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This rendering shows a prototype building that would be similar to each of the six 250,000-square-foot buildings CyrusOne is proposing to build on 280 acres of farm ground in rural southwestern Sangamon County. Credit: COURTESY OF CYRUSONE

The proposed $500 million data center that CyrusOne wants to build in southwestern Sangamon County would generate up to $6 million more each year in property taxes by the early 2030s, an official from the Dallas-based company told Illinois Times.

“It would be a real asset to the county,” Bradd Hout, location and power strategy director for CyrusOne, said in an interview before a public hearing scheduled by the Sangamon County Board for the evening of Dec. 3 at the BOS Center.

If the Republican-controlled, 29-member County Board approves a conditional permitted use in an area zoned for agriculture, the company would begin construction in 2026 on the first of six proposed 250,000-square-foot buildings and complete each one within a year to 18 months, Hout said.

“The project follows a phased approach that builds in alignment with customer needs and available grid capacity, similar to CyrusOne’s other multi-building campuses,” he said.

Hout addressed concerns from critics who have said the tax benefits could largely evaporate if CyrusOne later sought a major reduction in assessed property value. Promising property tax benefits and then seeking any substantial reduction would be “disingenuous,” “unheard of”’ in the company’s history and “not aligned with CyrusOne’s commitment to being a transparent, responsible partner in communities where we operate,” he said. “Property tax assessments will follow standard county procedures in accordance with Illinois law.”

Promising tax benefits and then backpedaling to seek any substantial reduction would be “disingenuous” by the company, “unheard of” in the company’s history and “unlikely in the near term,” Hout said. He noted that CyrusOne isn’t seeking any tax breaks as part of any economic incentive package. 

The company is seeking zoning approval from the County Board to establish a 636-megawatt data center, the first in the county, on 280 acres of farm ground in Talkington Township, immediately north of Swift Current Energy’s $800 million Double Black Diamond solar farm.

Illinois Times was the first to report on plans for the data center Oct. 17. The newspaper then reported Nov. 7 that the timeline for County Board consideration had been lengthened at least a month, putting a potential vote on zoning at the County Board’s Jan. 13 meeting.

Hout said Dec. 2 that additional engineering and design work the company needs to submit to Sangamon County officials could further delay that timeline. He said the company now hopes to seek an advisory recommendation from the Sangamon County Zoning Board of Appeals and a final vote from the County Board by the end of March 2026. 

Critics of the project have called for as much as a six-month delay in consideration of the project so all of the pros and cons can be studied and debated. Sangamon County government officials have created an online question-and-answer page on the project.

Critics question the touted economic benefits of the project. They also say the large electrical demands of data centers contribute to rising energy prices and rates in the Midwest and will make it harder for Illinois and the rest of the country to reduce dependence on climate change-causing fossil fuel power plants. 

Water usage to cool equipment in the data center doesn’t appear to be a major concern, at least not yet, because of what CyrusOne describes as a proposed “closed-loop” cooling system that makes water use comparable to a typical office building.

Hundreds of people, many of them part of local labor unions, turned out for a Dec. 3 public forum at the BOS Center. Credit: PHOTO BY ZACH ADAMS

The primary beneficiaries of any property tax revenue increases for the site would be the Girard-based North Mac school district. Other affected taxing bodies would include Sangamon County government, Talkington Township and the Virden Fire Protection District.

The project would create more than 500 temporary construction jobs over the multi-year construction period and more than 100 permanent full-time jobs for workers with echnical, facility management and operational roles, CyrusOne said.

“These positions draw from a broad range of experience and skill sets, some of which do not require a college degree,” Hout said.

He added, “Project labor agreements would be used to prioritize union labor and local workforce participation in the construction.”

The number of permanent jobs created wouldn’t be large, but Ryan McCrady, president and CEO of the Springfield Sangamon Growth Alliance, a local economic development group in favor of the project, said the property tax benefits would be “tremendous” and “transformative” for the affected entities.

McCrady estimated that farm ground designated for the project currently generates less than $20,000 a year in property taxes, compared with $6 million in the future.

For comparison, McCrady said it would take 600 new homes, each paying $10,000 a year in property taxes, to generate an amount equivalent to what the data center would pay. But he said those homes would create additional demands for school districts and other taxing bodies that the data center wouldn’t create.

CyrusOne operates more than 55 data centers worldwide. In Illinois, it operates a data center in Lombard and Aurora – both smaller than what is proposed for Sangamon County.

CyrusOne contracts with various companies for data storage and transmission, Hout said. When asked whether major AI providers such as Google, Facebook or Amazon would be customers of the Sangamon County data center, CyrusOne officials said they cannot disclose specific customer information because of confidentiality agreements.

“What I can say is that data centers power the digital infrastructure behind hospitals, banks, schools, emergency services, telehealth and everyday services like streaming and smartphones,” Hout said.

Most of the land for the proposed site, which Hout said would be purchased if zoning approval is granted, appears to be connected to ownership groups related to Dowson Farms of Divernon. 

The U.S. Department of Justice announced in 2014 that Dowson Farms paid $5.36 million to the federal government to “resolve allegations that it conspired to avoid statutory caps on federal farm subsidy payments from 2002 through 2008, under terms of an out-of-court settlement” in which the business didn’t admit liability.

