Axios Colorado Springs

New report urges Colorado Springs to tighten rules on data centers

Colorado Springs should tighten its data center rules rather than halt new projects, a new independent report recommends.

Why it matters: Mayor Yemi Mobolade requested the study to chart a middle path through a contentious debate that's upending the city, as evidenced by the turmoil surrounding Project Taurus.

  • The nonprofit Romer Institute of Evidence-based Policy, which authored the report, argues a moratorium would just delay projects without generating substantive standards.

State of play: Colorado Springs owns its utilities, giving the city unusual leverage over development approvals and access to power and water, the report notes.

Zoom in: The study outlines 14 policy options for city planners to consider. Key proposals include:

  • New rules: Create a separate land-use category for data centers and revisit the 10-megawatt threshold that exempts smaller facilities from utility safeguards for large customers.

  • Neighborhood protections: Require independent noise studies, consider limits on low-frequency sound, and formalize when developers must assess water use.

  • Public input: Hold community forums and require public hearings for projects exceeding defined thresholds.

  • Project-specific rules: Set baseline requirements, then negotiate additional protections for individual developments.

  • Plan for the downside: Consider guarantees for abandoned facilities and a consistent way to measure projects' fiscal impacts.

The big picture: Mobolade's administration wants to break months of gridlock and establish a framework to protect ratepayers, water supplies and neighborhoods without shutting the door on development.

Yes, but: City Council must approve land-use changes and utility safeguards, given its role in overseeing Colorado Springs Utilities.

  • No future date is set to consider the planning department's development code recommendations.

  • The current moratorium ends April 13, one week after the municipal election.

The bottom line: The next test is whether City Hall can turn its promises into enforceable rules before a new data center sparks another neighborhood showdown.

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