For now, New Castle Twp. ordinance has kept data center development at bay
New Castle Township, Pennsylvania, enacted a new zoning ordinance for data centers after KRNL Data Centers expressed interest in an 89-acre development. The ordinance imposes setbacks, height limits, noise restrictions, and mandates closed-loop water systems. While the new rules have made KRNL's initial plans non-viable and led to verbal threats of litigation, residents from neighboring townships are pushing for even stronger protections, particularly larger setbacks.
KRNL Data Centers purchased 89 acres in New Castle Township, Pennsylvania, last September with plans for a data center campus. The proposal, which involved changing the land's conservation zoning, initially interested township officials due to promises of equipment donations and tax revenue benefits. However, concerns about potential legal action under existing zoning prompted the township solicitor to advise a temporary development freeze.
In May, the New Castle Township Board, with Supervisors Todd and Karen Geiger voting yes and Michael Tobin abstaining, passed a new zoning ordinance. This ordinance mandates a 200-foot setback from property lines, caps building heights at 80 feet, restricts nighttime noise to 55 decibels, and requires developers to use closed-loop water systems and fund all necessary environmental, legal, and engineering reviews, including Pennsylvania Department of Environmental Protection permit applications.
Despite the new ordinance, residents from neighboring Frackville and Butler Township, led by concerned homeowner Bernie Karpovich and groups like Save Frackville, have voiced opposition to the 200-foot setback, arguing for a 1,000-foot requirement. They believe the current ordinance offers insufficient protection for residential areas and highlights the disproportionate infrastructure burden on surrounding municipalities that would not benefit financially. Schuylkill County officials, however, reiterated their inability to intervene in township-level zoning matters.
Township Secretary Kim Lutzkanin noted that the new ordinance has effectively halted KRNL's original development plans, leading the developer to verbally threaten litigation, though no official court paperwork has been served. Lutzkanin stated that amending the ordinance again for wider setbacks would incur significant costs for taxpayers, and the township is legally barred from another development freeze until 2029. KRNL has not yet submitted a revised land-use application, and residents continue to monitor the situation.