Harwood Approves $3 Billion AI Data Center Amid Annexation Battle

The Harwood City Council unanimously approved the rezoning of agricultural land to light industrial on September 10, 2025, allowing Texas-based Applied Digital to construct a $3 billion artificial intelligence data center. The 280-megawatt facility, named Polaris Forge 2, will occupy 160 acres of a larger 925-acre site. The project is expected to break ground in September 2025, with full operations and approximately 200 full-time jobs arriving by early 2027.

The approval process drew intense criticism from local residents, who cited a lack of transparency and restricted public access. The final vote took place during a 25-minute special session called by Mayor Blake Hankey, who participated via videoconference from Portugal. Critics alleged the meeting was rushed and the venue was intentionally undersized to limit attendance, leading some residents to organize a recall petition against Hankey.

Following the approval, the city of Fargo initiated annexation proceedings for the site, claiming the land falls within its two-mile extraterritorial jurisdiction. Fargo officials argue their larger infrastructure is better equipped to support the facility's growth. Mayor Hankey rejected these claims, asserting that Fargo has no right to the land. Applied Digital has pledged to support Harwood in the ensuing legal battle. The Fargo City Commission is scheduled to review annexation protests on November 10, with the dispute potentially moving to mediation or an administrative law judge.