Planning commission recommends City Council consider one‑year moratorium on data centers

The Hastings Planning Commission recommended that the City Council consider adopting a one‑year moratorium on new data centers to allow time for research and potential zoning changes. John, a staff member, told commissioners the pause would give the city an opportunity "to review ordinances and regulations pertaining to the use itself" and study impacts before any applications arrive.

Commissioners raised questions about what a moratorium could legally regulate and what it should cover. Commissioner Moss asked whether the pause would be used to draft specific code language and sought clarity on when public hearings and public comment would be available; John replied that zoning code amendments would require a public hearing before the planning commission and that council consideration typically follows a first and second reading. Commissioners discussed whether the ordinance should define "data center" narrowly or encompass other future land uses that place similar demands on infrastructure, and whether small or accessory data capacity (for example in office settings) should be exempted.

Several commissioners urged staff to gather empirical data from jurisdictions with existing data centers to assess real water and electricity use and other community impacts. John noted the city currently has no pending applications for data centers and that a moratorium would be proactive: "What a moratorium does is it's a pause on the consideration of new applications of permits, usually for up to 1 year," he said. The commission moved to recommend council consideration of a one‑year moratorium; Commissioner DePalma made the motion and Commissioner Montgomery seconded. The Chair announced the motion carries following a voice vote.

John said the moratorium ordinance will be scheduled for the City Council's first reading on August 3 and for second reading and final adoption on August 17. The commission asked staff to pass along discussion points related to definitions, size thresholds, what zoning can and cannot regulate (for example, water use vs. electricity demand), and examples of best practices from other communities.