EFFINGHAM — Effingham officials are trying to get ahead of the development of data centers and cryptocurrency mines within the city as they continue to address concerns over the impact those types of facilities could have on the area.
On Tuesday, the Effingham Plan Commission discussed an early draft of a proposed amendment to the city’s zoning ordinance that would regulate data centers and cryptocurrency mines by creating a special use permit for them.
Under the proposed amendment, cryptocurrency mines and data centers would only be permitted in the city’s NU Nonurban District, M-1 Light Industrial District or M-2 Heavy Industrial District.
“We don’t have any in the city of Effingham that I’m aware of at this point,” Effingham City Planner Greg Koester said during Tuesday’s commission meeting. “If there are, they’re very small scale, maybe even private in someone’s home, but this is more geared toward larger data centers, cryptocurrency mines.”
Requirements for the proposed special use permit include the assurance that any cryptocurrency mine or data center would not impact the value of nearby properties, adequate power supply capacity and noise pollution control.
“These types of uses typically have high-power use, high electrical rates for both the operation of the data center and for cooling the data center,” Koester said. “And, of course, with the cooling also comes fans that create noise.”
If the city approves the proposed regulations, any data centers or cryptocurrency mines would have to be located at least 100 feet from any residential district. If a center or mine is located within 1,500 feet of a residence, special use permit petitioners would have to demonstrate that they won’t violate noise regulations.
Additionally, petitioners would have to obtain a report from the electric utility company that would provide electricity for their proposed data centers or cryptocurrency mines to ensure their energy usage doesn’t strain the local power grid.
Koester noted that the proposed amendment doesn’t address solar use in conjunction with data centers or cryptocurrency mines. But Effingham City Attorney Tracy Willenborg said special use permits for solar uses could be combined with the special use permit for data centers and cryptocurrency, as well as any necessary rezoning requests.
“Unless they want it separate, I would think that you would want it for both,” Willenborg said regarding petitions for the proposed special use permit.
The Effingham City Council will discuss the proposed regulations during its next meeting on Feb. 20. City officials then plan to hold a public hearing regarding the matter during the Plan Commission’s March 12 meeting. Koester said the proposed regulations could possibly change before that time.
In other matters, the Plan Commission recommended the approval of a site plan for Auto Tecnico, an auto repair shop located at 1106 West Edgar Ave.
Koester updated Plan Commission members on the city’s new comprehensive plan, which he expects to be complete by the end of 2025.