MUSKOGEE, Okla. — A Muskogee data mining company filed a lawsuit against the city after the city council approved annexing its property.
The company launched in Muskogee in 2023, bringing with it a $200 million investment by 2027 and hiring 55 people with a planned expansion.
WATCH: Polaris Technologies files lawsuit against Muskogee over annexation
After Muskogee city council members voted 6-1 on July 28 to annex its land, Polaris says it’ll add an extra $5 million yearly fee they can’t afford.
The company filed a lawsuit against the city on July 29, asking the court to:
- Declare as void and invalid Ordinance No. 4266-A (Annexation ordinance)
- Enjoin the city from enforcing Ordinance No. 4266-A (Annexation ordinance)
Court records point to two reasons they say this should happen.
First, Polaris says while the city did put a notice of public hearing and annexation in the local newspaper, they failed to mail that notice to them, which is required by law.
Previous coverage >>>> https://www.kjrh.com/news/local-news/polaris-says-muskogee-wont-negotiate-fees-for-annexation-plan
Second, Polaris says state law prohibits a city from “imposing any other requirements on a digital asset mining business, that is not required of other data centers in its jurisdiction.”
Polaris says other nearby data centers were able to negotiate the 3% franchise fee, but they weren’t, and that creates an “additional requirement” which, they say, is against the law.
Previous coverage >>>> https://www.kjrh.com/news/local-news/future-uncertain-polaris-hits-back-at-city-of-muskogee-after-annexation-vote
During the annexation vote, Muskogee Mayor Patrick Cale said, “We remain committed to consistent policies and responsible governance. The annexation process we are following reflects those values and supports our broader duty to plan for Muskogee’s long-term growth, infrastructure resiliency and economic vitality.”
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