New Castle County council adopts data-center rules after heated debate and lengthy public comment

New Castle County Council on March 10 adopted Substitute No. 3 to Ordinance 25-101, a sweeping set of local standards for the review, siting and operation of hyperscale data centers, following hours of council debate, multiple floor amendments and extensive public comment.

The ordinance — sponsored by Councilman David Carter — was amended on the floor to clarify how pending applications are treated and to refine grandfathering language. Councilman Carter said the substitute strikes a balance between protecting neighborhoods and providing predictable rules for business, calling the effort “democracy at its best” and thanking the land-use staff for their work.

“The department has been working very closely on sub 3,” said David Carver, general manager of the Department of Land Use, adding that the department supports the amended substitute and that projects currently in review would remain subject to the processes they entered under. He warned, however, that some proposed changes could have the unintended effect of permanently exempting existing projects from county standards if written too broadly.

Council debate focused on two legal and practical questions: whether applications already in the pipeline should be grandfathered from the new rules, and how to define and limit nonconforming or vested rights for future expansions. Councilwoman Kilpatrick pressed for a clearer enactment clause to prevent a narrow two-line effective-date statement from being read as allowing major pipeline projects to avoid the ordinance; she later withdrew one proposed amendment as part of a negotiated compromise.

Supporters at the meeting — including union representatives and construction trades speakers — emphasized jobs and economic benefits. Chris Munce, representing Plumbers and Pipefitters Local 74, said construction would create significant state income tax and payroll impacts during the build phase and urged the council to consider the union labor benefits that accompany large projects.

Opponents, including environmental and neighborhood advocates, warned about noise, air pollution from backup generators and strain on water and electrical systems. Dustin Thompson of the Sierra Club Delaware chapter told the council that ‘‘without this ordinance we’re risking seeing a lower-tier generator used for backup’’ and urged the body to set standards for on-site backup generation to limit local air-quality harms.

Public comment filled the chamber and remote queue. Residents described health concerns, potential increases in local utility costs, and the loss of rural character in parts of southern New Castle County. Several speakers urged a temporary moratorium until the county and public can study the long-term infrastructure impacts. Others urged moving forward with guardrails now, arguing that clear rules are needed while the sector expands.

Councilman Carter described the adopted substitute as a set of ‘‘guardrails’’ — retaining existing, simpler noise and lighting rules in some areas, relying on LEED certification for an energy-efficiency benchmark, and allowing administrative review to reduce some setback distances to 500 feet if applicants document mitigation. The land-use manager said projects already in the county’s review process would remain subject to the reviewer’s interpretation and that any future expansions would be evaluated under the nonconforming code provisions as applicable.

The final vote, taken after public comment and adoption of a clarifying floor amendment, was 12 yes, 0 no, 1 absent. Council President Monique Williams Johns closed the meeting by thanking attendees and noting the council would continue to work through implementation details as needed.

What happens next: The ordinance, having passed the council, goes to the county executive for signature or veto under the usual timetable in 9 Del. C. § 11-56. Stakeholders across the county said they will continue to press for further rule refinements and implementation details, particularly on generator emissions, water use and the exact mechanics of grandfathering and nonconforming expansions.