'Projects May Be Temporary. The Opportunities Aren't.': Debunking Common Data Center Myths

Few types of construction projects generate more public debate than data centers. Headlines often focus on power demand, water use and artificial intelligence, while the people who build these facilities and the critical daily functions they support are often left out of the conversation. Separating fact from perception has never been more important. 

“When residents see a data center proposal, they often fear it will strain the public infrastructure and lead to traffic congestion during the development and negative environmental impacts,” said Pete Duenas, senior project manager and team leader at Clune Construction. “The reality for our modern data center builds is the opposite.” 

Clune has worked on dozens of data center projects and understands the impact they have on their communities. Duenas and his colleagues spoke with Bisnow about some of the most common criticisms of mission-critical facilities and separated fact from perception. 

Data Centers Are Always Bad For Communities

Many communities are skeptical of data center projects because they believe they will lead to higher utility bills, more traffic and the draining of local resources. Duenas said that conversation is more nuanced than people think. 

“Data centers require minimal municipal services, do not create rush-hour traffic, and they do not place a heavy demand on local police and fire departments,” he said. “They are actually some of the largest single property and equipment taxpayers in the counties and contribute millions of dollars directly into local funding for schools, parks and public safety.” 

Data centers also serve as primary contributors to utility infrastructure upgrades in the cities where they are built, Duenas said. Because they require high-reliability power, building them often requires the developers to fund the modernization of regional substations and transmission lines, which improves grid stability and capacity for the surrounding community.

“Clune and its clients recognize the impact hyperscale projects can have and work to ensure they deliver a net benefit to the communities they serve,” said Sean Nolan, Clune vice president and senior project manager. “We actively partner with local organizations, businesses and charities to give back in meaningful ways.” 

Nolan said that in Bosque County, Texas, Clune has supported fundraisers, sponsorships and volunteer efforts while also contributing to infrastructure improvements, local emergency responders and local businesses.

“In partnership with our client, these efforts have resulted in significant community investment, including infrastructure upgrades valued at over $675K and over $25M in contracts with local trades,” he said. 

Nolan said one of the most persistent challenges in community engagement is misinformation around data center water consumption. 

The public narrative often focuses on open-loop evaporative cooling systems, which lose a significant portion of withdrawn water to evaporation. But that is an increasingly outdated picture of how modern facilities are built, Nolan said. Closed-loop systems circulate water, continuously reusing it and reducing consumption by a sizable amount compared to traditional evaporative methods.

“In my experience, closed-loop systems have become the overwhelming majority of new projects we're delivering, which means the consumption rates being cited in community discussions often bear little resemblance to what these buildings actually use,” he said. 

Most importantly, Nolan said, Clune’s teams live and work in these communities during projects, which drives their commitment to being responsive, informative neighbors that leave a lasting positive impact. 

Data Center Projects Only Create Temporary Jobs

One common refrain is that data center projects provide only temporary jobs that disappear once the project is complete. Dave Sitkowski, Clune managing director and mission-critical practice lead, said that is far from true. 

“Every construction project has an end date. Careers don't,” he said. 

Mission-critical is one of the fastest-growing sectors in construction, and the demand for experienced people far exceeds the existing talent pool, Sitkowski said. 

“At Clune, we believe if you find good humans with the right mindset, you can teach the technical side of the business,” he said. “We invest heavily in developing talent, whether someone is an intern just entering the workforce or a seasoned professional looking to make a midcareer transition. The projects may be temporary. The opportunities aren't.” 

Duenas said the technical skills required to coordinate the mechanical, electrical and plumbing systems, manage massive backup generators and balance closed-loop chilled water systems take time to learn and can’t be picked up overnight. 

The knowledge gained by Clune employees on one project compounds and doesn’t disappear when the building is handed over to the client. It carries over. 

And for communities where construction labor is in short supply, contractors like Clune are getting creative and even partnering with technical and junior college programs to fast-track real-world careers, a mutually beneficial and lasting effect of these builds. 

“While the operations teams inside a completed data center may be relatively small, the economic ripple effect is much larger,” Sitkowski said.

A direct job in the data center industry supports more than six other jobs in the U.S. economy, according to a PwC study conducted on behalf of the Data Center Coalition. 

Data Centers Are Only Built To Fuel Artificial Intelligence

While AI is certainly driving a lot of today's data center headlines, it is only one part of the story, Sitkowski said. 

“Think about how many times you've reached for your phone today,” he said. “Most people interact with data centers hundreds of times a day without realizing it. They power the digital experiences we've woven into everyday life.” 

He said he wished the public understood the people and businesses behind these facilities. Building a data center takes thousands of individuals across dozens of disciplines, from electricians, pipefitters and carpenters to project engineers, schedulers, safety professionals and commissioning experts. Local suppliers provide materials, truck drivers move equipment, restaurants feed crews, hotels house traveling workers, and small businesses benefit from the activity these projects generate.

Sitkowski added that while it's fair for communities to ask questions about energy use, water and local impact, it is equally important to recognize that data centers aren't a distant concept built only for future technologies. They are essential infrastructure supporting the way we live, work, learn and stay connected today.

“Whether you're checking directions, paying a bill, attending a virtual doctor's appointment or backing up family photos, you're relying on data centers,” he said. “AI may be driving today's headlines, but these facilities have quietly powered modern life for years.”

As demand for digital infrastructure continues to grow, so will questions from the communities where these facilities are proposed. Clune believes those conversations should be grounded in transparency, facts and genuine community engagement. The more people understand how modern data centers are designed, built and operated, the better equipped communities will be to evaluate both the challenges and the opportunities they bring.

This article was produced in collaboration between Clune Construction and Studio B. Bisnow news staff was not involved in the production of this content.

Studio B is Bisnow’s in-house content and design studio. To learn more about how Studio B can help your team, reach out to studio@bisnow.com.