Douglas County leaders approve $19 million tax break for data center in Parker
Douglas County leaders have approved a $19 million, 35-year tax break for a new Flexential data center under construction in Parker, Colorado. The decision faced significant opposition from local residents concerned about the facility's water usage, noise, and the perceived low return on investment from the tax incentive for only 16 new jobs. The data center itself had previously received approval from the Parker Town Council.
Douglas County leaders have unanimously granted a $19 million tax break to Flexential for a new 250,000-square-foot data center being built in Parker, Colorado. The tax incentive is a 100% rebate on the county's portion of business personal property tax over 35 years and is intended to encourage businesses to locate in the area, despite local residents opposing the move.
The data center, expected to open in 2027, has already been approved by the Parker Town Council. However, residents like Joe Lugo expressed concerns about the facility's water usage, noise, and potential pollution, questioning the 35-year tax break for only 16 new jobs. Flexential claims the facility will use a closed-loop water system, consuming less than 600,000 gallons annually, and will be CORE Electric Cooperative's largest customer, drawing up to 22.5 megawatts.
Douglas County Commissioners defended the tax break, calling the business personal property tax "immoral and wrong" and stating it cripples businesses. However, all public commenters at Tuesday's meeting opposed the tax break. Irene Bonham, a Democrat running for the Douglas County commissioners board, criticized the decision, calling for a pause on new large-scale data center approvals and incentives until clear standards are in place, highlighting concerns about transparency and long-term impacts on local resources and taxpayers.