Coalition of AI giants, labor unions proposes uniform guardrails for Indiana data centers
The American Infrastructure Alliance is campaigning in Indiana for data center guardrails covering electricity costs, environmental standards, water use and community benefits, while opposing local moratoriums. In Kokomo, Digital Realty is proposing a 476-acre campus, but the project faces criticism from residents and local Democrats after the Kokomo Common Council rezoned the land for data center-related development.
The American Infrastructure Alliance, a coalition of AI companies, labor unions and investors, is urging Indiana and six other states to adopt uniform data center safeguards. Its proposals include requiring large energy users to pay their own electricity costs and securing enforceable commitments on environmental impacts, water use and community benefits. The campaign comes as 24 Indiana counties have imposed data center moratoriums and three have banned the developments, according to Indiana University research.
Kokomo Mayor Tyler Moore has promoted the coalition's approach as an alternative to moratoriums. He said Digital Realty is proposing a 476-acre, 3-million-square-foot campus that could generate $44 million to $55 million in annual property tax revenue once completed in 2033, with local union labor and no tax abatements. The Kokomo Common Council has rezoned the site, but residents and local Democrats have criticized the proposal, leaving its public support uncertain.