Holyoke bans future data center developments

The Holyoke City Council has enacted a ban on all future data center developments within the city. During its June 16 meeting, the City Council voted 9-4 to approve a zoning ordinance amendment that defines "data center" and prohibits their use in any zone.

The decision comes after weeks of intense debate, including a proposed 20-megawatt data center project by Chestnut River Power and Infrastructure at the former Hampden Paper Complex on Water Street. Mayor Joshua Garcia supported the project, citing its potential for $200 million in private investment, $2 million annually in property taxes, and the revitalization of a blighted area. However, the project will no longer proceed due to the council's vote.

Community members, including Holyoke resident Susan Van Pelt, voiced strong opposition, expressing concerns about high electricity and water usage, as well as noise, heat, and chemical pollution. Residents gathered outside City Hall and attended meetings to advocate for a ban.

While the ban on future data centers was approved, a separate motion by the Ordinance Subcommittee to implement a two-year moratorium on new data center applications failed with a 3-2 vote. The City Council also approved sending a proposal to establish an ad-hoc committee to study and analyze the potential impacts of commercial data center development to the Ordinance Subcommittee for further discussion. Chestnut River Power and Infrastructure's co-managing director, Benjamin Marshall, expressed disappointment but respected the democratic process, reiterating the company's interest in Holyoke's industrial heritage and clean hydropower.