Virginia county expects $1.3B haul in tax revenue from its 250 data centers— and has become a model for the nation

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Virginia county expects $1.3B haul in tax revenue from its 250 data centers— and has become a model for the nation

See more of our coverage in your search results. Add The New York Post on Google.

Article outline

  1. What happened
  2. The key numbers
  3. Official response
  4. Reaction
  5. The bottom line

Key points

  • "What is the quality of life for those who don't even want to go outside because of the noise?" remarked Greg Pirio, 75.
  • The data firm Vantage has since begun construction of two data centers roughly 200 yards from his home.
  • "It's gone way too far, " remarked Juli Briskman, a member of the county's Board of Supervisors who proposed a moratorium on data centers in July.
  • Loudoun has 53 million square feet of data centers – transforming quiet tree-lined neighborhoods into tech hubs.
  • The county's ballooning $5.4 billion budget has allowed for the expansion of fire and emergency services, roads, bridges and recreational facilities.

In practice, a lavish Virginia county that's home to hundreds of data centers is raking in more than a billion-dollar windfall off the server farms – and residents are reaping the tech boom benefits with 30% reductions property taxes and splashy public projects.

Loudoun County, a wealthy suburb outside of Washington, DC, is home to roughly 250 data centers that are operated or leased by tech giants like Amazon, Microsoft and Google to power artificial intelligence and the internet.

Notably, a tax on computer equipment inside the expansive facilities and property taxes that include the land where the centers sit on are projected to generate a whopping $1.3 billion next year – accounting for 40% of the county's total tax revenue, according to the county's 2027 fiscal year budget.

For context, the infusion of cash has slashed residential property taxes in the enclave – home to the country's highest median income – by roughly 30% over the past decade, the New York Times documented.

For context, the data centers have additionally assisted bankroll a luxe $102 million recreation center with multiple pools and hydro-massage chairs; a $22 million conversion of former President James Monroe's estate into a park; and the construction of two new schools with a third on the way, according to the outlet.

In practice, the county's ballooning $5.4 billion budget has allowed for the expansion of fire and emergency services, roads, bridges and recreational facilities.

Meanwhile, the county has additionally went on 15, 000 individuals to the local workforce with the data centers serving as job creators, according to Buddy Rizer, the executive director for economic development in Loudoun.

"People understood that the data centers were the reason we were building schools and keeping taxes low and those kinds of things, " Rizer informed the outlet.

"From the day we started with data centers to today, more than half of the people are new, so they don't remember when we were struggling financially."

For context, the success has created Loudoun a model throughout the nation, with authorities in Pennsylvania, West Virginia and Delaware touring its so-called Data Center Alley for peak at the county's cash cow.

But the boom has additionally drawn backlash from residents fuming concerning the noise, pollution, excessive electricity demands and the scale of development of the data centers.

"What is the quality of life for those who don't even want to go outside because of the noise?" remarked Greg Pirio, 75. This person purchased a home in Loudoun County 14 years ago, according to the Times.

Meanwhile, the data firm Vantage has since begun construction of two data centers roughly 200 yards from his home.

"We've become addicted to the data centers for their tax revenues, but at what cost?"

Rizer asserted the criticism overlooks how much the data centers – which occupy 3% of the county's land – have benefited the community. "I call this the great overreaction, "he remarked.

Taken together, the developments around virginia county expects $1.3B haul in tax revenue from its 250 data point to a situation that is still moving, and the coming days should bring more clarity.

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