Fisher Chewing Data Center Campus Update: Mineral Supervisor to Vote “NO.”

On a hot and steamy summer evening, Louisa residents gathered at the High School theater to participate in a town hall meeting organized by Mineral Supervisor, and Chairman of the Louisa Board of Supervisors, Duane Adams. I estimate approximately 300 folks attended, representing not only the Mineral district but a broad representation of the whole of Louisa County. The mood light, but pensive, as folks entered and took their seats or milled about chatting with one another.

After brief remarks by Adams, the question session began. From the first question onward, it was clear that the majority opposed the proposed Fisher Chewing Data Center Campus. Questions focused on three main themes: water, power, and projected tax revenues. Skepticism abounded. The questions were not limited to the proposed new data center campus, however, but also focused on the two already approved Amazon Web Service data centers and the newly announced Shannon Hill Road data center near I-64.

In one early exchange, a woman who said she worked professionally as a data center designer and planner, challenged Adams’s assertion that every five years the data center’s hardware, such as servers, would be replaced. By installing new equipment every five years, Adams’s alleged, the business tax revenues would reset, with Louisa County reaping the maximum tax revenue. She said that assumption was flat out wrong.

She has a point, Loudoun County had a $60 million dollar tax shortfall based on this very same faulty assumption regarding a five year replacement cycle. Data centers can depreciate their hardware/equipment which allows them to pay less taxes as the equipment ages. They do not have some magical 5 year replacement cycle and replacement depends on a whole host of complex business reasons, corporate profit being one of them. This holds true for data centers in Louisa.

Adams seemed taken aback, and when she then asked Adams if the proposed data center was going to be a tier 1, 2, 3, or 4 facility, he looked a deer in the headlights, and did not answer, at least not coherently, and continued to talk over her, refusing to let her respond to his remarks, quickly moving on to another questioner. Many in the crowd were not happy with Adam’s silencing tactic, and shouted for her to be able to respond, “let her respond” rang out for a minute or so. She was never permitted to ask another question during the town hall, even though she was promised an opportunity ‘once everyone else had asked their questions.’

Adams talking over women questioners and not letting them finish their questions was a theme throughout the evening, but perhaps that is a topic of another essay.

Nonetheless, this did not deter others from asking pointed questions about noise pollution abatement; carbon offsets, water sources and usage; sewage treatment for contaminated cooling water; fallacies in the tax revenue projections; why a billion dollar corporation needs tax waivers that normal Louisa business do not get (for instance their tax rate on business equipment); number of jobs once construction is over (which Adams wildly over inflated); sources and cost of power (which Adams routinely demurred with the response that power “was not in our control”).

The town hall lasted just short of two hours, with a majority of those wanting to ask questions denied the opportunity to do so were left with the option to submit their questions on a form. In the end, Adams said he would not vote to approve the data center. Adams, from the start of the town hall, said that he was not enthralled by the proposal, but despite that assertion, he seemed overly defensive throughout the question session. One can read from his behavior that perhaps he wasn’t being totally forthright about his doubts about the proposal or was defensive about previous decisions regarding data centers he had made. Nonetheless, he continued, cautioning that he was one of six supervisors, and that folks need to reach out to their respective district supervisors.

Overall, the town hall was an opportunity for the community to speak its collective mind about not only the newly proposed data center, but about data centers in general in Louisa County and their unknown impacts, large and small. Near the end you heard more and more the question, “Why the rush? Why the rush?” I get the sense that folks just want to wait and see the impacts of the first two data centers and not blindly rush into new agreements and contracts, chasing the siren calls of easy tax revenue.

Third Amazon Datacenter Proposed for Louisa County:  Town Hall, Thursday, June 26, at Louisa High School

The Chairman of the Louisa County Board of Supervisors, and supervisor for the Mineral District, Duane Adams, will host a town hall meeting this Thursday at the Louisa High School regarding Amazon’s proposal to build a third datacenter in Louisa County.  The town hall will be at 6:30 in the Alan Jackson Theater.  

An initial public hearing regarding the proposal did not go well for Amazon as most attendees, it was reported, were opposed to the project.

Tammy Purcell’s excellent “Engage Louisa” blog explains in detail Amazon’s proposal, the Louisa County Board of Supervisors responses, the general mood of people attending the hearing. Her blog lays out the issues regarding water usage, power consumption, environmental impacts, and proposed revenue from property taxes.

After reading her recent blogs on the proposed datacenter, however, I have reservations and don’t think it in the best interest of Louisa to have a third data center for several reasons.

Amazon’s application for a ‘conditional use permit’ does not specify how much power the data center will require, nor does it specify how much water it will take from the Northeast Creek Reservoir daily.  They are intimately related.  Water consumption is based on the number of liters per kilowatt hour (l/KwH).  Without hard numbers on power consumption, estimates of daily gallons of water consumed from the reservoir are meaningless speculation.  Estimates range from 500k gallons per day to several millions.  Given the record heat wave this past week, draws of 3 million gallons of water a day for weeks on end would drain the reservoir. What are the contingencies should that happen?

As for the power, where will it come from?  Does Virginia, with already over 500 datacenters — the highest number in the U.S. — have the capacity to provide power to ever increasing numbers of datacenters? At a minimum, this lack of capacity will raise electricity costs for Louisa consumers, with perhaps hundreds of thousands of dollars in higher utility bills annually.  Dominion Power has already proposed 15 percent increases, according to news sources, to power the surge in datacenters. What about emergency generators? How many and how often will they be tested?

In the absence of state wide generating capacity, will local gas-powered power stations be a proposed solution?  In Pittsylvania County, Virginia, the citizens there recently defeated a proposal for a 3,500-megawatt gas powered power station for a 2200 acre datacenter campus.  According to reporting by the Daily Yonder, “researchers from the Dominici Lab at Harvard University’s School of Public Health went to work mapping the plant’s expected emissions of a particularly dangerous pollutant called fine particulate matter. No level of exposure to this kind of pollutant is safe, yet the researchers found that more than 1.2 million residents would face some amount of pollution across the Virginia-North Carolina line.

In Pittsylvania County, around 17,500 people, or more than one in four county residents, would face levels of exposure associated with increased hospitalizations due to heart attack, pneumonia, cardiovascular issues, and in severe cases, stroke or cancer.”

Too many questions remain unaddressed for a decision to be made anytime soon. Overall, are we as a community willing to trade a few extra phantom dollars into the county’s coffers at the expense of our health, give up our precious water resources, accept unaffordable electric bills, roll over to more environmental degradation?  

Who benefits from this cozy alliance between local boards of supervisors succumbing to the siren calls of phantom tax receipts and billion-dollar CEOs? Why the rush?  

Datacenters’ are like the coal mines of the gilded age, extracting wealth from finite resources of local communities for the benefit of the new breed of robber barons in their Newport Mansions. Let’s stop, think, and reflect before we rush into approving this application.