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Eagan Enacts One-Year Moratorium on Large or Residential-Adjacent Data Centers and Crypto Mining

City leaders say the pause gives them time to study siting and resource use to guide future rules.

Overview

  • Eagan’s interim ordinance halts permits for new facilities within 500 feet of homes or those exceeding 20 megawatts through Feb. 17, 2027, with exceptions only for necessary repairs.
  • The City Council approved the pause on Tuesday in a 4-0 vote after a public hearing, with one member absent.
  • Officials cite neighborhood impacts and infrastructure demands—including noise, traffic, electricity and water use—as the rationale for the study period.
  • The city currently has four data centers—two built and two under construction—all 20 megawatts or smaller, and officials say no immediate new proposals are pending.
  • Debate over costs and benefits continues, with examples ranging from a Farmington proposal estimated at 900 million gallons of water annually to projections of $30 million in tax revenue and 250 jobs over two decades from a Cannon Falls project.