Proposed regulations for data centers in Sioux County are headed to the Board of Supervisors, with a September 29 public hearing planned as the first of three readings before a possible final decision in October.
The county’s Planning and Zoning Commission has recommended approval of the zoning ordinance amendment. During the September 15 supervisors meeting, officials outlined the next steps for reviewing the proposal and gathering public input.
In a follow-up interview with Sioux County Radio, Zoning Director Shane Walter said the proposal would establish requirements addressing water use, electricity demand, noise, infrastructure, and financial contributions to the county.
“We’ve never held a business to this kind of a high threshold,” Walter said.
Proposed Requirements Address Water, Power, and Noise
Walter said the proposal calls for independent studies to demonstrate that a data center could meet the county’s requirements for water use, electricity use, and noise. Periodic studies would also be required to check continued compliance.
Some studies would accompany an application, while others would be completed after construction but before the facility could operate.
“Those studies would have to be done, submitted and approved by the Board of Supervisors before they could be issued a certificate of occupancy,” Walter said.
According to Walter, the proposed ordinance would require a closed-loop cooling system and would prohibit using well water to cool the facility. A well could supply domestic uses, such as offices and bathrooms, but would require a study examining potential effects on neighboring property owners within a two-mile radius.
The proposal also includes independent technical review. At the supervisors’ meeting, County Attorney Tom Kunstle highlighted a provision for a county-selected peer review group to analyze studies involving water, noise, and power.
Walter said developers would also face requirements intended to support public infrastructure and emergency services. Those include a concrete road serving the facility, subject to the county engineer’s requirements, and developer-funded training and equipment for area first responders.
A community betterment fund would be negotiated between the county and an applicant, with payments increasing over time. Walter also described a separate infrastructure improvement fund that could support roads, bridges, and other county needs.
Three Readings Would Allow Public Input
Walter said the anticipated schedule includes the first hearing and reading on September 29, followed by additional readings on October 13 and October 27, provided the proposal advances.
Residents can attend the meetings to offer comments and can also contact their supervisors. County officials discussed making the full amendment available on the county website and through the auditor’s and zoning offices.
“We just ask that folks consider it carefully and fairly and participate in the process,” Walter said.
If supervisors adopt the amendment, it would take effect upon publication. Walter said the board would also need to take action to rescind the existing moratorium, which was intended to give the county time to develop data center regulations.
Approval of the ordinance would establish requirements for future applications; it would not approve a particular data center. An individual project would still face a separate application and approval process, including additional opportunities for public input.
