This video is a clip from BND: Strategy Room Live Stream on June 13, 2026. Data center development problems have emerged. As big tech companies continue to build up their piles of cash to fund data center development, the build-out is falling behind. Local communities are starting to question just how many real jobs these data centers will create? One of the main companies at the heart of the electric grid, PJM Interconnect, is struggling to keep up with demand and bring new energy generation online. What does this mean for America’s electric grid? This clip examined articles from The Business Journal, The Wall Street Journal, and Montco Today.

BND: Strategy Room Bonus - Data center problems

The Banker Next Door

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**Podcast:** The Banker Next Door

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I want to get into the data center stuff here for just a minute because I do have to get back to, you know, I got to get into, I got to talk about the episodes I put out this week and I got to get everybody the economic indicators for this week and everything. So we're gonna get to that in just a few minutes here. I think I just have a couple articles here on data centers that I wanted to share with everybody. So the data center tsunami is coming, but what about the jobs?

You know, so, um, data centers created far fewer permanent jobs than other large projects, despite the massive investments. Meta's El Paso facility received 110 million in tax breaks for 300 promised jobs. North Dakota pursues data centers to use excess natural gas and boost tax revenue. A recent AI data center project in Ohio received a 4.5 million tax break and promise to create only 10.

permanent jobs. A thousand miles away Facebook parent company Meta platforms is pouring 10 billion into the construction of a one gigawatt data center across 1000 acres in El Paso with the help of about 110 million in local tax breaks with the promise of 300 jobs when it's completed. Uh, that is up from the initial 100 full time positions. It promised to create during an initial announcement in 2025. Although it contractually only has to produce 50 full time positions.

You know, in April, you know, in April, New York state lawmakers passed a moratorium on data centers. During that debate, Democratic assembly maker, Anna Kelly's said 77 million economic development subsidies had gone to a data center in Rockland County that would create just one permanent job. Uh, that was based on an investigation by New York focus. Uh, this is the greatest amount of subsidies per job of any facility in the country in the history of this country. Kelly said, uh, across the country.

Data center developers are engaged in a battle against data center opponents who cite their use of natural resources, their effects on nearby properties, and their often low head counts as reason to reject the projects. Against the backdrop of those debates, dozens of local governments has passed, have passed moratoriums or restrictions on data center development and statewide bands in Maine and elsewhere have only failed because of governor vetoes.

Historically low local lawmakers and developers would use the promise of new local jobs to help smooth over resistance to large projects. But data centers, especially newer ones employ comparatively few people than traditional billion dollar projects, making them far less attractive for those focused on potential employment experts say.

So, yeah. And I talked a lot about the data centers. I talked about the revolt a couple of weeks ago, the revolt from people on data centers. Um, and then we also have this, you know, America's data center build out is falling way behind schedule. Uh, Google, which is raising a fre...

BND: Strategy Room Bonus - Data center problems

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BND: Strategy Room Bonus - Data center problems

Transcript

Built for investment professionals

Every day you wait, your competitors are findingedge in conversations you're not hearing.

Every day you wait, your competitors are finding
edge in conversations you're not hearing.