Hobart Mayor Josh Huddlestun called the $47 million upfront cash the city is poised to receive from Amazon, if plans go forward to build a data center at 61st and Colorado, “record breaking.”
“Hobart secured the largest publicly known upfront cash payment ever for a private development on private land in the country. The developer (Amazon) will pay $47 million in community enhancement payments. These dollars are not part of the levy and not part of any TIF (Tax Increment Finance) district. They go straight to the city and can be used to serve the whole community,” Huddlestun said.
Visitors hold signs during a Hobart Plan Commission meeting regarding a site plan fill permit for the proposed Hobart Devco Data Center on Thursday, Nov. 6, 2025. (Kyle Telechan/for the Post-Tribune)
Because of this agreement, Huddlestun said the city will not have to raise its income tax, meaning the city can fix roads, improve drainage, invest in parks, invest in its youth, and keep public safety departments strong without putting more pressure on residents, he said.
“This really should be celebrated,” he said.
The Hobart City Council at its meeting on Wednesday will consider a resolution that would declare a 72-acre economic revitalization area at 61st Avenue and Colorado Street the first step toward a tax abatement agreement with Amazon officials, who in late November announced plans to invest $15 billion in the city.
To accommodate a larger crowd, the city council meeting, which starts at 6 p.m., was moved to the Hobart High School auditorium, 2211 E. 10th St., door No. 21, on the east side of the school
Hobart resident Matt Wright speaks during a Hobart Plan Commission meeting regarding a site plan fill permit for the proposed Hobart Devco Data Center on Thursday, Nov. 6, 2025. (Kyle Telechan/for the Post-Tribune)
Huddlestun said the meeting was moved from Hobart City Hall to the high school auditorium at the request of the No Data Center group, which opposes building any data centers in the area of 61st Avenue and Colorado Street.
Angelita Soriano, a spokesperson for the group, confirmed a request was made to change the venue after more than 500 people packed a Nov. 6 plan commission meeting held at the PCC Building, 705 E. 4th St.
Soriano is one of four Hobart homeowners who last month filed a lawsuit seeking to vacate multiple actions by Hobart city officials that have “prepared” the way for the possible construction of an Amazon data center on farmland within city limits.
Soriano said her group requested a change of venue or that the resolutions expected to be presented get tabled until a site plan is presented
She finds it “deeply irresponsible” of city officials to go forward with accepting any financial gain such as the $47 million coming from Amazon prior to the presentation of a site plan.
“We still have no idea of how many buildings will be in that area … We haven’t been provided with any environmental, traffic or noise impact studies,” she said.
Soriano said she’d also like to see some figures presented, such as how much revenue the city would receive without the tax abatement versus with the tax abatement.
“Now I’m really going to question their (the city officials) ethics. Is the $47 million at no risk?” she said.
Huddlestun said $47 million upfront cash is crucial to the city in part as municipalities, schools and other taxing districts prepare for the property tax revenue cuts stemming from Senate Enrolled Act 1.
“Those cuts will significantly reduce revenue for cities across Indiana. We prepared early because we did not want to lay off employees or cut the services you depend on,” he said.
SEA 1 does not hit every community the same. Hobart will lose more, percentage-wise, than any city in Lake or Porter County. Some cities will raise income taxes, some will make deep cuts, while some will do both, Huddlestun said. While others are trying to grow their way out of it through development.
In addition, Huddlestun said the city will receive $10 million when the first building permit is issued and another $45 million when the first building walls go up. That means, in the first year alone, Hobart could receive more than $102 million with building permits. That’s over four times the cities general fund budget, Huddlestun said.
“The developer is also paying 100 percent of the infrastructure costs. These are improvements that would have eventually fallen on our utility customers and taxpayers as they needed to be done absent this development, but now they are fully covered by the developer,” he said.
The payments continue after that. In 2027, the city will receive $43 million. In 2028, it will receive $40 million. After that, Hobart will receive $2 million per building every year in community enhancement payments, he said.
Deborah Laverty is a freelance reporter for the Post-Tribune.
