===== PAGE 1 ===== Hubbell Environmental Law Initiative and Tippie College of Business Social Impact Community Considering Data Center Development in Iowa A Practical Discussion for County Supervisors August 20th, 2026. Iowa State Association of Counties Conference ===== PAGE 2 ===== ## ROADMAP Round 1: Siting and Zoning Round 3: Energy and Water Case Study 1: Charlie Nichols Case Study 3: Roy Hesemann and James Martin-Schramm ===== PAGE 3 ===== ## Siting and Zoning - Are appropriate zoning ordinances in place that address data centers (e.g., definition/category, noise, lighting, size, energy generation, waste heat, waste and materials)? - Do current ordinances treat multiple buildings/phases under common control as one campus? Are thresholds based on building size, megawatts, water demand, backup generation, or other measurable impacts? - Are special permits for data centers appropriate or already in place?

===== PAGE 4 ===== ## Siting and Zoning • Have objective, use-specific standards (i.e. caps on sound at the property line) been considered? - Are measurable performance standards embedded in code such as noise limits, lighting standards, setbacks from sensitive receptors, emergency access, hazardous materials, stormwater, construction hours, and periodic post-construction testing/reporting?

===== PAGE 5 ===== ## Siting and Zoning • Does the code or ordinance require review of off-site power infrastructure or supporting utility (gas pipeline and/or high voltage transmission) upgrades that will affect environmental impact, and long-term capacity? - Have impacts to adjacent properties and households been considered? ## CASE STUDY

===== PAGE 6 ===== ## Linn County, Iowa – Key Energy and Data Center Sites

===== PAGE 7 ===== ## Data Centers Are Their Own Land Use Do not force a hyperscale campus into office, warehouse, or generic industrial categories. POWER USE continuous large load MW scale + phasing ## Traditional zoning buckets miss the operational profile COOLING mechanical yards water / air / closed-loop ## POWER GENERATION backup or temporary generators / BESS / islanded generation CAMPUS SCALE multi-building buildout over several years Planning lesson: Define data centers separately, then decide scale tiers, approval path, and required information before the first application arrives. ===== PAGE 8 ===== ## Regulate the Campus, Not Just the Building A per-building threshold can miss the cumulative impact of phased hyperscale development. Two examples of ways to measure scale Fairfax County, Virginia Measures gross floor area per building. 40,000 SF in C-3/C-4 80,000 SF in I-2/I-3/I-4 Above threshold → Special Exception

building A tested separately VS. Linn County, Iowa Measures cumulative campus impacts. All related buildings and phases are counted together. > 20 MW electrical design capacity OR > 50 gpm annualized water use

phase 1 phase 3 Takeaway A campus-level rule prevents a multi-building project from being reviewed as a series of smaller, disconnected approvals. ===== PAGE 9 ===== ## Decide on Approval Pathway ## APPROVED

## By Right

• Fastest approvals and greatest certainty for applicants • Least flexibility to address site-specific impacts • Works best in carefully chosen areas

## Conditional/Special Use Permit • Allows case-by-case review of local impacts • More flexibility, but less predictability for applicants • Decisions can become political and inconsistent

DATA CENTER DISTRICT

## Dedicated Zoning or Overlay District • Tailors standards to data center-specific impacts • Most proactive and comprehensive planning approach • Takes more time and effort upfront ## Loudoun County Example: how the approach evolved Before 2014 OFFICE USE

2014 SEPARATE USE

2025 SPEX REVIEW ## How you define the use determines where it belongs and whether it should be reviewed by right or case by case ===== PAGE 10 ===== ## Turn Concerns Into Measurable Standards The zoning role is to convert public concerns into reviewable requirements.

Concern		Zoning Tool
NOISE	→	dBA + dBC limits; receiving-property standard; pre/post testing; generator testing limits
VISUALS	→	setbacks from sensitive receptors; landscaped buffers; façade/equipment screening standards
CONSTRUCTION	→	traffic management plan; haul routes; hours; road-use agreement; temporary laydown permits
SCALE + PHASING	→	campus master plan; full buildout assumptions; phase triggers; related buildings counted together
INFRASTRUCTURE	→	utility coordination letters; power/water disclosure; emergency access; off-site impacts identified early

Good standards are objective enough to administer and specific enough to address the actual impact. ===== PAGE 11 ===== ## Water Transparency and Utility Coordination Zoning cannot regulate the water system, but it can make the applicant, utility, and regulators answer the public's questions before approval. PUBLIC QUESTION

