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 community 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 suppression, hazardous materials, safety setbacks, and impacts on adjacent properties and emergency services. 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 planning goals and the welfare of its residents. The proposed moratorium does not prohibit future data center or battery energy storage system development; rather, it temporarily pauses new applications while the City evaluates whether additional regulations 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 incentive agreements effective July 1, 2026, while comprehensive reforms are studied. Numerous municipalities 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 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.