Planning commission continues review of proposed data-center ordinance, seeks BPU input on energy and water standards

The Brainerd Planning Commission continued its review of a proposed data-center ordinance that would regulate sound mitigation, electronic-waste handling and renewable-energy offsets for data centers and cryptocurrency-mining operations.

Director James Krombick presented a revised draft that moves data centers to conditional use permit review, adds design requirements for sound mitigation and would allow the city to request a third-party noise study once per year if complaints arise. The draft also would require operators to post a facility liaison and provide contact information to owners within 500 feet; it would require electronic waste to be hauled by a licensed electronic-waste recycler. One provision—requiring cryptocurrency operations to offset a percentage of their electricity with renewables—remains undefined in percentage terms, and staff asked the commission whether to tie that standard to Brainerd Public Utilities' (BPU) existing implementation plan.

Commissioners sought additional detail from BPU on both water and energy impacts. Commissioner Gorham and others noted that some cooling methods (particularly earlier-generation, water-intensive approaches) can create large water demands and disposal needs; Krombick said BPU previously flagged water-capacity constraints on a past proposal. Commissioners asked staff to add a requirement that a water and wastewater disposal plan be reviewed and approved by Brainerd Public Utilities as a condition of a conditional use permit, and to return with clearer language on timing for a city-requested noise study (staff suggested extending 30 days if necessary).

Several commissioners supported eliminating a hard 500-foot location rule in favor of case-by-case conditional-use review paired with required sound-mitigation design, reasoning that the indoor-only requirement and other mitigation measures already address major sound risks. Commissioner Norwood suggested accepting proof of engineer engagement rather than a strict 3-day completion window for noise studies.

A member of the public and local property owner, Mike Higgins, urged the commission to avoid imposing energy or other standards he called overly burdensome on potential employers, saying such rules could deter investment. Higgins also argued some regulatory items (such as electronic-waste handling) are federally regulated and therefore redundant in local code.

Staff recommended delaying a public hearing to allow the draft ordinance to be revised and for BPU staff to participate in the next meeting; the commission concurred and directed staff to return with a revised ordinance and BPU input. No formal vote on the ordinance was taken at the meeting.