Why Linn County passed a data center ordinance

Sami Scheetz is a Linn County supervisor.

Across Linn County, I keep hearing the same question: What’s in it for us?

As massive data center projects are proposed across Iowa, residents are rightly asking why communities should shoulder resource-intensive development while trillion-dollar corporations generate enormous profits. It’s a fair question — and one the Linn County Board of Supervisors has taken seriously.

Last month, the board voted unanimously to finalize our data center ordinance after three readings, multiple public hearings, and weeks of community input. More than 100 residents attended our first reading in Palo, and their feedback directly shaped the final product. This is likely the most comprehensive data center ordinance a local government has adopted in Iowa.

We spent months developing this ordinance with a clear priority: protecting our natural resources, especially water. I grew up swimming at Pleasant Creek State Park near Palo, and those memories remind me that water isn’t just an economic resource — it’s part of what makes Linn County home. Our staff researched what happened in communities that moved too quickly — places where utility rates spiked, private wells ran dry, and infrastructure struggled to keep pace. Those lessons shaped every provision in this ordinance.

Under the ordinance, no large-scale data center can move forward in unincorporated Linn County without first proving sufficient water resources exist through an independent study. Companies must enter binding Water Use Agreements with the County — including coordination with the Iowa DNR on permitting, well interference, and monitoring — for the life of the facility. The ordinance also addresses noise, setbacks, lighting, emergency response, road impacts, waste management, and protections for neighboring property owners.

Based on community feedback, we added a mandatory pre-application public meeting so residents can engage with developers before any application is even submitted. Every project must also include an Economic Development Agreement and a community betterment fund — ensuring corporations provide tangible, long-term value in return.

Even with these safeguards, some residents ask whether these projects are worth pursuing at all. We are pro-growth and pro-community — and this ordinance proves you don’t have to choose between the two.

Large data center campuses bring thousands of union construction jobs over five, ten, or even fifteen years. These are careers that allow a high school graduate in Linn County to walk into a union apprenticeship and earn wages that support a family and build a future right here in Eastern Iowa. Projects like these create a pipeline of good-paying careers and can change the trajectory of families for generations. Beyond construction, these projects generate tax revenue and direct payments to local government — resources that matter more than ever as the state legislature continues to restrict local authority over property taxes.

But we are not willing to sell out at any cost. These are trillion-dollar companies. If they want to use Linn County’s land, water, and infrastructure to generate billions in profit, they must be real partners in our community. Microsoft’s recent announcement that it will no longer seek property tax incentives on future data center projects reflects a growing recognition that host communities deserve more. Local governments should be demanding meaningful commitments, not racing each other to the bottom.

We are also committed to transparency. Too many communities have seen massive deals negotiated behind closed doors. That is not how we operate. We held public hearings and amended the ordinance based on what we heard.

Our responsibility is to ensure growth happens on our terms — welcoming responsible development while protecting the people and resources of Linn County. That is exactly what this ordinance does.

About the Author(s)

Sami Scheetz

  • thousands of construction jobs for 10 or 15 years?

    what is the evidence for this, especially in relation to Iowa sites?
    One way to try and harness the AI/energy beast is:
    https://www.volts.wtf/p/for-data-centers-a-little-flexibility

  • How long will it be before the Republican-dominated Iowa Legislature...

    …decides that this is yet another area where the state is going to take over because some local governments care way too much about the environment? And human health?

    We’ve seen that over and over in Iowa’s recent past. As one example of many, Story County dared to try to deal with the problem of private rural septic systems that are not properly maintained and send partly-treated or raw human waste into waterways. Story County got slapped down via a new law. Apparently the owners of the thousands of literally-crappy often-old rural septic systems in Iowa have a sacred right to send their excrement into creeks and lakes. The Iowa Legislature believes that right must be defended.

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