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Council reviews draft data-center ordinance; staff adds planning commission site-plan and conditional-use review
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Summary
City staff reviewed a draft ordinance that would require conditional use permits and planning-commission site-plan and architectural review for data centers in industrial districts; council members asked for safeguards on utility verification and expressed concern about potential rate impacts.
City staff reviewed a draft data-center ordinance and outlined new review requirements during the Common Council meeting in Wisconsin Rapids.
Kyle Kearns, a city staff member, told the council the draft ordinance “essentially clarifies that site plan review also has to happen at the plan commission level, for a data center, in addition to the conditional use permit.” He said the draft mirrors practices in other communities but places the city “in the middle” between permissive and highly restrictive approaches.
Kearns also described a verification requirement related to power supply: “If you reference supplemental standard H, it requires approval by [the] electrical utility company,” he said. “Written verification from the proposed power provider shall indicate that the applicant has calculated the maximum planned electrical consumption and has verified the utility supply and related electrical infrastructure.”
A council member asked whether the ordinance contains protections to prevent data centers from causing utility rate increases for Wisconsin Rapids residents. “Is there anything in this ordinance that would provide some protection to the citizens of Wisconsin Rapids as far as any guarantees that they wouldn't cause any rate increases…?” the council member asked.
Kearns said the ordinance requires documentation and utility verification but acknowledged some uncertainty about whether a data center’s added load would translate to higher rates in practice, noting that other large local users have had substantial capacity requirements without a clear, direct effect on rates.
Council discussion emphasized balancing safeguards with economic opportunity. The mayor said the city should avoid being “so shortsighted” as to cut off the possibility of bringing employers to the community while still ensuring safeguards. Other council members said they want the ordinance to be strict enough to require utility verification but not so restrictive that data centers are deterred from locating in Wisconsin Rapids.
The council moved to approve the planning commission actions, including the minutes of the April 6, 2026 planning commission meeting. The motion to approve the planning commission minutes was made by Palmquist and seconded by Penskever and passed 8-0.
Next steps: the draft ordinance will remain subject to further review and potential revision; staff and the planning commission will continue to refine the language about utility verification and supplemental standards.
