After several months of discussion, the company that will be building the proposed data center in Warrenton was announced as Crusoe Energy Systems.
Greater Warren County Economic Development Council (GWCEDC) consultant Steve Etcher made the announcement during the Warrenton Board of Aldermen meeting Tuesday, Nov. 4.
Etcher said Crusoe has a “great deal of experience building data centers.” Etcher said Crusoe takes a resource conservation first approach in all of their developments.
In announcing Crusoe as the vertical developer for the project, Etcher said that the proposed data center will use a “closed-loop” cooling system, which means the company would not be using private wells or potable water supplies for evaporative cooling. He said they would only be using water for domestic uses inside the facility.
Etcher touted the data center as a great opportunity as it is one of the least disruptive industrial developments. He said development of the facility will create thousands of construction jobs and will result in hundreds of permanent jobs when completed. He said the project will bring billions in new investment in the community.
Etcher said data centers will be built somewhere and the only question is which community will capture the benefits of such a development.
In response to a question from Alderman Roger Romaker, Etcher said Crusoe is based in Denver, Colo. and is involved in major projects across the country.
Etcher said the fill of the closed loop system would be a one time fill utilizing contracted water.
Alderman Christine Wait asked Etcher about the possibility of a data center failing and no longer being in operation at the location.
Etcher responded that any structure built at the location could be repurposed for manufacturing and logistics and distribution.
“There would be no limitations on what we could bring in there to backfill if that tragedy (closure of data center) happened,” Etcher said.
Etcher then spoke regarding tax incentives programs and how those programs would affect tax revenues for the local community.
Etcher said local taxing jurisdictions do not live off of income taxes, but instead rely on property taxes and sales taxes. He said the local benefit will come from property taxes and franchise fees, which will be in the millions of dollars.
Mayor Eric Schleuter then asked whether there has been any discussion about tax abatements. Etcher responded that would be a conversation for the future, but he noted that city officials would be the final decision maker on any proposed tax abatements. He did note that data center companies have some expectations regarding abatements, but recently those expectations have been “tamped down.”
