20260401-004, Data Center Environmental Management Recommendation — original pdf

Recommendation

RECOMMENDATION TO COUNCIL Environmental Commission Recommendation 20260401-004: Data Center Environmental Management WHEREAS, Data Centers are changing every sector of society and economy; and, WHEREAS, Data Centers will provide the City of Austin, Travis County, and Central Texas the opportunity to be a center of technical excellence; and WHEREAS, Central Texas has scarce water resources to support an industry requiring substantial water, and the existing electrical grid may be challenged by the insertion of new facilities requiring large amounts of electricity; and WHEREAS, by 2035, Data Centers could account for more than 20% of global electricity use, and 56% of the power used to power Data Centers comes from fossil fuels; and WHEREAS, Texas has a 4.8-million-acre-foot water shortage, and US Data Centers consume 66 billion gallons of water/year; and WHEREAS, Data Centers with significant environmental impact on the community have a footprint exceeding 20,000 square feet and consume more than 5kW/rack and are typically categorized as Tier II to Tier IV facilities as defined by the Uptime Institute, requiring 24x7 availability; and WHEREAS, the increasing demand for Data Centers in Central Texas requires a coordinated approach by all Central Texas Governments. NOW, THEREFORE, BE IT RESOLVED the Environmental Commission recommends the City Council adopt the following policies: ● Maintain consistency with Council Resolution 20240215-024 and 20250424-055 and Resolution considered during the April 24, 2025, Council meeting. ● Establish working relationships with adjacent counties (Williamson, Bastrop, Caldwell, Hays, Blanco, and Burnet), cities (e.g., Buda, Cedar Park, Pflugerville, Georgetown, Round Rock, Taylor, Elgin), and water districts to develop consistent policies, procedures, and strategic plans to manage the construction, operation, and growth of data centers within Central Texas ● Publish the report from the City Manager, requested in April 2025 of the “projected environmental impact and resource usage of local data centers over the next ten years,” and present the report to the Environmental Commission. ● Require Tier II and higher Data Centers to generate power onsite via renewable resources, which may include, but are not limited to solar, wind, and battery power. The power generated should amount to at least 50% of the amount necessary to operate the data center. ● Require Data Centers to curtail operations during periods of electrical emergency as declared by the Governor of the State or Local Authorities. ● Mandate Council approval for large-scale extension requests. ● Define “data center” in City Code. ● Mandate 75% solar power coverage on rooftops. ● Recycle water drawn from aquifers, public water systems, and rainwater capture. ● Require the Data Center to use reclaimed water, and to invest directly into expanding the City’s purple pipe program via the creation of a water use mitigation fund, or similar. ● Comply with “night sky” and “bird-friendly” regulations. ● Require mitigation efforts to offset excessive heat production from data centers. For example, require tree planting in the surrounding area to increase canopy cover. ● Comply with City of Austin noise regulations. ● Require Austin Energy to coordinate data center support with other utilities within the Central Texas area, including, but not limited to Bluebonnet Electric, Reliant Energy, TXU Energy, Central Texas Electric Co-Op, and Payless Power. ● Require plans for hazardous waste disposal plans for power plant byproducts used to produce power locally. ● Require public notice to property owners within one mile of the construction site of a data center. ● Prohibit the use of tax breaks or other financial incentives to encourage Data Centers to locate within Austin. ● Update the Environmental Commission annually on progress and updates related to the report mandated by City Council that studies current and projected environmental impact and resource usage of local data centers over the next ten years. In alignment with bipartisan national calls, invoke a moratorium on all new data centers in the City of Austin City Limits and the Extraterritorial Jurisdiction (ETJ). Date of Approval: April 1, 2026 Motioned By: Commissioner Fleury Seconded By: Commissioner Brimer Vote: For: 10-0 Chair Bristol, Vice Chair Krueger, Secretary Qureshi, Commissioner Brimer, Commissioner Changsut, Commissioner Fierro, Commissioner Fleury, Commissioner Luecke, Commissioner Moretta-Urdiales, Commissioner Sullivan Against: None Abstain: Commissioner Morrison Off the dais: None Absent: None Attest: _____________________________________________ Mariana Krueger, Vice Chair