Data centers are going to pour millions and millions of dollars into Madison County tax coffers every year. The Northside Sun reported:
Madison County took out a $215 million loan from the state to pay for infrastructure improvements for the data center project and it’s making it a priority to pay off the loan as quickly as possible. The county expects to make the first payment of $14.1 million in 2027 and to pay off the loan by 2032, said Gerald Steen, who represents District 3 and serves as president of the Madison County Board of Supervisors. “In the first 10 years after repaying the loan to the state of Mississippi, Madison County, the city of Ridgeland, Holmes Community College, Canton Schools and Madison County Schools are expected to see an average revenue increase of nearly $88.6 million annually and in years 11-20 an average increase of over $190 million annually,” Deason said. Off the top of his head, Deason mentioned “new roads, new bridges, parks, new schools, new school administrative buildings, new athletic accommodations an increase in teacher pay and additional funds for teachers to buy classroom supplies” as possibilities for how the additional revenue might be used. Madison County will begin receiving revenue from the data centers located outside of Canton at the state’s mega site at 1978 Highway 22 starting in 2027. So will the Canton Public School District and Holmes Community College. Ridgeland and the Madison County Schools are set to begin receiving revenue in 2028 after the data centers in Ridgeland go online. The numbers are astonishing: • For the first 10 years the AWS data centers are at the mega site, the Canton Public School District is estimated to receive an average of approximately $23.8 million annually from the fee AMAZON pays in lieu of taxes. That would total about $238 million. • For the second 10 years the data centers are at the mega site, the Canton Public School District would receive an average of about $53.7 million annually. That equals about $537 million. • For the first 10 years the data centers are in Ridgeland, the Madison County Schools would receive an average of $24 million annually from the fee AMAZON pays. That totals about $240 million. • For the second 10 years the data centers are in Ridgeland, the Madison County Schools would receive an average of about $47.73 million annually. That equals about $477 million. • For the first 10 years the data centers are in Ridgeland, Holmes Community College would receive an average of $1.8 million annually from the fee AMAZON pays. That comes to about $18 million. • For the second 10 years the data centers are in Ridgeland, Holmes Community College would receive an average of about $4 million annually. That equals about $40 million. • For the first 10 years the data centers are in Ridgeland, the city of Ridgeland would receive an average of about $8.8 million annually in additional revenue for a total of $88 million spread over 10 years. • For the second 10 years the data centers are in Ridgeland, the city of Ridgeland would receive an average of about $17.5 million annually in additional revenue for a total of $175 million. • Madison County would receive an average of about $30 million annually in additional revenue in the first 10 years for a total of $300 million. • Madison County would receive an average of about $67.5 in additional revenue for the second 10 years for a total of $675 million. Rest of article.
Meanwhile, Jackson takes a powder on data centers even when it has actual investors. Make it make sense.
12 comments:
Takes a powder? Because we don't want data centers in Jackson? There are thousands of cities across the United States that feel the exact same way.
read an excellent article in Rankin County newspaper a week or so ago. They listed all of the pros and cons to data centers. Everybody knows about the pros....money. The cons were powerful, some I had not thought about. I wouldn't want one in my neighborhood.
Madison County won’t see a dime once the bubble pops, and will be out all of the incentive money and have a bunch of abandoned buildings.
I am sure Canton Public Schools will handle all that loot properly. :)
At least it’s Madison county and not hinds county
make sure to get it in writing.
Great clip choice KF!!!
There are so many blighted areas within the Jackson city limits where a datacenter could be located and no one would ever know the difference. What a missed opportunity.
Well, you could always move if one gets built near you.
Jackson like most blue cities are against any type of progress and have no desire to increase its tax base
@5:02 PM
You sound like that Luddite Paul Krugman who said in 1996 that the internet was just a passing fad. The only bubble is on the hardware side. Try to think back to how cheap computers got in the 1980s when Commodore released the C64. Then by 1991 a PC that could play Doom was $3599 again. Then by 2002 you could buy a laptop for $599. Hardware prices are fluctuating. But like the internet, Google, Amazon, cryptocurrencies etc., AI isn’t going anywhere. It’s just going to settle in and find its value in marketplace. It just turns out that China can do it cheaper because they aren’t trying to play the magic money game with AI. So we either compete on price with them or slip up and let them take over.
Maybe Jackson has heard the whole "it'll pay for itself in a few years" thing before.
I'm thinking water billing and parking meters, right off the top of my head.
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