How much? Where from? What happens in a drought? APPLICANT DISCLOSURE

Require use estimate, source identification, cooling method

UTILITY + REGULATOR CHECK

3 Capacity confirmation, Permit path, Contingency plan

ZONING DECISION

Conditions, Phasing, Monitoring / reporting Zoning usually cannot allocate water rights, set rates, or manage regional supply. It can require transparent, reviewable information. ===== PAGE 12 ===== ## Case Study: Water Transparency Prince William County, Virginia — the emerging “water usage study” model WATER USAGE STUDY submitted before rezoning or site- plan approval

Demand average + peak usage Cooling design water-based, air, closed-loop Source potable / non-potable / reuse Management recirculation, efficiency, drought response Utility review review + acceptance by water utility Planning lesson: Make water demand visible, technical, and reviewable before approval. ===== PAGE 13 ===== ## Construction Impacts Don't Stop at the Zoning Boundary A project approved in one jurisdiction can create road, traffic and temporary-use impacts in another. LAND-USE APPROVAL City approves campus

CONSTRUCTION ROUTE Trucks, dewatering, staging COUNTY IMPACT Roads + permits + coordination

Regulatory response before construction begins Baseline road conditions Approved haul routes Repair obligations One coordination contact Key lesson: construction-management standards should follow the route, not just the zoning boundary.

===== PAGE 14 ===== ## Lessons Learned: Four Decisions Before the First Application A good ordinance can turn a high-pressure project into a predictable public review.

Final message: build the rules before the project. ___ ===== PAGE 15 ===== ## Siting and Zoning: Table Discussion Has your county received interest from data center developers, or do you anticipate it? Are your zoning regulations and comprehensive plan prepared for potential data center developments? What data center siting or land-use questions concern your county the most? ===== PAGE 16 ===== ## Community Considerations When and how do you plan to engage with residents to assess their perspectives about data center development in the jurisdiction? How will community perspectives be assessed and weighed (e.g., what if surveys and public comment indicate most residents do not favor development)? - Could any public infrastructure or utility upgrades, special rates, discounted service, TIF, tax abatement, or other incentives offered to the developer/applicant shift costs or risk to existing residents, businesses, or taxing entities?

===== PAGE 17 ===== ## Community Considerations If already engaging with a developer: - Has the community established a proposed public-facing project timeline showing key meetings, required approvals, and when residents will have meaningful opportunities to review information before any final vote? In agreements, is confidentiality narrowly tailored, time-limited, ensures responses to requests in a timely fashion, and structured so that the public receives meaningful information before elected officials make final land use, utility, or incentive decisions? - Has the developer shared projections about impacts to residential water and energy rates? ## CASE STUDY

===== PAGE 18 ===== ## Community Considerations: four decision-process tools The goal is to make benefits, risks, confidential claims, and participation points visible before the vote. ## Build the process before the pressure 1

## Moratoriums Create time to plan A temporary planning window can preserve the status quo while the community studies, engages, regulates, and reopens the process. 2 3 4 ## Property taxes ## Understand the value New construction can create major fiscal capacity, especially when existing revenue growth is capped. ## NDAs Keep law in control Confidentiality can protect true trade secrets, but Chapter 22 determines what may legally remain confidential. ## Transparency ## Show the record Put documents, timelines, meeting dates, comment options, and updates where residents can find them. ===== PAGE 19 ===== ## Community Consideration: Moratoriums Community trust depends on whether the public process can answer the questions that arrive with the project.

Do our current regulations adequately address the relevant questions? Sometimes the issue is not whether the project is good or bad. The issue is whether the existing planning framework is capable of answering the questions in public, on a record, before a vote. ===== PAGE 20 ===== ## What Is a Moratorium For? Iowa case law supports the idea of a temporary pause as a planning bridge, not the final policy or permanent ban. ## PRESERVE Hold the status quo while the community determines whether existing rules are adequate.

