A developer offered every household in a Pennsylvania town $10,000 for a data center, and many still said no

midian182

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A hot potato: It seems data center developers will do anything to convince angry residents to allow these facilities to be built. But despite every household in Hazle, Pennsylvania, being promised $10,000 if a local data center is allowed to be constructed, many people are still saying no.

In June, a letter was sent to every household in Hazle promising a $10,000 "grant" from NorthPoint Development. The money is contingent on the first of what could be 15 data center buildings being approved on a 1,300-acre site at the foot of the Pocono Mountains near the town.

The Wall Street Journal writes that median household income in Hazle is about $60,000, so $10,000 is a significant sum.

"As a direct answer to the question 'What's in it for me?' I think we came up with something pretty radical and pretty leading-edge," said Brent Miles, NorthPoint's chief marketing officer, who claims he came up with the idea at a public hearing.

With around 4,500 households eligible, the total payout would reach $45 million. NorthPoint added that it also plans $120 million in support over the next 15 years, including funding for the police department and other community investments.

But many residents are calling the money a bribe – the plan certainly isn't being as welcomed as warmly as NorthPoint likely hoped.

While some residents have shown interest, many say $10,000 is nowhere near enough to offset the potential drop in property values caused by the data center development. There are also the usual concerns about noise, water, and pollution, not to mention the general dislike of AI.

Then there's issue of how far away some residents will be from the facility compared to others. "They are trying to drive a wedge between Hazle Township residents who are directly affected by the data center, like myself, and people who might live a couple of miles away," said Ed Parks, who lives in the Eagle Rock Resort community adjacent to the site.

"They can't just throw their money around and think they can go whereever they want, disrupting people's quality of life," said Ed Negra, who also lives in the community.

Some residents also suspect local officials and NorthPoint are keeping key details from the public. Last month, Pennsylvania Governor Josh Shapiro issued an executive order prohibiting nondisclosure agreements between local governments and data center developers.

The project faces opposition from Hazle Township itself, which rejected it in November on zoning grounds and enacted a temporary moratorium on data center construction. NorthPoint has challenged the decision in court, where the dispute remains unresolved.

The resistance comes amid mounting concerns about the health and environmental effects of these facilities. There have been reports that Amazon's Oregon data centers worsened nitrate contamination in an area where residents reported rare cancers and miscarriages, allegations Amazon disputes. In Wyoming, officials traced bacterial contamination in Cheyenne's reclaimed-water system to wastewater from a contractor at Meta's construction site, although drinking water was unaffected.

There have also been water-supply complaints in Georgia, and concerns over harmful emissions from xAI's generators – Starlink's own incentive for residents near its data centers was half-price internet. With those health fears in mind, $10,000 really doesn't seem worth it.

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Why don't they buy up the old dilapidated industry lots and build there instead of tearing up farmland and small towns? Not only do they have ample water and power available, but you're also helping to renovate decaying cities and you don't have to bribe your way in.
 
Why don't they buy up the old dilapidated industry lots and build there instead of tearing up farmland and small towns? Not only do they have ample water and power available, but you're also helping to renovate decaying cities and you don't have to bribe your way in.

Becaure cities have things like planning permission and accountability. A rural local government will be happy for the extra money and to let things slide
 
Why don't they buy up the old dilapidated industry lots and build there instead of tearing up farmland and small towns? Not only do they have ample water and power available, but you're also helping to renovate decaying cities and you don't have to bribe your way in.
There is a large push in PA to clean up those industry lots and many of them were bought up as investments by developers to turn into neighborhoods or "luxury" apartments. The problem is that so much of the ground is incredibly toxic that they can't get permits. I worked on one called "Edgewater", formerly edge water steel, and the ground was so toxic that the homes are 1, not allowed to have basements and 2, there are not supposed to be any living spaces on the ground floor. We had to remove 15 feet of soil and replace it with 25 feet of clean fill to direct all rainwater runoff away from the whole project to prevent bringing up contaminants to the new ground. The whole project was frequently quoted as being 3 football fields in size.

But much of the land you're thinking of was purchased in the early to mid 2000s and developers are just sitting on it. Funny thing about that is we have been consistently going down in population for about the last 40 years. Pittsburgh had a small resurgence in the mid 2010s, but that development just increased the cost of everything and pissed everyone off. The "Hienz lofts" comes to mind. The converted an old ketchup plant into "luxury" condos, but it was right next to a busy highway AND a busy railway. T my knowledge, its still mostly empty.
 
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There is a large push in PA to clean up those industry lots and many of them were bought up as investments by developers to turn into neighborhoods or "luxury" apartments. The problem is that so much of the ground is incredibly toxic that they can't get permits. I worked on one called "Edgewater", formerly edge water steel, and the ground was so toxic that the homes are 1, not allowed to have basements and 2, there are not supposed to be any living spaces on the ground floor. We had to remove 15 feet of soil and replace it with 25 feet of clean fill to direct all rainwater runoff away from the whole project to prevent bringing up contaminants to the new ground. The whole project was frequently quoted as being 3 football fields in size.

But much of the land you're thinking of was purchased in the early to mid 2000s and developers are just sitting on it. Funny thing about that is we have been consistently going down in population for about the last 40 years. Pittsburgh had a small resurgence in the mid 2010s, but that development just increased the cost of everything and pissed everyone off. The "Hienz lofts" comes to mind. The converted an old ketchup plant into "luxury" condos, but it was right next to a busy highway AND a busy railway. T my knowledge, its still mostly empty.
We have similarly toxic fields, one was recently turned into a parking lot, allegedly construction took forever because the creosote oil kept creeping up and ruining everything it touched.

What baffles me is these investors bought this land decades ago, it has massively appreciated, and datacenters are hungry, why not just cash in? I guess the permits are a major issue, but then is the city just going to sit on these dilapidated structures and lots forever?
 
How about 10K and a PERCENTAGE to each resident, for the PROFIT the data center makes after it is established? (yeah, like the tech types would do that!)
 
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