In the heart of central Louisiana, a small town is grappling with the implications of a massive data center project that was negotiated in secret. The town of Boyce, in Rapides Parish, is now the site of a 300-acre data center campus, a project that has raised concerns among local residents about transparency and environmental impact.
The project, developed by Dallas-based Applied Digital Corp. was negotiated under nondisclosure agreements (NDAs) that kept details from the public. This practice, while common in the data center industry, has sparked outrage among residents who feel left in the dark about a project that will significantly impact their community.
Local Residents Voice Concerns
Foster Hensel, a local beekeeper, is among those who have expressed concerns about the project. Hensel worries about the potential impact on his bees and the local environment. “Let me quote a good writer, Shakespeare — there’s something rotten in Denmark,” Hensel said. “There’s something wrong with that.”
Hensel’s concerns are shared by many in the community, who question why more information wasn’t made available earlier. The use of NDAs has left residents with unanswered questions and a sense of distrust toward local officials.
The Role of Nondisclosure Agreements
NDAs are commonly used in data center projects to protect corporate secrets and facilitate negotiations. However, critics argue that they also give developers an advantage by controlling the flow of information. David Cuillier director of the Brechner Freedom of Information Project at the University of Florida, notes that “information is power, and these folks, they’re powerful, and they want to make a lot of money, so they’re going to control information as closely as they can so they have an advantage.”
In Louisiana, records requests have revealed at least 54 NDAs signed by elected officials since early 2026. These agreements have been used for various projects, including data centers, and have raised concerns about transparency in the state.
The Boyce Data Center Project
The data center project in Boyce, codenamed “Project Lightning” and “Project Pixel,” was kept under wraps until construction had already begun. The project, now named Delta Forge 1 is expected to draw 300 megawatts of electricity in its first phase, enough to power roughly 200,000 homes on a summer day.
The deal includes a state sales tax break on data center equipment, part of a broader effort by Louisiana officials to attract AI investment. However, the secrecy surrounding the negotiations has left many residents feeling excluded from the decision-making process.
A Heated Town Hall Meeting
In June, tensions boiled over at a town hall meeting held in Boyce. Residents expressed their frustration with the lack of transparency and demanded answers about the project’s impact on water, power, and the environment. Robert Maddox a resident, told the England Economic and Industrial Development District (EEIDD)“Our politicians were elected to represent us, not to represent industry.”
Officials and company representatives assured the crowd that an environmental study showed negligible impact. However, the revelation that the study wouldn’t be released to the public sparked jeers and boos from the audience. “They signed an NDA!” some yelled during the meeting.
Defending the Use of NDAs
Despite the backlash, officials have defended the use of NDAs. Ralph Hennessy executive director of the EEIDD, downplayed the pushback from residents, calling it a “vocal minority” spreading “half-truths or falses.” Hennessy argued that NDAs are necessary for economic development and are not illegal.
Susan Bourgeois secretary of Louisiana Economic Development echoed this sentiment, stating that NDAs are “fundamental for economic development.” She argued that without NDAs, companies would be reluctant to negotiate with local officials.
A Different Approach in West Feliciana Parish
Not all data center projects in Louisiana have been shrouded in secrecy. In nearby West Feliciana Parish a $10 billion data center is being built without the use of NDAs. Parish President Kenny Havard chose not to use NDAs, believing that economic development doesn’t require them.
Havard posted all information about the project on the parish government’s website, including agreements related to water and power usage, land acquisitions, appraisals, and the fully executed deal between the parish and the company. This transparency has allowed residents to stay informed about the project and its potential impacts.
The contrast between the approaches in Boyce and West Feliciana Parish highlights the ongoing debate about transparency and economic development. While some argue that NDAs are necessary to protect corporate interests, others believe that transparency is essential for building trust with the community.
