===== PDF PAGE 48 ===== [Extraction: embedded PDF text] CITY OF WEST CHICAGO CITY COUNCIL AGENDA ITEM SUMMARY ITEM TITLE: AGENDA ITEM NUMBER: _____7.D.______ Temporary Moratorium on Data Centers and Battery En- ergy Storage Systems in All Zoning Districts COMMITTEE AGENDA DATE: N/A COUNCIL AGENDA DATE: July 6, 2026 Ordinance No. 26-O-0011 STAFF REVIEW: John Sterrett, Director of Community SIGNATURE __________________________Development SIGNATURE __________________________ APPROVED: Viviana Ramirez, City Administrator Background City staff has received numerous inquiries from companies interested in locating and developing data centers and battery energy storage systems in West Chicago. Currently, data centers are permitted by right in both the M Manufacturing and A Airport Zoning Districts. Battery energy storage systems are not specifically identified in the Zoning Code and would currently be reviewed under existing utility classifications, including as a Special Use in the M District as a "utility substation" and as a permitted public utility use in the A Airport District. In reviewing these proposals, staff has determined that the City's existing Zoning Code does not adequately address the land use, infrastructure, safety, and com- munity impact considerations associated with these uses. Data centers are large-scale, energy-intensive uses that can consume large amounts of electricity and water, generate significant noise from cooling infrastructure, and place substantial demands on the local and regional electrical grid. Battery energy storage systems present concerns related to fire suppres- sion, hazardous materials, safety setbacks, and impacts on adjacent properties and emergency ser- vices. The City’s current Zoning Code does not specifically address the potential impacts of either use, creating regulatory uncertainty that could result in outcomes inconsistent with the City’s long-term plan- ning goals and the welfare of its residents. The proposed moratorium does not prohibit future data center or battery energy storage system devel- opment; rather, it temporarily pauses new applications while the City evaluates whether additional reg- ulations are necessary to ensure these uses are compatible with surrounding land uses and available infrastructure. These concerns are not unique to West Chicago. On June 5, 2026, Governor Pritzker directed the Illinois Department of Commerce and Economic Opportunity to pause processing of new data center tax in- centive agreements effective July 1, 2026, while comprehensive reforms are studied. Numerous munic- ipalities across Illinois have adopted or are considering their own temporary moratoriums to study the community impacts of data centers and similar energy-intensive uses. Proposed Action Staff is recommending that the City Council adopt Ordinance No. 26-O-0011, establishing a temporary 180-day moratorium on the receipt and processing of applications for data centers and battery energy storage systems in all zoning districts within the City. The moratorium is intended to provide City staff ===== PDF PAGE 49 ===== [Extraction: embedded PDF text] adequate time to study these uses, consult with relevant experts and stakeholders, and develop and recommend appropriate regulations for City Council consideration. The moratorium is enacted as an exercise of the City’s home rule police power under Article VII, Section 6(a) of the Illinois Constitution of 1970, and does not constitute an amendment to the text or map of the Zoning Code. It preserves the status quo while appropriate regulations are developed. The proposed moratorium includes the following key provisions: • A 180-day moratorium on all new permit applications and approvals for data centers and battery energy storage systems in any zoning district; • Exceptions for routine maintenance, remodeling of existing data centers with applications filed prior to the effective date, and government-operated public safety facilities; • Protection of existing approved permits and pending applications; • A hardship appeals process allowing applicants to seek an exception from the City Council; • A directive to the Community Development Department to present findings and recommendations to the City Council within three months; and • Authority for the City Council to extend or lift the moratorium by ordinance at any time. Staff Recommendation Staff recommends approval of Ordinance No. 26-O-0011 establishing a temporary moratorium on data centers and battery energy storage systems in all Zoning Districts, to allow adequate time to study these uses and develop appropriate regulatory standards. COMMITTEE RECOMMENDATION: This item did not go to a Committee and has been sent directly to the City