JPMorganChase Secures $77M Subsidy for Data Center Creating Only One Job

JPMorganChase’s $77 Million Subsidy: One Job for $77M

In 2024, JPMorganChase secured a $77 million tax break to expand a data center in Orangeburg, New York—a small town roughly 45 minutes from Times Square. The subsidy, reported by New York Focus, is expected to yield a single full-time job in exchange for the public funds.

This deal highlights the stark contrast between massive corporate incentives and minimal local economic returns, particularly as data centers proliferate to support the AI industry’s growth.

How the Subsidy Compares to Other Deals

In March, reports surfaced about a $136 million data center project in Northeastern Ohio, which promised ten full-time jobs alongside a $4.5 million state tax exemption. The JPMorganChase subsidy dwarfs that figure, raising questions about the value of such incentives.

“The county is giving away quite a lot of public money in exchange basically for nothing.”

Local Officials Defend the Deal

Steven Porath of the Rockland County Industrial Development Agency, which approved the subsidy, argued that full-time job creation isn’t the only measure of success. He noted the project will generate over 1,400 temporary jobs for local contractors—though most will end once construction concludes.

“If that is how you’re going to narrowly look at it… anybody would say that’s ridiculous.”

Broader Concerns Over Data Center Expansion

Beyond the subsidy’s questionable ROI, activists warn that the influx of data centers in Orangeburg could drive up utility costs for residents. The area has become a hotspot for data center development in the New York City metro region, fueled by corporate incentives.

The JPMorganChase expansion is still under construction, but it may signal the start of a larger battle over big tech’s data center expansion—one increasingly subsidized by taxpayers.

See Also

• Man at City Council Meeting Makes Devastating Case Against Proposed Local Data Center

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