Purpose

• The bill adds a new rule to Minnesota law to restrict where enterprise data centers can be built. It aims to prevent enterprise data centers from being developed in most zoning districts and to allow them only as a conditional use in industrial districts. This is intended to guide local zoning decisions and control the siting of large-scale data facilities.

Main Provisions

• Key definitions

  • Enterprise data center: a facility (one or more buildings on a single parcel or contiguous parcels) larger than 800,000 square feet that mainly stores, manages, or processes digital data.
  • Enterprise information technology equipment: computers and related gear for computing, networking, or data storage, including cabling, racking, cooling and temperature control systems, power infrastructure, substations, backup power, battery systems, and related infra.
  • Industrial district: an area defined by a municipality to allow manufacturing facilities.
  • Manufacturing facilities: facilities used for manufacturing, processing, packaging, treatment, or assembly of products and materials, with a broad list of examples and potential emissions (noise, odor, dust, etc.) that could extend beyond the lot.

• Siting restriction

  • A municipality must not allow the development of an enterprise data center in any zoning district, with limited exceptions.

• Exception/conditional use

  • A municipality may allow an enterprise data center as a conditional use, but only in an industrial district.

• Relationship to existing uses

  • The broad definition of manufacturing facilities and the designation of industrial districts interact with where data centers could be placed, particularly in terms of allowable or conditional uses within those districts.

Significant Changes to Existing Law

• New statutory provision: The bill adds a new section (462.3655) to Minnesota Statutes, creating the concept of an enterprise data center and setting out how and where it may be sited.
• Siting rule across districts: It changes siting rules by prohibiting enterprise data centers in all zoning districts except as a conditional use in industrial districts.
• Expanded definitions: It introduces explicit definitions for enterprise data centers and enterprise information technology equipment, along with detailed terms for industrial districts and manufacturing facilities, which shape how local zoning can regulate these facilities.

Implications to Consider

• Local government impact: Cities and counties would need to adjust zoning and land-use plans to ensure enterprise data centers are only permitted as conditional uses in industrial districts, or not allowed at all in other districts.
• Size and scope: The 800,000 square foot threshold makes this rule apply mainly to very large facilities, affecting how developers plan large-scale data centers.
• Economic development: The change may influence where data-center-related investments occur and could affect potential incentives or siting strategies.

Relevant Terms enterprise data center enterprise information technology equipment industrial district manufacturing facilities zoning district conditional use Minnesota Statutes Chapter 462 data center siting square feet (800,000) cabling racking systems cooling systems power infrastructure substations backup power generation battery systems large-scale data facilities