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Letter to the Editor: A Data Center in the Midst of Alabama’s Cornfields?

By Reader Submitted

A Data Center in the Midst of Alabama’s Cornfields? “Gift” or Trojan Horse?

The greatest bone of contention about mega industries like data centers on the STAMP site was, and remains, the call for a new Environmental Impact Statement or EIS - a document required by federal law that outlines the potential environmental impacts of a proposed project. The only one issued was back in 2012 before STAMP had even broken ground at the site. Since 2021, when more specifics about the types of mega-industrial developments STAMP was considering for the site became known, the Chief of the Tonawanda Seneca and concerned citizen groups have repeatedly called for a new EIS and SEQR - a law requiring state and local agencies to consider environmental impacts when making discretionary decisions. They argue that, as the agency involved in a project’s development and in line to profit from it, it is a potential conflict of interest for GCEDC to have oversight of the environmental stipulations informing the EIS and the SEQR. GCEDC  stands to gain tens of millions of dollars in fees from the data company they choose.  

Not Just Any Old Data Center. By any contemporary standard, an updated EIS would seem to be a reasonable request. Data centers, in particular, have changed a lot since 2012. Massive data centers needed for AI applications are currently being built at sites around the world. As noted in recent Wall Street Journal, New York Times, MIT articles data centers consume the most energy of all high tech industries, needing tons of electricity and water to cool stacks upon stacks of on-site computers. Approval of proposals like Project Double Reed by the GCEDC would give the go ahead for a mega center that fuels high end AI computing chips by drawing 250-350 MW of power. Supported by New York State taxpayer dollars to the astounding tune of over 472 million dollars in subsidies, this boils downs to a subsidy of 3.9 million for each of the 122 jobs that Double Reed promises to bring.  As a point of comparison, according to GCEDC’s website, their support of light manufacturing at AppleTree Acres near the rural hamlet of Bergen will generate 60 new full time  jobs with a salary range of $45 to 65,000 annually plus benefits. GCEDC’s report states this was launched with only 42 million in taxpayer dollars, about 1/ 10th  of what is at stake with Double Reed at STAMP. a center that is laden with pertinent ethical questions regarding its potential effect on the neighboring Tonawanda Seneca Nation, the Wildlife Refuge and Oak Orchard Watershed.

Whom would the servers serve? In a paper that uncovers “how utilities are forcing ratepayers to fund discounted rates for data centers,” Ari Peskoe, Director of Harvard University’s Electricity Law Projects observes that “Artificial intelligence is one technology driving the number and size of data centers which don’t need subsidized energy rates if they are already receiving other incentives from a state to locate. We’re all paying for the energy costs of the world’s wealthiest corporations.” In effect, a mega data center at the STAMP site would require enough energy to power a city of 50,000 people in the Alabama cornfields. Placed next to the Wildlife Refuge and Tonawanda Seneca Nation, a massive data center of this type would forever alter the character of the region and bring a host of potential consequences. 

What the Trojan Horse could bring: The public might well consider what happens if the computers in a data center overheat, which they are known to do. They can cause a huge fire and explosion. Local EMS services and the Alabama fire station would be hard pressed to deal with an emergency of this magnitude. What happens if the new substation with electrical power that a data center would use to cool their super fast and hot computer systems went down during an extreme weather event? For their part, a data center would stand to lose millions of dollars every hour, so they have generators on site along with 20 to 30 thousand gallons of diesel fuel. There are 40 known cancer-causing organic substances, including polycyclic aromatic hydrocarbons (PAHs), benzene, formaldehyde, acetaldehyde, acrolein, and 1, 3-butadiene released in the burning of diesel fuel, which is classified as "carcinogenic to humans" by the International Agency for Research on Cancer (IARC), which links its emissions to lung cancer and bladder cancer. OSHA warns that workers exposed to diesel exhaust face the potential risk of health effects ranging from irritation of the eyes and nose, headaches and nausea, to respiratory disease and lung cancer. Based on warnings about health effects attached to the release of diesel fuel in the air, what the purported “gift” of a mega- industrial Trojan Horse of a data center could release on wildlife as well as humans would be equally toxic.

