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BUSINESS · OCT 7, 2025

U.S. Cities Approve Massive AI Data Center Projects

Local governments in Texas, Alabama, and Wisconsin are advancing multi-billion dollar AI data center projects despite intense community opposition over environmental and utility risks.

Local governments across the United States are pushing forward with massive artificial intelligence data center developments, sparking clashes between economic planners and concerned residents. In the Texas Panhandle, Fermi America, led by former Governor Rick Perry, proposed Project Matador, a $300 billion nuclear-powered facility spanning 5,263 acres. The project seeks billions in loans from the U.S. Department of Energy and plans a $90 billion public stock offering, though critics warn of nuclear accidents and the depletion of the Ogallala Aquifer.

In Bessemer, Alabama, the City Council voted unanimously to add data centers to light industrial zoning to facilitate a $14 billion complex proposed by Logistics Land Investments LLC. Mayor Kenneth Gulley characterized the 4.5 million square foot project as the largest investment in state history. While residents expressed concerns over water table damage and utility costs, Councilor Carla Jackson asserted that the facility would draw water from the Black Warrior River rather than city supplies. A final rezoning vote is scheduled for November 18.

Meanwhile, in Port Washington, Wisconsin, the Common Council recently re-zoned parts of a site for an $8 billion project owned by Vantage Data Centers. Mayor Ted Neitzke defended the facility's water usage, though the Protect Fredonia Coalition warned of property devaluation and the disruption of historical Native American sites. Groundbreaking is expected within eight weeks.


Reported across 7 outlets
Actors
Vantage Data CentersTed Neitzke IVCarla Jackson

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