Valparaiso council votes 6-1 for data center moratorium

The Valparaiso City Council voted 6-1 on its first reading to amend a proposed ordinance, seeking to implement a moratorium on data center developments within the city. A key aspect of the amendment, which passed unanimously, was the removal of the original two-year end date for the moratorium. Councilman Peter Anderson, R-5th, was the lone vote against making the moratorium indefinite, arguing that a temporary measure requires an end date.

Council President Ellen Kapitan, D-At-Large, explained that the goal behind the proposed moratorium is to allow the city sufficient time to educate itself on the rapidly evolving data center industry before rushing into permanent regulations. Council Member Robert Cotton, D-2nd, suggested removing the deadline to focus on solid debate rather than a ticking clock. Council Vice President Emilie Hunt, D-At-Large, supported the moratorium, noting the industry's rapid expansion.

Mayor Jon Costas advised sticking with the two-year deadline, emphasizing that prohibiting land use typically requires substantial supportive findings of fact. City Attorney Joe Svetanoff is reportedly researching the language for a potential complete ban on data centers. The Plan Commission is scheduled to hold a public hearing on August 4 and will then provide a recommendation to the City Council ahead of its August 10 meeting, when a second reading and final vote are expected.