Perry blocks data center approvals for 180 days

Anyone who wants to build a data center in Perry cannot get a city approval for the next six months. At its Aug. 20 regular meeting, the city council unanimously adopted a resolution that stops the city from processing, hearing or deciding any request to establish or materially expand a data center for 180 days — a window that runs to roughly Feb. 16, 2027, according to the minutes posted this month.

The freeze is broad. It covers rezonings, conditional rezonings, special land use approval, site plans, planned unit developments, variances, zoning permits, building and electrical permits, certificates of occupancy, development agreements and — the piece with the most local weight — municipal water or sewer connections and capacity commitments. During the moratorium, the resolution says, no city official may enter into an agreement reserving water or sewer capacity for a data center, or represent that water, sewer, road or fire-protection capacity is available for one.

Nobody has asked yet. The resolution states plainly that no data center operates in Perry and no application, permit request or other request for approval was pending as of adoption. Mayor Susan Hammond told the council that data centers are already addressed in the city's ordinance, and that she asked the city attorney to prepare an opinion, a recommendation and a moratorium resolution. Council member Bob Porter said he thought the moratorium was a good idea until the zoning ordinance can be updated; the minutes record that members Kamal Ghazi, Kristin Babel and Mindy Galbavi agreed. Ghazi moved it, Babel seconded, and it passed with all in favor. Mike Connell was absent, excused.

The resolution reads as a to-do list for the study that follows. Over the 180 days, the planning commission, city manager, zoning administrator, superintendent of public works, city attorney, city planner, city engineer and fire officials are directed to bring back recommendations on which zoning districts should allow data centers, how much water and electricity they would demand, sewer and pretreatment capacity, mechanical and low-frequency noise, standby generators and fuel storage, battery-energy-storage systems, fire suppression and emergency access, construction traffic, stormwater, setbacks and lighting, who pays for infrastructure and professional review, utility rates and connection charges, and how a facility would be decommissioned if abandoned. A status report is due to the council no later than 180 days after adoption, with draft regulations sooner if they are ready. The council can extend the moratorium once, by no more than 90 days.

The same meeting refilled two empty seats. Hammond recommended Jerry Polmounter for the open city council seat, with a term expiring Dec. 1, 2026; the council approved it unanimously on a motion by Ghazi, seconded by Porter, and City Clerk Shirley Smith swore Polmounter in, after which he took a seat at the council table. The council then unanimously named Connell mayor pro tem, and appointed John Bashant to the vacant planning commission seat with a term expiring January 2027. The Current reported on Aug. 25 that the council had accepted resignations from council member Larry Lambert and planning commissioner Gerrad Leitelt at its Aug. 6 meeting; the Aug. 20 roll call still lists Lambert as mayor pro tem, which the clerk's office has not explained.

On water and sewer rates, the council spent its money by not spending it. Hammond read through the water/sewer dashboard update material and department head recommendations, and laid out a timeline for setting an increase, holding a public hearing, approving new rates and putting them into effect. Porter said he was concerned about the increase because it is such a big jump; Ghazi said he trusts the department heads' recommendations. On a motion by Ghazi, seconded by Porter, the council voted unanimously not to buy a new rate analysis from OHM and to use the data already presented at the Aug. 6 meeting instead. The minutes do not state the quoted price of the OHM dashboard update or the size of the increase under discussion.

Hammond also reported that, based on a recent court case involving a neighboring city, Perry has sent its water and sewer rates and hookup fee information to its attorney for review. She said seats are also open on the zoning board of appeals and the board of review. Separately, Smith reminded residents that council seats and the mayoral seat will be open, and that write-in candidate declarations of intent are due in her office by 4 p.m. Oct. 23, 2026. Jamie Crombley presented for the Community District Library, and Porter said the SSESA annual report is finished and will be posted to the agency's website. The council approved the bills as presented on a motion by Galbavi, seconded by Babel; the minutes list no total. There was no public comment, from the three residents in attendance or anyone else. Hammond adjourned at 7:52 p.m.

What happens next: the moratorium took effect immediately on adoption and expires automatically about Feb. 16, 2027, unless permanent data-center regulations take effect first or the council extends it once by up to 90 days. The minutes list the water and sewer rate increase and setting a public hearing as agenda items for the next meeting, and Halloween hours for the first meeting in October.