Meta Data Center Development Advances in Lebanon's Leap District

The Leap Innovation and Research District in Lebanon may soon host a new data center, courtesy of Meta, the parent company of Facebook. The project is expected to inject millions into the community, but concerns have been raised by some residents and advocacy groups.

The Lebanon Planning Commission has given a favorable recommendation for Meta's six-phase initiative, which is projected to cost around $4.8 billion and occupy 1,500 acres in the Leap District.

"Having a significant both user, but then also capital investment along with it, has allowed us to then facilitate this water supply without impacting rate payers,” said Mayor Matt Gentry (R).

The city has an agreement with Citizens Energy to provide water for the Leap District from Indianapolis. According to Gentry, the data center is expected to generate around $80 million in property taxes over 15 years and approximately $30 million in community impact payments during the same period.

However, organizations like the Citizens Action Coalition warn that taxpayers across the state will ultimately bear the financial burden of the project.

"Leap District users pay for the upgrades; however, the upfront costs and the financing costs are being subsidized by the state of Indiana. They are tapping into a revolving fund that has limited amounts of money in order to construct and build this project out,” said Ben Inskeep, Program Director at CAC.

Resident Brian Daggy voiced concerns about the project's tax implications, citing a 50% property tax abatement for the data center. He worries about the long-term viability of the project.

"At what point are we hurting the state more than we are helping it, and that's one of the concerns I've got,” Daggy said. "What the perception is from a lot of us is we are doing a lot of things to create jobs, but we are just chasing our own tail because we don't gain much in the long run."

The data center is expected to generate 50-80 jobs in its first phase, with around 200 projected by project completion. The Lebanon City Council will vote on the plan at its next meeting.