The announcement said federal prosecutors had alleged that Dowson Farms’ principal owners, John J. Dowson, John C. Dowson, Darrel Thoma, Amy D. Thoma, and Melissa D. Vorreyer, “violated the False Claims Act by creating multiple entities, falsely claiming that these entities were actively engaged in farming separate and distinct from Dowson Farms. As a result, Dowson Farms’ owners allegedly received farm subsidies to which they were not entitled.”

Dowson Farms is also the landowner for the vast majority of the Double Black Diamond Solar farm, adjacent to the proposed data center site. Darrel Thoma told IT in 2022 that they had entered into a long-term lease with Swift Current Energy.  

Dean Olsen is a senior staff writer for Illinois Times. He can be reached at: dolsen@illinoistimes.com, 217-679-7810 or @DeanOlsenIT.

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6 Comments

  1. Sangamon County has already been bought and sold on the data center by CyrusOne, and the public hearing was a joke. It is tragic that our county has been duped by a Dallas billionaire tech corporation. The project is being rushed forward on the basis of info overwhelmingly produced by the developer (CyrusOne) itself, not impartial experts. The self-serving Q&A page on the county website is extremely biased and includes no fair & alternative analysis; the main “source” the county uses to answer any questions is only CyrusOne, not any independent experts. No real climate impact analysis is provided. This massive project only creates 100 real jobs, and the economic promises CyrusOne makes are vague, inflated, and structured to evaporate over time. The project relies on temporary construction labor and yields tax revenue that can be aggressively appealed the moment the facility becomes operational (as has happened with data centers across the country). CyrusOne’s sustainability assurances depend on highly selective framing and omits the reality: The environmental impacts are far greater than CyrusOne will admit, and their promises of “no increase on electric bills” or “no impact on water” cannot realistically or scientifically be kept. Data centers are the one of the fastest growing drivers of carbon emissions, electricity consumption, and diesel exhaust in the US. Look at what happened last week Friday at the CyrusOne data center in Aurora, IL, where it shut down for 10 hours from overheating. These centers become de facto diesel plants during grid stress, injecting particle pollution, nitrogen oxides, and carbon emissions directly into our vulnerable local environment. As for water, no independent hydrological study has been released, no maximum buildout numbers have been provided, so analysis of seasonal stress, drought years, or emergency cooling scenarios has not been outlined by CyrusOne. A closed loop system still requires chemical treatments, periodic replacement, and make up water…CyrusOne’s claims that their center will have no meaningful impact on groundwater or septic discharge strains are simply unscientific, vague promises. Their so-called promises about light and noise pollution are also flimsy at best. Compliance with regulations does not mean no disruption (in light/sound pollution) it simply means disruption cannot exceed a legal threshold (and those thresholds can, and will…continually be loosened). CyrusOne’s interest in Sangamon county is not philanthropy…it is their greedy power grab at access to cheap land, overly permissive zoning, low population density, and loose grid infrastructure, which they can leverage.

    We can never go back if we approve this project. It will be a permanent resource basin for corporate data processing, creating very few long term jobs…and we, the people, will absorb all of the environmental, infrastructural, and land-use impacts while the majority of profits leave our region. A project of this magnitude deserves, at minimum, a 6 month pause for more unbiased analysis, based on real transparent evidence, not CyrusOne’s corporate marketing language.

    As the county paves the way for the next ugly data center cluster to permanently alter our landscape and harm our environment, remember: the next generation of Sangamon county residents will bear the consequences. Future generations will look back and wonder why their parents allowed themselves to be bought by corporate greed under CyrusOne’s false promises. This is the farthest thing from a sustainable community investment. Say NO to the data center. Don’t believe the hype. Do your research. Don’t just eat up the glossy corporate lies that the Republican-majority county board is letting CyrusOne feed you. Knowledge is power.

    1. I would like to see the local construction unions weigh in on the idea that the jobs created by construction of a facility aren’t real jobs.

  2. From articles I have read, these date centers are sources of unbearable noise, soaring energy prices and plenty of electrical fires. And on top of that, rare cancers. In Oregon, they started to notice a rise in bizarre medical conditions linked to toxins in the local water. After testing, they found that the nitrates in the drinking water violated the federal limit. Of the first 30 homes he visited, he found 25 had recently had miscarriages and 6 had lost a kidney. Sounds like these centers churn out millions of gallons of wastewater, laden with nitrates from fertilizers. The article I read was from futurism.com/artificial-intelligence/amazon-data-center-oregon. Money isn’t everything! Our health should come first. This data center wastewater will make it to Lake Springfield and effect all of us. More research needs to be done to make sure this is done properly. It is not all about the money. Please do your research. I don’t trust corporations that will make a ton of money and say…

    “Hout addressed concerns from critics who have said the tax benefits could largely evaporate if CyrusOne later sought a major reduction in assessed property value. Promising property tax benefits and then seeking any substantial reduction would be “disingenuous,” “unheard of”’ in the company’s history and “not aligned with CyrusOne’s commitment to being a transparent, responsible partner in communities where we operate,” he said. “Property tax assessments will follow standard county procedures in accordance with Illinois law.”” clipped from this article.

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