PathOne has drafted an application for a Sioux County data center and plans to submit it once the county’s newly approved regulations take effect, company representative Gyles Uhlenhopp told Sioux County Radio.
Sioux County Zoning Director Shane Walter said the rules become effective upon publication Saturday, October 31. After that, the county can accept applications.
The application would mark the next step toward PathOne’s proposed facility at the former Bison renewable energy site near Perkins (southwest Hull). However, the county’s approval of data center regulations did not approve the project itself.
“I do have the draft ready to officially apply for the conditional use permit. And then once approved, then we will move forward with the process internally to go market this potential project to the end user community,” Uhlenhopp said.
Walter’s latest explanation of the process identifies several decisions still ahead, including two public hearings, a conditional use permit, a building permit, and a final certificate of occupancy before operations could begin.
Two Public Hearings Before a Permit Decision
Walter said the Board of Supervisors’ role was to establish the ordinance language. An individual project application would move through a different review process.
A conditional use permit application would first go to the Planning and Zoning Commission. The commission would review it, hold a public hearing, and forward a recommendation to the Board of Adjustment, along with any recommended conditions.
The Board of Adjustment would then hold its own public hearing and decide whether to approve the conditional use permit and what conditions to impose.
Walter said the two hearings typically take place on the same day, one after the other. Hearing notices would be published in a newspaper, posted on the county’s website, and displayed at required posting locations.
According to Walter, those would be the two remaining required public hearings in the county’s approval process. PathOne could hold additional informational meetings on its own, but those would be separate from the county proceedings.
Approval Would Come with Conditions
Walter emphasized that approval of a conditional use permit would not mean the applicant had already satisfied every requirement needed to operate.
Instead, the permit would attach conditions the developer must fulfill. A subsequent building permit could be approved conditionally to allow construction, with the project’s obligations continuing through that stage.
Before the facility could begin operating, the county would need to confirm that all requirements had been met and issue a certificate of occupancy.
“Once they had satisfied all the criteria and all the requirements, then they would ultimately get that certificate and could open their doors,” Walter said.
The county’s rules address project size, noise, farmland protection, lighting, stormwater, roads, emergency response, and eventual decommissioning. They include a 25-megawatt design-capacity limit and requirements for studies and supporting materials.
Walter said the former Bison site is particularly suitable because it already has heavy industrial zoning and infrastructure. Restrictions on other locations were intentional, he said, reflecting the county’s emphasis on protecting productive farmland.
Uhlenhopp praised the county’s approach and said PathOne welcomed having clear requirements.
“Whether people trust us or don’t trust us, hopefully they can trust the rules. Right,” Uhlenhopp said.
A Tenant, Financing, and an Uncertain Timeline
Alongside the county process, PathOne would still need to secure a tenant and construction financing.
Uhlenhopp said the company plans to market the potential project after conditional use approval. Once a tenant is secured, PathOne would raise the money needed to build the facility.
He described the proposal as a smaller, rural “edge” data center serving users closer to the communities where they operate. Banks and hospital systems were examples of potential customers, rather than announced tenants. Depending on a customer’s needs, the facility could provide data storage, computing capabilities, or both.
Uhlenhopp did not announce a tenant or a construction start date for the Sioux County project.
Walter cautioned against assuming that an application or an initial approval would lead quickly to an operating facility.
“I can’t really venture a guess other than to say I’m fairly certain we’re looking at some years, not months,” Walter said.
In a follow-up clarification, Walter said an opening might be possible as soon as 2028, but likely not before then. He emphasized that he could not be certain. That was a tentative estimate, not an announced opening date, and would depend on how quickly the applicant completes the required work.
Candidates Previously Discussed Oversight
The county’s approach to data centers also came up during separate Daily Grind interviews last week with Iowa House District 4 candidates Skyler Wheeler and Garth Van Donselaar.
**Both interviews took place before the county approved its regulations and before Uhlenhopp disclosed PathOne’s application plans. Their comments addressed data center oversight, rather than these subsequent developments.**
Wheeler, the Republican incumbent from Hull, praised the supervisors’ handling of the issue. He said protecting water, land, and the electrical grid should remain priorities, while cautioning against shifting decisions away from local officials too quickly.
“I think it needs to continue to play out more at the local level, and we can just keep a good eye on it in case something does go wrong. Maybe we do need to step in in the future, but my first my first movement here is not to say, oh, let’s get the state involved,” Wheeler said.
Van Donselaar, an independent from Sioux Center who works in technology, questioned the pace of the process. However, he described the proposed safeguards as generally reasonable and emphasized enforcement.
“I think the rules themselves, they’re pretty reasonable. I can’t think of anything immediately where I’m, you know, really worried about it. It’s just making sure that we actually enforce these rules,” Van Donselaar said.
Residents Will Have Another Opportunity to Weigh In
Uhlenhopp encouraged residents to participate when the proposal reaches public review. He acknowledged concerns about resource use and noise associated with other data centers, while arguing that PathOne’s approach is intended to address those problems.
“I would encourage anyone that’s concerned to come to our hearing to hear more about what it is and what it’s not, and ask questions, because at the end of the day, we want to get this right,” Uhlenhopp said.
The next step would be submitting the application. Residents would then have opportunities to comment at the Planning and Zoning Commission and Board of Adjustment hearings, while the county evaluates the proposal and the conditions necessary for it to proceed.
