Jay, Maine Data Center Project Delayed Amidst Opposition, Legislative Concerns
A proposed $550 million data center project in Jay, Maine, intended to revitalize the town's economy after a paper mill closure, has been put on hold. The delay is attributed to Sentinel Data Centers' concerns about potential anti-data center legislation, despite Governor Janet Mills having vetoed a statewide moratorium bill. Opposition to data centers, fueled by fears of AI, is hindering economic recovery efforts in rural Maine.
A proposed $550 million data center project in Jay, Maine, has been indefinitely postponed by Sentinel Data Centers due to fears of further anti-data center legislation in the state. This setback comes after the town of Jay lost its primary employer, the Androscoggin Mill, in 2023, leaving it in economic distress.
Despite Governor Janet Mills' recent veto of legislation proposing a statewide moratorium on new data center construction, developers remain concerned. The project, which promised expanded tax revenue and up to 150 permanent jobs, had cleared all of Maine's strict permitting requirements, assuring officials of minimal water and power grid impact. The Jay Select Board had even sent a letter of support to the Legislature, urging an exemption from the moratorium.
Opposition, led by Democratic state representative Melanie Sachs, persists, citing 'speculative job estimates' and a lack of transparency. Democratic Senate Candidate Graham Platner also voiced support for slowing data center development, calling AI 'utterly terrifying'. This debate, framed as a clash between those suspicious of AI and those who are not, overshadows the local economic needs of Jay, an eligible Opportunity Zone.
While the data center might not offer complete revitalization, conservative estimates placed its annual property tax revenue at $1.8 million, highlighting its potential to buoy the struggling town. Residents express a mix of uneasiness and hope, with many willing to accept the project for the sake of economic stability.