Tipton Utility Service Board approves claims, hears data‑center inquiries and plans sewer‑use update

Parker, chair of the Tipton Utility Service Board, opened the March 2, 2026, meeting and the board voted to approve the minutes from its last meeting and claims numbered 27599 through 27646 totaling $318,395.38.

Finance staff reported January financials and said, “I think the only point I would make is year‑over‑year we’re down $118,000,” adding that the shortfall follows use of roughly $1.12 million in cash balances for rolling equipment and water‑system infrastructure. The staff member said Tipton still carries about $3 million on a wastewater bond that runs to 2035 and cited an approximately $11.7 million stormwater/wastewater bond stretched over a longer term.

The board discussed inquiries about large data‑center projects raised at a recent Indiana Municipal Power Agency (IMPA) board meeting. Staff said IMPA is preparing a screening process for member communities that may include a deposit from serious prospects to defray the time spent evaluating proposals. “If you’re serious about it, we need you to put down x hundreds of thousands of dollars,” the staff member said, describing a proposed deposit model; if a prospect proceeds, the deposit could be returned less any billings.

Board members and staff noted two practical limits for hosting large data centers: transmission capacity and carrier (fiber) diversity. Staff estimated the local electric service area serves about 4,300 customers and typically uses roughly 25 megawatts a day, while data centers often seek 50 to 200+ megawatts. A board member asked whether carrier presence (multiple, physically diverse fiber carriers) is being considered; staff said carrier diversity is a likely initial filter and that IMPA and member communities are discussing how to screen inquiries.

On regulatory matters, staff said they are drafting a utility‑board resolution to update Tipton’s sewer‑use ordinance after state permit renewal and to accommodate potential tenant wastewater profiles. The staff member said members should expect the resolution at the first April utility‑board meeting, after which the ordinance would go to the city council for the required two readings.

Other operational updates included a roughly $8,000 replacement of an electronic gate at the electric shop, lift‑station pumps expected to arrive in about a month, ongoing coordination on a new Speedway development near Camel Crossing that will involve water and sewer service, and design work on Jefferson Street tied to an LPA grant, with potential construction in 2027–28.

The meeting closed after a voice vote to adjourn.

The board did not take new formal policy actions at the meeting beyond approval of the minutes and claims; staff will bring the sewer‑use ordinance resolution to the April meeting and continue monitoring IMPA’s data‑center screening work.