Comment by throwaway2037
16 hours ago
> I've also seen counties offer tax incentives. Why? Just have them pay property tax.
This seems naive. You are missing the point. If you don't offer tax incentives, then you don't get data centers (or other important industrial facilities). The internal United States market competition to attract these projects is intense. If you look at when a major foreign auto manuf wants to build a new plant in the US, there is a line of communities hat-in-hand offering all kinds of tax rebates and cheap loans.
> Loudo[u]n County gets half of all its revenue from data center property tax. Its residents were already rich, and now their local taxes are artificially low. Who wouldn't want that?
I looked up the reason why Loudoun County has so many data centers: (1) favorable zoning laws passed in year 2000 and (2) sales tax break specific to data centers.
Consider that the stance now is banning data centers. That's the context of the discussion.
The county's other option is to simply price data centers. Yes, that means they might not win the data center. If the data center can get better terms elsewhere, they do that. If the town doesn't want to concede on price, then fine.
People seem to be mad that data centers show up with less perceived value to the community than they want, so why would they care if the data center builds elsewhere because they don't agree to their price? The position strictly Pareto dominates the ban stance: at worst, they get no data center (same as ban), at best, they get a bunch of tax money.
Please educate me on how I'm "missing the point" because of how "naive" I am!