While San Francisco, Oakland and other Bay Area cities hit pause on new data centers, San Jose is taking another path: letting them in, but under a long list of conditions. The city released its first draft of uniform standards for data centers and other large energy users on Friday.
What the draft would require
The rules would apply to facilities that draw 20 megawatts or more. According to the Mercury News' Silicon Valley coverage and a city news release, those sites would have to run on 100% carbon-neutral electricity and could not use drinking water in open cooling systems, which lose water instead of recirculating it. Backup generator testing would be capped at 25 hours a year.
Operators would also need sound barriers, downward-facing shielded lighting and yearly city checks on power, water and sewer use. Developers would have to meet state prevailing wage and skilled workforce rules and notify residents within 1,500 feet of a proposed site. The city is also considering new fees to support affordable housing and grid reliability.
Why San Jose wants them
Money is part of the answer. The city expects deficits over the next two years, and each data center is projected to bring in $3 million to $7 million a year. Mayor Matt Mahan described the approach as a middle path between banning the projects and leaving them unregulated, and the city release called the package some of the strictest standards in the country.
Officials said feedback from dozens of community meetings held from August to October, including concerns about noise and sewer impacts, shaped the generator limits and monitoring rules.
How to weigh in
The city will present the draft at a community meeting on Thursday, Oct. 15, from 6 to 8 p.m. in the City Hall Council Chambers at 200 E. Santa Clara St., with an online option. The Planning Commission is set to review final standards Nov. 18, followed by City Council votes on Dec. 8 and Dec. 15.