GCEDC staff recommends Project Double Reed data center project at STAMP

By Tom Rivers, Editor Posted 3 March 2025 at 5:16 pm

TOWN OF ALABAMA – The staff at the Genesee County Economic Development Center and the STAMP technical team have made a recommendation among the three proposals to develop a massive data center at STAMP, a manufacturing park off Route 63.

The GCEDC staff and the STAMP technical team favor the proposal from Stream US Data Centers, LLC from Dallas, Texas for Project Double Reed.

The details of that proposal include:

900,000 square-foot data center on 59.2 acres
Total capital investment: $6,320,000,000
Incentive amount: $471,560,000
Generate $218,450,978 in local municipal revenue over 20 years
Sales tax exemption: $462,560,000
Mortgage tax exemption: $9,000,000
Estimated tax incentives: $471,560,000
Direct jobs: 122 ($88,505 average), plus 46 indirect
PILOT $127,723,298 over 20 years, $5,000,000 in year 1 to $7,993,252 in year 20
Other local municipal revenue: $90,727,680 over 20 years, with $52,036,384 in year 1, $2,036,384 from years 2 to 20. Includes $1,920,000 sales tax revenue, $116,384 in fire district for $2,036,384 a year, plus a one time $50 million for substation.

Many speakers during three public hearings on Feb. 3 spoke against a data center at STAMP, saying a data centers would be huge consumers of electricity, about 200 megawatts of lower-cost hydropower.

Speakers during the public hearings said a data center near a wildlife refuge and the Tonawanda Seneca Nation would be very disruptive, due to the noise and sheer size of the data center. The buildings, ranging from 750,000 square feet to 900,000 square feet, would be about five to six times the Albion Walmart Supercenter which is 155,000 square feet.

Mark Masse, GCEDC’s chief executive officer, issued this statement today:

“The first step in this process is for the GCEDC STAMP Committee to review all the supporting materials that accompany the recommendation to the Board, and if they agree with the conclusion, approve moving the recommendation to the full Board at the March 6, 2025 Board meeting. This matter will be discussed at the STAMP Committee meeting on Wednesday, March 5, 2025.

“The staff and technical team assessed several factors in our recommendation to the Board, including thorough review of the responses to relevant comments raised at the February 3, 2025 public hearing. We also took into consideration the number of good-paying jobs that would be created, the footprint of the project, including electric and water needs and impacts on the local community.

“Another factor that was considered in our recommendation was which project would have the least impact to the STAMP footprint as GCEDC staff continues to focus on bringing advanced manufacturing and semiconductor supply chain companies to STAMP.

“Staff ultimately concluded, in close consultation with the technical team, that STREAM US Data Centers, LLC project had the fewest impacts, particularly from an environmental standpoint, and provided the best overall fit at the STAMP site.

“GCEDC staff and the technical will be prepared to discuss our recommendation to the GCEDC board at the March 5th STAMP Committee meeting.”