Council. Attachments: Draft Ordinance 26-O-0011 ===== PDF PAGE 50 ===== [Extraction: embedded PDF text] ORDINANCE NO. 26-O-0011 AN ORDINANCE ESTABLISHING A TEMPORARY MORATORIUM ON DATA CENTERS AND BATTERY ENERGY STORAGE SYSTEMS IN ALL ZONING DISTRICTS WHEREAS, the City of West Chicago (“City”) is a home rule unit of local government under Article VII, Section 6(a) of the Illinois Constitution of 1970, which provides that a home rule unit may exercise any power and perform any function pertaining to its government and affairs including the power to regulate for the protection of the public health, safety, morals and welfare and to assume, to the extent that the legislature may determine, concurrent enforcement of State laws; and WHEREAS, this Ordinance is enacted as an exercise of the City’s home rule police power and does not constitute an amendment to the text of the City’s Zoning Code, a rezoning of any property, a change in zoning district regulations, or any other “amendment to a zoning ordinance” as that term is used in 65 ILCS 5/11-13-14 and 65 ILCS 5/11-13-25; and WHEREAS, data centers are large-scale industrial uses that consume extraordinary amounts of electricity and water, generate significant noise from cooling equipment, and place substantial demands on local and regional infrastructure, including the electrical grid; and WHEREAS, battery energy storage systems, particularly those proposed as standalone commercial facilities, present significant and not yet fully understood land use impacts, including concerns related to fire suppression, hazardous materials, safety setbacks, and impacts on adjacent properties and emergency services; and WHEREAS, the City further finds that the current pace of technological development, evolving state and federal regulations, and emerging industry standards warrant additional review before such facilities are permitted within the City. WHEREAS, data center development has expanded rapidly across Illinois and the Chicago metropolitan region, prompting significant concern at the state and local level; on June 5, 2026, Governor Pritzker directed the Illinois Department of Commerce and Economic Opportunity to pause processing of new data center tax incentive agreements effective July 1, 2026, while comprehensive reforms are studied; and numerous municipalities across Illinois have imposed their own temporary moratoriums to study the community impacts of such uses; and WHEREAS, the City has received inquiries for both data centers and battery energy storage systems within its corporate limits, and has determined that its existing Zoning Code does not contain adequate regulations to address the unique land use, infrastructure, safety, and community impact considerations associated with such uses; and WHEREAS, proceeding with new approvals for data centers or battery energy storage systems under the City’s existing regulatory framework could result in outcomes that are inconsistent with the City’s long-term planning goals, public health and safety, and the welfare of its residents; and ===== PDF PAGE 51 ===== [Extraction: embedded PDF text] WHEREAS, the City has determined it is necessary and in the best interests of its residents to impose a temporary moratorium on the receipt and processing of applications for data centers and battery energy storage systems, to allow City staff adequate time to study these uses, consult with relevant experts and stakeholders, and recommend appropriate zoning regulations; and NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of West Chicago, DuPage County, Illinois, in regular session assembled, as follows: SECTION 1. Nature of this Ordinance. This Ordinance is enacted pursuant to the home rule authority of the City of West Chicago under Article VII, Section 6(a) of the Illinois Constitution of 1970. This Ordinance does not amend the text or map of the City’s Zoning Code, rezone any property, or alter any zoning district, use classification, or development standard. It is a temporary exercise of the City’s police power to preserve the status quo while appropriate regulations are studied and developed. SECTION 2. Definitions. For purposes of this Ordinance: Battery Energy Storage System (BESS) means one or more devices, assemblies, or containers capable of storing electrical energy for later use, together with associated equipment, controls, transformers, inverters, and appurtenant facilities, whether standalone or accessory to another principal use. Data Center means a building or group of buildings used primarily to house computer systems, servers, data storage equipment, networking equipment, and supporting infrastructure for the storage, processing, management, or distribution of electronic data. SECTION 