IDEAS FOR RESOLVING BITCOIN MINING ISSUES

HIGH NOISE LEVELS

EMISSIONS

OBJECTIVES

• 1) Agree on a plan for noise relief�
• 2) Understand what actions / inaction put us in this situation � so we can avoid repeating mistakes

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• 3) Discuss recommendations Council can put in place based on what � we’ve learned to ensure something like this doesn’t happen again

WHAT IS BITCOIN MINING?

HOW DID WE GET INTO THIS MESS?

HIGH NOISE LEVELS

• New source of noise at Fortistar Erie Ave site
• Hundreds of computers and fans to cool them
• Housed outdoors in stacked shipping containers
• Health Concerns from long-term exposure to loud noise
• EPA: Noise Control Act (1972)
• Local municipalities responsible for enforcing noise ordinance
• Residents up to 1 mile away are disturbed by Digihost noise
• Disrupts sleep, disturbs pets and wildlife, can’t enjoy outdoor spaces
• Concerns about negative impact on property values

WHY SHOULD WE CARE ABOUT DIGIHOST’S HIGH NOISE LEVELS?

• Scientific research established a link between excessive noise & public health harms
• Individuals exposed high noise levels can suffer both auditory (loss of hearing) and non-auditory (increased risks of heart disease, stroke, and hypertension) harm.
• According to the American Public Health Association, excessive noise emissions represent a significant threat to the general welfare not unlike that of more “conventional” environmental and public health harms, such as toxic air pollution or hazardous chemicals.

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COMMENTS FROM RESIDENTS NEAR DIGIHOST

“I live 8 houses across the street from the Bitcoin factory on Erie Ave and the noise is ridiculous! �I hear it at all times of the day and night. Make it stop!!!! Please.”

“Anyone contemplating buying a home in North Tonawanda would have serious misgivings if the home they are interested in is anywhere near this facility. If they talk to the neighbors and learn about the loud noise, day and night, that prevents them from enjoying their yards or sleeping at night, they’ll definitely decide to move elsewhere.”

MORE CONCERNS FROM RESIDENTS

“I feel this does need more looking into and more controls �given the emissions of noise and toxins.”

“Everyone deserves a quiet environment in which to sleep. Digihost robs us of this! �The owner of Digihost misrepresented the noise aspect -- in fact stating that no noise would be heard outside of the facility.

As noise is of primary concern, the fact that a lie was told should be enough to close this place down.”

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RESIDENTS FRUSTRATED BY LACK OF ACTION

“How many calls and emails do we have to send to city officials before something is done to stop this noise?

“ Great neighborhood made nearly unbearable by the constant noise.”

“The noise from this plant (Digihost) has been a complete nightmare. I hear this noise when trying to sleep, no one should have to live like this.”

“Why isn’t the City enforcing its own noise ordinance?”

SIMILAR SITUATIONS ACROSS THE COUNTRY

Murphy, NC:

In 2019, Patricia Callahan, who suffers from post-traumatic stress disorder (PTSD) and clinical depression, moved to Murphy, NC in search of peace and quiet. Not long after, a cryptocurrency mine started operating about a quarter of a mile away from Patricia’s home. The mine, and the constant loud droning whir it generates, has completely shattered her life.

“It’s more than just my hearing. It affects my whole body, triggering PTSD symptoms.”

The mine, operated by California tech firm PrimeBlock, has thrown the entire community of Murphy into disarray. Nearly 800 households are located within a mile of the mine – a collection of prefabricated sheds filled with large computers that must be constantly cooled by enormous industrial-sized fans. �These fans are extremely loud, generating up to 95 decibels of noise, about as loud as a motorcycle. �Residents have reported trouble sleeping and new cases of anxiety and depression.

SOLUTIONS FOR CONSIDERATION

#1: FORMAL PROCESS FOR MEASURING � & DOCUMENTING NOISE LEVELS

• Select a professionally-trained and objective party to measure noise levels and formally document the readings, date, time, and weather conditions.
• Identify equipment capable of measuring dBA and dBC to accurately gauge industrial noise.
• Determine specific locations at and near the Digihost operation.
• Establish a baseline for noise levels at Digihost’s property line (both dBA and dBC).
• Plan for continuous monitoring and public reporting.
• Costs for this program paid by Digihost, not an additional burden to NT tax payers.
• Clarify process for fining violators when they exceed the noise ordinance.

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This fact-based information will give us a better sense of what’s needed to address high noise levels now and in the future.

