City councillors in Sault Ste. Marie rejected a proposal on Monday to halt new data center projects in the city following a 90-minute debate. The discussion arose after a local petition opposed a cybersecurity monitoring and training center, which includes a data center, approved in December 2025 for the west end of the city.
The project, a collaboration between cybersecurity firm Protexxa and Missanabie Cree First Nation, aims to use AI to address cyber issues for various organizations and governments. Coun. Angela Caputo suggested a temporary bylaw to pause any new data center proposals until additional policies are established. However, Mayor Matthew Shoemaker and other councillors expressed reservations about the details of the proposal, leading Caputo to withdraw it.
Instead, a new motion is expected to be presented at the next meeting on Aug. 31, tasking city staff with developing specific guidelines for data centers in Sault Ste. Marie, including opportunities for public input. The approval of this motion is unlikely to impact the Protexxa data center project on Yates Avenue, pending the completion of the property sale.
During the debate, Mayor Shoemaker cautioned against categorizing all data centers similarly, highlighting the distinction between “hyperscale” facilities and smaller operations like the one proposed by Protexxa. The city’s electricity utility, PUC, confirmed the capacity to support a five-megawatt facility, contrasting the extensive power requirements of larger data centers.
City officials emphasized the existing infrastructure in place to evaluate and regulate proposed data centers, ensuring they align with zoning regulations and environmental considerations. Shoemaker defended the decision-making process that approved the Protexxa project, noting that improvements can be made without imposing a blanket moratorium on future data center proposals.