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When it comes to its plans for Staunton Crossing, the city is being less than forthright. Coy, even.
Making this evident was session six of Staunton Citizen University, held last week and focused on all things economic. That, of course, meant paying special attention to Staunton Crossing, the hugely ambitious but largely vacant crown jewel in the city’s efforts to gin up economic development. With its roots dating back to 2009, when the Staunton Economic Development Authority (EDA) shelled out $15 million in a land swap with Western State Hospital, Staunton Crossing now represents an investment of roughly twice that amount. The number of jobs attributed to Staunton Crossing over the past 16 years? Perhaps 200—and some unknown number of those aren’t new to Staunton, since they merely involved a move from one city location to another.
At its best, then, the money sunk into Staunton Crossing currently works out to a per-job cost of approximately $150,000. That’s hardly a bargain, and even less so considering that most of those jobs are on the low end of the wage scale: desk clerks and housekeepers at two hotels, food servers and salesclerks at a handful of fast-food franchises and retail outlets. But to be fair, the Crossing still has another 275 empty acres just waiting for someone to move in. And city officials say that could mean more than 3,000 additional jobs coming to Staunton, resulting in an enormous shift in any cost-benefit analysis, so perhaps it’s still early days when it comes to doing the math.
But that’s where the coyness comes in. What new businesses is the city trying to recruit, and at what additional cost?
Among the six types of industries advertised on Staunton Crossing’s internet pitch is “logistics and transportation,” which sounds an awful lot like a warehouse distribution center. That’s low-hanging fruit, one might imagine, given the Crossing’s touted “easy access to the East Coast and Midwest” because of interstate and railroad proximity. But apparently it’s also forbidden fruit, at least for now. Asked when a large tenant for the Crossing might be recruited, economic development director Amanda DiMeo responded that a warehouse operation could have been landed “yesterday” if that’s all the city was after. Clearly, there’s hope that there are bigger fish to fry.
Which brings us to the second questionable industry on the Crossing wish list: Data Centers & IT. When it comes to recruiting this latest “must have” industry, the EDA marketing push goes all out in playing the environmental hazards card without any apparent irony. Staunton Crossing, declares its website, “is a prime location for data centers due to its low risk of natural disasters. The area is not prone to earthquakes, hurricanes, or severe weather events, which can disrupt data center operations. This provides peace of mind to organizations that rely on the secure and continuous operation of their data centers.”
And that’s not all! Staunton Crossing has an irresistible supply of low-cost and reliable electrical service, according to its website. It has state-of-the-art fiber internet infrastructure. It has “a large pool of highly educated and experienced IT professionals,” which might be expected to raise quizzical eyebrows among the relatively sparse IT workforce currently in the city. But notably lacking in this recitation of virtues is any mention of the copious amounts of water that data centers require, although the website does give assurances elsewhere that the city can provide 2 million gallons a day.
And that’s a problem.
Two million gallons a day represents the entire output of one of the city’s two major water sources, drawn from the headwaters of the North River in the George Washington National Forest. The possibility of such an outsized claim on a critical natural resource, in an age of global warming and greater weather instability, including droughts, has not gone down well with community residents with a less boosterish outlook. There have been rumbles of discontent—which may explain a curious comment about the matter by Rodney Rhodes, the city’s director of community development.
Speaking immediately following DiMeo’s presentation, Rhodes led off with the observation that Staunton’s zoning ordinance does not permit data centers. Any attempt to bring in such a center therefore would require that the zoning code be amended—and that, he assured the class, would be “a hard slog.” Not impossible, of course. But hard, so nothing to get excited about.
Nothing to see here!
And yet, why would Staunton keep chasing after a substantial capital investment that its own rules do not permit? Does the question answer itself? A substantial capital investment of the sort represented by a data center wouldn’t provide much in terms of permanent employment, but it would add handsomely to the tax base. And given the many millions already spent on the Crossing with remarkably little return to date, the promise of a big chunk of tax revenue might be expected to transform a hard slog into a greased done-deal.
As I said: coy.
Looking askance 