3. Temporary Moratorium Established. A temporary zoning moratorium (“Temporary Moratorium”) is hereby established on the receipt of applications for the processing and approval of, and the issuance of any type of permit or approval for, data centers and battery energy storage systems in any Zoning District within the City of West Chicago. SECTION 4. Duration. The Temporary Moratorium established in this Ordinance is established for a period of 180 days from this Ordinance’s Effective Date, and will expire at 12:01 a.m. on the 181st day following the Effective Date, unless prior to that time the City Council, by ordinance duly adopted, extends or lifts the Temporary Moratorium. SECTION 5. Study and Recommendations. City staff, in consultation with partner agencies and such outside experts or consultants as may be engaged, shall study the impacts of data centers and battery energy storage systems, review how other municipalities are regulating such uses, and present findings and recommendations to the City Council or to the Development Committee within three (3) months of the Effective Date, for discussion only. ===== PDF PAGE 52 ===== [Extraction: embedded PDF text] SECTION 6. Exceptions. The Temporary Moratorium shall not apply in the following circumstances, and the City may accept, process, and if appropriate, approve permit applications for the following types of work: (A) Remodeling existing data centers or battery energy storage systems with entitlement applications filed before the Effective Date of this Ordinance; (B) Routine maintenance or repairs at existing data centers or battery energy storage systems that do not increase operational capacity; and (C) Public safety or emergency facilities operated by governmental entities. SECTION 7. Existing Approved Permits and Pending Applications. Nothing in this Ordinance shall affect the rights of any person or entity whose application for a permit or petition for zoning relief for a data center or battery energy storage system has been approved by the City prior to this Ordinance’s Effective Date. Likewise, any complete application lawfully submitted to the City prior to the Effective Date may continue to be processed under the regulations in effect at the time of submission. SECTION 8. Conditional Processing of New Applications. Any proposal to construct or develop a data center or battery energy storage system in any Zoning District received after the onset of the moratorium may still be submitted to the City for consideration during the term of the Temporary Moratorium, but no such application shall be finally approved until: (a) the expiration or termination of the Temporary Moratorium; and (b) the City confirms that the application complies with applicable regulations in effect at that time. Persons or entities filing an application pursuant to this Section 8 do so at their own risk. SECTION 9. Hardship Appeals Process. An applicant seeking an exception from the Temporary Moratorium may apply as follows: (A) File a written request for relief with the Community Development Director on forms provided by the City. (B) The Community Development Director shall forward the request for relief to the City Council for consideration at a regularly scheduled meeting. (C) The City Council may, by ordinance, exempt a specific property where doing so is consistent with the public interest. SECTION 10. Severability. The provisions of this Ordinance are severable. If any part or portion of this Ordinance is held invalid by any court of competent jurisdiction, such decision shall not affect the validity of the remaining provisions. SECTION 11. Repeal of Conflicting Ordinances. All prior ordinances and resolutions in conflict or inconsistent herewith are expressly repealed only to the extent of such conflict or inconsistency. ===== PDF PAGE 53 ===== [Extraction: embedded PDF text] SECTION 12. Effective Date. This Ordinance shall be in full force and effect from and after its passage, approval, and publication in pamphlet form as provided by law. PASSED this ______ day of ________________, 2026. Alderman J. Alcántar-García ______ Alderman D. Beebe ______ Alderman I. Santiago ______ Alderman J. Sheahan ______ Alderman D. Carreto-Muñoz ______ Alderman T. Hernandez ______ Alderman S. Dimas ______ Alderman M. Birch Ferguson ______ Alderman C. Swiatek ______ Alderman J. Smith, Jr. ______ Alderman C. Aviña Soto ______ Alderman R. Stout ______ Alderman M. Myers ______ Alderman J. Morano ______ APPROVED as to form: ______________________________ City Attorney APPROVED this ______ day of ________________, 2026. ____________________________________ Daniel Bovey, Mayor ATTEST: ______________________________ Valeria Perez, Executive Office Manager PUBLISHED: