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City begins work to define and regulate data centers; paper mill site cited as potential location
Summary
City staff told the Planning Commission March 2 they will prepare an ordinance amendment to define data centers and add supplemental standards (setbacks, aesthetics, conditional-use review), citing interest in the Wisconsin Rapids Paper Mill site and noting state-level actions on NDAs and utility issues.
City staff briefed the Planning Commission March 2 on proposed zoning work to define and regulate data centers in Wisconsin Rapids, citing potential interest in the Wisconsin Rapids Paper Mill site.
Kyle Karns, director of community development, said the city currently lacks a specific definition for data centers and proposed classifying them similarly to manufacturing, with optional supplemental standards that could address setbacks, parking, aesthetics and operational impacts. Staff described a range of options other communities have used—ranging from simple definitions with conditions to creating a separate overlay technology district that requires rezoning and large setbacks (examples cited included 400‑foot setbacks in other jurisdictions).
Karns and staff noted pending state legislation examining whether municipalities may enter non‑disclosure agreements with data‑center users and broader utility issues; staff do not expect state action to remove local zoning authority and therefore recommended the city proceed with a local ordinance amendment. Commissioners raised concerns about electrical demand and the risk that ratepayers could be asked to fund infrastructure upgrades; one commissioner favored making data centers a conditional use so the city can fully review impacts.
During public comment Kevin Fangman, who has experience working in data centers, supported attracting the industry but urged local standards for utilities (undergrounding to reduce noise/visual impacts), decibel limits for diesel backup generators and specific noise standards. Fangman noted most data-center cooling systems are closed-loop (reducing water use) but emphasized backup generators and overhead utilities as potential community impacts.
Staff will research examples from other communities, refine options for classification (permitted vs. conditional use, supplemental standards, setbacks) and return with a draft ordinance for review in the coming month or months.
