Lessons Not Learned: Why Project Nova is a Threat
The promises being made for Project Nova echo the empty words from other failed projects right here in Wisconsin and across the globe. The involvement of the RCEDC is a clear warning that history is about to repeat itself.
Case Study #1: The Foxconn Disaster in Mount Pleasant, WI
The Racine County Economic Development Corporation (RCEDC) was a key enabler of the Foxconn project. Their failures are a direct preview of what Caledonia can expect:
- ✗Forcing Residents from Homes: Used eminent domain to seize properties for a project that never materialized as promised. The Jensen family fought in court for four years.
- ✗Massive Taxpayer Debt: Created a $911 million TIF district, leaving Mount Pleasant in financial peril when Foxconn failed to deliver.
- ✗Lack of Transparency: Ignored residents' common-sense questions and operated with a general lack of accountability.
- ✗Broken Promises: Championed a deal that promised a $10 billion factory and 13,000 jobs, which resulted in a $672 million server farm and around 1,000 jobs.
The same organization that oversaw this failure is now advising on the Caledonia project.
A Nationwide Trend of Community Pushback
Caledonia is not alone. Communities are waking up to the true costs of the AI data center boom. Here are more cautionary tales from residents facing real impacts:
Virginia: "Data Center Alley"
Over 300 facilities on former farmland caused 174% electricity rate hikes for Dominion Energy customers, constant low-frequency noise (45-60 dB, causing sleep issues and stress-related health complaints), and stalled $64 billion in projects due to bipartisan opposition. Residents report "torturous" hums disrupting daily life.
Port Washington, WI
A massive 1,900-acre proposal was rejected unanimously due to its 1.3 GW energy demand and strain on Lake Michigan, showing strong local resistance can succeed. Recent X discussions highlight opposition: "Data centers use as much power as all WI homes—3 more planned!"
Iowa
Microsoft and Google facilities led to $15/month bill increases for all customers to fund $2B+ grid upgrades. Water use strains the Missouri River aquifer during droughts, raising health fears from depleted wells (e.g., nitrate levels rose, linked to contamination). One resident: "Our bills doubled while they get tax breaks—it's unfair."
Ireland
Data centers consume over 21% of the country's electricity, forcing a pause on new grid connections in Dublin and threatening blackouts, highlighting the global scale of energy demands.
The Dalles, Oregon
Google's data centers guzzle 25% of the town's water (1M+ gallons/day), exacerbating droughts. Secrecy on usage led to lawsuits, with locals reporting drier wells and ecosystem die-off (fish kills from thermal discharge). Health impacts include respiratory issues from diesel generator emissions.
Kuna, Idaho
Meta received a 20-year tax exemption worth millions for just 100 jobs. Local taxpayers fund schools, roads, and services, creating a long-term drain on public funds while the facility burdens the community.
Prince William County, VA
The "Digital Gateway" project threatened the power grid, delaying connections for schools and homes. FOIA requests exposed hidden subsidies, halting the project and preserving historic land.
Chandler, Arizona
Residents near a data center reported constant cooling noise (described as "torture") causing migraines and anxiety, forcing city intervention after the company failed to mitigate sound pollution.
Grand Rapids, Michigan
Switch secured tax exemptions for over 1,000 promised jobs but delivered only a fraction, costing the community millions in lost revenue for schools and services.
New Albany, Ohio
The "Silicon Heartland" gave Google, Meta, and Amazon massive tax abatements, leaving locals to fund infrastructure upgrades for roads and utilities, with costs soaring for taxpayers.
Council Bluffs, Iowa
Google's data center draws massive water from the Missouri River aquifer, depleting a critical resource during droughts and raising health concerns from nitrate contamination in wells.
South Holland, Illinois
Built on a former coal site in a Black community, the data center amplifies air pollution (NOx/particulates), raising asthma rates by 20% per EPA data. Noise and light pollution devalue homes by 10-15%.
Developer Tactics and Backdoor Deals
Project Nova's anonymous client (likely a Big Tech firm via Dewberry Engineers) uses tactics seen elsewhere to bypass transparency and secure approvals:
- Secrecy and NDAs: Anonymous clients hide behind shell companies, as in St. Charles, MO, where a 440-acre deal was signed without a public vote.
- Pre-Development Payments: Caledonia’s $25K deal (Aug 16, 2025) mirrors tactics to lock in support early, seen in New Albany, OH, where "park funds" were offered for TIF districts.
- Lobbying via Economic Groups: RCEDC’s Foxconn ties show conflicts; one member on Caledonia’s Plan Commission pushes biased advice.
- Hidden Subsidies: FOIA requests in Prince William County, VA, exposed subsidies that halted a grid-threatening project—use our FOIA template on /resources.
These tactics prioritize profits over people, but communities like Virginia have fought back and won.
Key Reports to Arm Opposition
These reports to strengthen the case at Village Board meetings. Download and cite them to counter biased claims:
- 2024 United States Data Center Energy Usage Report (Lawrence Berkeley National Lab): Details 200-300 TWh annual U.S. consumption (0.3% global emissions), water use (up to 5M gallons/day/facility), and grid strain—projected 8% growth by 2030. Download PDF.
- Turning Data Centers into Grid and Regional Assets (ACEEE): Warns of fossil fuel extensions and bill hikes (15-30% in high-demand areas); recommends community veto power. Download PDF.
- What Happens When Data Centers Come to Town? (Univ. of Michigan): Case studies on water depletion (e.g., Iowa aquifers down 20%) and social costs (property value drops 5-15%). Download PDF.
ACTION: Use these in your board comments—email template on /resources.