Madison plan commission backs 12‑month moratorium on new large data‑center zoning approvals

The Madison Plan Commission on Jan. 12 unanimously recommended that the Common Council adopt a temporary moratorium — up to 12 months — on the consideration or issuance of zoning certificates for data centers and telecommunication centers when those uses are the primary or principal use of a property and exceed 10,000 square feet.

City planning director Megan Peddle told commissioners the moratorium (Legistar 91135) is meant as a short‑term planning tool to give city staff time to research how the industry has evolved, coordinate with regional partners and draft permanent zoning definitions and standards. "This moratorium is intended as a planning tool so that the city can develop and adopt appropriate regulations and definitions for data center land uses," Peddle said.

The item drew one live public speaker: David Aguayo of the Greater Madison Chamber of Commerce, who testified in opposition and urged the commission to refer the proposal to the Economic Development Committee. "Moratoriums by nature are blunt instruments that shut the door on any investment opportunity," Aguayo said, calling a one‑year moratorium "an unreasonable amount of time to close the door on potential investment opportunities." Staff replied the moratorium would not affect existing facilities or data operations that are accessory to other primary uses and that the moratorium could end sooner if a replacement ordinance is adopted earlier.

Commissioners asked staff about legal limits and coordination with regional bodies. Administrator Bannon warned there is always a possibility the state could preempt local regulation for particular topics, and staff said they will examine statutory constraints during the moratorium. Deputy Mayor Baumel confirmed city staff intend to coordinate with a recently formed Dane County committee studying regional data‑center issues.

City staff and the commission emphasized the moratorium’s narrow scope: it would prohibit issuance of new zoning approvals (zoning certificates) for primary data/telecommunication centers larger than 10,000 square feet, while accessory data uses and facilities under the threshold would remain reviewable through existing zoning procedures. Staff said they are aware of at least one existing facility that meets the size threshold and that the city has not been tracking the use comprehensively.

Commissioner Heck moved and Alder Glenn seconded the commission’s recommendation to council. After discussion about the need for public engagement and time to craft durable code language, the commission recorded the item as passed unanimously and will forward the recommended ordinance to the Common Council for consideration.

The Council will determine a final effective date and any amendments; staff said the moratorium could be lifted sooner if a permanent ordinance is adopted before the 12‑month outer limit.