The latest Project Camellia-related lawsuit filed in Effingham County accuses the Effingham County Industrial Development Authority, county commissioners, and a handful of others of participating in a coordinated effort to bring the OpenAI data center development to the county under a veil of secrecy.
The 44-page lawsuit contrasts in that in addition to claims of improper government action and financial harm to nearby property owners, this complaint also alleges fraud and conspiracy. Specifically, the lawsuit alleges that public officials and private companies worked together to secure land, financial incentives, and zoning approvals for the project – all before Effingham County residents had a real opportunity to make their voices heard on the issue.
The Complaint
The latest complaint was filed by three familiar names: Dr. Michelle Finch-Mincey, Lehman Mincey, Jr., and Raymond Carver, all three of whom are residents of Effingham County and plaintiffs from the first Project Camellia related lawsuit filed in September.
The lawsuit names OpenAI OpCo, LLC, affiliates Octans GA LLC, Savannah Industrial Development LLC, the Effingham County Industrial Development Authority, IDA CEO Brandt Herndon, County Manager Tim Callanan, and County Commissioners Damon Rahn, Forrest Floyd, Roger Burdette, Jamie DeLoach, Beth Helmly, and Phil Kieffer. The county commissioners, Herndon, and Callanan are all named in the suit in both their individual and official capacities.
Complaint Allegations
Coordinated Secrecy
The lawsuit contends that Project Camellia moved through confidential negotiations, nondisclosure agreements, private meetings, and zoning amendments that deprived residents of opportunity to participate in decisions that directly affect their property.
The complaint outlines that the IDA entered into a nondisclosure agreement with Open AI on October 27, 2025, nearly nine months before the project was publicly announced. IDA CEO Brandt Herndon signed the agreement as did Open AI’s Dan Cook.
But the plaintiffs argue in the complaint that the NDAs were circulated to county representatives, including County Manager Tim Callanan, which prevented public discourse with residents. It also takes aim at Herndon for his April 2026 statement that Effingham County was not recruiting data centers, despite ongoing discussions with OpenAI at that time. The complaint says Herndon was communicating multiple times per week with OpenAI representatives while the project was negotiated.
Public Land Sale and Improper Delegation of Governmental Authority
The plaintiffs argue that the use of a private agent, confidential negotiations, and the meeting process prevented meaningful public scrutiny of the disposition of publicly owned property.
The lawsuit references the 1,440 acres of land previously owned by the IDA, which had been acquired through the condemnation of 2,628 acres in 2005 and 2006.
In 2016, the IDA granted Savannah Industrial Development LLC power of attorney to sell or lease approximately 2,584 acres of Authority-owned property. The company became the designated agent and was authorized to negotiate transactions for the property. Savannah Industrial Development is a Colorado-based LLC created in 2016.
The issue, according to the complaint, is that the arrangement improperly delegated governmental authority over public property to a private company.
With regard to OpenAI, Savannah Industrial Development executed purchase agreements with Octans on May 14 and July 7, 2026, before the Authority publicly approved the Project Camellia memorandum of understanding.
The Effingham County IDA met on July 21, 2026, a date the lawsuit alleges was selected by OpenAI as opposed to the regular meeting date, and the agenda only listed “Project Gateway.” Three OpenAI representatives were present, but no one from the public attended. The lawsuit alleges more than an hour was spent in executive session before the MOU was unanimously approved.
On July 24, 2026, Savannah Industrial Development LLC executed a deed conveying approximately 1,440.66 acres to Octans for $10, though the lawsuit references statements made by Herndon that the public funds increased by $350 million following the sale of the property.
Zoning Changes and Public Hearings
The complaint by Finch-Mincey, Mincey, and Carver again takes issue with the adoption of Ordinance 2026-352 on August 4, 2026 regarding the county’s Table of Permitted Uses, which the suit says affected data center development on industrially-zoned property.
While county officials claimed the amendment was a technical correction, the suit says it was a substantive zoning change with notable consequences because data center uses were permitted to proceed without the individualized conditional use approval that requires public hearings.This is a contrast to Effingham County’s zoning ordinance and Georgia’s Zoning Procedure Law, which requires public hearings before the Planning Board and the Board of Commissioners for zoning amendments.
Public hearings did not precede the adoption of the ordinance.
