Temporary Data Center Moratorium

Inside of the Madison Common Council chamber

Moratorium Background

On January 13, 2026, the Common Council voted to approve a temporary moratorium on issuing zoning approvals for new data centers with a floor area larger than 10,000 square feet. The moratorium may last up to one year and only applies to data centers that are the principal or primary use of the property. 

Right now, Madison's zoning code does not include a definition or any specific standards or regulations for "data centers." The "telecommunications centers" use in the zoning code has historically covered this type of business in Madison but is outdated due to the evolving nature and range of data centers across the United States and Wisconsin. The moratorium allows City staff time to develop zoning and land use regulations for any potential future data centers. 


Draft Zoning Regulation Framework Public Information Meeting

The City of Madison's Department of Planning and Community and Economic Development will hold a public information meeting on Tuesday, October 27, 2026, to update community members on a draft framework for proposed zoning regulations for data centers within city limits. The meeting will include a Q&A portion after the staff presentation.

The meeting will be held virtually on Zoom beginning at 5:30pm. Registration will be required to receive a link to the meeting. 

The meeting will be recorded and added to this webpage so everyone in the community can access the information even if they are unable to attend the meeting.

Register to Attend


Draft Zoning Regulation Framework

On September 29, 2026, City staff presented the recommendations for a potential framework to the Plan Commission. 

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View Presentation Slides

These initial framework recommendations are based on months of research into the potential impacts of data centers, community concerns, and how other communities have regulated land use and zoning of data centers. 

These are not finalized proposals and more work and opportunities for public input will be done in the coming weeks and months before anything is introduced to the Common Council and other City Boards, Commissions, and Committees for their consideration.

This included discussions on this draft regulation framework by the October 19, 2026, meeting of the Sustainable Madison Committee and the October 21, 2026, meeting of the Business and Economic Resources Committee. Like the Public Information Meeting, these were only informational presentations, and no policy decisions were made.

There will be multiple opportunities for public comment at Board, Commission, and Committee meetings in the coming months once an ordinance is formally drafted and introduced in the coming months. A schedule for those meetings will not be determined until the proposed ordinance is formally introduced.

How would this zoning and land use framework define a data center?

For the purposes of this regulation framework, staff is defining a data center as:

"A facility used for the storage, management, processing, and transmission of digital data, which houses computer or network equipment, systems, servers, appliances and other associated components related to digital data operations."

What is included in this proposed zoning and land use regulation framework?

At this time, staff recommends the following, with more detail about additional regulations provided lower on this page:

  • Data centers larger than 100,000 square feet would not be allowed anywhere in the City of Madison.
  • A data center would only be allowed to be in a single building, and only one data center building will be allowed on a property. Data center “campuses" (multiple smaller data centers on one lot) will not be allowed.
  • Three data center types will be defined based on size, each with their own specific additional zoning requirements: those that are less than 10,000 square feet, those that are between 10,000 and 50,000 square feet, and those that are between 50,000 and 100,000 square feet. For additional context, a presentation during the June 29 Plan Commission meeting included examples of these sizes.
  • A "data center map" will be added to the zoning code, creating a buffer between the industrial zones where a Large Data Center may be allowed and residential areas, areas planned for residential uses in the future, and parks and open space. The map depicts areas that are already zoned for industrial uses with a buffer further limiting the areas where a data center between 50,000 and 100,000 square feet would be allowed. This is not a map of where data centers have been proposed. As of now, this map has not been finalized and more work is being done by staff that may further change where facilities of that scale would be allowed.

Proposed Data Center Types

Less Than 10,000 Square Feet

  • Example: These types of data centers are often a tenant in a building and support a single user or multiple users. This includes businesses that lease space on their servers for off-site customers. They are typically a tenant in an existing building.
  • Zoning Districts: Would be allowed in mixed-use, downtown, commercial, campus-institutional, employment, and industrial zones. 
  • Additional Regulations: Would not be allowed on the ground level of a building except when in industrial and campus-institutional zones. Only one allowed per zoning lot.

10,000 to 50,000 Square Feet

  • Example: These types of data centers are often in a stand-alone building and provide server space for multiple off-site businesses.
  • Zoning Districts: Would only be allowed in suburban employment, campus-institutional, and industrial zones. Would not be allowed in the Transit-Oriented Development (TOD) Overlay district. 
  • Additional Regulations: Would not be allowed to be located within 1,000 feet of the boundary of another parcel occupied by a Medium or Large Data Center. Mechanical equipment and emergency generators would be required to be surrounded by a solid screening wall. Would be required to provide a Noise Mitigation Plan that identifies strategies to comply with the Noise Ordinance. Only one allowed per zoning lot.

