The proposal to build a hyper-scale data center in our community has generated understandable questions about energy use, water consumption, noise, and community impacts. Those questions deserve serious answers. When the facts are examined, however, modern data centers are increasingly proving to be valuable economic assets that support technological innovation, strengthen national competitiveness, and provide benefits that reach far beyond the technology sector.
What Is a Hyper-scale Data Center?
A hyper-scale data center is a large-scale computing facility designed to support cloud computing artificial intelligence (AI), data storage, streaming services, financial transactions, healthcare applications, and other digital services used by millions of people every day.
Unlike traditional data centers, hyper-scale facilities are engineered to scale rapidly by adding thousands of standardized servers and networking systems while maintaining efficiency and reliability.
Major cloud providers such as Microsoft, Amazon Web Services (AWS), Google, and Meta operate hyper-scale facilities that power many of the digital tools Americans depend upon daily.
Reference;
*IBM, “What is a Hyper-scale Data Center?” https://www.ibm.com/think/topics/hyperscale-data-center
Do Data Centers Drive Up Electricity Rates?
One of the most common concerns is whether data centers increase electricity costs for local households.
A March 2026 study by the Institute for Energy Research (IER) examined state-level utility pricing and data center growth across the United States. The report found:
*No statistically significant relationship between the number of data centers in a state and
higher electricity rates.
*No statistically significant relationship between data center concentration and faster increases in electricity rates.
*The ten leading data center states averaged electric rates nearly identical to states with fewer data centers.
*States experiencing stronger growth in electricity sales often experienced lower rate increases because fixed system costs were spread across a larger customer base.
The study concluded that rising electricity prices are typically more closely associated with state energy policies, generation mix decisions, transmission investments, and regulatory structures than with data center development itself.
Institute for Energy Research Findings (March 2026):
*“Have Data Centers Driven Up Electricity Prices?” https://www.instituteforenergyresearch.org/the-grid/have-data-centers-driven-up-electricity-prices-the-state-level-data-dont-support-the-narrative/
*Full Report PDF:
https://www.instituteforenergyresearch.org/wp-content/uploads/2026/03/Have-data-centers-increased-the-price-of-electricity.pdf
Evergy Continues to Construct New Generation Stations
Evergy currently plans to add 4000 MW of generation over the next seven years to meet demand and keep rates competitive. This is part of a $21.6 billion investment over the next five years. This also includes renewable energy sources. Evergy also sees rate increases at or below inflation rates.
Articles:
*Evergy begins construction on 710 MW high-efficiency natural gas plant https://newsroom.evergy.com/2026-05-12-Evergy-begins-construction-on-710-MW-high-efficiency-natural-gas-plant
*Evergy’s capital spending plan jumps 24%, to $21.6B, driven by generation https://www.utilitydive.com/news/evergy-capital-spending-meta-google-data-center/812647/
Kansas Has Strong Ratepayer Protections
Kansas has adopted some of the strongest policies in the nation to ensure that residential customers do not subsidize large power users.
In 2025, the Kansas Corporation Commission approved a Large Load Power Service (LLPS) tariff covering customers with demands greater than 75 megawatts. Under this framework:
*Data centers must sign long-term service agreements.
*Customers pay minimum demand charges even if actual consumption is lower.
*Large-load customers must provide substantial financial guarantees.
*Any facilities or infrastructure built solely to serve the data center can be directly assigned to
that customer.
*The tariff was designed specifically to protect existing residential and business customers from bearing the costs of new large-load projects.
In effect, Kansas requires data centers to pay a premium and shoulder the costs associated with their own growth rather than shifting those costs to families and small businesses.
Senate Bill 98 also created some incentives for data centers, along with some guaranteed metrics from the data center regarding power, water stewardship, and employment. SB98 coupled with KCC’s actions not only provides legislative protection, but regulatory protections as well.
References:
*Kansas Corporation Commission LLPS Order https://www.kcc.ks.gov/news-11-6-25
*Kansas Commerce Data Center Fact Sheet https://www.kansascommerce.gov/wp-content/uploads/2026/06/DC-Mythbuster-One-Pager.pdf
*SB98 Data Center Sales Tax Exemption https://www.kansascommerce.gov/program/business-incentives-and-services/sb-98-data-center-sales-tax-exemption/
Modern Data Centers Are Becoming More Efficient
Data centers today are dramatically more efficient than those built just a decade ago.
Advancements include:
*High-efficiency cooling systems.
*Artificial intelligence-based energy management.
*Advanced server utilization technologies.
*Direct liquid cooling systems.
