Legislative AI Task Force hears complaints, positive impacts of data centers
A Mississippi legislative AI Task Force held two days of hearings to investigate the concerns and benefits of data centers across the state. Community members and environmental advocates raised issues such as excessive noise, air pollution, water usage, and a lack of public input, while industry representatives and local government officials highlighted economic contributions and infrastructure investments. The task force will now develop recommendations for state lawmakers based on the testimony.
A two-day hearing by the Mississippi Legislature's AI Task Force gathered extensive testimony regarding the state's burgeoning data center industry, focusing on both community concerns and economic benefits. Shannon Samsa, director of Safe and Sound Coalition, voiced significant opposition, particularly concerning noise from xAI's data center in North Mississippi, which reportedly operates 59 diesel generators with 49 more planned. She highlighted disrupted sleep, particulate matter emissions, and a critical lack of public input, noting the xAI project was approved before community awareness. Samsa also questioned the data center's water usage from a major aquifer, estimated at 77 million gallons over 12 days, despite promises of water recycling, and raised concerns about potential impacts on property values.
Jim Walsh, Policy Director at Food and Water Watch, echoed environmental and water usage concerns, adding worries about increased electricity and water rates for local communities, and criticized tax incentives for modest job creation. He noted a national trend of data center moratoriums and a general lack of project transparency. Conversely, the second day of hearings featured rebuttals from government officials and industry representatives. Chris Wells, executive director of the Mississippi Department of Environmental Quality (MDEQ), outlined the agency's regulatory role in habitat protection, air pollution, and water consumption, specifying limits on groundwater use for non-contact cooling. He also flagged future e-waste and decommissioning as potential issues.
Jeremy Vanderloo, Vice President of Business Operations and Strategy at Entergy, argued that data centers, including those operated by Amazon Web Services, contribute to building out state electricity infrastructure and help lower rates for customers, estimating a 30% reduction by 2030. He cited the use of sufficient contract terms and collateral to ensure fair contributions. Clinton Mayor Will Purdie and Ridgeland Mayor Gene McGee emphasized their cities' local requirements for data centers, such as industrial zoning, closed-loop cooling systems (for Amazon in Clinton), and grid connections to mitigate noise, requesting that the Legislature preserve local control over such regulations. Stephen Schruff of Mississippi Power noted that Compass Datacenters, whose Lauderdale County facility will be leased to Meta, covers the full cost of grid upgrades, benefiting the entire system. Andrea Hutchins of Amazon's Economic Development team detailed the company's $10 billion investment, 7,000 jobs created, and 100% funding of grid upgrades. Brent Collard, Senior Vice President of Land Development for Compass Datacenters, highlighted their $300 million infrastructure investment in Meridian, closed-loop cooling systems, and 6,400 long-term jobs. The task force will now consider potential legislative recommendations for the 2027 session.