## STUDY Gather facts, involve affected stakeholders, coordinate agencies and identify regulatory gaps.

## REGULATE Translate the planning work into permanent standards, procedures and decision criteria. ## Geisler: preserve the status quo The Iowa Supreme Court recognized interim development controls as useful for preserving the status quo while a local government performs its planning function and develops permanent regulations. ## Worthwhile Wind: build the framework A county may respond to a proposed large-scale land use by adopting a temporary moratorium and new rules when no adequate regulatory framework exists; awareness of the project alone is not bad faith. A moratorium is the bridge between realizing the rules are not ready and adopting the rules the community actually needs. ===== PAGE 21 ===== ## Anatomy of a Well-Structured Moratorium A practical design framework for supervisors and staff. ## 1 ## Defined purpose What regulatory gap or public-welfare concern requires study? ## 2 ## Defined scope What category of development is paused—and what is not? ## 3 ## Defined time What is the sunset or end date? ## 4 ## Work plan What studies, engagement, coordination and drafting will happen? ## 5 ## Public record How is the pause tied to health, safety, welfare and planning needs? ## 6 ## Clear exit What permanent framework or decision will reopen the process? ## Caution line from the cases: Do not use a pause to illegally delay or defeat a properly submitted, conforming application. The defensible purpose is to create an adequate planning and regulatory framework. ===== PAGE 22 ===== ## The Goal Is a Better Decision The measure of a moratorium is the framework that exists when the pause ends. ## BEFORE Pressure to decide with: Incomplete information Unclear standards Reactive public debate Agency questions unresolved Project-specific negotiations

PLANNING WINDOW

pause study engage regulate reopen AFTER Robust decision framework: Required information Measurable standards Agencies identified Public engagement Predictable process Defined community priorities The goal is not to delay the decision. The goal is to improve the decision. ===== PAGE 23 ===== ## Community Consideration: Property Taxes Primary local-government benefit: new taxable value — and under Iowa's revenue caps, new construction is fiscal capacity. ## One 280,000 SF building Estimated taxable value: 280,000 SF × $400/SF = $112M #### $2.49M-$3.24M gross property taxes / year before TIF, abatement, exemption, or incentive terms Unincorporated $2.49M/yr Incorporated $3.24M/yr ## If six buildings are built $15M-$19M ## per year from one campus, before incentive-specific terms That scale explains why tax-base questions belong in the community-benefit discussion. ## Why new construction matters now 1 ## Existing base is capped Most general levy growth is roughly limited to 2%. 2 ## New growth is the engine New valuation/construction remains outside the cap. 3 No growth means pressure If costs rise faster than 2%, service capacity shrinks over time. ## Where one incorporated building tax dollar goes Schools 1.37M < div style = "text-align: center;" > < img src = "imgs/imginimagebox188168230091931.jpg" alt = "Image" width = "85%" / > < /div > City1.08M Schools $1.37M City $1.08M Linn County $0.61M Linn County $0.61M Kirkwood $0.14M Other $0.03M ### $3.24M/year gross tax estimate for one 280,000 SF building ## Takeaway Tax value is a major public benefit — but it should be clear, public, durable, and not traded away without a defined return. ===== PAGE 24 ===== ## Community Consideration: Non-Disclosure Agreements (NDAs) Confidentiality may protect true trade secrets — but lowa open-records law determines what can legally remain confidential. ## A developer's preference for confidentiality is not the same thing as a legal exemption from disclosure The community should know the assumptions behind the public decision: timeline, scale, water, power, roads, taxes, and enforceable obligations. ## A practical confidentiality protocol ## 1 ## Do not assume an NDA is required Communities can ask why confidentiality is needed and limit it to specific information. ## 2 Require written justification ## Chapter 22 controls Applicant identifies the exact information and provides the Iowa Code §22.7 basis at submittal. ## 3 The NDA can set notice/process, but confidentiality exists only if Iowa law allows it. ## 4 Keep public summaries public Non-confidential versions should explain the key facts needed for zoning and community decisions. ## Linn County ordinance model 1 Applicant marks specific information claimed as confidential at submittal. 2 Applicant provides a written legal basis under Iowa Code §22.7. ## 3 County treats records under Chapter 22 – and may only keep records confidential when Chapter 22 allows it. ===== PAGE 25 ===== ## Community Consideration: Transparency and Public Communication Residents should not have to hunt for application materials, meeting dates, comment options, or the decision timeline. ## A strong project webpage answers four public questions ## 1 ## What is proposed? Application packet, maps, technical studies, staff reports. ## 2 ## Where is it in review? Process steps, meeting dates, status, voting points. ## 3 ## How can I participate? Comment form, public meetings, notification sign-up. ## 4 ## What changed? Updates, new documents, third-party reviews, revised plans. ## Same facts · visible timeline · clear participation points ## Linn County examples One public-facing page can organize both the record and the public process. ## EXAMPLE 1 • Application documents + staff report ## Coggon Solar project page - Review status table + meeting dates/videos • Construction checklist Open project webpage ## EXAMPLE 2 ## Morgan Valley Energy Center Application documents by topic • Review process + future meeting notices • Public comment link Open project webpage ===== PAGE 26 ===== # Community Considerations: Table Discussion What would your community hope to gain from data center development planning and policies? # What concerns do residents raise around data center development? How should local governments balance data center development opportunities with community priorities? ===== PAGE 27 ===== ## Potable Water & Wastewater - What is the source of water for the data center? - What amount of water will the data center need each day and each year (average day, maximum day, annual total, peak hours, and consumptive use versus water returned as wastewater or discharge)? • What is the cooling strategy?

