Company Exploring Sioux County Data Center Also Eyes Estherville

(PathOne Representatives Gyles Uhlenhopp (L) and Kevin Donnelly (R) - Community First Broadcasting Staff Photo)

Estherville, Iowa (Sioux County Radio) — The company exploring a potential data center near Hull is also considering a similar project in Estherville.

PathOne Data Centers representatives Gyles Uhlenhopp appeared before the Estherville City Council Monday evening to discuss the possibility of developing a facility of up to 25 megawatts on eight to 12 acres in an industrial park on the city’s south side.

The discussion comes as Sioux County supervisors prepare for the third and final reading of the county’s proposed data center ordinance on Oct. 27th.

Estherville Discussions in Early Stages

Uhlenhopp said PathOne seeks industrially zoned property near substations with available power capacity but emphasized that discussions in Estherville remain preliminary.

He said the community would first need to establish rules and identify what it wants from a potential development before the company decides whether to move forward.

Power Supply and Infrastructure Costs

Iowa Lakes Electric Cooperative would supply electricity to the potential facility.

President and CEO Ryan Craig said PathOne would be responsible for paying for infrastructure needed to serve the project, including any new substation or transmission upgrades.

Craig said appropriate studies would be needed to confirm capacity and ensure the project would not negatively affect existing customers. He also described a potential benefit for cooperative members.

Community Input on Design and Local Projects

Uhlenhopp said PathOne would seek input through a Community Advisory Council that could provide feedback on the facility’s appearance and other project details.

The advisory group could also help identify projects supported through the company’s PathOne Foundation.

Estherville Begins Reviewing Rules

City Administrator Penny Clayton said Estherville’s Planning and Zoning Commission will begin reviewing possible data center regulations on Thursday, Oct. 22nd.

City staff has gathered examples of ordinances from other Iowa communities and developed recommendations for commissioners to consider. However, Estherville’s process would establish city regulations through both its Planning and Zoning Commission and City Council.

Clayton said a public hearing and council adoption would be required before regulations could be adopted. She also recommended using a developer’s agreement before construction begins.

The Planning and Zoning Commission meeting is scheduled for 4:30 p.m. at Estherville City Hall.

Sioux County’s Final Reading Set for Oct. 27th

PathOne has also been exploring a potential data center at the former Bison project site near Hull, where an underused electrical substation has been part of the discussion.

Sioux County’s proposed ordinance would regulate data centers in unincorporated areas and includes provisions such as a 25-megawatt limit per site, independent studies covering power, water and noise impacts, cooling requirements, and developer responsibility for utility upgrades.

The ordinance advanced on 4-1 votes during its first two readings, with Supervisor Dan Altena casting the lone opposing vote each time.

The final reading is scheduled for Oct. 27th. Approval would establish county regulations but would not authorize construction of a specific data center.

Estherville’s review of possible city regulations is separate from the Sioux County ordinance process.

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