Full Breakdown
NorthPoint’s $10,000 Household Offer Sparks Fierce Opposition in Hazle Township
By Drooid · · How we work
Project Hazelnut: Core Proposal
NorthPoint Development has proposed “Project Hazelnut,” a 1,300-acre campus of up to 15 AI data-center buildings in the Pocono foothills of Hazle Township, Luzerne County, Pennsylvania. The plan ties a $45 million household-grant fund to zoning changes and a certificate of occupancy for the first building. If the conditions are met, each of roughly 4,500 households would receive a $10,000 check; the same figure is reported as covering 10,460 residents in a separate account, creating a discrepancy noted by local coverage.
Background and Local Context
The proposal arrives amid a growing national backlash against large-scale data-center siting. A May Gallup poll found many respondents would prefer a nuclear power plant over a data center in their neighborhood, reflecting concerns about noise, light pollution, and AI-driven job loss. NorthPoint, described as a leading industrial-real-estate developer, has previously offered municipal funding packages to smooth approval processes.
Financial Terms of the Offer
- Household checks: $10,000 per household, totaling $45 million.
- Additional community benefits: NorthPoint has pledged $120 million over 15 years for local services, including police funding, according to company statements. Another report breaks the total package into $45 million for households, $15 million for education and workforce programs, and $105 million for the township (approximately $7 million annually).
- Condition: No payment is released until the first building receives a certificate of occupancy, meaning all zoning approvals, construction, and inspections must favor NorthPoint first.
Legal and Zoning Status
Hazle Township supervisors voted 3-0 in November to deny NorthPoint’s land-development plans. A Luzerne County judge subsequently directed the company to seek approval through the zoning hearing board or a special exception. In June, supervisors adopted a 180-day curative amendment that pauses new data-center applications while updated zoning rules are drafted. NorthPoint has filed a lawsuit to overturn the township’s rejection, and the litigation remains pending.
Official Statements & Responses
- Governor Josh Shapiro (Pennsylvania): Signed an executive order banning nondisclosure agreements between local governments and data-center developers, labeling such developers “predatory.”
- Governor Greg Abbott (Texas): Issued a pause on data-center approvals statewide.
- Governor Kathy Hochul (New York): Implemented a moratorium on large-scale data-center construction.
- Brent Miles, Chief Marketing Officer, NorthPoint Development: Said the $10,000 checks were conceived after a public meeting where residents asked “what’s in it for me?” and described the approach as “cutting edge.”
Community Opposition & Criticism
Residents have characterized the offer as a bribe intended to sidestep environmental review. Retired homeowner Ed Negra warned the offer could backfire by prompting deeper scrutiny. Concerns also include potential declines in property values, continuous low-frequency noise from cooling systems, and heightened water and electricity demand that could strain local utilities.
Verbatim Quotes
- “I always wanted to have my own house.” — Carl Majusiak
What’s Next
The ongoing court case will determine whether NorthPoint can secure the required zoning changes and proceed to construction. Hazle Township’s updated zoning framework and the 180-day curative amendment remain in effect, offering other municipalities a potential template for managing AI-infrastructure proposals.