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WHAT WE’VE LEARNED ABOUT NOISE

• Understanding Decibels�Decibels follow a logarithmic scale (not a linear scale)�Decibels don’t directly measure perceived loudness (technically, they measure energy)
• A 40 decibel sound is not twice as loud to the human ear as a 20 decibel sound, but four times as loud
• 80 decibels is 16 times as loud as a 40 decibel emission
• In general, a 10 decibel increase represents a doubling in loudness to the human ear.�
• Not All Sounds “sound” the Same�Different kinds of noise emissions have different physiological effects in different contexts
• The steady hum of an air conditioner differs from the staccato bursts of firecrackers, which differ from the whine of an ambulance siren.
• The A-weighted decibel does not account for these differences.
• How Sound Travels�Sounds with strong low frequency components, like those from crypto mining, travel further and penetrate barriers more easily �than higher pitched sounds
• Such differences can have important implications for the health impacts of noise.
• And once again, A-weighted decibels do not account for these kinds of differences.
• Weather, wind, and atmospheric conditions play a role in how far sound travels and the quality and loudness of that sound.

MEASURING NOISE

There are different ways of measuring sound levels – dB(A) and dB(C)

dB(A): A-weighted decibels which is most effective at measuring noise at low volumes and high frequencies. Most relevant for frequencies 500 – 10,000 Hz. �

Bitcoin noise levels are approximately 165 Hz – which isn’t even captured on dBA scale.�“Safe & Sound” study estimates bitcoin noise levels at 95 decibels.

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dB(C): Measures sound levels across all frequencies, which makes it useful for loud industrial noise. The “C” filter approximates how the human ear hears sound at very high noise levels.

NT NOISE ORDINANCE

Current Noise Control Ordinance adopted by NT Common Council in Sept1988

It is hereby declared to be the policy of the City of North Tonawanda to prevent excessive, unnecessary or unusually loud noise. It is further declared that the provisions and prohibitions hereinafter contained and enacted are in pursuance of and for the purpose of preserving, protecting and promoting the public health, comfort, convenience, safety, welfare and prosperity and the peace and quiet of the City of North Tonawanda and its inhabitants.�

• WEIGHTED SOUND LEVEL�The sound pressure level measured by the use of an instrument with the metering characteristics and the A-weighting frequency response prescribed for sound level meters. The level so read is designated "dBA.“
• EXCESSIVE NOISE�The sound pressure level of the all-encompassing noise associated with a given environment, being usually a composite of sounds from many sources, and/or the A-weighted sound pressure level exceeded 90% of the time based on a minimum period of 10 minutes. �65 decibles – daytime limit (7am – 10pm)�50 decibles – nighttime limit (10pm – 7am)
• ENFORCEMENT �Fines ($250/day) or 15 days imprisonment

IT’S TIME TO UPDATE & HERE’S WHY

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The current NT noise ordinance was adopted by city council in 1988 and doesn’t account for low frequency industrial noise:

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• NT noise control ordinance is based on 1970’s data which at the time referenced only dBA.�
• ISO Standard (226) used new information in their 2003 update.�
• NT’s Noise Control Ordinance doesn’t reflect the most current research or standards.

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Given what we now understand about industrial noise, the �NT Noise Control Ordinance should be amended to include dB(C).

#2: TWO-YEAR CRYPTO-MINING � MORATORIUM

• A 24-month pause to give the City time to update zoning codes, ordinances, and other requirements to address noise and emissions.
• No new cryptocurrency mining operations can be approved;�No expansion of any existing crypto operations previously approved.
• Some of these requirements may be included in NT’s new Comprehensive Plan (vision for the next 20 years).
• NYS environmental assessment of cryptocurrency energy use may further restrict operations across the state.

#3: APPLY ADDITIONAL SCRUTINY TO APPROVALS � FOR DATA PROCESSING CENTERS & � MODULAR DATA PROCESSING FACILITIES

• Data processing centers have multiple banks of computers contained in a building.�
• Modular facilities contain the processors in multiple storage-like containers. �
• Both facilities require numerous fans or air conditioning systems to cool down the equipment. The noise generated by the equipment, along with the large amount of electricity used by cooling systems and computer processors, have spurred moratoriums and bans in numerous communities across the U.S.

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QUESTIONS & COMMENTS�

• Will the NT Common Council enact the 3 recommendations?
• Are there other potential solutions to consider?
• What are the next steps?
• Timing?

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