Amazon Proposes Major Data Center in Wilmington, Council Vote on Tax Incentives Looms
December 2, 2025
The rapid expansion of artificial intelligence is fueling a nationwide race to build data center capacity, putting communities like Wilmington, Ohio, at the center of high-stakes economic development decisions. These facilities, critical for storing and processing the digital infrastructure of modern life, promise significant tax revenue and job creation but also raise concerns over resource use and community impact.
The Wilmington City Council is scheduled to vote this Thursday on a proposed 30-year tax abatement for a massive $4 billion data center project by Amazon Web Services (AWS). The vote, which has been postponed twice, would apply to a facility planned for 471 acres in southwest Wilmington. If approved, the agreement would see Amazon make Payments in Lieu of Taxes (PILOT) to the city, Wilmington City Schools, Laurel Oaks Career Campus, and the Clinton County Port Authority from 2035 through 2064. Under the PILOT terms, Amazon would pay 30% of its annual property tax liability. The project is expected to create at least 100 jobs.
The Clinton County Port Authority, which negotiated the deal, presented the project at a special council meeting in late November. Economic Development Director Josh Roth framed it as a transformative investment, stating, “We actually think this is going to be [one of the] top five private sources of income tax for the city of Wilmington... it's actually going to be a significant contributor to the tax base here in Wilmington.” The port authority's negotiations with Amazon included stipulations for setbacks from residential areas, local infrastructure upgrades financed by the company, and a required noise study.
However, the process has faced public scrutiny. Many residents learned details only last month during a school board meeting that approved the PILOT terms. The port authority stated that involved parties were under nondisclosure agreements until a commitment was reached “to keep valuable information from other competitors.” Resident Kelsey Swindler expressed frustration at the meeting, noting, “It's maddening to realize now in November that critical steps... were accomplished in April, June, July, August, and October. Before we ever knew a project was on the table, the land was annexed, the parcel rezoned.”
A primary concern for opponents is the facility's substantial demand for water and electricity. Roth addressed water usage, explaining that Amazon will purchase water from the city—which sources it from the Caesar Creek reservoir—at the residential rate plus an additional fee for reserves. “This project is actually going to help the community defray a cost it already is incurring. This should help all of the rate payers on the water side,” he said. On power, Roth noted that utility AES Ohio has been working with Amazon for over a year to ensure adequate electrical capacity.
Despite these assurances, residents like Molly Boatman highlighted unresolved risks. “The responsible decision is to vote 'no.' A no vote is not anti-growth... It's simply refusing to approve a deal with unresolved risk, missing protections, and unanswered questions,” she said, citing concerns over wastewater safety and backup power procedures. Amazon did not respond to a media request for comment by the deadline.
The council's decision will signal how smaller cities balance the allure of major tech investment against community oversight and long-term resource planning in the booming data center industry.
Source: wosu
