From Vox · Sara Herschander · · 4m
Ohio town forces data centers to keep their promises
Perry's Issue 16 requires data centers to post bonds guaranteeing tax revenue, offering a model for communities wary of broken promises.
In brief
Perry's Issue 16 requires data centers to post bonds guaranteeing tax revenue, offering a model for communities wary of broken promises. Perry, Ohio passed Issue 16, requiring data centers to post bonds guaranteeing promised tax revenue and jobs, offering a blueprint as Americans overwhelmingly reject data center…
Data centers lose across America

More than forty data center measures appeared on ballots on Election Day. Data centers lost all but one of them, often by dramatic margins.
Perry's different approach
While most measures ban data centers outright, Perry's Issue 16 does something novel: it forces data centers to keep their promises to the town.
What Issue 16 requires
Any data center accepting a tax abatement or subsidy in Perry must take out a bond guaranteeing the village receives promised tax revenue and jobs.
Perry votes overwhelmingly yes

Issue 16 received eighty-seven percent of Perry's support after months of sign-posting, petition drives, and village hall meetings led by John Nicely.
“I was absolutely choked up as the results poured in.”
Perry's nuclear power plant legacy

When the Perry Nuclear Power Plant opened in the nineteen eighties, it brought hundreds of well-paying jobs and tax revenue for luxury public facilities.
Meta and the power plant deal
Earlier this year, the plant's operator inked deals with Meta and the US Department of Energy to greatly expand its capacity for data centers.
Province Group's secret dealings
In April, developer Province Group showed up in Perry after making secret deals with local policymakers. Residents were livid at the lack of transparency.
The initial bad deal
Province Group proposed a seventy-five percent tax exemption for fifteen years, promising over three hundred twenty million dollars in tax revenue over three decades.
Why fifteen years is too long
Nicely, a former business spin doctor, saw the problem immediately: fifteen years is a long time to wait, and data centers rarely commit to long-term hiring.
Ohio's corruption history
In two thousand nineteen, Ohio passed HB six, a billion-dollar bailout for energy developments. It was later revealed as part of the largest bribery scandal in Ohio history.
Larry Householder's prison sentence
Ohio's former House Speaker Larry Householder was sent to federal prison for two decades in connection with the HB six bribery scandal.
Policymakers lost credibility
Many policymakers involved in HB six have spent years rolling out red carpet for data center developers with subsidies and tax breaks, losing public trust.
“They have no credibility on this issue.”
Council rejects initial proposal
Amid resident outrage, Perry's village council struck down Province Group's initial tax abatement request in July, putting the project in limbo.
How bonds protect communities
If a developer applies for a tax abatement in Perry again, they must take out insurance on their promises, protecting the town if projected revenue never materializes.
Other states use similar bonds
Georgia and Texas have required projects to take out bonds guaranteeing local benefits materialize for developments receiving large subsidies or tax breaks.
Kasia Tarczynska on accountability
Good Jobs First analyst Tarczynska said initiatives like Issue 16 show communities understand what they're giving up and that corporations often promise but never deliver.
“Initiatives like this really show that people are innovative and smart.”
Perry's urgent infrastructure needs
Perry's newest fire truck is a decade old and ambulances need replacement. The town needs economic development but on terms that actually benefit residents.
Nicely's message to developers
Nicely told developers: come as business partners, offer something up front, invest in the community. If you won't, go away and let someone else try.
“If you want to be business partners then come in as business partners.”
What matters most
Perry, Ohio passed Issue 16, requiring data centers to post bonds guaranteeing promised tax revenue and jobs, offering a blueprint as Americans overwhelmingly reject data center expansion.



