By Tashi McQueen
AFRO Staff Writer
tmcqueen@afro.com
As artificial intelligence (AI) continues to expand, data centers are increasingly appearing in neighborhoods across the country, raising questions about long-term safety, environmental impact and infrastructure demands. City and state officials are weighing potential benefits alongside these concerns.
Mayors from across the U.S. recently gathered during the 94th Winter Meeting of the US Conference of Mayors, held in Washington, D.C., Jan. 28-30, to discuss the economic and environmental effects of data centers on their communities. Several highlighted their role in local economies and infrastructure planning.
“These projects represent billions of dollars in long-term investment and infrastructure investment and can serve as a powerful engine for local economic growth,” said Daniel Rickenmann (R), mayor of Columbia, S.C.
Lisa M. Gilmore, mayor of Santa Ana, said her city has embraced data centers for decades.
“We are in the center of Silicon Valley,” she said. “We have 57 data centers in my city, and we started back in 1994. They started looking like big, ugly boxes but they have evolved dramatically, and now, architecturally, some of the buildings are quite beautiful and really incorporate into our areas well.”
She added that two-thirds of the data centers now use recycled water and have reduced demand for water.
Mayor Gilmore also said residents are worried they are paying higher electric bills to support the data centers. However, she explained that the centers pay substantial taxes, bringing in millions of dollars—enough to cover 15 percent of the city’s budget. Instead of costing residents more, the data centers actually help the city.
Sharon Tucker, mayor of Fort Wayne, Ind., said her city is building its first data center campus, which happens to be owned by Google.
“Two of the 12 buildings have been built, and one is in operation,” said Tucker.
She shared that it uses a new model called the “H System,” which is a closed-loop design that uses less water by recycling it, with excess water evaporating into the air.
“American Electric Power owns the utilities, so we are not responsible for the electric load, but the city owns the water, and we have the capacity to supply that,” she said.
Despite these positive aspects of the center, residents have loudly and adamantly voiced their concerns about water usage, wetlands, electricity capacity and environmental impacts. Tucker noted a similar uproar led to the cancellation of a data center project in Indianapolis.
According to Brookings, the generative AI market is growing 40 percent annually, expected to expand from $43.9 billion in 2023 to nearly $1 trillion by 2032. This surge in demand will likely require more data centers capable of fast, low-latency processing.
Andy Schor, mayor of Lansing, Mich., said his city is taking a measured approach.
“We have a small, 26-megawatt data center,” he said. “We have worked with a company called Deep Green, based in England, which wants to develop on the edge of our downtown, and we have made some demands. They will not take any more water than a local restaurant.”
The project will initially allow 8 megawatts of capacity, with plans to expand to 16 using renewable energy at the company’s expense. Lansing will capture excess heat from the center to feed into the city’s system, potentially stabilizing or lowering energy rates.
“They’re going to be paying an extra million dollars in property taxes,” Schor said.
Schor advised other mayors to set clear standards on infrastructure, environmental impact, noise and aesthetics.
“If not, don’t approve it,” he said. “These companies want to be in our cities but they must comply.”