Data center rules tighten across Hancock County

FINDLAY — A change in Washington Township's zoning rules could make it difficult for data centers to locate there, and other townships may follow suit despite a regional push to attract more of the facilities to Northwest Ohio. The Hancock Regional Planning Commission voted 12-0 in May to recommend approval of an amendment that would add data centers as a conditional use in the township's industrial districts and impose strict limits on their size, cooling systems and utility demands. The amendment would allow data centers in the I-1 and I-2 districts but set development standards addressing utility, environmental and neighborhood impacts. It includes minimum lot sizes and setbacks, limits on emergency generator operation, landscaping and screening requirements, and a maximum electrical capacity of 10 megawatts per site. Cooling systems would be restricted to air-cooled or closed-loop designs, and groundwater extraction would be prohibited. Anti-circumvention language is intended to prevent phased or subdivided projects from avoiding the rules. Definitions for "data center" and "data center campus" are added to clarify the scope of the regulation. The restrictions are designed to give the township broad discretion. HRPC Director Matt Cordonnier told the board the amendment "basically prevents anything other than a small data center from being able to come into the township." As a conditional use, he said, trustees would have greater oversight and the ability to deny proposals. Limiting the use to existing industrial districts also means property owners have no automatic right to a zoning change. "You cannot just prohibit a use that you don't want, but you can limit it and make it more difficult to happen," Cordonnier said. Washington Township began reviewing the amendment after being approached by the Regional Growth Partnership (RGP) in Toledo, which has been discussing potential sites across northwest Ohio. According to the minutes, a farmer has assembled 300 to 400 acres in the township, and the land's natural-gas line and proximity to Fostoria's water system make it a candidate for data center development. RGP has told local officials it wants northwest Ohio to have seven to 10 operations and has outlined both the advantages and drawbacks of hosting them, according to the minutes. RPG is a privately led economic-development organization serving 17 counties in northwest Ohio, including Hancock County. It works as the region's site-selection and business-attraction arm, helping companies evaluate locations, assemble land, navigate incentives and coordinate with state agencies. RGP is also the regional network partner for JobsOhio, managing project development, incentive packaging and site readiness efforts across the region. The group markets northwest Ohio to corporate clients, conducts confidential site searches, and promotes large-scale investment opportunities — including data centers — as part of its strategy to attract new jobs and capital to the region. Township officials also discussed the possibility of moratoriums. The minutes note a "gray area" over whether townships can legally impose them, but several have done so. Even if challenged, a moratorium could delay a project for a year while the issue is resolved in court. Other townships may consider similar restrictions. Marion Township representatives said they would be "very interested" in Washington Township's amendment once it is adopted, and Allen Township officials noted their zoning resolution predates the recent surge in data center proposals and may need to be revisited. Findlay is undertaking a similar review of its zoning code as it evaluates how large-scale computing facilities fit into the city's land-use framework. City council's Planning and Zoning Committee is considering a new I-3 industrial district tailored to data centers and other emerging technologies, with proposed rules addressing groundwater use, buffering, setbacks, utility impacts and long-term maintenance of detention ponds. Like Washington Township's proposal, Findlay's draft would require conditional use approval for any data center project and give the city enforcement authority if a facility exceeds its approved impacts. The city is also revisiting distance requirements, water-use limits and infrastructure considerations as part of a broader review prompted by a 12-month moratorium enacted in April. Officials say the pause gives the city time to study power demand, water use and neighborhood compatibility.