Custer County Planning Commission advances data center regulations toward public hearing
The Custer County Planning Commission unanimously advanced proposed data center regulations to a public hearing, building on a six-month moratorium. The draft regulations address facility size, location, water use, cooling systems, noise, electrical demand, and emergency response. Key proposals include requiring direct-to-chip or closed-loop liquid cooling, prohibiting air-cooled systems, and establishing setbacks based on electrical demand.
The Custer County Planning Commission has unanimously voted to advance a proposed set of regulations for data centers to a public hearing next month, building upon a six-month moratorium on such facilities. During a recent meeting, commission members made several changes to the working draft, which covers critical aspects such as facility size and location, water usage, cooling systems, noise, electrical demand, emergency response, security, and decommissioning plans.
A significant change includes the requirement for all data centers to utilize either direct-to-chip liquid cooling or a closed-loop liquid cooling system. The proposed rules would prohibit cooling systems that use municipal or groundwater and consume more than 50 gallons per minute under normal operating conditions. Air-cooled systems are also banned due to noise concerns, and continuous wastewater discharge from normal operations is forbidden. The draft further categorizes facilities by electrical demand, proposing increased setback distances from residential dwellings and public uses for larger data centers, ranging from a quarter-mile for small facilities to three miles for large ones. Custer County Emergency Manager Mark Rempe also provided input, leading to an increase in vegetation setback distance to 300 feet to enhance safety for emergency responders. Additionally, data center operators would be required to provide necessary fire suppression and hazardous materials response equipment at no cost to local agencies.
Regarding backup power, battery energy storage systems are prohibited, but non-battery systems like diesel or natural gas generators are permitted if they meet noise, air quality, safety, and operational requirements. The commission also discussed ensuring financial assurance for decommissioning, possibly through escrow accounts or surety bonds, and clarified that conditional use permits would remain with the property rather than the developer. The public hearing for these regulations is scheduled for September 23.