
Opinion: Who will bear the cost of data centers?
News Clipthegazette.com·Cedar Rapids, Linn County, IA·4/26/2026
An opinion piece argues that Iowa elected officials must prioritize people over profits by demanding responsible permitting, building, and financial accountability from data center companies. The author highlights concerns about water and electricity consumption, infrastructure costs, and the potential for obsolescence. They propose requiring companies to pay full costs, build renewable energy sources, and secure bonds for future renovations.
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Gov: State Government
Kim Hagemann, a board member of Iowa CCI Action Fund and resident of rural Polk County, submitted an opinion piece to The Gazette, urging Iowa's elected officials to implement strict safeguards for communities regarding data center development. Hagemann argues that while data centers can be built responsibly, it will only happen if officials prioritize public interest over corporate profits.
The article highlights several key concerns related to the proliferation of data centers, citing ongoing construction at a Google site in Cedar Rapids and a 1,000-acre Google complex in Council Bluffs as examples. Hagemann emphasizes the substantial demands these facilities place on local resources, including land, water, electricity, and public infrastructure like roads and sewers. The author advocates for stringent requirements, such as designing centers with minimal water usage for cooling, demanding that companies cover all direct and indirect infrastructure costs, and mandating on-site renewable energy sources with battery storage.
Furthermore, Hagemann calls for the elimination of all government tax credits and incentives for data center developers, arguing that property taxes are already high and the state budget is strained. The opinion piece also addresses the risk of data center obsolescence, proposing that companies be required to carry sizable bonds to cover future renovation costs when facilities become outdated or inefficient. The author concludes by asserting that without these protective measures and accountability, everyday Iowans will continue to bear the costs while billionaires profit.