Warren County officials are beginning work on a proposed data center ordinance.

During April’s County Commissioners meeting, Planning Director Michael Lyon said county officials are still in the early stages of researching and drafting regulations, with an initial proposal expected in the coming months.

“It’s a very hot topic across the country,” Lyon said, noting he has participated in numerous webinars and discussions focused on the issue. “There are a lot of challenges with that.”

Lyon emphasized that Warren County is unlikely to attract the massive “hyperscale” facilities that have drawn national attention in larger metropolitan areas.

“A lot of the information you’re hearing in the news is related to the hyperscale, million-square-foot facilities,” he said. “It’s my opinion we’re not going to see those. We may see some very, very small ones.”

He also cautioned residents against assuming that rumors of major technology companies entering the region are accurate.

“A lot of the rumors we’re hearing about development are mostly speculation,” Lyon said. “They’re not tied to some of the major names like Amazon or Microsoft.”

Data centers, or facilities that house computer servers and networking equipment, have become one of the fastest-growing sectors in the United States as demand for artificial intelligence tools, as well as storing, processing, and transmitting digital information surge.

The U.S. data center market has expanded dramatically over the past decade, with billions of dollars in new construction announced all over the country.

The rapid growth has also generated concerns nationwide over electricity demand, water consumption, land use and noise. Large facilities can require enormous amounts of power to cool servers and maintain constant operations. Utilities in several states have warned that projected data center growth could strain electric grids and increase infrastructure costs.

At the same time, supporters argue data centers can generate significant tax revenue and support construction jobs while helping modernize rural and industrial areas.

Lyon said Warren County officials are closely monitoring both the opportunities and concerns.

In addition to the data center discussions, Lyon told county commissioners that the county is nearing final approval of its first solar farm development. The proposed project would cover approximately 15 acres and could go before the Planning Commission in May.

The application process for the solar development has involved extensive review by county planners, the Conservation District, public safety officials and the host township. Lyon said the submission included roughly 1,200 pages of materials and dozens of maps.