The rapid growth of data centers—driven by expanding cloud computing, artificial intelligence, and digital infrastructure—has emerged as a significant public policy issue across Illinois and the nation. Once a relatively low-profile component of the modern economy, large-scale data centers are now the subject of increasing legislative attention and local debate due to their substantial demands on electricity, water, land use, and public infrastructure. In Illinois alone, data centers consume enormous amounts of energy, enough to power more than a million homes, highlighting both their economic importance and their potential impact on communities and ratepayers.
State policymakers are actively considering a range of proposals to address these challenges. Recent and pending legislation has focused on improving transparency in energy and water usage, ensuring that data center developers bear the costs of new infrastructure, and establishing environmental and consumer protections. For example, proposed measures would require annual reporting of energy and water consumption, mandate that developers fund grid upgrades needed to support their facilities, and create standards to protect local resources and utility customers. At the same time, Illinois has historically encouraged data center development through tax incentives and economic development programs, reflecting the industry’s role in job creation, capital investment, and local tax bases.
For county governments, data centers present both opportunities and challenges. These facilities can generate construction activity, increase assessed property values, and contribute to local economic development. However, they also raise complex questions related to zoning authority, infrastructure capacity, environmental impacts, and long-term community benefits. Local governments across Illinois have begun to explore regulatory tools—including zoning updates, permitting requirements, and even temporary moratoriums—to better understand and manage these impacts.
This resource page is designed to provide Illinois county officials with up-to-date information on data center-related legislation, policy developments, and emerging issues. It also highlights the evolving relationship between data centers, local governments, and residents, offering context to help counties evaluate proposals, engage stakeholders, and advocate for policies that balance economic growth with responsible resource management and community protection.
Legislation Under Consideration by the Illinois General Assembly
ISACo is actively tracking legislation related to data centers and artificial intelligence that may impact county governments, local infrastructure, and community resources. Use this link to access a current list of relevant bills, along with summaries and ISACo positions where available.
Data Centers in the News
Click on this link to view a curated collection of news stories highlighting the rapid growth of data centers and their impacts on communities, infrastructure, and public policy. As this issue continues to evolve, additional articles will be added to provide county officials with timely insights into emerging trends, local concerns, and statewide and national developments.
Data Center Public Hearings
The surge in data center development in Illinois has led to a wave of public hearings across several counties and municipalities, particularly in the Chicago metropolitan area and central Illinois. These hearings typically focus on zoning amendments, noise ordinances, and environmental impact assessments.
Click on this link for information about local governments that have held or are currently planning public hearings related to data centers. The list will be updated as necessary.
Key NACo Data Center Resources
The National Association of Counties (NACo) has developed resources to help local governments evaluate and manage data center development, including a national primer outlining key considerations related to land use, infrastructure, and community impacts.
Informational Primer and County Considerations: Data Centers
https://www.naco.org/resource/naco-informational-primer-and-county-considerations-data-centers
Counties Grapple with Data Center Boom (County News)
https://www.naco.org/news/counties-grapple-data-center-boom
Counties Wrestle with Data Centers’ Power Consumption (Route Fifty)
https://www.route-fifty.com/artificial-intelligence/2026/01/counties-wrestle-data-centers-power-consumption/410749/