50,000 to 100,000 Square Feet

  • Examples: These types of data centers are often in a stand-alone building and provide server space for one or multiple off-site customers. At larger sizes, they are more likely to house infrastructure that could support AI functions.
  • Zoning Districts: Would only be allowed in limited parts of industrial districts. Would not be allowed in the Transit-Oriented Development (TOD) Overlay district. 
  • Additional Regulations: Would not be allowed to be located within 1,000 feet of the boundary of another parcel occupied by a Medium or Large Data Center. Mechanical equipment and emergency generators would be required to be surrounded by a solid screening wall. Would be required to provide a Noise Mitigation Plan that identifies strategies to comply with the Noise Ordinance. Only one allowed per zoning lot. A map added to the zoning code would identify further limits on where Large Data Centers could be located to provide a buffer from residential and open space areas. This map has not yet been finalized.

Previous Presentations and Meetings

Common Council - January 13, 2026

The Common Council discussed and voted to approve a moratorium on zoning approvals for data centers of more than 10,000 square feet as the primary use of a property.

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View Ordinance Text

Public Information Meeting - June 3, 2026

The City of Madison held a virtual public information meeting on its data center moratorium on Wednesday, June 3, 2026. 

This meeting provided an update on the authority and tools the City has – and does not have – to regulate data centers, the research being done by City staff, the potential impacts of data centers the City is considering in its analysis, and a timeline for a draft policy proposal. City officials also took questions and sought input from the public after an informational presentation. 

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Sustainable Madison Committee - June 22, 2026

City staff shared a presentation with the Plan Commission on how Madison could -- and could not -- regulate data centers.

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View Presentation Slides

Plan Commission Meeting - June 29, 2026

City staff shared a presentation with the Plan Commission on how Madison could -- and could not -- regulate data centers and how other communities have been regulating data centers.

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View Presentation Slides

Plan Commission Meeting - September 29, 2026

City staff presented an update to the Plan Commission on the work being done during the moratorium, which included recommendations for a potential framework for how Madison's zoning code could be amended to add regulations for data centers. The purpose of this meeting was to have a discussion about the staff recommendations. No final actions were taken.

Watch Meeting Recording

View Presentation Slides

Read Staff Memo

Sustainable Madison Committee Meeting - October 19, 2026

City staff presented a recap of the work done so far during the data center moratorium, definitions for the different types of data centers, and recommendations for a draft framework of potential zoning and land use regulations for data centers before hearing public comment and answering questions from committee members.

Watch Meeting Recording

View Presentation Slides

Business and Economic Resources Committee - October 21, 2026

City staff presented a recap of the work done so far during the data center moratorium, definitions for the different types of data centers, and recommendations for a draft framework of potential zoning and land use regulations for data centers before hearing public comment and answering questions from committee members.

Watch Meeting Recording

View Presentation Slides


Frequently Asked Questions

What opportunities will there be to provide feedback?

Typically, zoning code changes are reviewed by the Plan Commission, which includes an opportunity for public comment once a proposed zoning code change is formally drafted and introduced as an agenda item. 

Given the wide range of potential considerations for data centers, City staff anticipates a longer approval process once a zoning code change is proposed that could include the proposal being referred to additional committees, which would provide additional opportunities for public feedback. Every City of Madison Board, Commission and Committee allows for public comment on agenda items.

Formal ordinance text has not yet been drafted or introduced to the Common Council. Once ordinance text has been drafted and introduced, it will be referred back to the Sustainable Madison Committee, the Business and Economic Resources Committee, and the Plan Commission for consideration, with those meetings providing additional public comment opportunities.

The dates of those meetings will not be known until the proposed ordinance is introduced and given a referral schedule.

The City intends to widely publicize any additional opportunities for feedback through news releases, social media updates, and alder blogs to ensure transparency throughout the moratorium. 

Has the City received any proposals to create a new data center?

As of now, there are no land use or zoning applications for a data center or telecommunications center pending with the City. Under the temporary moratorium, the City is unable to consider or issue a zoning approval for these uses.  

Are there any data centers currently in Madison?

Yes. The City of Madison does not keep a list of land use approvals going back in time, so knowledge of existing data centers can only be sourced from institutional staff knowledge or from publicly searchable data. 

Staff used data from the Building Energy Savings Program and third party data center maps to identify existing data centers in the city and found 10 properties believed to have a data center component. 

There are three properties where a data center is a principal use. All are less than 10,000 square feet. They are located in the UMX, DC, and IL Districts. 

There are seven properties that have a data center component that supports a principal use.

  • Four properties have data centers that are less than 10,000 square feet. The properties are zoned SEC or PD.
  • Three properties have data centers that are less than 50,000 square feet. The properties are zoned SE, SEC or PD. 

All of the existing data center uses would be permitted based on the proposed regulatory framework. Staff were unable to verify if they would meet the proposed supplemental regulations with information available.

What does the moratorium mean?

