DON'T LET FEAR OF DATA CENTERS HAND AMERICA'S FUTURE TO CHINA

Op-Ed: A case for responsible data-center development that supports U.S. technological competitiveness while protecting taxpayers, utility customers and nearby residents through transparent planning and enforceable safeguards.

OP-ED — Opinion by Lazaro L. Castellon Editorial graphic supplied to The Mifflin Report. The real question isn't whether data centers have impacts. The question is whether America will regulate them responsibly—or retreat while China races ahead. There is nothing wrong with asking tough questions about a proposed data center. How much electricity will it use? How much water? Who pays for the infrastructure? What will taxpayers receive? Will nearby residents be protected? Those are legitimate questions. But there is a point where legitimate scrutiny can turn into something else: a reflexive opposition to technological progress that ultimately hurts the very communities people claim they are trying to protect. And that is where this debate deserves a much bigger conversation. China Is Building While America Debates Artificial intelligence is becoming one of the most important technological and economic competitions of the 21st century. AI doesn't run on slogans. It runs on computers, chips, electricity, fiber networks and data centers. Data centers house the servers, storage systems and network equipment that support artificial intelligence and other digital services. Responsible development requires careful planning for electricity, cooling, water use and impacts on surrounding communities. China understands this. The United States understands this. And America's competitors are not waiting for every local zoning dispute to be resolved before building the infrastructure they believe they need. That should concern every American. Because if the United States slows down its ability to build computing infrastructure while China continues investing in AI, the issue eventually stops being about one data center in Pennsylvania. It becomes an issue of economic and national technological competitiveness. And There Is Another Part of This Story Americans Need to Know Documented China-linked influence operations have attempted to inject themselves into the American debate over AI infrastructure. OpenAI reported that it disrupted an operation originating in China that generated social-media content criticizing U.S. data centers and AI infrastructure. The reported campaign attempted to create the appearance of Americans from different backgrounds expressing opposition to data centers. X also reported identifying accounts associated with a suspected Chinese influence operation targeting debates involving AI infrastructure and energy policy. Let's be very clear: That does NOT mean every person who opposes a data center is part of a Chinese operation. It doesn't mean environmental concerns are fake. It doesn't mean residents should stop asking questions. It means something much simpler: Foreign governments understand that Americans can be divided over difficult issues—and they can exploit those divisions. That is something we should not ignore. We've Seen This Before Every major technological transformation has produced fear. The Industrial Revolution transformed manufacturing and destroyed some existing ways of doing business while creating entirely new industries. The automobile changed transportation. Electricity changed the way Americans lived. The computer changed the workplace. The internet changed communication. Every one of those transformations created uncertainty. Imagine if America had decided that the safest solution was simply to stop building the infrastructure necessary for the next generation of technology. Where would we be today? The lesson isn't that every new invention is automatically good. The lesson is that fear cannot be the only basis for public policy. What Happens When We Say "No"? This is the question local communities need to ask. Suppose a company proposes a billion-dollar data center. The community says no. The company doesn't necessarily disappear. It may simply go somewhere else. Another township gets the construction investment. Another county gets the tax revenue. Another workforce gets the jobs. Another community gets the infrastructure investment. And America still needs the computing capacity. So who actually wins? The community that says no may lose an opportunity while the demand simply moves somewhere else. That doesn't mean every proposed data center should be approved. It means elected officials should understand the economic consequences of rejecting one. What Could a Community Gain? A properly negotiated data-center project can potentially bring: TAX BASE Millions of dollars in taxable infrastructure and equipment can expand the commercial tax base. INFRASTRUCTURE Developers can be required to contribute to electrical, transmission, fiber and roadway improvements. JOBS Construction, electrical, engineering, cybersecurity, maintenance and technical positions can create a skilled employment ecosystem. SCHOOL REVENUE Commercial development can generate revenue without creating hundreds of new residential households requiring additional classroom capacity. PRIVATE INVESTMENT Instead of taxpayers financing every infrastructure improvement, private investment can help build the infrastructure required by the project. That's why the conversation cannot simply be: "How much electricity does it use?" It also has to be: "What does the community receive in return?" The Taxpayer Should Come First This is where local officials need to do their job. Don't give developers a blank check. Don't give opponents a blank check either. Demand the numbers. How much tax revenue? How much water? How much electricity? Who pays for transmission upgrades? What are the projected emergency-service costs? How many permanent jobs? What happens to utility rates? What environmental protections are included? What happens if the facility expands? Those answers should be public. That is how responsible development works. Don't Confuse Regulation With Rejection There is a massive difference between saying: "Build it, but follow strict rules." and: "Don't build it." The first protects the community while allowing economic development. The second can send the investment somewhere else. Pennsylvania communities should be smart enough to understand the difference. We don't have to choose between protecting residents and embracing technology. We can do both. The Biggest Mistake Would Be Sitting Still America is entering an enormous technological transformation. Artificial intelligence will affect medicine, manufacturing, transportation, logistics, cybersecurity, scientific research and countless other industries. The infrastructure supporting that transformation is being built now. The United States cannot afford to sit on the sidelines because every community is afraid of what might happen. And we certainly shouldn't allow foreign competitors to benefit from America's internal divisions. China doesn't need to defeat America on the battlefield to benefit from an America that stops building. If America becomes too divided, too slow and too unwilling to invest in its own infrastructure, competitors don't have to stop us. We stop ourselves. That is the danger. Build It Right. Don't Run From It. The answer isn't unlimited data-center development. The answer isn't unlimited government subsidies. The answer isn't ignoring residents. And it isn't pretending every concern is misinformation. The answer is responsible development. Require developers to pay their fair share. Protect residential utility customers. Require transparent water and energy plans. Demand strong environmental and noise standards. Publish the projected tax benefits. Make developers explain exactly what taxpayers receive. Then let communities make an informed decision. But let's not make the mistake of believing that stopping technological development makes the technology disappear. It doesn't. It simply means somebody else builds it. And while America argues about whether it wants the future, China is working to make sure it gets there first. The Mifflin Report Bottom Line Question data centers. Challenge developers. Protect taxpayers. Demand transparency. But don't let fear become an economic development strategy. America has never remained a technological leader by refusing to build. We built. We adapted. We regulated. We competed. We need to do the same with artificial intelligence. Because the greatest risk may not be that America builds too much technology. It may be that America builds too little while China builds more. — Lazaro L. Castellon The Mifflin Report