To the Editor:

It’s not often that a community gets an opportunity like the one currently being presented to the Town of Massena. The North Country Collocation Service, Corp (NCCS) is proposing to build a brand new datacenter in the area near the Alcoa East Plant. If the name NCCS sounds familiar, it is because they have been operating a bitcoin operation inside the old Alcoa East Smelter since 2017. They have some history in the area and see an opportunity to expand.

Discussions surrounding the proposed project have been going on for about 12-14 months. Opponents of the project have pointed to environmental concerns. The Massena Town Board meetings have had spirited discussions outlining potential concerns. The NCCS group has had a presence at several meetings discussing mitigation plans to offset any of these concerns, both real and perceived. 

The Town Board meetings were becoming difficult to follow in the local news media. The meetings were contentious and accusations were being made that sounded impressive but were lacking in facts. The only way to arrive at an intelligent decision is to gather and analyze as much information as possible. 

During August of this year, we formed a group to gather facts, meet with community leaders and meet with NCCS. Our group consists of Independents, Democrats, Republicans, retired, employed, business owners and union officials. The majority of the group is from the North Country, but some are from other areas of the United States. 

As we peered deeper into the project we found that there will be no impact on local electric rates, the datacenter operates on a closed loop cooling system with no river infiltration and the sound is on par with a refrigerator. In addition, the Host Community Agreement and tax reductions were extremely attractive.

The consensus of the group is that this project cannot fail. Massena is in need of a tax base. Massena has lost General Motors and Alcoa East. Alcoa/Arconic are downsized from the heydays of yesteryear. A recent Air Products hydrogen plant project was shut down. The hydrogen plant was going to use water from the St. Lawrence River and hydropower from the STL-FDR Power project. However the vendor was not allowed to claim any tax incentives on the green hydropower because the power plant was deemed too old. Another project gone. This is in addition to the Kroc Center, Nuclear Plant, aquarium and the Racetrack.

The Town of Massena is on the New York State Comptroller's 2024 list of stressed townships. The Town did not file their reports in time for 2025 but suffice to say things did not get any better. They would more than likely be on the 2025 list too. The Village of Massena is actively using and depleting their fund balance along with utilizing tax increases each budget cycle. These budget woes are not the fault of anyone in office now or in the past few years, but rather a sign of the times in the North Country. 

Massena has a chance to help ourselves. We cannot depend on New York State to help us. On the contrary, we are trying to alert the Town Board to watch out for competition outside of the area. If we don’t take advantage of this project, someone else will. Our group has been encouraging the Town Board to move the process along in a responsible but steady process. The process is moving, but it is moving much too slow. Massena has lost out on too many things in the past. It is time to act. Decisions need to be made now.

Everyone has heard the phrase “follow the money.” Every budgetary decision we make in our household is based on money or cash flow. Local governments are no different. The NCCS Corp has produced a favorable DRAFT Host Community Agreement which is essentially a payment to the Town of Massena, the Massena Central School District and St. Lawrence County. The projected 30 year DRAFT payout is $690M. This is in the form of direct yearly payments with a COLA adjustments, school tax Pilots and county sales tax revenue. 

Our group has been actively conveying to the Town Board to avoid the same financial mistakes that were made during the 2003 NYPA relicensing negotiations. The Town Board has followed our suggestion and is partnering with a Syracuse Law Firm to assist in the negotiations process. The North Country cannot afford another defeat. 

You are encouraged to review the facts yourself. Go to the following website: nccs.one. The website offers a view of the proposed buildings, answers frequently asked questions and lists a proposed schedule. There is a Town Board meeting schedule for Wednesday, November 18. Plan on attending and listening to the discussions. The decisions being made will affect you for decades to come. 

Massena Datacenter Focus Group

Tim Ahlfeld, Robert Cole - Ironworkers 440, Gordie Cook, Hassan Fayad, Bill Fiacco, Travis Flint - IBEW 910, Jim Hidy, Scott Hilyard  - LIUNA Local 1822, Bill Orlando, Greg Paquin, Dave Poirier, Tom Post, Chad Simpson, Jeff Tyo

Timothy Ahlfeld
Massena