Speakers sound off on massive data center proposals at STAMP
Projects offer huge revenues to municipalities but seen as very disruptive to refuge, Tonawanda Seneca Nation
Photos by Tom Rivers: (Left) Betty Pitcher of Lancaster speaks against industrial development at the STAMP site, saying it has negative impacts to wildlife and neighbors. “Nature does not have a voice,” she said. “It’s up to us to be that voice and protect this natural beauty.” (Right) Barbara Jonathan, a Tonawanda Seneca Nation resident, displays a poster that says, “The answer is ‘No, No, No.’ No data centers near wetlands, water.”
TOWN OF ALABAMA – Three companies have pitched plans for massive data centers at the STAMP site in the Town of Alabama. The projects would bring the prospect of about $150 to $200 million in revenue to Genesee County municipalities over 20 years.
But the data centers would be huge consumers of electricity, about 200 megawatts of lower-cost hydropower. Speakers during public hearings on Monday 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.
Christine Zinni of Batavia speaks against a large-scale data center at STAMP, which she said is a remote area with pristine wildlife. “I am here to speak for nature’s rights,” she said. “The character of this region is at stake.”
The GCEDC board will either select one of the companies or none of them, Mark Masse, the GCEDC chief executive officer. He spoke during three public hearings on Monday afternoon about the economic incentives offered for each of the projects.
The projects range from $2 billion to $6 billion in capital investments. GCEDC is offering sales tax exemptions ranging from $124.8 million to $462.6 million. Those are the main incentives from the agency. The data centers would also have access to the low-cost hydropower.
The data centers were roundly criticized for more than three hours during public hearings at the Alabama Fire Hall.
“The data centers are immensely intensive energy users with not much benefit,” said Chris Murawski of the Clean Air Coalition of New York.
The projects consume tremendous resources with water and energy while not producing many jobs, he said. The direct employment for the three projects includes 200, 105 and 122.
The three projects and the incentives offered include:
Potentia Holdings from Minneapolis, Minn.
- 892,000 square-foot data center
- $2,156,900,000 total capital investment
- 200 new jobs ($129,250 average), plus 76 other indirect jobs
- Economic impact: $143,378,881 in local municipal revenue over 20 years
- Sales tax exemption: $124,864,000
- Property tax exemption: $42,784,801
- Total tax incentives: $167,648,801
- PILOT payments: $42,784,801 over 20 years with $1,760,882 year 1 to $2,565,273 in year 20
- Other local municipal revenue: $100,594,080 over 20 years – $42,079,704 in year 1, $3,079,704 from years 2 to 20. (That includes $39 million towards substation, $1 million for community grant, $500,000 to county host, $82,104 towards fire district, and $1,497,600 electric sales tax revenue.)
Project Rampart, LLC from Dover, Delaware
- 750,000 square-foot data center on 67-acre parcel.
- Total capital investment: $3,318,450,000
- $206,028,908 in local municipal revenue over 20 years
- Sales tax exemption: $218,960,000 (half state and half local)
- Mortgage tax exemption: $19,950,000 (half local and half state)
- Estimated tax incentives: $238,910,000
- 105 direct jobs ($64,095 average), 40 indirect jobs
- PILOT payments, $3,848,745 in year 1 to $5,606,894 in year 20 paying $93,514,368 in 20 years, saving $93,514,368 in property taxes
- Other local municipal revenue: $112,514,540 over 20 years, with $43,625,727 in year 1, and $3,625,727 from years 2 to 20. In year one there would be a one time $40 million for substation, and then $1 million for community, $1 million county host, $89,727 to the fire district, and $1,536,000 in sales tax revenue.
Stream US Data Centers, LLC from Dallas, Texas (Project “Double Reed”)
- 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 one time $50 million for substation.
The GCEDC hasn’t set a vote on whether it will pick one of the projects. Speakers urged GCEDC to reconsider its plans to turn about 1,200 acres into industrial use. The site already has two projects under development.
Dr. Kirk Scirto, a family medicine specialist at Tonawanda Family Care Center, spoke at the hearings and called the three data centers “parasitic centers.” He said the constant noise from the data centers is comparable to the sounds of jet engines. The impact from the noise and light will have negative impacts on neighbors and wildlife, he said.
Barbara Jonathan, a Tonawanda Seneca Nation resident, said STAMP is threatening the way of life for the Tonawanda Senecas, putting the nearby Big Woods at risk. That forest is critical to the Nation for hunting and medicine.
“That land is all that we have left,” she said.
Kristin Mosher plays recordings of the sounds of birds in the Big Woods at the Tonawanda Seneca Nation, and also the noise from a data center in Virginia.
The “perks” from a data center in revenue and jobs aren’t worth sacrificing the lands and wildlife, she said.
Kristin Mosher, a wildlife photographer and sound recordist from Syracuse, played audio from the Big Woods with many different types of birds. She also played the noise from a data center in Virginia. That data center emits a constant low frequency sound, she said.
“There is incredible diversity of birds in the Big Woods,” Mosher said. “This is one of the last little untouched areas we have here in New York State.”
Christine Zinni of Batavia said the local residents living near STAMP should have the ultimate say in what goes there.
There should be “meaningful” noise studies and other assessments of the environmental impacts on local residents and the nearby wildlife, tributaries and other natural resources, Zinni said.
“I’m here to speak for nature’s rights,” she said. “The character of this region is at stake.”
(Left) Eveyln Wackett of Buffalo and (right) Gary Ciurczek of Buffalo speak against a data center at STAMP, saying it would put birds and other wildlife at risk.
Wackett held up a photo of a short-eared owl.
“I love owls,” she said. “I love raptors.”
Ciurczek is a member of the Buffalo Ornithological Society, a group that enjoys coming to the wildlife refuge and nearby wildlife management areas.
“It is shocking this is being considered in this pristine wetland area,” he said about the data center. “This would be a loud unrepenting noise 24-7, 365 days a year.”
Karen Jones of Shelby (left) and Amy Kahn of Rochester shared their concerns about a data center at STAMP.
Jones said water discharges from the facility could have negative impacts on the Oak Orchard Creek and other tributaries. The companies proposing the data centers haven’t provided much detail with the projects.
She said the companies should fully fund any needed infrastructure upgrades. She also worries the heavy electricity demands for a data center could push up costs for other rate payers.
Jones also was critical of the GCEDC for scheduling the hearings in the afternoon when many people are working or unavailable. It was also during the Tonawanda Senecas mid-winter ceremonies.
The hearings also were poorly advertised, Jones said, and weren’t included on the Town of Alabama website.
Amy Kahn denounced the “opaqueness” of the data centers, and wanted to know who is leading the effort to develop them at STAMP.
She said the project with the noise, large-scale development and water discharges will affect very sensitive wildlife.
GCEDC is also accepting written comments to gcedc@gcedc.com before 5 p.m. on Thursday. The email must contain the project name in the subject line.
