Briefing 09/19/2025
Weekly updates on the political risks American data center projects
This week’s roundup: In Pennsylvania, developers withdrew a proposal for a 209-acre, four-building data center campus in Blakely (Lackawanna County) after the borough denied an additional public meeting and residents organized opposition. In Indiana, Franklin Township Community Schools reversed its stance and endorsed Google’s proposed $1B Franklin Township campus just days before the Indianapolis City-County Council’s vote. In Maryland, officials imposed a moratorium on new data center permits in Prince George’s County while a task force reviews the proposed $5B, 820-MW Brightseat Tech Park. In North Carolina, Statesville’s City Council gave initial approval for Compass Data Centers’ $1B+, in Iredell County, with a final vote set for October 1 amid strong community turnout.
Blakely, PA Residents Block 209-Acre Data Center Project
Developers Jim Marzolino and Alpesh Patel withdrew plans for a 209-acre data center campus in Blakely, PA (Lackawanna County) after the borough rejected their request for an additional informational meeting. The project envisioned four buildings of 150,000 sq ft each, ~70 ft tall. A zoning hearing set for late August was canceled following rising opposition.
Affected Project:
Proposed Blakely data center campus (209 acres, four-building design, developers Marzolino & Patel).
Opposition:
Grassroots Blakely residents organized in local forums. They launched a petition on Change.org with 1800+ signatures.
Why it matters:
Community Mobilization: Local residents organized petitions (1800+ signatures), meetings, and visible protests, showing how grassroots action can quickly influence the outcome of major projects.
Procedural Leverage: Borough leaders’ decision not to hold another public forum gave opponents a decisive opening to block rezoning.
Franklin Township, Indiana Schools Reverse Course, Endorse Google’s Data Center Plan
Less than a week before the Indianapolis City-County Council’s vote on rezoning nearly 500 acres of farmland for a Google data center campus, the Franklin Township Community Schools district reversed its opposition and announced support for the project. Superintendent Chase Huotari framed the deal as critical to expanding the commercial tax base amid looming property tax revenue losses. The district also unveiled a partnership with Google on education, digital literacy, and STEM programs.
Opposition to the Google Data Center remains strong, with groups like Protect Franklin Township still active. Demonstrations are planned ahead of the Council’s final vote.
Why it matters:
Shifting Local Allies: School districts, often vocal critics of tax abatements, may shift to supportive positions when offered partnerships or new funding streams — even in the face of neighborhood opposition.
Navigating Political Risk: This case shows how developers can use engagement strategies to build relationships with local institutions amid rising grassroots resistance.
Prince George’s County, Maryland, Pause Data Center Development amid Pushback
Prince George’s County has paused all permits and approvals for new data center development until late 2025, including a looming resolution by the County Council, while a newly formed Qualified Data Center Task Force drafts binding recommendations. The moratorium was prompted by intense public opposition — especially to the Brightseat Tech Park project proposed by Lerner Enterprises on the former Landover Mall site.
Opposition:
Landover residents, with a Petition gathering more than 20,000 signatures,
Councilmembers like Wala Blegay and Shayla Adams-Stafford
Party for Socialism and Liberation
Affected Projects:
Brightseat Tech Park (Lerner Enterprises, Landover, MD): $5B, 820 MW, plus two other large sites in Prince George’s County currently under review.
Why it matters:
Delay Uncertainty: Prince George’s County is revisiting its 2021 decision to streamline data center approvals. The Task Force’s recommendations, expected by late November, could introduce new standards that extend review timelines and delay siting decisions.
Large-Scale Development Elevated Risk: The Brightseat Tech Park proposal involves a multi-billion-dollar investment. The scale of the project makes it a focal point in ongoing debates about land use, infrastructure, and local impacts.
Statesville, North Carolina, Moves Ahead with Large Compass Data Center Project
Statesville City Council unanimously approved the first reading of a rezoning request to allow Compass Data Centers to develop a massive campus on ~330-340 acres of farmland off Stamey Farm Road in Iredell County. The plan calls for five buildings totaling ~1.3 million sq ft. Power would come from a nearby Duke Energy substation. An informational meeting in mid-August drew a strong resident turnout. The Council scheduled the final vote for October 1, 2025. Initial investment is estimated at more than $1 billion.
Opposition:
Local residents in western Iredell County.
Affected Project/Company:
Compass Data Centers — More than $1 billion, 1.3 million sq ft. proposed data center campus on Stamey Farm Road, Western Iredell County, North Carolina
Why it matters:
Permitting Risk vs Landowner Rights: Local resistance is strong, but landowner willingness and supportive planning staff/staffing can overcome opposition. The unanimous vote suggests that pro-development support is strong when the economics are compelling.
Data Centers in Iredell County: This project represents one of the largest private investments proposed in Iredell County and signals growing competition in North Carolina for data center siting. Projects like this are increasingly scrutinized not just on tax or job benefits but on environmental and community terms.
Mentions in the Press
“The Fight Over Data Centers”
https://www.sierraclub.org/sierra/fight-over-data-centers
“Data Center Construction for AI Is Booming — And So Is Local Resistance”
https://www.motherjones.com/politics/2025/09/data-center-construction-ai-water-local-resistance/
“Data center boom raises concerns over power and water demand”
https://www.bondbuyer.com/news/data-center-boom-raises-concerns-over-power-and-water-demand
Links
“Resident sparks outrage after sharing details about proposed nearby data center: 'Is this corruption?'”
https://www.thecooldown.com/green-business/port-washington-data-center-reddit/
“Ohio regulators turn down appeal, approve data center billing plan”
https://www.10tv.com/article/news/local/ohio/ohio-regulators-turn-down-appeal-approve-data-center-billing-plan/530-0311ddd3-ec26-4634-a39e-caf051756f23
“Green Data Center Developer Soluna Secures $100 Million Financing from Generate Capital”
https://www.esgtoday.com/green-data-center-developer-soluna-secures-100-million-financing-from-generate-capital/
“Statesville City Council approves rezoning request for new data center”
https://www.wbtv.com/2025/09/16/statesville-city-council-approves-rezoning-request-new-data-center/
“Yukon mayor answers questions about proposed data center”
https://www.koco.com/article/yukon-data-center-mayor-answers-questions/66131630
“Environmental groups mount a challenge to data center power permit”
https://wvmetronews.com/2025/09/17/environmental-groups-mount-a-challenge-to-data-center-power-permit/