Amazon circumvents Gilroy community vote for AI data center

Amazon began construction on a 56-acre farmland site in Gilroy, California, located between a Walmart Supercenter and the Gilroy Premium Outlets. The project, which started its application in 2020, has surprised many residents because it avoided community scrutiny by adhering to zoning regulations established 45 years ago—long before data centers became a contentious issue across the country.

The approval process was not entirely smooth: Amazon officials were frustrated by slow permitting, which was delayed by at least a year, while the city pushed back on some requests. However, the public comment period lapsed in 2024, so when resident Rosa Rodriguez tried to raise concerns about the project's impact on a drought-stricken region, she was told it was too late to comment.

Mayor Greg Bozzo defended the project, noting that similar industrial developments, like a food-distribution center, had been approved without resistance. He highlighted benefits including increased tax revenue, construction jobs, a $1 million donation toward a new fire truck, grants to local nonprofits, and sponsorship of the Gilroy Garlic Festival. Amazon said it is engaging with the community through direct meetings and an open house, and is building a wastewater recovery system and pipeline to supply its water needs, addressing fears of shortages caused by other data centers.

The situation reflects growing public awareness and opposition to data center developments. Bozzo acknowledged, "We have an opportunity to change the way that we do business in Gilroy. We’re adapting to the times."