Council Bluffs council denies proposed moratorium on new data centers
The Council Bluffs City Council unanimously rejected a proposed year-long moratorium on new data center projects. Mayor Jill Shudak had requested the pause to review city regulations and address concerns about water and sewer capacity. Council members cited economic impact concerns and preferred a case-by-case negotiation approach for developers.
The Council Bluffs City Council unanimously rejected a proposed year-long moratorium on new data center projects within city limits during a special meeting. Mayor Jill Shudak had requested the temporary halt to allow city staff more time to review existing regulations and zoning requirements, which date back to 2007, and to develop a comprehensive ordinance for data center development. Shudak emphasized that the moratorium would only affect future projects, not those currently underway, citing concerns about the city's capacity for water and sewer infrastructure.
Council members, including Douglas Rew, expressed apprehension about the potential negative economic impact of a moratorium, arguing it could signal to developers that Council Bluffs is "closed off" for business. Public Works Director Matt Cox supported the need for a more uniform approach to data center projects, noting that city staff often face "aggressive timelines" and that large data center projects can consume as much wastewater as 4,000 residential homes, pushing the city's Missouri River-fed water system to capacity.
Despite these concerns, council members felt that issues related to infrastructure capacity, potential city costs if a data center were to leave, and environmental mitigation could be addressed through existing negotiation processes and a "case-by-case" review of future proposals. Councilman Roger Sandau suggested these points should be explicitly part of negotiations with developers.
Ultimately, the council agreed that developing a wastewater management plan, estimated to cost $200 million to $300 million for a new treatment plant, would be a better next step than a moratorium. Four members of the public spoke, including Ron Kaminski of the Nebraska and Southwestern Iowa Building and Construction Trades Council, who opposed the moratorium due to job creation, and resident Roger Williams, who supported it, citing damage to his home from data center construction vibrations.