It's like if someone is building a landfill in your hometown to bury the whole country's waste. Or it's like a factory that creates zero job.
It's like if someone is building a landfill in your hometown to bury the whole country's waste. Or it's like a factory that creates zero job.
The city councils know it, but the residents don’t.
The entire point of the last 10 years of Strong Towns was talking about municipal finance, infrastructure costs, and the insolvency of the American suburban town.
The entire state of Utah is not broke. Box Elder County is largely a rural community but it is also not broke.
There will be some obvious bad deals. I think you're wrong to assume that the county is not broke from a municipal finance perspective. Nibley, Utah residents had their town evaluate by Strong Towns, they were in a fairly tough financial position until about 2015. The idea that you have residents that are even doing these reports mean that you have an electorate that actually cares at all.
In the worst case, if your local municipality sides with business over the little guy, that means potential brownouts and water shortages for you.
But you don't see center-pivot or linear-movement farmland built up in areas with high population density, nor do you see them using the municipal, potable water supply for irrigation. That is where datacenters are being built and what datacenters are doing, however, and it is why datacenters are blamed for the exacerbation of municipal water systems in these communities. Groundwater, surface water, harvested rainwater, and reclaimed wastewater are the major sources used by farms. Dasani is the major source of water for datacenters, and it makes a massive difference on the water use math.
How does HN feel about ai written blogs? Who wants to go stand next to a 30' warehouse?
Most data center cooling works by evaporation. Hot air or hot water from the servers passes through cooling towers, and water is deliberately evaporated into the atmosphere to carry heat away. That water vapor rises, disperses, and eventually falls as precipitation, but not locally, and not on any useful timescale for the watershed it was drawn from. So the water still exists, but it's been removed from the local hydrological system
Then, there's the ecological angle. Even when companies claim green credentials, locals often scrutinize the actual power mix feeding the facility. If the regional grid is coal or gas-heavy, a data center's carbon footprint can be substantial. There are also concerns about diesel backup generators, potential groundwater contamination, and heat discharge.
Then there's an increased power bills for locals situation, although this one is not as clear and is often disputed. The argument typically goes something like this: utilities operate on cost-recovery models. If a massive new load comes onto the grid and requires infrastructure upgrades like new substations, transmission lines, grid hardening. Those capital costs get socialized across all ratepayers. The data center pays for its energy consumption, but not necessarily for the full cost of the infrastructure built to serve it. That gap gets spread to everyone else's bills.
Key point doing a lot of heavy lifting here. Do all these data center buildouts include providing their own power? Seems like the answer is largely no. These companies expect power infrastructure to be supplied by the government, but also want lower taxes.
Looking at the controversial Stratos data center in Box Elder County:
Box Elder County baseline (before Stratos): 2026 General Fund revenue: $36.1M 2026 General Fund tax revenue: $21.1M 2026 Municipal Service Fund: $18.8M
Stratos (Phase 1): Power: 3 GW Revenue expected: $30M/year Revenue as % of existing county tax rev: 142%
Stratos (Full Buildout): Power: ~9 GW Revenue expected: $108M/year Revenue as % of existing county tax rev: 512%
Planned power details: - Box Elder says it will use natural gas from the nearby Ruby Pipeline. - MIDA describes it as dedicated on-site generation designed to limit demand on the existing grid. - The project ramps from ~3 GW in Phase 1 to ~9 GW at full buildout.
I'll acknowledge that the MIDA structure is not a normal county tax bill and comes with explicit energy-rate discounts, but given that the county could hit 500%+ of its previous tax revenue, I think that's a very easy deal for the county to make.
Data sourced from: https://www.midaut.org/stratos
/the scale of that site is like nothing i've ever seen. 100s of those giant cooling units lined up and enough piping that my wife said it reminder her of the refineries on the TX coast.
How is running local gas turbines more efficient than relying on centralised power generation?
Even the transport costs of getting kerosene to them is considerable.
This is a well established playbook - it was used with nuclear. It’s being used with oil transport.
It’s literally the same script.