On Tuesday, a tiny town in North Dakota named Harwood became the only location in the country to support data centers in a series of ballot measures. Out of the 45 propositions nationwide concerning data centers, Harwood stood out as the sole supporter. The residents rejected a measure that would have increased their influence over the construction of large projects like AI data centers.
Harwood, with around 940 residents, voted decisively against the measure. The vote totaled 325 against and 105 in favor, according to the North Dakota Secretary of State’s office. This decision is significant for Harwood because a massive AI data center, spanning the size of 17 football fields, is under construction. This project aims to employ 200 people, nearly 20% of the town’s population.
“It’s frustrating,” said Mark Coolidge, a resident who supported the measure. “We are the people that have to live with this type of industry as a neighbor,” added Mike Swartz, another advocate for the proposition.
Harwood’s mayor, Blake Hankey, did not support the measure. He mentioned that the proposition had vague language and could impose financial challenges for the city. According to Hankey, the measure targeted not only data centers but any significant business initiatives.
The proposed amendment would not have impacted the existing data center set to complete next year but would have applied to future large-scale projects. It would have required independent assessments and public hearings for projects meeting certain criteria.
Swartz expressed concern that many residents were caught off guard by the rapid approval of the current data center. He explained that construction began merely 21 days after its announcement, leading many to feel uninformed.
Mayor Hankey signed a non-disclosure agreement with Applied Digital, the data center’s builder, ensuring swift action to keep the project in Harwood rather than losing it to nearby Fargo. Hankey stated that had he not acted quickly, the city would miss out on sales and property tax revenue.
As tech giants like SpaceX, Microsoft, Google, Amazon, and OpenAI push for new AI data centers, opposition has been common in other U.S. locations. Concerns often revolve around environmental impacts, utility costs, and AI skepticism.
Following heated city council meetings and protests, Swartz gathered signatures for the proposition. However, voters ultimately rejected the proposal, partly due to confusion over whether it applied to both large and small businesses.
Applied Digital did not comment on the situation. Resident Coolidge remarked on the financial motivations, expressing frustration over perceived neglect of citizen interests.