Some residents in Northwest Indiana are pushing back on a deal incentivizing Amazon to build a data center in their town.
For months, residents said they’ve been demanding more transparency about the project and what it could mean for the community.
Angelita Soriano is banding together with other residents to take a stand against Amazon and city leaders over the company’s plan to break ground on a $15 billion dollar data center across the street from her subdivision.
“Amazon just wants to throw this money at the city and that’s deeply concerning for all of us,” she said.
“This is a cancer that’s going to be on our community and if we think this is going to stop at 725 acres the people here have got another thing coming,” added Joseph Konn, another Hobart resident.
Residents are expressing concern that a wide variety of issues have not been addressed for the project, including electricity and water usage.
“The electricity, the water, the pollution, the back up generators, the road traffic—all these are concerns that have yet to be addressed,” said Alice Pawlowski, Hobart resident.
Amazon plans to build the data facility near 61st and Colorado. Construction for the Hobart Tech Park could start as early as spring pending approval from the City Council.
Mayor Josh Huddlestun confirmed with NBC 5 it could be up to 25 buildings.
“I think there’s a lot of misinformation that floats around data center,” he said. “I think the early iteration of data centers is a lot different than they are today.”
The mayor said the city negotiated with Amazon on the terms of the deal, which includes an upfront community impact payment.
“You’re talking $47 million upfront which we believe to be the largest upfront cash payment in the history of the country that I’ve been able to find for private development on private land,” he said.
Amazon is also looking to make additional payments, including $10 million for when the first building permit is issued, $45 million for when the first building walls go up and similar rounds of payments in the next two years.
The mayor said the money will help to serve the community, reduce services fees, and enhance other services, including garbage collection, parks, and roads.“This is going to be cost control for us so that we don’t have to extend any additional taxes onto our residents,” he said.
While those against the development admit the money can help the city, they want it done in a transparent way. The mayor said this will create jobs and grow the economy.
“A deal this size is historic for the state of Indiana, for Hobart, historic for the country and we’re ready to be a part of it and we’re ready to deliver on the thing that we promised,” he said.A council meeting is scheduled Wednesday at Hobart High School at 6 p.m. Council will likely take a vote on three resolutions, including a 10-year real property tax abatement and the community enhancement agreement to accept the cash payments.
Amazon issued a statement to NBC Chicago:
“Amazon is committed to investing in the communities where we operate. We’re proud to partner with Hobart on a development that brings meaningful economic benefits as part of our $15 billion investment in Northwest Indiana. The project is expected deliver an estimated $1B in savings to utility ratepayers over the next 15 years and only use, on average, about the same amount of water annually as 120 Indiana homes.
“We appreciate the city’s collaborative approach to structure this agreement in a way that represents our shared commitment to building lasting partnerships that create opportunity and strengthen communities. Amazon’s investment will generate 1,100 long-term jobs at our new data centers and support thousands of additional jobs dedicated to the construction, operation, and maintenance of the facilities through partnerships with local contractors and small businesses. And it supports new workforce development and education programs that will help build the skilled workforce across Northwest Indiana.
“We look forward to continuing our work with city leadership to ensure our presence is a positive force for the entire Hobart community.”
– Roger Wehner, Vice President, AWS Economic Development
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