Article courtesy of MIRS for SBAM’s Lansing Watchdog newsletter
Data center advocates are trying to reframe the debate around the industry in Michigan, but political consultant Adrian Hemond said some of them may be coming to the table later than they should have.
“It costs more money to do this when you try to do it on the back end,” Hemond said.
Hemond, a longtime Lansing political consultant, said he has been contacted by more than one data center advocate looking for help turning around what has become a negative public narrative around the issue. He declined to name his clients.
“They called a little later in the process than they should have, which is a lot more work for me,” Hemond said, laughing, but he is not complaining.
His advice: stop letting tech executives lead the public-facing argument.
“Keep tech people away from this debate,” Hemond said. “When the California folks talk about data centers, it is insane.”
He said some technology leaders talk about data centers in sweeping terms, including artificial intelligence, universal basic income and a future where people no longer need to work — messages he said are unlikely to land well with average voters.
“That sounds crazy to people,” Hemond said. “Voters in general are very distrustful of tech barons and Silicon Valley tycoons.”
Instead, Hemond said, data center advocates should explain the industry through the lens of services people already use every day.
Social media platforms, Amazon orders, online banking and the broader financial system all depend on data centers, he said. The message, he said, should be less about what the companies want and more about how the infrastructure connects to residents’ daily lives.
He said advocates also need to focus on local benefits, including jobs, economic development and infrastructure improvements.
“You’re probably going to have to give some money away to some of these communities to make these deals make sense to them,” Hemond said.
But he warned companies against making vague promises to local officials, civic groups and residents without proof that the benefits will materialize.
“You can’t show up in these communities with a bunch of promises with nothing else to back it up,” Hemond said. “You have to show your work.”
For example, he said companies should not simply tell residents their utility rates will not increase because of a proposed data center. They should explain why, and, when possible, write guarantees into local agreements.
“Don’t tell people you’re not going to pay higher utility rates. Show why that is true,” Hemond said. “Write the guarantees into these deals.”
Hemond said skepticism toward large economic development projects is not new in Michigan. For decades, he said, residents have seen major corporate promises fall apart after communities made investments or offered support.
“For 20 years, people have been burned by big projects that never came to pass, but citizens are still lighter in their wallets as taxpayers,” Hemond said.
When MIRS asked Hemond to identify the data center advocates he is advising, he gave an immediate answer.
“No.”
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