Douglas County approves $19M tax rebate for Parker data center

Douglas County commissioners have unanimously approved a $19 million business personal property tax (BPPT) rebate for a Flexential data center in Parker, Colorado. The incentive, which will span 35 years, was met with objections from residents who questioned its justification, especially since the facility is projected to create only 16 jobs. Commissioner Kevin Van Winkle moved the topic to the regular agenda to allow for public and commissioner comment.

Residents like Falgun Pathak of Parker and Doug Chestnut voiced opposition to subsidizing a large corporation, while Gail McDonnell of Castle Rock raised concerns about increased water and electricity bills, noise, heat, lights, and potential decreases in property values and health issues. Joe Lugo of Parker also questioned the 35-year duration of the rebate given the limited job creation compared to other local business incentives. Commissioner Abe Laydon expressed a general dislike for the BPPT, stating it impedes business, and that the county has a practice of granting such waivers.

Jack Faunce, VP of Procurement at Flexential, addressed the community's concerns during the meeting. He clarified that the data center will use a closed-loop water system, estimating less than 600,000 gallons of water annually, equivalent to 5-6 average Colorado families. Regarding electricity, Faunce noted a partnership with CORE, confirming Flexential has paid for system upgrades and will pay full utility rates. He also stated that noise levels would be around 65 decibels, comparable to city traffic, with generators running at 80 decibels only for backup power. The data center's initial approval was handled by the Town of Parker.