that approval was conditional upon Monteagle increasing water and sewer rates 23 percent. The 1973-era pump station redo will necessitate a 13 percent rate increase, and the I&I remediation will necessitate a 17 percent rate increase by SRF’s calculations. The Tennessee Department of Environment and Conservation gave Monteagle 120 days to respond to SRF.
Maloof cited SRF’s low interest rate, only 1.8 percent, compared to other lenders as the impetus for pursuing an SRF loan. “Monteagle is playing catchup and the town was growing,” Maloof acknowledged. “We had our first rate increase in recent memory when I became mayor.” Since 2022, rates have increased 52 percent spread out over several years.
“There is a limit to what people can afford,” said Alderman Dean Lay. He strongly opposed a rate increase for water customers who did not benefit from the sewer system. If public sewer is available, customers are billed for sewer even if they do not connect to the system. Aldermen Fletcher and Dan Sargent spoke in favor of spreading the increase over several years. Fletcher also cited the possibility of a rate increase that did not impact all customers, finding other ways to pay for the projects, or only doing one, with the pump station most critical in his opinion.
Wilson suggested charging an impact fee for a new tap, with the fee based on the size of residential units served by the tap, i.e., a lower fee for a single-family home than for a 230-unit motel. He also pointed out Monteagle’s rate structure benefited customers with high use. He proposed considering a “water conservation” rate and adjusting the sewer rate.
“We’re going to have to do something,” Maloof stressed. “We’re looking at different avenues and approaches.”
On the good news front, sisters Pat Fisher and Peggy Helton coordinated a Senior Center project asking restaurants and businesses to make donations to be given as gifts to the first responders who protect Monteagle. The project yielded $5,000 worth of gift cards and gift certificates. The seniors are creating thank you cards to be given to the town’s first responders along with the gift certificates and gift cards in commemoration of the first responders who served and who lost their lives on Sept. 11, 2001.
Updating the town on the Imagine Monteagle sculpture project, Fletcher said the town received a grant from the Lyndhurst Foundation covering 100 percent of the cost of the sculpture. The patio and foundation were privately funded through the Mountain Goat Trail Alliance. The only cost to the town was $1,500 for design drawings.
Looking to Imagine Monteagle’s interest in helping promote tourism, Fletcher proposed hiring someone to manage a social media presence on Facebook and Instagram and to create flyers for events, costing $2,500 annually from the Imagine Monteagle budget. The council approved the request, with Wilson abstaining. He recommended tabling the idea until Monteagle decided whether or not to take over coordinating the Monteagle Mountain Market event. The Chamber of Commerce will not coordinate the event in the future.
Building Inspector Travis Lawyer advised the community he and Codes Enforcement Officer A.J. Wade were removing the vinyl yard and garage sales signs posted throughout the community. “They are illegal,” Lawyer explained.
During the Mayor’s Communications segment of the meeting, Maloof announced the Petro truck stop property sold recently. He anticipates the new owners will meet with the planning commission regarding moving forward.
Remembering 9/11: Twenty-Five Years Later
Sewanee students, faculty, and other community members are invited to the Quad on the morning of Friday, Sept. 11, 2026, to plant American flags to honor the nearly 3,000 lives lost 25 years ago.
The memorial, jointly sponsored by the University Chaplaincy, the Sewanee Fire Department and the Monteagle-Sewanee Rotary Club, will begin at 8 a.m., with the planting of 3,000 flags in memory of the lives lost in New York City, at the Pentagon, and aboard United Airlines Flight 93 as its passengers forced the plane down in Pennsylvania preventing hijackers from diverting it to attack Washington, D.C.
A brief service will begin at 9 a.m., on the Quad, led by the Reverend Chris Epperson, University Chaplain.
The 2001 tragedy, felt across America and around the world, remains fresh for many on the Mountain, where residents include people who were in the U.S. Capitol, lived within a few miles of the Flight 93 crash, lost friends in the towers, or reported on the attack and its aftermath in Washington, D.C. and abroad.
“We commemorate this event to remember,” Epperson said. “It’s a horrific loss of so many lives, and also a loss of innocence for our country and the world, one that reverberates to this day.”
Sewanee Fire Chief Terry Smith said student and community members of his department will honor the first responders who died or suffered exposure that led to debilitating and fatal illnesses as they rushed to save others, as well as the military service men and women who fought in the ensuing Afghan War and the families who still grieve.
Later in the day, Sewanee firefighters will participate in a private 9/11 workout that has become a quiet tradition here and in fire departments around the country. The workout traditionally involves donning full turnout gear and air packs to simulate climbing the equivalent of the 110-floor Twin Towers and carrying injured civilians and colleagues, all while listening to recordings of 9/11 emergency radio transmissions from New York fire and police and other first responders.
“We will honor those people with a field of flags that will represent the thousands of people who died that day. Everybody was affected, through themselves, their families, people they know,” Smith said. “There’s not enough field to hold the flags of all the lives touched by 9/11.”
The 12th Annual Hunger Walk
The 12th annual Monteagle-Sewanee Rotary Club Hunger Walk takes place Sept. 26, 9 a.m., starting at Angel Park in Sewanee. The Rotary Hunger Walk raises funds to combat food insecurity in Tennessee’s South Cumberland Plateau region by supporting its local food organizations, Morton Memorial Food Pantry, Grundy County Food Bank, and the Community Action Committee. All report need is increasing.
Food insecurity across Marion, Grundy, and Franklin counties consistently exceeds national averages, with Grundy experiencing the highest rates, reaching an overall food insecurity rate of 19.8 percent.
Grundy County, overall insecurity, 19.8 percent, child insecurity, 20.9 percent.
Marion County, overall insecurity, 17.3 percent, child insecurity, 17.6 percent.
Franklin County, overall insecurity, 15.2 percent, child insecurity, 18.3 percent.
Child Hunger Vulnerability – In Grundy County, child insecurity is especially severe, with 93 percent of food insecure children living in households that fall below 185 percent of the Federal Poverty level, making them eligible for federal nutrition programs.
The “Eligibility Gap” — Across the region, a substantial number of food-insecure individuals have incomes slightly too high to qualify for SNAP benefits, forcing heavy reliance on community meal programs and food pantries.
Rising Grocery Prices, Rising Hunger — As the cost of food skyrockets, many families are struggling to afford food and other necessities, and food banks are having to fill the gap. Without federal assistance the hunger crisis in the US will worsen.
“Do I keep the lights on or do I pay the rent on time this month?”
“Do I buy gas to get to work or risk running out of fuel to buy enough food to feed my family this week?”
These are the types of tough choices that many on the South Cumberland Plateau are forced to make each day.
You can help. Give online at <https://givebutter.com/hungerwalk2026> or mail your contribution to Monteagle-Sewanee Rotary Foundation, PO Box 336, Monteagle, TN 37356.
Levels of sponsorship – signage and print recognition for sponsors and partners: Gold Title Sponsor, $2,500; Silver Title Sponsor, $2,000; Bronze Title Sponsor, $1,000; Senior Partner, $500; Partner, $300.
Donations of any size change lives! No gift is too small or too large.