Data centers have become a controversial topic in communities nationwide. In Wisconsin, places like Port Washington and Mount Pleasant are examples of how residents and elected officials have grappled with welcoming data centers.
Now, Milwaukee officials are considering how to regulate and limit data center developments. The Common Council is set to consider legislation that would pause data center projects for one year, or until the zoning code is amended.
A possible one-year pause
District 14 Ald. Marina Dimitrijevic is leading the push for a one-year data center moratorium. Other sponsors for the ordinance include Ald. Alex Brower, Ald. Russell Stamper II, Ald. Robert Bauman and Ald. Sharlen Moore.
At a July meeting, Dimitrijevic said the legislation is not intended to halt innovation or investment.
"What we’re trying to do throughout this pause and legislation is to really center people," she said.
Hours-long public comments at meetings have fueled the data center debate, especially for large hyperscale, or AI data centers, like the $15 billion Vantage facility in Port Washington.
With big tech companies like Microsoft and Meta moving fast to build these sites, other municipalities in Wisconsin, including Madison, La Crosse and Dane County, have already adopted moratoriums.
Dimitrijevic explained why she’s proposing a pause in data center development at the July meeting.
"What happens in local government when the economy moves so quickly — and some of this may be hard for all of us to hear — is that we’re not at our best," she said.
Public debate
At a September City Plan Commission meeting, Dimitrijevic said there are no data center-related protections in Milwaukee's current zoning code.
"Meaning that someone could come, and there would be little space for a public debate or even a public conversation or vote," said Dimitrijevic. "That is not when government is working for the people."
Public feedback at the meeting lasted over 90 minutes. While most speakers supported the moratorium, others, like Joel Roberts, were against it.
"When you strangle new development, when you strangle the ability to build new things, you strangle people like me," Roberts said.
Roberts is a UW-Milwaukee grad and founder of Shepherd Traffic — a company that uses AI to capture traffic data. Roberts explained why he supports AI and the data centers that power it.
"We’re computer vision experts now," he said. "We have no professional or academic training. We’ve just been able to learn because I have Aristotle at my fingertips. All the expertise is locked away in academia, universities and companies I can’t get into, let alone afford."
In contrast to Roberts, those in support of the moratorium, like Ryan Brooks, shared concerns about data centers. Their concerns include environmental impacts, rising utility costs and a dislike for AI-generated content.
"This is going to be a little bit of a shock," Brooks said at the meeting. "I work at a data center and I am supportive of this proposed legislation."
Brooks is the general manager at Data Holdings in Milwaukee. It’s a non-hyperscale, 46,000-square-foot facility just east of Miller Valley on Highland Boulevard. Potawatomi Ventures owns Data Holdings.
Brooks said the proposed legislation is thoughtful. He cited the moratorium’s focus on efficient land use, resource management and neighborhood compatibility.
"We found that the proposed legislation was very much aligned with what is important to the tribes," he said. "If you have one group of people who do care about people and the environment over profit, it is a tribal organization."
The proposed ordinance would prohibit data centers in most zoning districts. It would allow limited-use approvals for data centers smaller than 20,000 square feet and special-use approvals for data centers up to 60,000 square feet. The ordinance would ban proposals larger than 60,000 square feet.
The Common Council will take a final vote on the moratorium at a future meeting.