Due Deliberation? Fast Tracking the Vote on the Double Reed: Notwithstanding these weighty public concerns and their implications, on Feb 28, less than a month after the Feb 3 hearing, GCEDC posted a 116  page “Staff Report’ on their website addressing some of the objections raised at the public hearing of Feb 3 that generated a large  such an outcry of public concern. Dismissing Tonawanda Seneca Chief Roger Hill and the public’s call for a new EIS and SEQR, in an interview with Mark Masse published on March 3 in the Batavian Masse tentatively stated he “felt” and/or “anticipated”  Project Double Reed Data Center would meet the environmental thresholds of the 2012 EIS. “So the facility that they're going to be building (in STAMP) is going to be brand new. It'll have all of the lessons learned from previous projects […} So we anticipate it to fit within the parameters of what was analyzed for the EIS, and we would anticipate them to propose and follow through on any potential mitigation that we would suggest for noise or that the town board planning board may suggest for noise.”  However, what is not clear who the ultimate user of a data center would be, as Double Reed would build the facility and lease the server capacity to one or more technology companies.

Within a matters of days - between the time GCEDC’s “staff report” came out on Feb 28 and the Executive Meeting of GCEDC held on March 5 (when it was recommended that their staff bring the vote on the Double Reed Project to the GCEDC Board at a meeting the following day on March 6) - a flurry of 210 comments were sent to GCEDC board members. Among the comments was a letter from the lawyer for the TSN protesting the fast tracking of the vote on approval of Double Reed and stating that the Tonawanda Seneca Nation needed more than a couple days before it could meet with Masse or GCEDC to discuss Double Reed, especially  since the actual tenant for the site was still unknown. 

On March 6 GCEDC committee members met to vote on the proposal to move forward with Double Reed at the STAMP site. Leaving work early once again, over a dozen, Genesee, Orleans, Niagara and Monroe County  residents went to great lengths to attend the meeting. Complying, once again, to the rules of order that no one but committee members could speak, concerned citizens stood silently against the back wall  by the table where five board members cast their vote on behalf of welcoming Double Reed, a project that would affect generations of Tonawanda Seneca and other human and environmental communities in the region. The protesters held placards that expressed both their objections to the data center as well as the way the vote was fast tracked without respecting to the requests of Tonawanda Seneca Nation. Shortly after the meeting was convened, a frustrated mother wheeling a baby carriage with a young child called out members of the board for the potential harm to the region and future generations. 

Learning from Past Mistakes Infamously known for years as “the Silo”  the Batavia Mall on Main Street stands as a testament to what many generations of local people have agreed was an unfortunate, short-sided decision made in the 1970s to capitalize on  urban renewal funds. A city block featuring century-old downtown buildings, historic structures and heritage architecture on Batavia’s Main Street was demolished to make way for the Genesee Country Mall and City Centre. The character of the city was irrevocably altered and the mall has been bleeding taxpayer and tenants’ money ever since. Documenting the consequences of this decision, in 1991 Bill Kauffman, the popular author of “Dispatches from the Muckdog Gazette” wrote: "The city fathers rushed headlong into urban renewal, whereby the federal government paid Batavia to knock down its past {…]all of it Batavia tore out - literally - its five-block heart and filled the cavity with a ghastly mall, a dull gray sprawling oasis in a desert of parking spaces. The mall was a colossal failure, but it succeeded in destroying the last vestiges of our home-run economy.”

The Iroquois Wildlife Refuge and the ancestral lands of the Tonawanda Seneca Nation make this region unique. There is still time to RETHINK STAMP and ask whether a Mega Industrial project like a Data Center at STAMP is a “gift” to our region or a dull gray sprawling Trojan Horse misallocating millions of taxpayer dollars and releasing a swarm of lawsuits, ethical, social, health and environmental problems.

Christine F. Zinni, PhD

Cultural Historian

https://www.wkbw.com/news/local-news/genesee-wyoming/that-land-is-all-we-have-left-outrage-over-impacts-of-proposed-data-center-in-genesee-county 

https://eelp.law.harvard.edu/extracting-profits-from-the-public-how-utility-ratepayers-are-paying-for-big-techs-power/

https://floodlightnews.org/power-for-data-centers-could-come-at-staggering-cost-to-consumers/?utm_source=substack&utm 

https://thereader.mitpress.mit.edu/the-staggering-ecological-impacts-of-computation-and-the-clo 

https://www.thebatavian.com/howard-owens/qa-gcedc-ceo-discusses-environmental-issues-raised-at-data-centers-public-hearing

https://www.thebatavian.com/press-release/apple-tree-acres-in-bergen-proposes-over-a-43-million-project/639652

https://www.thebatavian.com/anne-marie-starowitz/urban-renewal-changed-the-character-of-batavia/596244 

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