After Pushback to La Pine Data Center, Community, Developers Await Next Steps - The Source
Residents in La Pine, Oregon, strongly opposed a proposed data center by Boxminer at a City Council meeting, raising concerns about water usage, power costs, and environmental impact. Following significant public pushback, the project's future and the associated land sale remain uncertain as city leaders and developers await next steps.
Residents of La Pine, Oregon, packed City Hall on May 13 to voice strong opposition to a proposed data center, leading to nearly three hours of public comment. The community cited fears that the facility would consume excessive water, increase power costs, harm wildlife, and negatively impact the quality of life without substantial economic benefits. This local pushback reflects broader national concerns regarding the rapid expansion of data centers driven by AI demand.
Boxminer, the data center development company, eyed a 20-acre plot in the La Pine Industrial Park, with the City Council having initial say on the land sale. While the Council directed staff on March 25 to move forward with the purchase and sale process, City Manager Geoff Wullschlager clarified it was a non-binding decision for due diligence. Boxminer CEO Jeff Keller subsequently expressed doubt about the project's future in La Pine after the public meeting, stating the land sale has not been approved.
Details of Boxminer's proposal, as outlined in a March 25 memo, included purchasing the land for $1.5 million and a $286 million construction cost, projected to create 100 construction jobs and up to 200 'hi tech value' jobs. However, Wullschlager noted a lack of specific examples for the company's 'closed loop' cooling system and unverified job claims. While the Sunriver-La Pine Economic Development group recommended the project for its potential economic impact, the availability of power from Midstate Electric Cooperative (at least 20 megawatts) and the state's recent order for data centers to pay more for electricity (though not applicable to co-ops) remain key considerations.