Proposed regulations for data centers in rural Sioux County cleared their first reading Tuesday, with supervisors voting 4–1 after hearing questions about water, electricity, noise, and enforcement.
Supervisor Dan Altena cast the lone opposing vote on the proposed amendment to County Ordinance No. 1. Two additional readings remain before the regulations could take effect.
Tuesday’s action did not approve a specific data center project.
Altena Favors More Time
Altena acknowledged the work that went into developing the proposed rules but said he remained uncomfortable moving forward.
“I’m not totally sold on it yet. I know there’s a really good set of rules here, but I look at some of the other counties who are saying, no, no, no.”
Altena said he would prefer waiting another year or two. He questioned whether regulations would adequately prevent problems and relayed concerns about the county’s ability to enforce requirements against a large company.
Residents also asked about water availability, electrical capacity, noise, and the potential cumulative effects of multiple data centers. Other questions focused on whether the county should keep its moratorium in place longer and who would pay for enforcement if an operator violated the rules.
County Outlines Requirements and Enforcement
Sioux County Zoning Director Shane Walter said the proposed regulations would limit data centers to 25 megawatts per site and require independent studies addressing power availability, water use, and noise.
Walter said the studies would be conducted by independent third parties approved by the county board. Other proposed requirements include paved access, developer-funded first responder training and necessary equipment, and a community betterment agreement with upfront and annual payments.
The regulations would apply to unincorporated areas of Sioux County, rather than land within city limits.
Walter emphasized that oversight would continue after a facility began operating.
“We’re not going to just allow, you know, approve and then walk away and forget about it.”
He said continued testing would help determine whether facilities remained in compliance, and the county could revoke a certificate of occupancy for violations.
Supervisor Craig Hoftyzer shared an explanation from the county attorney that supervisors could vote to hire outside counsel if additional resources were needed to pursue a violation. The county could also seek a court injunction ordering operations to cease.
Walter said the county would seek reimbursement from the operator for enforcement expenses.
Two More Readings Scheduled
The second reading is scheduled for October 13 at 9 a.m. in the Board of Supervisors’ Room at the Sioux County Courthouse in Orange City. If approved, a third and final reading would follow on October 27 at 9 a.m.
If the amendment passes its final reading, it would take effect upon publication. Walter said the county’s data center moratorium would remain in place until the new regulations take effect.
