Lincoln County and Sioux Falls City Council reject proposed data center moratorium

Lincoln County and Sioux Falls City Council reject proposed data center moratorium

News ClipKELOLAND.com·Canton, Lincoln County, SD·8/25/2026

Lincoln County commissioners and Sioux Falls City Council members held a joint meeting in Canton, South Dakota, to vote on a one-year moratorium on data center construction. The motion for the moratorium failed, despite public opposition expressed at the meeting. However, the bodies agreed to hold an informational meeting in October to further discuss data centers and potential ordinances.

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Gov: Lincoln County, Sioux Falls City Council

Lincoln County commissioners and Sioux Falls City Council members convened in Canton, South Dakota, for a joint meeting to address ongoing discussions about proposed data centers. The primary focus was a vote on a one-year moratorium on the construction of large data centers within the joint jurisdictional area of Sioux Falls and Lincoln County. Commissioner Joel Arends, who had advocated for the moratorium and a ban on non-disclosure agreements in development, spoke to KELOLAND News prior to the meeting.

Despite a strong showing of public interest and vocal support for the moratorium, the motion ultimately failed. Following the vote, Commissioner Arends proposed an informational meeting aimed at increasing understanding of data centers among officials and the community. This proposal was accepted, and the meeting is scheduled for October 27th in Lincoln County.

Public commenters at the meeting passionately urged officials to pass the moratorium and suggested the creation of a public advisory board to assist in drafting future ordinances. While the moratorium was rejected, the agreement for a subsequent informational meeting indicates a willingness among the county and city officials to continue engaging with the community on the issue.