Across rural America, from central Pennsylvania to right here in Indiana, the debate over large-scale data center development is becoming one of the defining local issues of the decade. Supporters see jobs, tax revenue, and economic modernization. Opponents cite farmland loss, higher utility bills, and fears that rural communities will bear the burden while outside corporations take the benefits.
A recent example from Montour County, Pennsylvania — a county with 12,000 people less than Clinton — is drawing national attention as a case study in how fast this issue is moving.
More than 300 residents, many wearing camouflage hats and red shirts to show unity, crowded into a local planning commission meeting earlier this month. Their goal was to speak against a proposed Talen Energy data center project that would require rezoning roughly 1,300 acres of farmland.
The atmosphere wasn’t partisan. In fact, many attendees were strong supporters of former President Trump, who won the county by a wide margin in 2024. Yet they were unified in their frustration over Washington’s push to rapidly expand AI-related infrastructure.
Residents took turns at the microphone, raising concerns about: Possible higher utility bills, Strain on water supply, Loss of active farmland, Impacts on the Amish community, The long-term effect on the county’s rural character.
Across the U.S., both political parties are pushing for massive increases in data center capacity to support artificial intelligence, cloud services, and national security infrastructure. Former President Trump has called data-center build-out a top priority, even directing agencies to speed up approvals. Democratic Governor Josh Shapiro and Republican Senator Dave McCormick of Pennsylvania are also competing to attract projects with incentives.
The basic argument from federal and state leaders: If America wants to stay competitive in AI, it needs more power, more servers, and more land — fast.
Tech giants like Amazon, Google, Microsoft, and energy providers such as Constellation are investing tens of billions into new facilities.
But this growth is beginning to meet real resistance.
A study from Data Center Watch found that $64 billion worth of projectshave been stalled or blocked across the country due to local backlash. Communities in Pennsylvania worry they may become another “data center alley,” similar to northern Virginia, where enormous complexes now dominate once-rural areas.
The proposed Montour County site would remove roughly 350 acres of farmland that currently supports soybeans, corn, and livestock. Farmers fear downstream impacts, including on nearby processing facilities.
County Commissioner Rebecca Dressler, a Republican, said the debate isn’t about political ideology — it’s about identity. The county planning commission voted 6-1 to recommend rejecting the rezoning request, drawing applause from the packed room. The final decision will be made in mid-December by the county commissioners.
Then there’s the question of the power bills. Pennsylvania, like many states has already seen double-digit increases in electricity prices over the past year. Utilities warn that data centers could push demand even higher, potentially raising rates for residential customers.
Overdue utility bills are also rising statewide. This pocketbook pressure is beginning to influence political races. In Georgia, for example, a recent election for a utility board seat flipped for the first time in years after the winning candidate campaigned heavily on concerns over data center growth and rising bills.
Experts say this could be a preview of what’s coming nationwide in 2026.
This national debate feels very local. The conflict in Montour County is not isolated. It mirrors concerns being raised in rural communities across Indiana, the Midwest, and the country — anywhere farms, water resources, and local identity converge with a booming new industry.
Supporters argue:
New tax revenue can stabilize local budgets
Data centers attract additional businesses
They create construction jobs and high-skilled positions
They keep America competitive in AI
Opponents counter:
Farmland and water are finite
Electricity costs could rise
Local culture may erode
Big companies hold power while small towns absorb risks
As America races to build the digital backbone of the AI economy, communities like Montour — and communities here in Clinton County — are asking the same core question:
What kind of growth fits who we are?