Seven in 10 Americans oppose the construction of an AI data center in their area because it is bad for the environment, depletes water resources, and increases electrical rates.  

Sound familiar?

There’s no reason to think that data centers are looked upon more positively in Memphis.  As time has passed, the secrecy, the NDAs by public agencies, the violation of environmental regulations, the PR campaign headed up by Greater Memphis Chamber and MLGW, and Mayor Paul Young’s assertive support associated with xAI looms even more inexplicable in retrospect. 

Mr. Young says he’s welcoming “growth” and extols the “economic opportunity that comes with it (data centers),” all of which begs the proof to back up that statement with actual job and salary numbers. 

Left unanswered is the question of when is enough enough.  Memphis already has 13 data centers and real estate speculators are holding real estate for even more.

With Memphis City Council now joining more than 100 cities that are considering – or have already approved – a moratorium on data centers, the issue will likely be front and center in the near term.  The election for Memphis mayor is 14 months away and a variable for Mr. Young’s reelection campaign is whether data centers will be a hot issue or will have faded away by the time of the campaign.

It’s hard to imagine the latter, particularly if State Rep. Justin Pearson loses his race for Congress and enters the race for mayor.   

It is likely to be a crowded field.  There are also rumblings that Councilwoman Jerre Green is interested if she loses the gubernatorial vote. Councilman J.B. Smiley, who lost the Democratic primary for county mayor, is said to be interested, and some think that even outgoing Shelby County Mayor Lee Harris may enter the race.  Mr. Young received 27.6% of the vote to win his election in 2023.

Criticisms of xAI inside city government have been muted as a result of it producing more than $25 million in new taxes.  It’s an amount that eases city budgetary stresses and part of it could even be used to reduce the city property tax rate; however, it raises the questions: what price does city government put on the environment and health of Memphians?  Was xAI given carte blanche because it promised more city revenues?

There is an axiom in branding: only associate your brand with one that is stronger and more positive than your own.  The Memphis brand is now firmly associated with SpaceXAI whose chatbox Grok is producing sexually graphic images of minors. Just one more reason Memphis may come to regret this association.   

When the issue of data centers is added to tepid criticisms of the Safer Memphis Task Force by City Hall, it all but guarantees a lively and spirited city mayor’s race.

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BVO made a presentation two weeks ago to the parks committee of Memphis City Council and received strong support.  In fact, the committee asked City of Memphis Chief Financial Officer Art Davis to determine if paid parking can be eliminated at the north Mud Island lot to make a visit to the immersive experience even more affordable. 

The conversation at committee led to a rehash of Mud Island discussion, including a reprise of Councilwoman Swearingen-Washington’s push for a Ferris wheel there.  It was reminder of John Elkington’s comment years ago: Memphis is always doing the latest thing; it just happens to be 20 years after everyone else. That certainly applies to Ferris wheels. More than 30 U.S. cities already have one. The cost for one on Mud Island would likely be a minimum of $20 million, which just happens to be roughly the amount needed to pay for city government’s 40 years of deferred maintenance.  After BVO opened, the air conditioning was out 56 of its first 90 days, and for 13 days, it had no plumbing.

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Memphis City Council recently voted 10-1 to approve a referendum for the November ballot that would require people lobbying its members to register and indicate their clients.  The Council had voted down a similar rule 6-6 in 2020.  The new resolution, like the old one, was pushed by Councilman Chase Carlisle.  The first attempt was when City Council was being asked to lead on whether MLGW should consider electricity providers other than TVA.  According to Carlisle, the lobbying was intense and “has influenced decisions on this body,” which pretty much sums up what lobbying is all about.  Unfortunately, the referendum would not require lobbyists to reveal their political contributions to Council members.

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Speaking of City Council, it continues to use a questionable procedure that limits public notice and discussion.  It’s called “request for same night minutes” and although it sounds benign, it allows a Council members to put a resolution on the meeting agenda, have it voted on, and then approve the minutes later in the same meeting so it is considered final.

The cutting off of public notice and public discussion in the last Council meeting was applied to resolutions concerning the controversial Community Grant Program.  It’s hard not to suspect that the purpose of same night minutes was to make sure no one from the public complained or could express opinions.  Otherwise, what was so urgent that the minutes could not have been held and approved at the next meeting (which is how similar bodies handle votes on the minutes).

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Speaking of suspicions of subterfuge, another one involving Memphis City Council is the posting of meeting minutes.  Today, the minutes posted online show the wording of the resolution and the results of the vote on it.  Included on the online minutes is this sentence: “the full text of the original ordinances, resolutions, and supporting documents including an audio recording of Council’s deliberations, is filed and maintained in the Office of Council Records/Records Management, Room 2B-08.”

It’s easy enough to post these fully fleshed out minutes online, that is, unless it’s been decided to keep the transcribed debate and comments by specific Council members away from the public. 

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