Sioux County Advances Data Center Rules to Second Reading

(Shane Walter - Community First Broadcasting Staff Photo)

Orange City, Iowa (Sioux County Radio) — Proposed regulations for data centers in rural Sioux County cleared their first reading Tuesday after county supervisors voted 4-1 to advance the ordinance following a public hearing that included questions about water use, electricity demand, 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 remained unconvinced the county should move forward at this time.

Altena said he would prefer to wait another year or two before adopting regulations. He questioned whether the rules would be sufficient to prevent problems and expressed concerns about the county’s ability to enforce requirements against a large company.

Residents attending the hearing also asked about water availability, electrical capacity, noise, and the potential cumulative effect of multiple data centers. Other questions focused on whether the county should extend its data center moratorium 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 on power availability, water use, and noise.

Walter said the studies would be conducted by independent third parties approved by the Board of Supervisors. Other requirements would include paved access roads, developer-funded first responder training and equipment, and a community betterment agreement that includes upfront and annual payments.

The proposed regulations would apply only to unincorporated areas of Sioux County and not land located within city limits.

Walter emphasized that county oversight would continue after a facility begins operation.

He said continued testing would help determine whether facilities remain in compliance and that the county could revoke a certificate of occupancy if violations occur.

Supervisor Craig Hoftyzer said the county attorney advised that supervisors could hire outside legal counsel if additional resources are needed to pursue a violation. The county could also seek a court injunction requiring operations to stop.

Walter said the county would seek reimbursement from a data center operator for enforcement-related expenses.

Two More Readings Scheduled

The ordinance’s second reading is scheduled for Oct. 13th 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 be held Oct. 27th at 9 a.m.

If the amendment receives final approval, it would take effect upon publication. Walter said the county’s current data center moratorium would remain in place until the new regulations take effect.

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