Press release:
Statement from Mark Masse, CEO of the Genesee County Economic Development Center:
“The Genesee County Economic Development Center staff and the STAMP technical team, which is comprised of legal, engineering and environmental professionals are recommending that the GCEDC Board of Directors advance a proposal from STREAM US Data Centers, LLC to build a new data center at STAMP.
“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.”
Statement from a group calling itself Allies of Tonawanda Seneca Nation:
Local residents are highlighting the Genesee Economic Development Center (GCEDC) staff’s recommendation to approve the data center codenamed Project Double Reed. The GCEDC STAMP Committee will vote on this recommendation, as well as the staff’s recommendation to prepare a State Environmental Quality Review (SEQR) resolution for Double Reed, at a meeting on March 5. The full Board meets on March 6.
Among the three data centers currently under consideration for the WNY Science and Technology Advanced Manufacturing Park (STAMP) mega industrial site, Double Reed has requested the largest amount in tax breaks - $472 million in combined sales and mortgage tax exemptions. Double Reed is projected to produce 122 jobs, for a per job subsidy of $3.9 million.
Backed by STREAM U.S. Data Centers, Double Reed will use 250 megawatts of electricity per year - significantly more than either competitor. This electricity would be drawn primarily from low-cost Niagara River hydropower, which the New York Power Authority (NYPA) allocates to STAMP even though the site lies outside the designated radius for this subsidy. In addition, Double Reed would have the potential to burn over 20,000 gallons of diesel fuel per day..
According to their report, GCEDC staff chose Double Reed despite its high energy usage and requested tax breaks because the other two applications lack credibility and would have faced significant challenges and delays in obtaining permits. However, the staff also acknowledges that Double Reed lacks a firm commitment from a tenant, meaning it is not known what company would locate there, when, or what its operations might entail.
GCEDC staff are advocating that the full Board approve Double Reed despite strong and ongoing opposition from residents as well as previously stated internal questions regarding the ‘fit’ of a data center at STAMP. At public hearings held on February 3, dozens of speakers voiced concerns about environmental harms, quality of life issues, impacts to the Tonawanda Seneca Nation, misallocation of taxpayer dollars and misuse of low cost hydropower, as well the agency’s repeated refusal to answer basic questions about the project applicants. GCEDC also received 618 written comments.
Since the hearings, CEO Mark Masse has received at least 379 emails demanding that applicants conduct additional research regarding noise, traffic, hydrology, economic impacts to the Oak Orchard watershed, and EMS services. GCEDC has also refused repeated requests from the Tonawanda Seneca Nation Council of Chiefs for a new set of hearings, even though the February 3 hearings were held during the Nation’s Midwinter Ceremonies. The Nation has raised extensive concerns about the SEQR environmental review process, for which GCEDC is acting as lead agency. GCEDC appears poised to dismiss those concerns.
Despite 15 years of effort and more than $410 million in taxpayer subsidies, GCEDC has struggled to attract viable tenants or construct basic infrastructure at the rural site proposed to become a “mega industrial park.” The agency pivoted to data centers to fill a gap in financing for the onsite electrical substation following the withdrawal of funding from Plug Power, which paused construction on its green hydrogen manufacturing facility in 2023. Each of the three data center applicants pledged contributions toward completion of the substation; Double Reed would pay $50 million. Its requested $3.9 million per job approaches the $4.3 million per job allocated to Plug Power. Edwards Vacuum is the only tenant under construction at STAMP.
GCEDC has not filed a new permit application for the proposed “Big Water” pipeline that would bring 6 million gallons of water daily to the site from the Niagara River, raising questions about the source of Double Reed’s proposed 10,000 gallons of water per day. The NYS Department of Environmental Conservation Region 8 Office rejected GCEDC’s previous application as incomplete in August 2024. GCEDC recently filed a Basis of Design Report for a reroute of the Wastewater Treatment Pipeline that would pump raw sewage from STAMP uphill and under multiple waterways to the Oakfield Wastewater Treatment Facility; treated wastewater would be discharged into a tributary of Oak Orchard Creek. Construction of the original pipeline was halted in September 2023 following fracouts of 500-700 gallons of hydraulic drilling fluid into the Iroquois National Wildlife Refuge.
‘Data center’ is a generic term that can refer to operations ranging from cryptocurrency mining to Artificial Intelligence processing. Data centers create minimal jobs, use massive amounts of water and energy, and face opposition from other WNY communities concerned about their noxious public health and environmental impacts. The proposed data center would be sited on a parcel of land characterized by wetlands and located immediately adjacent to the Reservation Territory of the Tonawanda Seneca Nation, whose Council of Chiefs opposes STAMP.
GCEDC STAMP Committee Meeting
March 5, 2025 at 8amGCEDC Board of Directors Meeting
March 6, 2025 at 4pmLocation: 99 MedTech Drive, Innovation Zone. Batavia, NY 14020
Meetings are open to the public.