Story County supervisors remove data-center section from draft ordinance, direct moratorium extension after extensive public hearing

Story County Board of Supervisors members on March 3 amended a proposed zoning text change on digital asset mining, data centers and utility-scale battery storage to remove the section governing data centers and directed staff to pursue a temporary moratorium extension while the county crafts additional safeguards.

The change came after a two-hour public hearing during which multiple residents and conservation advocates urged stronger protections or a permanent moratorium, citing water use, energy demand, land loss and long-term local costs. Leanne Harter, Story County director of planning and development, told the board the ordinance (TA26-000002 / ordinance 3-30) was staff-initiated to add definitions and supplemental standards for several new uses and that staff and the Planning & Zoning Commission recommended modified adoption with second consideration scheduled if approved.

Supporters of tighter restrictions said data centers can draw large volumes of water and shift utility costs to residents. Jim Pease, a resident who addressed the board, urged the county to require comprehensive water studies, citing other Iowa counties'approaches. "I don't believe the ordinance comprehensively looks at water usage," Pease said. Multiple speakers described potential impacts on the Ames alluvial aquifer and asked the board to keep or adopt a moratorium. One public commenter summarized the concern this way: "We don't make more water," emphasizing that local aquifers and surface streams are finite resources.

Harter said the draft ordinance requires closed-loop cooling systems for data center proposals, an estimate of annual site water consumption, documentation from the Iowa Department of Natural Resources and Story County Environmental Health that sufficient water resources exist, and that necessary permits must be obtained. She also acknowledged staff had not incorporated all outside suggestions (for example from NextEra Energy) and said the county would revisit the regulations if implementation showed gaps.

Supervisors deliberated on whether to keep the data-center provisions in the ordinance or remove them while keeping other sections (battery storage, commercial solar and wind provisions) moving forward. After discussion the board voted to amend the ordinance to remove "section 12" and all associated CDC/DC supplemental standards and to set the ordinance, as amended, for second consideration on March 10, 2026. They also directed staff to work with the county attorney on a resolution to extend the temporary moratorium that is set to expire March 31, 2026.

The public speakers' concerns centered on four recurring themes: (1) potential high water consumption and local groundwater stress, (2) energy demand and potential rate impacts, (3) permanent loss of agricultural land, and (4) whether county-level rules could be preempted or constrained by pending state legislation. Harter and supervisors acknowledged those concerns and said additional legal review and coordination with environmental health and the Iowa DNR would inform any further restrictions or a moratorium.

The board did not adopt final zoning rules at the March 3 meeting; it approved the ordinance package as amended for second consideration and directed staff follow-up on the moratorium. The public hearing record and the Planning and Zoning Commission materials are available on the county website for those who want the full text and audio of testimony.