Council further restricts data centers by closing 'loophole' in Missoula city code
The Missoula City Council voted 10-2 to close a zoning loophole that allowed data center equipment to be classified as a secondary use in office buildings. Some councilors and residents want stronger restrictions, including a temporary moratorium, while the city considers broader data center regulations ahead of potential state action in 2027.
The Missoula City Council approved changes to the city’s Unified Development Code that regulate data center equipment by its function rather than the percentage of building space it occupies. The 10-2 vote closes a loophole that could have allowed developers to operate data centers as a secondary use in office buildings without seeking a rezoning; the changes take effect in 30 days.
The amendment followed CubCloud’s proposal for a small research-oriented data center and comes as officials consider how to manage demand for future facilities. Councilor Kristen Jordan, City Attorney Ryan Sudbury and members of the public called for a temporary moratorium similar to one adopted by Missoula County, citing potential infrastructure and environmental effects. Jordan plans to introduce a moratorium proposal, while the city’s current rules generally require a rezoning to heavy industrial, a designation not currently assigned to any city parcel.