Elkhart hires third-party to study potential data center regulations

ELKHART, Ind. -- The city of Elkhart is taking steps toward developing regulations for data centers and similar industrial developments while a one-year moratorium on new projects remains in place.

The Elkhart Redevelopment Commission identified the Tech Park tax increment financing (TIF) district, near the Elkhart Environmental Processing Corp., and the Aeroplex TIF district surrounding the Elkhart Municipal Airport as potential locations for future development.

The city is now working with enFocus Inc., a nonprofit innovation organization, to study data center development and gather community input.

Elkhart City Council approved the one-year moratorium in September to give the city time to study the potential impacts of data centers and develop possible regulations for the city's unified development ordinance.

Mike Huber, Elkhart's director of development services, said the contract with enFocus will support a review of existing research and help establish a public engagement process.

“Today was just approving a contract with enFocus to help us both do some literature review,” Huber said. “They’re going to collect a bunch of literature on printed data and facts… also to help us design and make sure we have an appropriate public engagement process.”

The proposed $45,000 contract would split the cost evenly between funds generated by the Tech Park and Aeroplex TIF districts.

The study is expected to take six to eight months, according to Huber, as city officials work to determine the scope of the planning process.

Officials will use the research and community feedback to help shape potential zoning regulations and evaluate whether the two TIF districts are suitable for future development.

The study is expected to continue throughout the moratorium, giving the city time to gather information and hear from residents before determining what regulations could look like moving forward.