Local
Wisconsin Rapids weighs one-year pause on proposed 200-acre data center
Wisconsin Rapids officials are considering a one-year moratorium on data center construction after residents and local leaders pushed back against a proposed facility at the former paper mill site. The city’s plan commission unanimously rejected the developer’s permit request, sending the decision to the City Council.
WISCONSIN RAPIDS — A proposed 200-acre data center on the site of Wisconsin Rapids’ former paper mill has prompted a growing debate over whether the city has enough information and leverage to evaluate a project of that scale.
Mayor Matt Zacher said he supports a one-year moratorium on data center construction while the city develops a clearer approach to proposals involving major infrastructure, land use and community impacts.
“We are acting reactively,” Zacher said during a recent television interview. “We don’t know how to be proactive necessarily because nobody’s really ever done; there’s no playbook on this.”
The city’s plan commission last week voted unanimously to reject a conditional-use permit sought by PNK Group, a New York-based company proposing the data center at the former mill property. The recommendation now goes to the full City Council, which is also expected to consider the separate moratorium proposal.
The plan commission heard more than three hours of public testimony. Most speakers opposed the project, according to the televised discussion.
Zacher said city officials were being asked to make complex decisions without the experience or time needed to negotiate effectively with data center developers. He urged the company to step back while the city considers its options.
“They would give us some time,” Zacher said. “I think that’s what we need.”
State Rep. Scott Krug, a Republican whose district includes Wisconsin Rapids, also spoke against the proposal during the public hearing. Krug said his opposition was not directed at construction workers or the trades, including electricians, pipefitters and steamfitters—many of whom lost jobs when the paper mill closed.
“There will be other projects, and we will get a chance to use that local labor,” Krug said. “But it’s not going to be this one.”
The dispute reflects a broader challenge for communities considering large data centers: local officials must weigh potential construction activity and employment against the long-term questions raised by intensive industrial development. In Wisconsin Rapids, the immediate decision is whether to approve the permit recommendation and whether to establish a temporary pause before additional data center proposals move forward.
The City Council’s action will determine the next step for PNK Group’s proposal and whether Wisconsin Rapids will have a year to create new rules or procedures for evaluating similar projects.