Montrose County proposes new data center regulations,

public hearing October 29.

by Jason Conant

The meeting was called to order with a room full of eager community members, Montrose County Planning Commission members, and county employees.

The meeting began with the normal agenda items, followed by a well-put-together presentation by Planning and Development Director Tallmadge Richmond on the proposed rules and regulations that would allow for the construction of data centers in Montrose County.

Currently, a six-month moratorium on new data center development applications is scheduled to end December 31, 2026.

To be clear, this was NOT a hearing to approve a specific data center. Richmond also made it clear that, to his knowledge, no applications have been filed with the county at this time. Which makes perfect sense, because we don't even have the rules for building one set in stone yet.

It didn't take long to realize that a lot of time and effort has been spent on this project, as it rightfully should be, in order to protect the county and its citizens.

After hearing the presentation and questions from not only board members but also members of the public, I personally feel that the moratorium will more than likely be extended. Though a great deal of thought and research has gone into the many factors involved in allowing such projects, there is clearly still a ways to go before reaching a point where the county and its citizens are comfortable moving forward.

I also noticed that even though a large majority of those in attendance appeared to be against the construction of data centers, I believe many understand that it's not necessarily a matter of if, but when. Yes, I believe it's going to happen. Just when and where is perhaps the bigger question.

What I do like about the direction the county appears to be going is that each permit application will be approached on a case-by-case basis. Just because you meet the minimum requirements, whatever those end up being, and are located in the proper zone doesn't necessarily mean you're going to be approved for a permit.

Now Let's Get to the Controversial Stuff — The Positives and Negatives

During the meeting, the public raised lots of concerns, ranging from the consumption of electricity and water to environmental footprints, noise, light pollution, and potential health concerns. Various issues involving livestock were also brought up, and many of the questions ultimately led to the same concern: How would any of this even be possible?

The main consensus I took away from the discussions was that more research needs to be done.

First, we need to research the potential impacts on the community, especially regarding the concerns that were brought forward. Second, we need to determine where the bar should be set in order to keep those impacts to a minimum.

As for figuring out the "how," I believe that responsibility would fall largely on the company proposing to build the data center.

Something else that was brought up was transparency. How do we make sure everything is transparent? How do we ensure that qualified, independent third-party companies are conducting the research and providing accurate information? We need reliable data on all the issues of concern.

Then, once a data center is being built, or even after it becomes operational, how do we make sure it stays compliant?

As we all know, when it comes to money, things aren't always on the up and up, if you know what I mean.

What About the Positives?

Now, not one person during the meeting spoke about the potential positives of having a data center in our community.

Data centers can provide significant economic benefits to cities and counties, including job creation, increased tax revenues, and infrastructure improvements. They can enhance local economies by generating additional revenue that can help support schools, roads, and public services, while also attracting supporting businesses and services.

Now, the data center itself doesn't necessarily do all of that directly. Many of the jobs created would be temporary positions during the construction phase, and the number of permanent jobs could be relatively small.

But data centers are the backbone of today's and tomorrow's digital economy. According to projections by GSMA Intelligence, the broader digital economy is expected to account for close to one-third of global GDP by 2030.

Data centers are part of the foundation of a 21st-century digital economy, providing the technology infrastructure behind many of the amenities of modern life and supporting our businesses, healthcare, education, aviation, retail, and beyond.

This type of infrastructure has the potential to attract more business and industry to Western Colorado, creating additional jobs and revenues.

I know many people don't want to grow and don't want change. But growth is happening, and I believe it will continue to happen. So let's make sure that if it's going to happen, and I believe it is, we do it correctly.

Many will say, "Well, I don't like or use AI."

Okay, but you surely might appreciate a nice, big, new hospital if UCHealth or some other healthcare organization eventually came in and helped rescue Montrose Regional Health because our community had become more financially viable.

That's just a one example of what could potentially happen if we are fiscally responsible with the growth that's coming. There are many other possibilities worth considering. How about a property tax break for senior citizens? (No I’m not there yet) but I like the idea of some relief for our elders. How about caps on electricity costs? So much we could perhaps barter into the equation.

Of course, none of these benefits are guaranteed. That's why we need to look at both sides of the equation and make sure the potential benefits outweigh the costs to our community. I would think that a cap on the number of data centers would need to be discussed as well.

What About the Long-Term Impacts of Growth?

One thing I feel seems to have been put on the back burner is the long-term impact of projects like these.

Montrose County's 2026 population is estimated at approximately 44,495, with about half of those residents living within the city limits.

With the projects currently underway, along with future developments such as data centers and other industries, Montrose continues to grow at an estimated rate of around 2% annually.

Then add in tourism, and our roads are already overloaded. I'm sure everyone has noticed the congestion on Townsend Avenue and what appears to be an increased number of traffic accidents over the past year or so. We have a new public works building being constructed near the new roundabout on South Rio Grande Avenue, and the road is expected to continue toward Target. I believe this was originally supposed to be part of a bypass. But will it really be enough? I personally believe this will do little to nothing to remedy the traffic problems in and around town, let alone the congestion on Townsend Avenue, especially as plans move forward to reconfigure Montrose High School. With the growth we've already experienced, including the Amazon distribution center, and now the possibility of a data center or other large industrial developments, when are we going to seriously address the bypass, or lack of one? 

We can't continue to bring in new development without looking at the bigger picture. What about our roads, emergency services, schools, water resources, utilities, and other infrastructure? Are we planning far enough ahead, or are we simply reacting to growth after it happens? These are valid questions that our community needs to be asking now, rather than waiting until we're dealing with problems that could have been prevented. Again, I'm not against growth. I'm simply saying that if we're going to grow, we need to plan for it and be fiscally responsible in the process.

I encourage everyone who is interested in the growth and future of our community to get involved. If you can't make it to the meetings, you can sign up on the county's website for updates. Get engaged and pay attention. Do your research, ask questions, and don't simply rely on what someone else tells you. Change isn't always bad, even though we don't always welcome it. There will be monthly meetings and public hearings on this subject moving forward. Once the rules and regulations are adopted, we will more than likely see additional public hearings regarding any permit applications filed for the construction of data centers. This is our community, and we all have a responsibility to stay informed and participate in the process.

Conclusion: I commend Montrose County for taking the time to research how to properly permit a data center in rural Colorado. I just hope it doesn't stop there. I hope they don't rush the process and continue to seek out the thoughts, concerns, and ideas of the citizens who live here. I also hope they bring in qualified, independent experts who can provide accurate information on the potential environmental, economic, and infrastructure impacts of these projects. There are a lot of unanswered questions, and those questions deserve honest, well-researched answers. At the same time, I believe we need to keep an open mind and recognize that growth and technology aren't going away. We can either work together to help guide that growth responsibly or find ourselves trying to catch up with it later.

That's why we have public hearings, planning commissions, and rules and regulations in the first place. After all, it's not just about what we build today. It's about what we leave behind for the generations that follow,