As data mining and cryptocurrency centers continue to pop up across the country, the Effingham Plan Commission is discussing new regulations that address concerns about the large amount of energy these centers use, as well as the noise they can produce.
Effingham City Planner Greg Koester initially brought the matter to the city's attention during the Effingham City Council meeting on Jan. 9, and the planning commission discussed the matter further during its Tuesday meeting .
"While a data center and cryptocurrency mining are two different things, they are closely related," Koester told commission members. "We have received inquiries about setting up data centers."
According to Koester, the city does not have any language in its zoning ordinance that explicitly allows data mining and cryptocurrency centers.
"In my opinion, there's really nothing close to what they are," Koester said.
Koester explained what data centers are used for, saying they often require a lot of power to run and cool computers and servers.
"They process what you buy, what you look at, and the next thing you know, you get ads or notifications that this is now on sale," Koester said.
Additionally, he said some centers use a significant amount of water to cool their systems and fans, which can be noisy.
โThis cryptocurrency mining can be large scale; it can be on a small scale,โ Koester said.
For these reasons, both Koester and Effingham City Attorney Tracy Willenborg recommend creating a new special use permit for data mining and cryptocurrency centers to prevent any overuse of local power grids and other potential disruptions.
Effingham Plan Commission member Ken Wohltman asked Koester and Willenborg to what extent the city would be able to control the development of data mining and cryptocurrency centers, and Effingham Plan Commission Chairman Brian Hayes asked where these centers would be allowed within the city.
"The special use allows for better control of the exact location," Willenborg said. "It does not give carte blanche in any district."
Koester noted that data and cryptocurrency centers sometimes also use solar and wind power, something the city may have to consider when drafting new regulations.
"These could very well be connected to a solar energy system or a wind farm," Koester said.
He also said the city could address data centers and cryptocurrency mining centers in the same special use permit or create two separate special use permits for them.
โI can see things going both ways,โ Koester said.
The commission took no action on the matter Tuesday.
Also during the meeting, the commission voted to recommend approval of amendments to the city's zoning ordinance regarding duplexes and triplexes.
โThis was achieved through some consultation and hopefully more housing units will be generated,โ Koester said. "However, we still want to protect our existing neighborhoods, so we hope there is a good balance."
According to Koester, the amendments โclean up the languageโ in the city's zoning ordinance and include new requirements for lot sizes, yard setbacks and building heights.
"If you're going to put a single-family home on an R-3B lot, you have to have 6,000 square feet," Koester said. โIf you're going to start two families, you have to have 6,000 square feet. โIf you go up to the triplex, you have to have 8,000 square feet.โ
Koester said these amendments are intended to address the construction of new housing units rather than conversions of single-family homes into duplexes or triplexes, which both Koester and Willenborg said are "unlikely" to occur.
A resident contacted Koester before the meeting to express their concerns regarding these conversions.
"This concerned citizen and I discussed a lot of things back and forth, and we may see other things in the future regarding those conversions of a single-family home into multiple dwelling units," Koester said.
He told commission members that changes to the city's zoning ordinance or municipal code may be necessary in the future to address the potential problem, but Wohltman said he believes some of the amendments recommended to the city council will help discourage these types of conversions.
"I think it would be a mistake to allow someone to come in and build four units in that type of house, so the lot size square footage goes a long way," Wohltman said.
The Effingham City Council is expected to discuss the proposed amendments during its next meeting scheduled for January 16.
Meanwhile, the commission recommended approval of a request by Mark E. Mayhood and Dianne Y. Mayhood to rezone a property located at 3 Rollin Hills Boulevard in Effingham, which is near Daylight Donuts, from the R-2 Single Family Residence District . to the B-1 Neighborhood Commercial District.
โIt was upgraded from a single-family home that was demolished,โ Koester said. "The city recently sold the property in question to Mayhood Trust."
Koester said the property's rezoning fits with the city's comprehensive plan and the commercial development trend in the area.
Mark Mayhood appeared before the commission Tuesday to speak in favor of the rezoning request.
โWhen I bought it in town, it was already a commercial area,โ Mayhood said. "I have no plans for it at this time."
The only structure currently located on the property is a snow cone stand which is not permanent.
In other business, the commission voted to recommend approval of preliminary and final plats for the fifth addition of the Historic Hills Subdivision and the first addition of the Rollin Hills Subdivision.
The commission also voted to grant adjournments for a public hearing on a petition to rezone two tracts of land located on South Banker Street, west of Miracle Avenue, from the non-urban district to the M-1 light industrial district and the B-general commercial district. 2 and a public hearing on a special use permit petition for a solar energy system with a solar collector area greater than 100,000 square feet.