*Closed-loop water systems.
*Increased use of renewable and carbon-free energy sources.
Many new facilities use cooling technologies that significantly reduce water consumption, while some designs can operate with little to no water use for cooling under certain conditions.
The computing delivered per unit of electricity has increased substantially, meaning modern facilities accomplish far more work while using resources more efficiently than previous generations.
References:
*Cisco Hyper-scale Data Center Overview https://www.cisco.com/site/us/en/learn/topics/computing/what-is-a-hyperscale-data-center.html
*Kansas Commerce Data Center Fact Sheet https://www.kansascommerce.gov/wp-content/uploads/2026/06/DC-Mythbuster-One-Pager.pdf
How Data Centers Benefit Everyday Americans
Many people never see a data center, yet they use services powered by them every day.
Data centers support:
*Online banking and financial transactions.
*Video streaming services.
*Telemedicine appointments.
*GPS navigation.
*Emergency communications.
*E-commerce and online shopping.
*Cloud storage and productivity software.
*Education and distance learning.
*Artificial intelligence tools.
In many ways, modern data centers have become as essential to daily life as roads, airports, and power plants. Economic benefits from data centers:
*Teachers in Richmond, Louisiana received $50,000 bonuses due to increased tax revenue.
*Loudoun County, Virginia has lowered property taxes for a decade straight.
*Tax revenue from data center is being used to build new schools and replace aging water systems in Georgia.
References:
*The Data Center Dividend: How America’s AI Infrastructure is Paying Off for Working Families https://americanedgeproject.org/the-data-center-dividend-how-americas-ai-infrastructure-is-paying-off-for-working-families/
Why Should Our Community Provide Tax Breaks?
Can these large companies afford to pay the full property tax? Sure they can, but if state and local governments don’t offer them, the companies will take their business somewhere else. But as the city of Dalles, Oregon learned, even with the tax breaks, the Google data center is their largest taxpayer. The first year of operation from the Strategic Investment Program agreement (SIP) provided
the community $9.8 million, exceeding the initial $5.1 million estimates.
There are other examples in Quincy, Washington where mill levies dropped 72% over a 20 year period, and Effingham County, Georgia dropping six mills from property taxes.
Below is an illustrative estimate for our area property tax. Proposing a 50% tax abatement for 10 years on a data center with an assessed value of $500 million, would generate an annual tax revenue of $42.7 million in years 1-10, and $85.4 million on years 11-20 with a total tax revenue of
$1.28 billion over 20 years.
Lyon County:
o Years 1-10: $14.1 million per year
o Years 11-20: $28.2 million per year
o Total: $423 million
City of Emporia:
o Years 1-10: $12.0 million per year
o Years 11-20: $24.0 million per year
o Total: $359 million
USD 253:
o Years 1-10: $14.5 million per year
o Years 11-20: $29.1 million per year
o Total: $436 million
These numbers are with a 50% tax abatement. Typically, data centers also provide Payments In-Lieu Of Taxes (PILOT) as noted in the Effingham County, Georgia case which would allow for more revenue, possibly even before construction begins.
In addition to providing property tax relief, this new revenue could help fund essential community priorities, including roads, bridges, and other capital infrastructure; law enforcement; emergency medical services; parks and recreation; debt reduction; improvements to educational facilities; and other long-term public needs.
References:
*Enterprise Zone & Strategic Investment Program Agreements with Google https://www.thedalles.gov/business/google_data_centers/ezandsipagreements.php
*Critics Question Tax Breaks as New Data Center Delivers $9.8M Locally https://columbiacommunityconnection.com/the-dalles/critics-question-google-tax-breaks-as-new-data-center-delivers-98m-locally
*How much have data centers really lowered property taxes in Quincey? https://www.yoursourceone.com/columbia_basin/how-much-have-data-centers-actually-lowered-property-taxes-in-quincy/article_a1ef7a17-7689-4052-a625-a79fe7210a0f.html
*Effingham County Approves 6-Mill Property Tax Cut https://www.effinghamherald.net/local/effingham-county-approves-6-mill-property-tax-cut/
AI Is Improving Healthcare and Saving Lives
One of the most promising benefits enabled by data center infrastructure is the rapid advancement of artificial intelligence in medicine.
AI systems are helping physicians:
*Detect diseases earlier.
*Analyze medical images.
*Predict patient outcomes.
*Accelerate drug discovery.
*Improve hospital efficiency.
AI and Breast Cancer Detection
Recent studies have demonstrated that AI-assisted mammography can identify breast cancers that human readers may miss.
