Clay County discusses potential data center

Clay County discusses potential data center

News ClipThe Volante·Vermillion, Clay County, SD·9/4/2026

Clay County and Vermillion, South Dakota, are discussing potential data center development amidst significant community opposition. The Vermillion Planning and Zoning Commission is proposing amendments to zoning regulations, while residents voice concerns about noise, light, water, and power usage. This comes as Yankton County previously enacted a moratorium to study impacts.

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Gov: Vermillion Planning and Zoning Commission, Clay County, Yankton County, South Dakota House, City Council Chambers, County Commissioners, City Council members

The Vermillion Planning and Zoning Commission in South Dakota reconvened on Monday, August 31, to propose amendments to Zoning Regulations for data centers. These discussions are part of ongoing conversations across the Midwest with data center developers, some of whom are considering potential construction in Clay County.

Community members, including organizer Caitlin Collier and South Dakota House candidate Austin Brunick, have expressed strong opposition to a data center in the Vermillion area. Concerns center on light and noise pollution, significant water and power consumption, potential increases in utility costs for everyday citizens, and the impact on housing affordability for students and families.

Local sentiment, as observed at city and county governmental meetings and a public forum, indicates that residents across demographic lines do not want a data center. While property taxes could be an incentive for rural areas, South Dakota currently lacks specific tax incentives for data centers. Yankton County, a neighboring area, recently passed a six-month moratorium to review environmental and economic impacts related to data center zoning.

Students are encouraged to register as South Dakota voters to voice their perspectives in upcoming elections and to contact their County Commissioners and City Council members. The next meeting to evaluate the proposed ordinances is scheduled for September 14.