The Great Lakes Regional Forum convened a virtual meeting on September 23 to discuss two emerging priorities for counties across the region: the rapid expansion of data centers and developments in federal water infrastructure and Great Lakes policy. ISACo staff attended the meeting.
The Forum, established through the National Association of Counties (NACo) to provide a county-level voice on issues affecting the Great Lakes region, continues to bring county officials and stakeholders together to identify shared challenges and opportunities. Data centers and federal water infrastructure were among the topics identified by Forum participants for further discussion following the NACo Annual Conference in New Orleans.
Data Center Growth Creates New Considerations for Counties
A significant portion of the September meeting focused on the rapid growth of data centers, driven in part by increasing demand for artificial intelligence and other computing services.
Paul Gruber of Fresh Coast discussed the emerging data center landscape and the wide variation in how state and local governments are responding. Concerns surrounding these facilities extend beyond traditional land-use considerations and can include energy consumption, water use, infrastructure costs, environmental impacts and community engagement.
States have taken differing approaches, while local governments are increasingly considering tools such as special-use permits, zoning regulations and temporary moratoriums as they determine how data centers fit within their communities.
The discussion also highlighted the growing use of community benefit agreements associated with major data center projects. Examples from Michigan demonstrated how local governments have negotiated financial benefits beyond traditional property tax revenues.
Forum participants discussed a framework local governments can consider when evaluating proposed developments. Steps include establishing an internal working group, engaging residents early in the process, reviewing comprehensive or master plans, clearly defining data centers within local codes, updating zoning and permitting requirements, negotiating community benefits and coordinating with neighboring jurisdictions and other governmental entities.
Participants also discussed the potential value of developing more standardized best practices for data centers, including the concept of a certification system similar to the LEED standards used for green buildings.
These discussions are particularly relevant as counties consider how large-scale data center projects may affect water supplies, energy infrastructure, land use and public infrastructure while also weighing potential economic development benefits.
Federal Water Infrastructure and Great Lakes Policy
The second portion of the Forum featured an update on federal water policy, including the Water Resources Development Act (WRDA) and Great Lakes Restoration Initiative (GLRI).
WRDA provides an important pathway for federal authorization of water infrastructure projects. The House and Senate proposals under consideration contain differing provisions, including State Revolving Fund reauthorizations, environmental infrastructure funding and policy changes. The House proposal also includes a study examining the water impacts associated with data centers. Forum participants emphasized the importance of counties identifying potential projects early so they can be positioned for future WRDA authorization cycles.
The briefing also addressed the Great Lakes Restoration Initiative, one of the federal government's principal programs for restoring and protecting the Great Lakes ecosystem. The current GLRI authorization expires September 30, 2026. Participants were informed that reauthorization is expected to receive consideration during the post-election congressional session, with House and Senate proposals providing approximately $475 million annually.
Forum members discussed supporting a collective letter to congressional Great Lakes Task Force members expressing appreciation for their work on the program and encouraging congressional action on reauthorization.
Other federal water issues discussed during the briefing included PFAS treatment, dam safety, nonpoint source pollution, wetlands management, dredging and longer-term efforts to modernize federal clean water policy and address significant deferred infrastructure needs.
Strengthening the County Voice in Great Lakes Policy
The September meeting continued the Forum's effort to provide counties with a stronger voice in regional and federal policy discussions affecting the Great Lakes.
For Illinois counties, the intersection between data center development and water policy will become increasingly important. Decisions surrounding the location and operation of large data centers can have implications for water resources, energy systems, infrastructure investment and local land-use authority. At the same time, federal programs such as WRDA and GLRI provide opportunities for counties to advance infrastructure and environmental priorities.
The Great Lakes Regional Forum will continue examining these and other issues identified by county officials across the region. Future topics identified by participants include Canadian tourism trends, the Great Lakes cruise industry and the Great Lakes Legacy Act.
The Forum's next virtual meeting is scheduled for November 18, 2026.
ISACo Resources
Data Center Resource Page
Generative AI Resource Page