Examples include:
*A Nature Medicine study involving more than 463,000 women found AI-supported screening increased breast cancer detection rates while maintaining screening quality.
*An Imperial College London and Kheiron Medical Technologies study found AI-assisted screening detected up to 13% more breast cancers than conventional screening alone.
*Additional research has shown AI-assisted mammogram review can detect approximately 20% more cancers in some screening settings.
Earlier detection directly translates into improved treatment options and better outcomes for patients.
References:
*Nature Medicine Breast Cancer Screening Study https://www.nature.com/articles/s41591-024-03408-6
*Imperial College London AI Detection Study https://www.imperial.ac.uk/news/249573/new-ai-tool-detects-13-more/
*Breastcancer.org AI Screening Review https://www.breastcancer.org/research-news/ai-mammogram-reading
Addressing Community Concerns
Light Pollution
Modern facilities typically use:
*Shielded lighting.
*Downward-directed fixtures.
*Motion-triggered security lighting.
*Compliance with local lighting ordinances.
These measures significantly reduce off-site visibility.
Noise Mitigation
Operators routinely deploy:
*Sound attenuating barriers.
*Acoustic walls.
*Quiet cooling equipment.
*Building setbacks.
*Noise monitoring programs.
Most noise comes from cooling equipment rather than servers themselves.
Vibration
Newer data centers generally produce minimal vibration during operation. Equipment is mounted on engineered foundations and vibration-isolation systems, making impacts on surrounding properties negligible.
What Is at Stake if America Loses the AI Race?
Artificial intelligence is emerging as a foundational technology similar to electricity, aviation, and the internet previously.
The countries that lead in AI will likely gain advantages in:
*Economic growth.
*Scientific discovery.
*Manufacturing productivity.
*Healthcare innovation.
*Military capability.
*Cybersecurity.
*ational competitiveness.
If the United States falls behind, American companies may lose global market share, critical technologies could be developed elsewhere, and future economic benefits may increasingly add to competing nations. Data centers will continue to be built, and if not in our country, they will be built in other countries requiring U.S. individuals and companies to send our data overseas to be processed,
and they may not have our best interest at heart.
National Security Implications
AI is rapidly becoming a strategic national security capability.
Advanced AI supports:
*Cyber defense.
*Intelligence analysis.
*Battlefield decision support.
*Logistics optimization.
*Satellite imagery analysis.
*Critical infrastructure protection.
The National Security Commission on Artificial Intelligence previously warned that keeping U.S. leadership in AI is essential to preserving economic strength and military readiness.
Data centers represent the physical infrastructure that makes advanced AI systems possible. Without sufficient computing capacity, the United States could face increased dependence on foreign technology ecosystems and reduced ability to compete with geopolitical rivals.
Developer is Working to Agree With All City and Citizen Concerns
A recent interview on KVOE states that the developer is working to agree to every condition the citizens have asked for and all city ordinances. If the developer addresses the concerns that have been brought up on this project, then this project should move forward.
*DATA CENTER: Flint Hills Digital Campus spokesman says officials taking steps to address project concerns as project gains nationwide interest https://kvoe.com/2026/09/17/data-center-flint-hills-digital-campus-spokesman-says-officials-taking-steps-to-address-project-concerns-as-project-gains-nationwide-interest/
What the Ballot Measure Really Means For The Future of Emporia’s Economy?
The upcoming ballot measure is about more than one data center. Whether residents support or oppose this specific project, a moratorium would send a broader message to business and industry that Emporia is not open to new investment. To support meaningful economic development—now and in the future—Emporia must remain attractive to employers, investors, and advanced manufacturing businesses that are considering where to grow. Passing this moratorium would seriously undermine Emporia’s long-term economic future.
Conclusion
A modern hyper-scale data center is more than a large building filled with computers. It is critical infrastructure supporting daily activities in healthcare, education, commerce, communications, and artificial intelligence innovation. Evidence from the Institute for Energy Research’s March 2026 analysis indicates that data centers are not the primary driver of rising electricity prices, while
Kansas has established strong safeguards requiring large-load customers to bear their own costs.
When properly planned, data centers can bring investment, tax revenue, technological leadership, and an abundance of long-term economic opportunities to a community (we all know Emporia needs an economic boost). Data centers also help ensure that America remains at the forefront of innovation, medical advancement, and national security in an increasingly AI-driven world.
Perhaps most importantly, it shows industry and investors that Emporia is open and attractive for future economic development.
Bill McKernan is a retired U.S. Army Lieutenant Colonel with over 31 years of service and former Emporia State University Executive Director of Facilities.
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