Possible amendments to Rapid City’s data center ordinance could prompt planned data center to pull out
Rapid City is considering amendments to a data center ordinance that would bar hyperscale data centers and give the city more oversight. A vote on these proposed changes has been delayed to November due to concerns about overregulation. The developer of an already planned data center, Sequitor Edge, has indicated they might withdraw if the amendments pass.
Rapid City's proposed amendments to its data center ordinance, which aim to prohibit hyperscale data centers and increase city oversight, have been met with significant concern. Community Development Director Vicki Fisher provided an update on the ordinance changes, which are currently scheduled for a vote in November after being delayed.
The proposed amendments have raised fears of overregulation and could impact the planned Sequitor Edge data center, located within the Black Hills Industrial Center. There are indications that Sequitor Edge may withdraw its project if the amendments are approved, underscoring the tension between regulatory desires and economic development.
The city's efforts to update the ordinance reflect a broader trend of municipalities seeking greater control over data center developments, particularly concerning their scale and potential impacts.