06/14/2026
Louisville proposes ban on hyperscale data centers, sets strict rules for smaller facilities
WDRB Digital Staff, Jun 9, 2026, Updated 5 hrs ago
LOUISVILLE, Ky. (WDRB) — Newly drafted regulations would ban hyperscale data centers in Louisville and set strict rules for smaller developments.
The Louisville Metro Planning Commission announced the proposed regulations Tuesday, which would limit future proposals for data centers to less than 500,000 square feet, and ban anything larger. It would also require any proposed developments to be located in industrial areas.
According to the release, the city is trying to reduce the environmental impact of smaller developments "while protecting Louisville residents, existing businesses, infrastructure, and utility customers."
"Our goal is to develop clear, achievable standards that provide transparency and clarity for both residents and potential developers," said Brian Davis, Director of the Office of Planning. "The regulations reflect extensive community feedback and are designed to support responsible investment while protecting Louisville's long-term interests."
The release also outlined the following additional regulations:
Protect utility customers by requiring evidence that new facilities will not shift any costs to existing ratepayers;
Require the developer presenting the proposal to bear the cost of improvements to infrastructure if upgrades are required;
Limit data center development to designated industrial areas;
Require environmentally low-impact construction and site design practices;
Require substantial separation from homes, schools, and daycare facilities;
Require a public hearing and conditional use permit for data centers that do not meet outlined exceptions for existing business operations;
Establish noise standards and buffering requirements for generators and other equipment;
Require the entity making the proposal to be transparent and disclose the company that would own and be using the proposed development; and
Pay prevailing wages in connection with the project’s construction.
Tuesday marks the beginning of the 30-day review period for the drafted regulations while the city gathers public feedback. The community is encouraged to submit their comments here.
The Louisville Metro Office of Planning said it will evaluate the feedback and schedule a public hearing before the regulations are presented to Metro Council.
Click here to view the full proposal.
louisvilleky.gov/government/office-planning/data- centers?utm_medium=email&utm_source=govdelivery
This draft reflects extensive community feedback and is designed to support responsible investment while protecting Louisville's long-term interests. The proposed regulations would:
Ban hyperscale data centers and limit future proposals to less than 500,000 square feet;
Require any proposed developments to be located in industrial areas while smaller-scale facilities that support existing employers and business needs would be allowed in limited areas;
Protect utility customers by requiring evidence that new facilities will not shift any costs to existing ratepayers;
Require the developer presenting the proposal to bear the cost of improvements to infrastructure if upgrades are required;
Limit data center development to designated industrial areas;
Require environmentally low-impact construction and site design practices;
Require substantial separation from homes, schools, and daycare facilities;
Require a public hearing and conditional use permit for data centers that do not meet outlined exceptions for existing business operations;
Establish noise standards and buffering requirements for generators and other equipment;
Require the entity making the proposal to be transparent and disclose the company that would own and be using the proposed development; and
Pay prevailing wages in connection with the project’s construction.
What is the update process?
1. Research and Community Engagement
Public meetings/forums will be held throughout the county.
Staff is researching the issue and how other communities are regulating.
2. Development of Draft Changes - Office of Planning Staff Recommendation (We are currently at this step)
Following research and engagement, staff will draft recommended changes to the land development regulations.
3. Planning Commission's Planning Committee Meeting
· The Committee will determine if staff's recommended changes are ready to be reviewed by the full planning commission at a public hearing. This is largely a technical review and does not serve as a public hearing.
· Meeting Date and Time: To be determined.
4. Planning Commission Meeting
The Commission will review staff's recommended changes and hold a public hearing in which will serve as the final opportunity for public input.
The Commission will make a recommendation on changes to Metro Council and the suburban cities that have independent land development regulations.
Meeting Date and Time: To be determined.
5. Metro Council
Metro Council will review the recommendation and make a final decision on changes to the land development regulations.
Committee Meeting Date and Time: To be determined.
Council Meeting Date and Time: To be determined.
The councils/commissions of the 12 suburban cities with zoning authority have the option of acting on the recommendation and can enact independent regulations for their jurisdictions.
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