Small-Town Mayor Presses AI Company for Data Center Clarity

Small-Town Mayor Presses AI Company for Data Center Clarity

Small-Town Mayor Presses AI Company for Data Center Clarity

https://www.govtech.com/artificial-intelligence/small-town-mayor-presses-ai-company-for-data-center-clarity

Publish Date: 2026-04-02 12:26:00

Source Domain: www.govtech.com

Here is an unordered list summarizing the key points of the article:

  • Mayor’s Demand for Clarity:

    • Dowagiac, Michigan mayor, Patrick Bakeman, seeks clarity from Hyperscale Data, Inc., on its plans to expand an AI data center in his city.
  • Expansion Plans:

    • Hyperscale Data plans to greatly expand its current data center in Dowagiac, requiring approximately 340 megawatts of electricity—equivalent to the power needs of 200,000 to 300,000 homes.
  • Communication Concerns:

    • Mayor Bakeman criticizes the company for vague announcements and lack of formal development plans or permit requests, causing uncertainty among residents.
  • Call for Transparency:

    • Bakeman urges Hyperscale Data to disclose which additional properties it plans to purchase and to provide a comprehensive, transparent plan within 45 days.
  • Community Preparedness:

    • The city has spent time and resources preparing for the expansion, including educating officials on regulation and updating noise ordinances.
  • Existing Facilities:

    • Hyperscale Data’s subsidiary purchased the 617,000-square-foot Business Center of Southwestern Michigan in 2021, initially using it for cryptocurrency mining.
  • Tensions with Developers:

    • The mayor’s letter highlights ongoing tensions between Michigan communities and data center developers, amid several high-profile expansion projects in the state.
  • Infrastructure Concerns:

    • The proposed expansion raises questions about electricity and potentially water requirements, though Hyperscale Data claims an agreement with a local utility and concerns about water usage remain unclear.