Further, the Steering Committee created in December 2024 to address the zoning ordinance met without public notice or an agenda, and meetings were not open to the public, despite being an appointed government entity with a quorum. The Steering Committee was made up of county development personnel, IDA members, private developers, and members of the public. County Manager Tim Callanan, IDA CEO Brandt Herndon, Chairman Damon Rahn, and Commissioner Beth Helmly attended the meetings.
Conflicts of Interest with Georgia Power
A notable addition to the latest lawsuit is the involvement of County Commission Chairman Damon Rahn and the relationship with Georgia Power, the company expected to supply the 3.2 gigawatts of electrical capacity to the OpenAI development.
The complaint alleges that Georgia Power representatives were present at the October 2025 retreat for county commissioners and that Georgia Power’s economic development division facilitated OpenAI’s introduction to the Effingham County IDA. The suit contends that the board retreat specifically addressed “strategic and economic impacts of data center development in Effingham County.”
Chairman Damon Rahn worked for Georgia Power as an information technology infrastructure analyst, but neither disclosed his employment relationship nor recused himself during proceedings involving data centers and zoning amendments.
Tax Incentives
The financial arrangements negotiated for Project Camellia are also a pillar of the lawsuit, which references the July 21 MOU outlining $20 billion in cumulative capital investment, phased development, and a bond-financed sale-and-lease-back structure. Also referenced were the PILOT arrangements for the first 15 years and incentives totalling $900 million.
The $38.6 million in property tax relief was announced by Herndon in August 2026, the suit says, and was approved ten days after Herndon first presented the tax relief figures.
The issue of the negotiated terms prior to any public notification on the project type or the scope of the proposed development, along with the distribution of $80 million from OpenAI for community benefit, are characterized as a ‘finalize first, garner public support second’ procedure that disregarded meaningful public input.
RICO Act Allegations
Perhaps the most serious allegation in the suit is the one that the defendants violated Georgia’s civil RICO statute, which differs from the RICO statute under Georgia’s criminal code.
This allegation involves OpenAI, Savannah Industrial DEvelopment, Brant Herndon, Tim Callanan, Damon Rahn, and Roger Burdette in their individual capacities.
Finch-Mincey, Mincey, and Carver allege that the parties participated in what the lawsuit calls the “Project Camellia Enterprise,” an association established to secure public land, favorable zoning treatment, and tax incentives while concealing information from affected residents.
It goes as far as to allege a pattern of racketeering activity involving false statements, concealment of material facts, and coordinated governmental and private conduct.
Harm to Nearby Property Owners
The suit once again outlines concerns about noise, water demand, electrical infrastructure, wetlands, and the possibility of lower property values.
The plaintiffs assert that the development has already adversely impacted their property interests, namely with prospective buyers withdrawing or reducing offers on properties near the development, including property owned by the plaintiffs.
“This was not one mistake or one meeting. It was a pattern, corrupt in its design and repeated at each step, with the purpose of putting a $20 billion industrial campus in the middle of Effingham County without asking the people who live there. The residents who did not want it and were never allowed to say so now bear its costs, with devastating impacts to their homes, their property values, their water, their roads and their peace,” the suit reads.
Remedy
The plaintiffs are seeking a jury trial, compensatory damages for alleged injuries to their property interests, as well as punitive damages, but specific dollar amounts are not outlined in the suit. Under their Georgia RICO claim, they also seek three times their actual damages, along with attorney’s fees and litigation expenses.
Finch-Mincey, Mincey, and Carver are represented by attorneys from Savage Turner Pinckney Savage Sprouse and Gilluly.
In a news release, Attorney Ben Michaud said, “This case is not an attack against the use of AI or AI in general, it is an attack on the ways these defendants acted to procure the data center in Effingham County. It is a demand for transparency and accountability.”
Greg Gilluly, one of the firm’s partners, echoed the sentiment adding, “A country premised on the first three words of the Preamble to the United States Constitution, “We the People,” underlies the principle of not only our national government but also our local governments. Government power should come from the consent of the people, not multibillion-dollar corporations having secret meetings with public officials. Transparency in government is the public practice of openly sharing information, decisions, and resource allocations so citizens can hold leaders accountable. Transparency strengthens confidence in public institutions. Without transparency, there is doubt, distrust, and insecurity.”
A civil complaint is a court filing which includes allegations made, in this case by the plaintiffs, but is not considered findings by the court.