The moratorium is a planning tool that "presses pause" on any potential proposals and will give the City of Madison time to set responsible rules for a new land use category. All new uses are required to receive zoning approval before they can occupy land, a tenant space, or an entire building. During this moratorium, no zoning approvals can be granted for new principal- use data centers or telecommunications centers over 10,000 square feet in floor area. 

Because zoning approval is required before a building permit may be issued for any new use of a building or tenant space, the moratorium will also mean that no building permits or certificates of occupancy will be issued for new principal use data centers or telecommunications centers if they are over 10,000 square feet in floor area. 

The floor area measurement includes only the space occupied by the data center or telecommunications center principal use. It does not include other tenant spaces in a building that are separate principal uses.  

Additionally, the moratorium does not apply to data centers or telecommunications centers that serve another principal or primary use allowed on the lot, such as one within and serving a research lab or office building. 

How can the City of Madison regulate data centers?

The City of Madison (and all municipalities in Wisconsin) are legally able to regulate:

  • Land uses within a zoning district 
  • Building size 
  • Lot size 
  • Lot coverage (how much of the lot is occupied by the primary land use) 
  • Setbacks from lot lines and other adjacent land uses 

The City regulates other concerns that are common to data centers such as noise, lighting, stormwater and sewer discharge quality. These impacts are regulated by other local codes, so the scope of the work done during the moratorium has been focused on zoning and land use regulations to set baseline standards.

How can't the City of Madison regulate data centers?

The City of Madison (and all municipalities in Wisconsin) are not legally able to regulate:

  • Water usage 
  • Energy usage 
  • Energy sources 
  • Energy rates and energy rate impacts on residents 
  • State building code requirements 

The City's zoning code also cannot differentiate between data centers used to support AI models and data centers used for other purposes, like private servers, cloud storage or applications, or other technology needs for individuals or businesses. 

Why was a moratorium necessary?

Without zoning regulations that reflect current best practices to responsibly manage this use, the construction of new data centers could impact the implementation of the City's long-range land use plans, affect property values, or possibly be detrimental to the public health, safety, and general welfare of our community.   

A moratorium allows city leaders and staff to research and establish well-informed, consistent zoning and/or other regulatory standards for data centers and telecommunications centers and provides opportunities for public participation in the process. 

What work will be done during the moratorium?

City of Madison agencies, including the Office of the City Attorney and the Department of Planning and Community and Economic Development will research best practices and safeguards. This could include creating a definition of "data centers" that will be added to the zoning code, updating other land use types if needed, identifying the specific planning and development considerations for the responsible operation of data centers in the future, and proposing potential zoning or other local ordinance standards for the operation of these uses within the city. 

City staff plans on consulting with other municipalities on how they have handled the creation of data centers in their communities and will also meet with other experts and stakeholders. City agencies will also review relevant available studies and research on how municipalities can effectively regulate data centers. The 12-month moratorium will also allow the City to gain insights from the newly-created Dane County Advisory Committee on Data Centers. 

How will the moratorium end?

By or before January 24, 2027, the City will amend the zoning code to create land use and zoning standards that are appropriate for future regulation of data center uses. The moratorium will end when such an ordinance is adopted.

During the research portion of this effort, City staff anticipates identifying information and receiving feedback relating to the benefits or impacts of data centers that do not pertain directly to land use or to standards that are allowed to be regulated in the zoning code. In those cases, it is possible that other local ordinances beyond the zoning code amendments may be recommended for consideration if they address the City's long-term objectives and are not covered by other applicable City or State of Wisconsin laws. 

How does the moratorium define “data center?”

For the purposes of this temporary moratorium, a data center is defined as:

"A facility whose primary and principal use is for the storage, management, processing, and transmission of digital data, which houses computer or network equipment, systems, servers, appliances and other associated components related to digital data operations. The facility may also include air handlers, power generators, water cooling and storage facilities, utility substations, and other associated utility infrastructure to support sustained operations at the data center. Data centers may also contain accessory office uses necessary to monitor and manage sustained operations at the data center."

The temporary moratorium also applies for telecommunications centers. A “telecommunications center" is currently defined in the zoning code as: 

"An office facility that is responsible for transmission, receipt, acceptance, processing, and distribution of incoming and outgoing communications."

Will this moratorium affect any existing data centers in Madison?

While the moratorium is in effect, any legally existing telecommunications centers will be considered "lawful nonconforming uses" in accordance with the City of Madison zoning code. This means they will be allowed to continue to operate under their previous approvals as long as they do not: 

  • Stop operating for a period of 12 months or more, and 
  • Do not undergo structural alterations that exceed 50% of the total assessed value of the building. 

Where are we in this process?

  1. Research Completed

  2. Engagement Active

  3. Introduction Upcoming

  4. Boards, Commissions & Committees Consideration Upcoming

  5. Common Council Consideration Upcoming

Additional Information and Resources

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