Data centers, secrecy, and tax abatements. Oh my!

At recent public hearings with state environmental regulators (IDEM) and City Council, many citizens across the political spectrum have voiced concerns about the Google data center in Southeast Fort Wayne. 

A top concern right now is the project’s air quality permit under review with IDEM, seeking to increase the number of backup diesel generators on site, from 34 requested in September 2024 to 179.

Along with the obvious pollution and public health concerns, citizens voiced frustration with City Council and other local leaders for permitting the project’s secrecy and tax abatement.

• Secrecy: The Google data center received its early approvals for tax abatements and rezoning from local government, like City Council, in late-2023, under the names Hatchworks and “Project Zodiac.” It did not request its initial 34 diesel generators until more than eight months later, followed by a recent 5x increase in this number.
• Tax abatement: In 2023, City Council granted the project a 10-year, 50% tax abatement on real property taxes for each building constructed, saving Google an estimated $55.5M during the first 10 years. Google also agreed to pay Fort Wayne a minimum of $1M in taxes annually– a figure that increases to $1.2M or more once the company develops four buildings.

So… how unusual is it for projects of this magnitude in Fort Wayne to operate with secrecy, receive tax abatements and change their plans? And how might public frustration demonstrated at public hearings result in better public policy?