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Columbus proposal would make major water users pay more as data centers expand

Columbus City Council leaders are proposing a new water-rate structure for data centers and other industrial facilities that use unusually large volumes of water. Supporters say the change could protect households and small businesses from infrastructure costs, while residents warn that pricing alone will not address environmental concerns.

Columbus proposal would make major water users pay more as data centers expand
COLUMBUS, Ohio — Columbus City Council is considering a new water-rate structure aimed at companies that place unusually heavy demands on the city’s water system, including data centers, chip manufacturers and food-processing plants. Council President Shannon Hardin and Councilmember Christopher Wyche are sponsoring legislation that would direct Columbus Water and Power to develop rates for high-volume users. The proposal comes as data-center development accelerates across central Ohio and city officials debate how to manage its financial and community impacts. Hardin said the goal is to prevent longtime residents and small businesses from absorbing the cost of infrastructure needed by large industrial customers. “I don’t want a Columbus family that’s been here for 30 years, or a neighborhood small business to have to shoulder those costs,” Hardin said. Large facilities can require bigger water lines and other system upgrades. Hardin said charging users in proportion to the infrastructure they require could reduce pressure for future increases affecting other residents and taxpayers. “My hope is that if these mega users who need the infrastructure pay more, then that can allow us to avoid higher rates on other residents and taxpayers,” Hardin said. Wyche said the proposal responds to concerns raised by residents who do not want public resources used to subsidize expansion by highly profitable corporations. “These policies reflect what we have heard from the community and focus on areas we know we can address at the local government level,” Wyche said. “They are tired of footing the bill for trillion-dollar companies to expand their operations.” The potential rates would not apply only to data centers. The legislation would cover large-load industrial and manufacturing facilities more broadly, meaning the eventual structure could affect businesses such as semiconductor fabrication plants and food processors. Some residents who addressed the council during a public hearing said a higher water bill would not resolve their concerns about data centers. Columbus resident Samantha Baker argued that the environmental consequences of the facilities outweighed the financial issue. “I don’t think that anything that has to do with money is going to make any bit of difference,” Baker said. Baker said she was particularly troubled by the idea that data centers should be accommodated because they require water, arguing that the facilities’ environmental effects deserve greater attention. The legislation is scheduled for a second reading before council on Sept. 28. If council approves it, Columbus Water and Power is expected to return with proposed rates by the end of October. The debate will help determine whether Columbus treats water-intensive development primarily as a source of economic growth, a cost to be recovered from the companies driving demand, or an environmental challenge requiring broader limits and safeguards.

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