===== PAGE 28 ===== ## Potable Water & Wastewater • What will the water be used for (drinking, industrial, non-potable)? How will water usage be reported? Would infrastructure be able to handle extra wastewater flow and the potential surge in flow to the system? • Have water recycling processes been considered?

===== PAGE 29 ===== ## Potable Water & Wastewater - What is the estimated start date of operation? - Have seasonal or drought conditions been considered to eliminate shortages for residents as well as the data center? - Would a higher water capacity be required for fire protection, which would require larger water infrastructure to the site (considering potential water utility impacts should they need to implement fire flow rates)?

===== PAGE 30 ===== ## Potable Water & Wastewater If already engaging with a developer: - Has a third-party regional water study or projection been undertaken that evaluates drought/low-flow conditions, competing users, utility capacity, and whether the proposed demand would affect service reliability for existing customers (ideally paid for by the developer/applicant)? - Does a utility service agreement include conservation, curtailment, monitoring, reporting, and emergency/drought response provision?

===== PAGE 31 ===== ## Potable Water & Wastewater If already engaging with a developer: - Is the Iowa Department of Natural Resources involved in permitting, given the large volumes of water/wastewater? - What is the water/wastewater ramp-up schedule (usually beginning with lower demand during construction and ramping up each time a building is brought online)? ## CASE STUDY

===== PAGE 32 =====

## Providing Water Service Since 1875

===== PAGE 33 ===== ##### We all live upstream from someone else... One Water – Healthy Waterways • Safeguarding the Drinking Water Supply • Reducing the Risk of Flooding • Improving overall water quality

===== PAGE 34 ===== ## No Two Industries Are The Same • Closed Loop vs Evaporative Cooling vs Hybrid Cooling Systems Public System vs Wells/On-site Wastewater Treatment • Fire Protection (Water Quality in the Pipeline?) • Periodic Flushing Requirements • Everyone is Highly Regulated Most Utilities Using a “Pay to Play” Business Model Water Recycling • You Have to Grow A City To Grow A City ===== PAGE 35 ===== # Potable Water & Wastewater: Table Discussion Do you understand local current and future water capacity? What additional information is needed about water capacity planning as it relates to data centers? What water questions would you want answered before developing policies on data centers? ===== PAGE 36 ===== ## Energy - What are the sources of power available to the data center? What amount of energy might the data center require, including megawatts at peak load? • How will energy usage be reported? Will the data center use backup generation, temporary generation, on-site generation, or battery energy storage?

===== PAGE 37 ===== ## Energy • Has renewable energy procurement been considered? - What ordinances are in place that will oversee air quality emissions and noise associated with power sources? • Will the local distribution utility conduct a rate assessment/impact study?

===== PAGE 38 ===== ## Energy If already engaging with a developer: How many megawatts are needed, as well as transmission, substation, generation, battery or backup infrastructure and is the developer expecting to pay for those upgrades (which could affect costs or risks to other customers)? - What is the ramp-up schedule (e.g., phased by building/campus phase, whether transmission/substation upgrades are needed)?

===== PAGE 39 ===== ## Energy If already engaging with a developer: • How flexible or inflexible will the data center's power demand be? - Can the data center waste heat be reused? - Has a third-party energy study been considered (ideally paid for by the developer or applicant)?

CASE STUDY

===== PAGE 40 ===== ## Energy and Iowa Data Centers The Clean Energy Districts of Iowa (CEDI) is a non-profit corporation and an association of clean energy districts in Iowa. There are currently 14 legally incorporated energy districts located in Allamakee, Cerro Gordo, Clayton, Delaware, Des Moines, Dubuque, Howard, Jackson, Johnson, Linn, Muscatine, Polk, Tama, and Winneshiek County.

