Multi-billion dollar data center construction to continue in Clarksville

News Clip2:415NEWS·Clarksville, Johnson County, AR·8/1/2026

The Clarksville City Council unanimously approved financial agreements and a community benefits agreement, allowing a multi-billion dollar Server Farm data center project to continue construction. While the project is expected to bring economic benefits, some residents have raised concerns about its environmental impact and significant power and water usage. The bonds for the project will be repaid by the company, not taxpayers.

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Gov: Clarksville City Council

The Clarksville City Council has unanimously approved financial and community benefits agreements for a multi-billion dollar Server Farm Data Center project, allowing its continued development. Gordon Wilburn, representing the city's bond council, clarified that up to $55 billion in industrial revenue bonds will be placed with an affiliate of Server Farm and repaid by the company, not taxpayers. The project, already under construction across from Johnson Regional Medical Center, will feature a 300,000 square foot first building housing thousands of servers for AI and daily applications.

Local business owners, such as one in Clarksville, have already reported positive impacts, including increased fuel sales to subcontractors and employees, and more patrons in local restaurants. City leaders also approved a community benefits agreement, which will see annual payments from Server Farm allocated to future city projects, Johnson Regional Medical Center, and local nonprofits.

Despite the economic benefits, concerns were raised by residents like Ronald Kraft regarding potential environmental issues, particularly noise pollution, and the facility's extensive power and water demands. Server Farm stated the facility would generate most of its own electricity, using city power only as a backup. The bond and agreement take effect immediately due to an emergency clause, with the project slated for phased construction over several years.