Harwood Voters Reject Data Center Restrictions Amid National Trend

Voters in Harwood, North Dakota, overwhelmingly rejected a charter amendment on November 3 that would have mandated independent reviews and public hearings for large-scale industrial projects. Approximately 75 percent of the 430 votes cast opposed the measure, with unofficial results showing 325 against and 105 in favor. The vote specifically targeted the Polaris Forge 2, a $3 billion, 280-megawatt AI campus developed by Applied Digital Corp. and leased to Oracle.

The result stands in stark contrast to a national trend. According to Ballotpedia, voters in 40 of 41 local data center measures across 10 states favored restrictions or bans, including full bans in California, Florida, and Ohio, and moratoriums in Maine. Harwood was the only jurisdiction among those surveyed to side with the industry.

Proponents of the measure, led by the grassroots group Voices of Harwood, cited concerns over noise pollution and transparency. However, Mayor Blake Hankey and the Fargo Moorhead West Fargo Chamber of Commerce campaigned against the amendment, warning it would be "financially burdensome" and risk the loss of tax benefits. Mayor Hankey estimated the facility would generate $1.65 million in taxes by 2028 and create over 200 full-time jobs.

To address concerns regarding electricity costs, the Cass County Electric Cooperative required Applied Digital to fund engineering studies, transmission improvements, and a new substation. The developer also provided prepayments and letters of credit to protect existing ratepayers from cost increases.