Sacramento mayor seeks safeguards ahead of potential data center project
Sacramento Mayor Kevin McCarty has directed city staff to study the potential impacts of a large data center, including concerns about energy, water, infrastructure, and neighborhoods. This action comes amid reports that Link Logistics, a subsidiary of Blackstone Inc., is considering an industrial area in southeastern Sacramento for a new data center. Residents have expressed worries about environmental impacts and transparency.
Sacramento Mayor Kevin McCarty has directed the city manager and staff to explore policies regarding the potential impacts of large data centers on energy, water, infrastructure, and neighborhoods. This move follows growing interest and concerns nationally and locally about data center expansion.
Residents, including David Wright of 350 Sacramento, have raised concerns about the environmental impacts of data centers, such as carbon, air, and water pollution, and excessive water use, particularly in lower-income communities. The mayor's request was prompted by a KVIE's Aridged article revealing that Link Logistics, a warehouse real estate company and subsidiary of Blackstone Inc., is reportedly eyeing an industrial area in southeastern Sacramento for a new data center project, with ongoing discussions with Smud since February. Smud, while confirming it supports data centers and is developing a large load policy, stated it cannot share project details due to confidentiality and noted it doesn't make land use decisions.
A city spokesperson confirmed no applications for a data center from that company have been received. The video also highlights broader efforts across California and the US to implement safeguards, with several state bills awaiting the governor's signature that require data centers to report water/energy use and pay for infrastructure upgrades. Nationally, Congress is considering a bill to limit data center tax incentives. Furthermore, it was noted that San Francisco County supervisors proposed a 45-day moratorium, San Joaquin County is set to vote on its own moratorium, and the city of Patterson in Stanislaus County extended its moratorium through July 2027.