===== PAGE 41 ===== ## DATA CENTERS IN IOWA RESOURCE HUB UPDATED WEEKLY!

SCAN AND BOOKMARK! ===== PAGE 42 ===== ## CEDI Resource Hub Sections

INTRODUCTION
BENEFITS and COSTS
LINN COUNTY, IOWA \| A Case Study in Progress
ROLE of the IOWA UTILITIES COMMISSION
RESOURCES for CONCERNED CITIZENS and LOCAL GOVERNMENTS
RESOURCES for IOWA LEGISLATORS	[F8]

===== PAGE 43 ===== ## Varying Sizes of Data Centers in Iowa

MW	Facility Type
1 - 30	Crypto-Currency Mining Operations
5 - 50	Small and Mid-Size Edge Data Processing and Storage
100 - 1,000	Large Hyperscalers Servicing Cloud Computing and AI Operations

===== PAGE 44 =====

3 GW IN CAPEX PLAN	~11% Retail Electric Sales Growth CAGR 2025-2031Demand expected to ramp up 2027-2031					NEW RESOURCES NEEDED TO MEET LOAD
Customer	ESA signed	ICR filed	ICR approved	Construction started	Load Ramp	2-4 GW	New signed ESA for 370 MW in lowa with full ramp by end of 2030, will be included in Q3 capex plan updateSecured generation to serve new load
QTS 1Cedar Rapids, IA	✓	✓	✓	✓	2026 - 2029
Google 1Cedar Rapids, IA	✓	✓	✓	✓	2026 - 2028		Mature opportunities with the start of load ramp expected in 2029 or later
MetaBeaver Dam, WI	✓	✓	✓	✓	2026 - 2027
QTS 2Clinton, Iowa	✓				2028 - 2031	Beyond 4 GW	Opportunities at various stages of explorationBeyond current planning period
~50% INCREASE IN PROJECTED DEMANDby 2031 (from 2025 base of ~5.5 GW max demand)						UNLOCKING THE POTENTIAL OF CUSTOMERSAND COMMUNITIES

## Hyperscale Facilities Have Huge Power Demands ===== PAGE 45 ===== ## Huge Demand Requires More Generation Is your county interested in hosting data centers? If so, to what extent is your county willing to host new electricity generation facilities to power data centers in your county or other lowa counties? Wind, solar, and/or energy storage - Coal or natural gas Nuclear power ===== PAGE 46 ===== ## Siting Restrictions Can Raise Complex Issues On the one hand, counties can impose varying restrictions via ordinances to discourage certain types of generation facilities. On the other hand, the Iowa Utilities Commission (IUC) is charged by law with the task of issuing a Certificate of Public Convenience, Use and Necessity for new generation facilities. - Does your county have the resources to intervene in these IUC dockets to support or oppose these new facilities? - Does your county have the resources to challenge IUC decisions in court? ===== PAGE 47 ===== ## Protecting Constituents is Important ## Fuel Costs - What is the best way to protect ratepayers in your county from higher utility bills due to increased demand for natural gas? Generation and Transmission Facility Cost Recovery - What is the best way to ensure that these costs are assigned to the new large loads requiring them? ## Air Quality What is the best way to protect citizens in your county from the air pollution arising from new generation facilities in your county or backup facilities at the data centers? ===== PAGE 48 ===== ## Energy: Table Discussion Do you understand current and future local energy capacity? What additional information is needed about energy capacity planning as it relates to data centers? What energy questions would you want answered before developing policies on data centers? ===== PAGE 49 ===== Hubbell Environmental Law Initiative and Tippie College of Business Social Impact Community IOWA Open Discussion: Audience Questions For more information about the Iowa Data Center Decision Tool, please contact Jennifer Terry, jennifer-terry@uiowa.edu Mae McDonough Program Coordinator Tippie College of Business mae-mcdonough@uiowa.edu Charlie Nichols Planning & Development Director Linn County charlie.nichols@linncountyiowa.gov Roy Hesemann Utilities Director City of Cedar Rapids r.hesemann@cedar-rapids.org Jim Martin-Schramm Senior Policy Analyst Clean Energy Districts of Iowa james.martin- schramm@cleanenergydistricts.org