- From:
- Scott Chesney
FYI: we plan to post/release the next draft on the 4th.
Scott R. Chesney, AICP
|
Spokane County Planning
|
O: 509.477.7212
|
M: 509.850.8372
Included email history
1 message- From:
- Jeffrey Mergler jeffreymergler@gmail.com
- Sent:
- Thursday, August 27, 2026 18:38
- To:
- County Planning Commission planningcommission@spokanecounty.org ; Chesney, Scott Scott Chesney
- Subject:
- Re: Feedback for the draft data center ordinance, including compliments and
improvements
Hi Rona, thanks for the time to speak today. Could you please forward this to Mr.
Camporeale and the other planning board members?
Also, when does Mr. Chesney expect to have a new draft of the ordinance available for
review?
Thank you,
Jeff Mergler
On Mon, Aug 24, 2026 at 7:37
AM Jeffrey Mergler jeffreymergler@gmail.com wrote:
Dear Planning Board Members and
Commissioners
I am writing today to give you feedback on the proposed
Spokane County Data Center Ordinance (DRAFT). Let
me
begin
by complimenting the board on a good first draft,
specifically
in the following
areas:
· The delineation and definition of Large Load Data
Centers starting at 20MW and above. This should be
preserved.
· The strong noise limits, specifically 50 dBA, which is
more protective than the 67dBA day and 57 dBA night
baselines.
This should be preserved.
· The addressing of the low-frequency noise and tonal
hum by limiting this to no more than 5 dBC above
background ambient levels.
This should be
preserved.
· Pre-construction noise and vibration studies and
annual post construction
noise audits.
This should
be preserved.
· Aquifer Contamination Safeguards:
environmental protections are present
for chemical systems and
recharge
zones.
This should be
preserved.
· Backup Generator operations are
reasonable. Preserve
this.
However, significant problems remain that must be
addressed for this ordinance to fully protect the
community.
Problem 1: The current draft fails to fully protect the
region's water supply.
The Spokane Valley-
Rathdrum Prairie Aquifer is a sole-source
drinking water supply. The county must
legally mandate that corporate tech
expansion does not prioritize server cooling
over the community's water security.
Specifically,
· The "0.3 WUE" is a loophole, not a cap. While 0.3 liters
per kilowatt-hour sounds minimal, it scales
aggressively. If the data center operates at its
requested 1,000 MW capacity, a 0.3 WUE allowance
means the facility could legally consume and
evaporate nearly 700 million gallons of water annually
or 1.9 million
gallons of water daily.
· Enforce a true "Closed-Loop": The ordinance's current
definition of a Closed Loop Cooling System in Section
14.840.110 is contradicted by allowing a 0.3 WUE in
Section 14.840.230. A true closed-loop system
requires zero consumptive water loss for cooling. The
ordinance must enforce a 0.0 WUE metric to be
effective.
Fix: we need clear, unambiguous language
to eliminate regulatory gray areas
(loopholes) for the West Plains:
Strike existing Section 14.840.230(3) and replace with:
"3. All Data Centers, regardless of load classification,
are strictly prohibited from utilizing open-loop,
evaporative, or consumptive water cooling systems.
Facilities must exclusively utilize Closed Loop Cooling
Systems, achieving an annual average Water Usage
Effectiveness (WUE) of 0.0 liters per kilowatt-hour of
information technology load. Total site water
consumption shall be strictly limited to standard
domestic and sanitary human use."
Add a supplementary clause to Section 14.840.230(2) for
clarity:
"2. No Data Center may draw primary cooling or
make-up water to recharge the cooling system from
private potable wells, municipal water supplies, or the
Spokane Valley-Rathdrum Prairie Aquifer."
Problem 2: The current draft fails to isolate
residential ratepayers from cost increases
related to the data center.
The draft does
indeed require applicants to submit
documentation demonstrating that the data
center—not residential or general ratepayers
—will be financially responsible for uniquely
required transmission, distribution, and
substation infrastructure.
However,
· The draft falls short of establishing a
fully protective binding large-load
tariff structure locally. The draft
only
authorizes the Board of County
Commissioners to pursue a "non-
binding coordination framework"
with serving utilities (such as Avista)
regarding large loads and utility
commission proceedings.
· The "non-binding coordination
framework" in Section 14.840.150
should be made as binding as
permissible under county land-use
authority to guarantee ratepayer
isolation.
· Any new or expanded distribution
substations must be located on-site or
immediately adjacent to the facility.
Fix: While utility ratemaking is formally overseen by the
Washington Utilities and Transportation Commission
(WUTC) and utility boards, the County has clear statutory
authority under Washington land-use law (RCW 36.70B and
SEPA) to condition project approval on demonstrated
infrastructure adequacy and full developer cost mitigation.
Therefore,
Strike existing Section 14.840.150 and replace with:
"14.840.150: Utility Coordination,
Infrastructure Cost Allocation, and Ratepayer
Protection
1. Mandatory Utility Service & Cost Allocation
Agreement: No building permit or Conditional Use
Permit for a Large-Load Data Center shall be
issued until the applicant has submitted an
executed, legally binding agreement with the
Serving Utility (or an approved WUTC Large-Load
Tariff schedule / Energy Services Agreement)
demonstrating all of the following:
· a. Full Developer Cost Allocation: The
applicant shall be 100% financially
responsible for all capital costs associated
with new or upgraded transmission,
distribution, substation, and generation
infrastructure required to interconnect and
serve the project.
· b. Take-or-Pay / Minimum Demand
Commitments: The service agreement or
tariff must include binding minimum demand
commitments (take-or-pay capacity
obligations) or equivalent financial
guarantees to ensure existing residential and
commercial ratepayers bear no stranded
asset costs or capacity shortfall liabilities.
· c. Financial Assurance: The applicant shall
furnish financial security (such as an
irrevocable letter of credit or performance
bond) in favor of the Serving Utility to cover
decommissioning, equipment procurement,
and infrastructure costs in the event of
project default or underutilization.
2. County Intervention & Coordination: The
Board of County Commissioners shall intervene
and participate in any Federal Energy Regulatory
Commission (FERC) or Washington Utilities and
Transportation Commission (WUTC) docket,
proceeding, or special contract filing involving
large-load electrical service within Spokane County
to enforce ratepayer isolation and system
reliability standards."
Amend Section 14.840.210(1)(b) to read:
"b. Ratepayer Non-Subsidization Verification:
Certified documentation and an independent
financial analysis confirming that the applicant,
and not the Serving Utility or its existing ratepayer
base, is legally and financially obligated for all grid
infrastructure improvements, power supply
acquisitions, and ancillary services necessitated by
the facility, in full compliance with SCC
14.840.150."
This achieves the following outcomes:
· Closes the Voluntary "Coordination" Loophole: A
"non-binding framework" provides no legal guarantee
against rate increases. Conditioning land-use and
building permits on signed utility agreements ensures
developers cannot break ground until ratepayer
isolation is locked down.
· Follows National Precedents: Incorporating take-or-
pay structures and minimum demand commitments
mirrors established regulatory models like the Ohio
AEP data center tariff, safeguarding the local grid from
speculative megawatt reservations.
· Prevents Stranded Asset Risk: Given that massive
load requests can require hundred-million-dollar
substation and transmission expansions, upfront
financial assurance guarantees that local ratepayers
do not inherit the tab if power projections drop.
I want to thank the Planning Board and the Commissioners
for listening to the people of Spokane County and for taking
this data center ordinance with the seriousness it deserves.
I hope that you find these suggestions helpful and
actionable.
Sincerely,
Jeff Mergler
SCC District 5, Spokane
Loading community reactions…