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The Data Center Divide

Sandoval County

Pro-Data Center Policies

Sandoval County authorized financing and lease documents, including a payment in place of taxes, to support the NMRD Data Center IV project; the description identifies no additional limits on its construction or operation.

Incentives

Tax benefits

Authorizes the NMRD Data Center IV project's IRB lease and payment-in-lieu-of-taxes arrangement, with negotiated tax payments for the project rather than ordinary property-tax treatment.

current law · County measure
Authorizes Sandoval County’s participation in financing the NMRD Data Center IV, LLC project through a bond ordinance and related lease, indenture, and bond purchase agreement; it was adopted unanimously on October 25, 2023.New Mexico Ordinance 10-25-23.10A (2023)

What this means

The measure authorizes bond and lease documents for the NMRD Data Center IV project, including a payment-in-lieu-of-taxes arrangement. That offers financial support for the project, and the sources do not identify added rules limiting data center construction or operation.

People behind it

  • District 5 Commissioner and explicitly identified sponsor of the Veterans Day and Native American Heritage Month proclamations.

  • Administration requestor for the gross receipts tax ordinances, court-facility financing measures, patent-application request, and related agenda items.

  • Finance requestor for the budget resolutions involving the Senior Program, Opioid Fund, and Sheriff's Recruitment Fund.

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  • Human Resources requestor for the resolution amending the Sandoval County Personnel Rules and Regulations.

  • Governing body responsible for adopting the county ordinances, resolutions, legislative priorities, and related measures.

  • Approved the New Mexico Counties legislative priorities presented for county adoption.

  • Proposed and requested support for the organization's 2024 legislative priorities.

Benefits & exceptionsHide benefits & exceptions3
  • Authorizes an industrial revenue bond financing for the NMRD Data Center IV, LLC project, supported by a lease, indenture, and bond purchase agreement, providing a financing structure for developing the project.

  • Provides a payment-in-lieu-of-taxes arrangement through Exhibit B to the project lease, allowing the project’s tax-related payments to be governed by the negotiated PILOT terms rather than ordinary property-tax treatment.

  • Updates the NMRD Data Center III project’s PILOT allocation to comply with the newer statutory formula, under which payments are allocated based on the project’s school district, school-district land area, and population.

Sources

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