Data center agreement proposed for land south of I-95 in Groton

NE Edge LLC, under manager Thomas Quinn, is requesting a data center host municipality fee agreement with the town, which is the first step in the process of developing data centers. A host municipality fee agreement sets conditions to potentially allow data centers “on particular properties under certain conditions and sets the revenue that would be provided to the Town, since the State has made data centers tax exempt,” Town Manager John Burt said. “These agreements are required before anything could be built.” The General Assembly passed legislation last year to provide tax incentives for data centers, defined as facilities to house computer servers “to centralize the storage, management, and dissemination of data and information pertaining to a particular business or classification or body of knowledge.” To be eligible, the developer must make at least a $200 million investment, or a $50 million investment if the data center is located in an enterprise or opportunity zone. Burt said the council is expected to continue to discuss at its March 1 meeting the agreement and digest the information from the public meeting; there will also be an opportunity for public comment during the March 1 meeting. He said the council may vote on March 8, but is taking it step by step and will see where to go from its discussions on March 1.

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