Governor Criticizes Approval Process
Utah Governor Spencer Cox declared on Thursday that the approval process for the controversial Stratos data center in Box Elder County was “not good,” signaling a renewed push for legislative reform of the Military Installation Development Authority (MIDA). Speaking at a PBS Utah news conference, the governor criticized the board for experiencing “mission creep,” arguing that the agency has increasingly taken on major development projects outside its original scope, which was intended solely for military-related infrastructure.
The MIDA board, which has recently approved large-scale developments at Utah’s ski resorts and cleared the path for the Kevin O’Leary-backed Stratos project, is now at the center of a public and political firestorm. Governor Cox expressed that his office—and future governors—should have significantly greater oversight regarding the projects these independent entities undertake.
Legislative Hurdles and Future Policy
This is not the first time Governor Cox has attempted to exert more control over state development agencies. During the 2025 legislative session, he championed the creation of a “Beehive Development Agency” designed to grant his office approval power over large projects like Stratos, but the bill never reached a floor vote. Earlier this year, a proposal by Rep. Neil Walter to require gubernatorial approval for projects utilizing tax increment financing—the core funding mechanism for MIDA—also failed to advance.
The governor noted that he views MIDA, along with other independent entities like the State Fair Park Authority and the Point of the Mountain State Land Authority, as areas where the state has “delegated a lot of authority.” He emphasized that public accountability rests with his office, stating, “We need to make sure that we have insight into what it is they’re doing, what projects they’re taking on, and are they the right projects for our state.”
Current Status of the Stratos Project
The Stratos project remains mired in legal challenges, including a rejected citizen referendum and ongoing litigation involving Box Elder County. While MIDA has reportedly paused action on the project, Kevin O’Leary’s investment group maintains that the project is “full steam ahead” regarding permit processing. The controversy also had political repercussions for the board’s chair, Utah Senate President J. Stuart Adams, who lost his primary reelection bid in June following significant public backlash over the data center.