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LETTER: Inflation, waning tax revenue must be considered in data center debate - Prince William Times

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"Opposition Mounts Against Rural Crescent Data Center Plan,” published Nov. 18, is not a surprise given the environmental, water resource and quality of life impacts of this proposal. 

Something else that should be taken into consideration when determining the real costs of this project is the recent passage of the national infrastructure law. Communities across the U.S. will be starting massive infrastructure projects, all around the same time frame, and all competing for already scarce supplies of skilled workers and materials.

Because the county’s rural crescent has virtually no water infrastructure, and data centers have massive water needs, costs in an inflationary era where skilled workers and materials are scarce could easily negate some or all of the hoped-for data center tax profits. Plus, a tech-flex/industrial zone will likely reduce real estate tax revenue in surrounding areas as they may become fewer desirable areas in which to live.

If we need more data centers, we should place them in the [existing] overlay area, which was designed for this use. The less we rely on building costly new infrastructure during an era of inflation, building material and labor scarcity, the more profit the county can derive from data centers. 

As I researched this topic, I came across information that [tax revenue derived from] data centers [are] high the first couple of years but then may fizzle due to computer asset depreciation. If we put data centers where we need to spend too much on infrastructure, we may just end up with the fizzle.

Ally Stoeger

Gainesville

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LETTER: Inflation, waning tax revenue must be considered in data center debate - Prince William Times
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