The agency responsible for wastewater treatment and stormwater management across much of Cook County is exploring whether the explosive growth of artificial-intelligence data centers could become a new source of public revenue. The Metropolitan Water Reclamation District of Greater Chicago is considering selling treated wastewater—water already cleaned but not intended for drinking—to data centers and other industrial customers that otherwise might consume Lake Michigan drinking water. Officials say such arrangements could eventually generate millions of dollars annually while conserving freshwater supplies. The idea comes amid mounting opposition to data-center development over electricity costs, water consumption, noise and infrastructure demands. Cicero and Stickney have already pushed back against potential facilities near the Stickney Water Reclamation Plant and the former Hawthorne Race Course. Importantly, the district says no data-center development agreement currently exists on its property, and its board formally adopted a resolution confirming that position in August. The emerging debate therefore presents a basic question of public stewardship: whether government can capitalize on AI infrastructure without forcing residents to absorb its environmental and utility costs.
Key Takeaways
- The water reclamation district sees an opportunity to sell treated wastewater to data centers, potentially generating millions of dollars while reducing industrial reliance on Lake Michigan drinking water.
- The proposal arrives as Illinois communities increasingly scrutinize data centers because of their enormous electricity and cooling-water requirements, with state policymakers also examining greater transparency, resource protections and whether developers should shoulder more infrastructure costs.
- Cicero and Stickney have resisted potential data-center development near residential communities, while the water reclamation district formally maintains that it has no existing or planned agreement allowing a data center on district-owned property.
In-Depth
Illinois’ artificial-intelligence boom is creating an unusual opportunity for one of Cook County’s largest government agencies: turning reclaimed wastewater into a potentially valuable commodity.
The Metropolitan Water Reclamation District treats enormous quantities of wastewater that ultimately return to regional waterways. Instead of allowing all that treated water to flow downstream, officials are examining whether industrial customers—particularly water-hungry data centers—could purchase it for cooling. Such an arrangement could protect Lake Michigan drinking water while creating a new revenue stream for an agency supported substantially by taxpayers.
The concept deserves serious consideration because data-center expansion carries costs that should not simply be transferred to homeowners and businesses. Modern facilities can consume extraordinary amounts of electricity and water. Illinois officials have already paused new data-center tax-incentive agreements while considering policies addressing utility costs, water resources and infrastructure demands.
Reclaimed water could therefore offer a practical market-based compromise: technology companies obtain the cooling water they need, freshwater supplies face less pressure, and taxpayers potentially receive financial benefit from infrastructure they already fund.
But transparency remains essential. Cicero and Stickney officials have objected to possible data-center projects near their communities, including speculation surrounding the former Hawthorne Race Course. The water district, meanwhile, formally declared in August that it has no existing or planned agreements for data-center development on district property.
Any future arrangement should consequently disclose water consumption, infrastructure requirements, pricing and taxpayer exposure before approval. Artificial-intelligence infrastructure may bring investment, but government should ensure private developers—not captive ratepayers—bear the costs their projects create.
Sources
- https://mwrd.legistar.com/LegislationDetail.aspx?GUID=86B2A954-C0F2-4AB1-8637-ABB02B3F312D&ID=8167273&Options=&Search=
- https://gov-pritzker-newsroom.prezly.com/gov-pritzker-pauses-new-data-center-tax-incentives
- https://www.cbsnews.com/chicago/news/illinois-data-centers-residential-water-better-alternatives/?intcid=CNR-02-0623