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The Data Center Divide

City of Urbana

Neutral Data Center Policies

Urbana requires data centers to provide 1.1 parking spaces per employee on the busiest shift, which may add modest land and construction costs; it does not prohibit them or impose major operating limits.

current law · City of Urbana
Establishes minimum off-street parking requirements in Urbana for specified uses, including one space per 200 square feet for offices, two spaces per multifamily dwelling unit, and one space per 250 square feet for retail businesses.Ordinance 4620-25

What this means

The rule requires data centers to provide 1.1 parking spaces per employee on the busiest shift, which may add some land and construction costs. It does not prohibit data centers or impose major operating limits, so the effect is minor.

Restrictions & requirementsHide restrictions & requirements7
  • A data center classified as a computing infrastructure provider, data-processing facility, web host, or related service must provide 1.1 parking spaces per employee during the work period when the maximum number of employees are present. 1.1 spaces for each employee

  • A parking plan is required for data-center uses and must be submitted with the zoning-permit application, showing property boundaries, parking, access, circulation, drainage, construction, screening, and related details. A parking plan shall be required for all uses except single family detached dwellings and two family dwellings

  • If construction, expansion, or a change in use creates a need for at least 10% more parking, the additional spaces must be provided. Existing buildings or uses enlarged by 50% or more in floor area or used area must comply with the full parking requirements. increase of ten (10) percent or more

  • Required parking for commercial, industrial, or institutional uses must be within 700 feet of the principal use. not more than 700 feet from the principal use

  • Required parking areas must meet specified design and operational standards, including minimum stall dimensions, forward-motion access to a public street or alley, paving with asphalt or concrete, drainage controls, screening near residential areas, striping for lots over 12 vehicles, maintenance, and concealed lighting limited to one foot-candle at property lines. All off-street parking facilities

  • At least one off-street loading space must be provided and maintained on the same lot when the facility requires delivery of goods. Each loading space must be at least 12 feet wide, 50 feet long, and have 15 feet of vertical clearance. At least one off-street loading space

  • Loading areas must satisfy additional setback, screening, access, paving, drainage, and lighting requirements; vehicles leaving the premises must be able to travel forward, and loading areas near residential districts require screening four to six feet high. All off-street loading spaces shall be in accordance

Benefits & exceptionsHide benefits & exceptions4
  • The ordinance expressly recognizes computing infrastructure providers, data processing, web hosting, and related services as a permitted use category for parking purposes, requiring 1.1 parking spaces per employee during the work period with the maximum number of employees. This provides a specific, predictable standard for data-center development and expansion.

  • Required parking for commercial, industrial, or institutional uses may be located up to 700 feet from the principal use, allowing a data center to satisfy parking requirements on a nearby property rather than entirely on its own site.

  • Data centers may use collective or joint parking facilities. Joint use is allowed when the participating nonresidential uses normally operate at different times, and collectively provided parking may be located up to 700 feet from the building served, subject to written agreements and required approvals.

  • When parking demand is unusually low, the Building and Zoning Appeals Board may reduce the applicable parking requirements proportionately upon appeal from a Zoning Inspector decision, potentially reducing the parking burden for a data center with limited on-site traffic.

Sources

current law · City of Urbana
The provided material does not establish the purpose, legal effect, requirements, affected parties, dates, exceptions, thresholds, or implementation status of the City of Urbana 12-month data-center moratorium ordinance.City of Urbana 12-month data-center moratorium ordinance (March 2026)

Timing

Ends
180 days after adoption

The moratorium is temporary and expires 180 days after adoption. The City Council may extend the moratorium if necessary; all other provisions remain.

People behind it

  • Identified as the proposer of the measure.

Sources

repealed · City of Urbana
Amends Urbana’s M-1 Manufacturing District regulations to update general-purpose provisions and permitted uses, including “Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services” as principally permitted uses.Ordinance 4621-25

What this means

Assuming enactment, this is a strong net benefit: it makes data-center-related computing infrastructure a principally permitted use in Urbana’s M-1 manufacturing district, reducing zoning uncertainty and approval barriers. The benefit is limited to that district, and the measure also adds a parking formula for data centers, so it is not an unrestricted approval or a financial incentive.

People behind it

  • Identified council sponsor of Ordinances 4423-25, 4618-25, and 4619-25.

  • Identified council sponsor of Ordinance 4620-25, which added the computing-infrastructure and data-processing definitions.

  • Identified department requesting Ordinances 4618-25 and 4619-25 concerning the Dugan Place development plan and annexation.

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  • Identified department requesting Ordinance 4620-25 concerning zoning definitions.

  • Petitioner for annexation of approximately 17.721 acres into Urbana.

  • Petitioner for annexation of approximately 10.676 acres into Urbana.

  • Petitioner for annexation of approximately 94.498 acres into Urbana.

  • Petitioner for annexation of approximately 97.090 acres into Urbana.

  • Appointed agent for the annexation petitioners and authorized to submit and amend the annexation materials.

  • Developer and party to the pre-annexation agreement presented to Council for authorization.

Restrictions & requirementsHide restrictions & requirements3
  • Data centers must satisfy the City’s off-street parking and loading requirements, including a required parking formula specifically added for the data-center use.

  • Data centers located in the M-1 Manufacturing District remain subject to the district’s site-development standards, including minimum lot area and width, front, side, and rear setbacks, maximum building height, minimum floor area, maximum lot occupation, and parking and loading requirements.

  • Changes to authorize or regulate data centers through the zoning code require City Council approval through three readings and a public hearing.

Benefits & exceptionsHide benefits & exceptions7
  • Ordinance 4620-25 adds “Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services” to the zoning definitions, expressly covering data-processing and computing-infrastructure facilities. (https://www.urbanaohio.com/uploads/1/2/4/6/124631710/2025-04-15_regular_meeting_packet.pdf)

  • Ordinance 4621-25 makes computing infrastructure, data processing, web hosting, and related services a principally permitted use in the M-1 Manufacturing District, allowing qualifying data centers to be established without being treated as a conditional use. (https://www.urbanaohio.com/uploads/1/2/4/6/124631710/2025-04-15_regular_meeting_packet.pdf)

  • Ordinance 4621-25 removes the M-1 land-use-intensity requirement, eliminating that zoning standard for manufacturing-district projects, including qualifying data centers. (https://www.urbanaohio.com/uploads/1/2/4/6/124631710/2025-04-15_regular_meeting_packet.pdf)

  • Ordinance 4621-25 provides additional height flexibility for larger M-1 parcels next to residential areas, where stricter height limits would otherwise typically apply. (https://www.urbanaohio.com/uploads/1/2/4/6/124631710/2025-04-15_regular_meeting_packet.pdf)

  • Ordinance 4623-25 allows an up-to-eight-foot fence on all sides of a structure in an M-1 Manufacturing District, rather than limiting that height to particular locations, supporting the security and enclosure needs of industrial facilities. (https://www.urbanaohio.com/uploads/1/2/4/6/124631710/2025-04-15_regular_meeting_packet.pdf)

  • Ordinance 4624-25 adds a specific required-parking formula for the new data-center use, providing a defined off-street-parking standard for such facilities. (https://www.urbanaohio.com/uploads/1/2/4/6/124631710/2025-04-15_regular_meeting_packet.pdf)

  • Ordinance 4625-25 assigns M-1 Manufacturing zoning to five of the nine parcels covered by the annexation, making those parcels eligible for the M-1 data-center use; the other four parcels are designated R-3. (https://www.urbanaohio.com/uploads/1/2/4/6/124631710/2025-04-15_regular_meeting_packet.pdf)

Sources

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