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County MOU for Project Jupiter draws Gadsden board’s attention over tax‑abatement impacts

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Summary

Board members raised concerns after learning Dona Ana County approved a memorandum of understanding for Project Jupiter, an AI data center that includes large tax abatements and county payments in lieu of taxes; district leaders said the agreement could reduce future school tax revenue and urged greater local input.

Board members discussed Project Jupiter, an AI data‑center proposal for Dona Ana County, after the county commission approved a memorandum of understanding that includes substantial tax abatements and a payment in lieu of taxes (PILT) arrangement. District leaders said the MOU was approved without clear engagement of all affected local stakeholders and asked whether Gadsden ISD could be more involved in future negotiations.

Superintendent Dempsey summarized the MOU and the local financing structure, noting the project includes a 30‑year package that the county expects to yield roughly $300 million overall and a county share of around $12 million per year in lieu of taxes; the district’s share, as discussed, would be roughly $400,000 annually under the current MOU language. He said construction jobs would be significant during buildout and estimated permanent employment in the hundreds.

Board president Harley Murillo said she had asked county leaders to include local leaders in the process and read a prepared statement urging greater local engagement. She said neighboring districts that were part of earlier negotiations had secured more direct investments — such as funds for local high school CTE programs and Boys & Girls Club contributions — and asked whether those opportunities would be available to Gadsden.

The board asked staff to gather more detailed information, explore potential partnership opportunities if the project proceeds, and coordinate with county officials and local municipal leaders to ensure district interests and hiring priorities for New Mexicans are considered.