ASHVILLE, Ohio — In a decision that is already drawing scrutiny from environmental advocates and residents, the Ohio Environmental Protection Agency has formally determined that a lowering of water quality in the Upper Scioto watershed is “necessary” to allow construction of the proposed Arsenal‑1 Hyperscale Manufacturing Facility in Pickaway County.
The determination appears in the agency’s newly issued Section 401 Water Quality Certification, a required approval for projects that impact streams, wetlands, or other waters of the state. The certification clears the way for the developer, W‑CTR Scarbrough Land Holdings VIII, LLC, to permanently fill or alter nearly 2,700 feet of perennial streams and 5.7 acres of Category 2 wetlands on the 300‑plus‑acre site.
In the document, Ohio EPA Director John Logue states:
“I have determined that a lowering of water quality in the Upper Scioto watershed (HUC 05060001) as authorized by this certification is necessary. I have made this determination based upon the consideration of all public comments, if submitted, and the technical, social, and economic considerations concerning this application and its impact on waters of the state.”
The statement signals that the agency allegedly weighed the environmental losses against the anticipated economic benefits of the massive industrial development — and ultimately sided with the project.
Significant Impacts Approved
According to the certification, the project will:
- Relocate or culvert 2,696.4 linear feet of perennial streams
- Permanently destroy 5.70 acres of jurisdictional wetlands
- Allow construction of five warehouse buildings, an office hub, parking lots, loading docks, and stormwater ponds
The impacted wetlands include more than 4.5 acres of forested habitat, which typically provide high ecological value for flood control, water filtration, and wildlife.
To offset the losses, the developer must purchase mitigation credits from two private mitigation banks in Morrow and Union counties. However, those restored wetlands and streams are miles away from the communities experiencing the impacts.
EPA: Degradation Allowed Under Federal Law
Under Section 401 of the Clean Water Act, states may authorize a “lowering of water quality” if they determine it is necessary and if the project will still comply with federal and state water quality standards. Ohio EPA’s certification asserts that the Arsenal‑1 project meets those requirements.
The agency also notes that it considered public comments, though it does not specify how many were submitted or what concerns were raised.
Local Concerns Likely to Grow
The Upper Scioto watershed supplies drinking water, supports agriculture, and feeds into the Scioto River — a major waterway for central and southern Ohio. Any sanctioned reduction in water quality is likely to raise alarms among residents, environmental groups, and local governments already wary of rapid industrial expansion in the region.
The certification acknowledges that water quality will be degraded but argues that the impacts are justified by “technical, social, and economic considerations.” Critics often view this language as a signal that economic development was prioritized over ecological protection.
Next Steps
The certification can be appealed to the Environmental Review Appeals Commission within 30 days. Construction cannot begin until the U.S. Army Corps of Engineers issues its corresponding federal 404 permit.
As the region braces for another large‑scale industrial project, the debate over how much environmental loss is “necessary” — and who gets to decide — is likely far from over.