Modesto releases statement on data centers. What the municipal code says

8/6/2026, 7:19:05 PM

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Servers, routers, switches and storage equipment fill the data center at Quest, a Sacramento tech company. Randy Pench

The city of Modesto said in a statement Thursday that data centers are not an allowed land use under the municipal code, so no active proposals are under review.

The statement came a week after Councilman Chris Ricci disclosed on Facebook that a prominent data center developer was lobbying council members about a possible project. NorthPoint Development, based in Kansas City, inquired about building a data center at the former FMC plant site on Graphics Drive, near Kansas Avenue and Highway 99.

“While the city has received general inquiries from companies about the possibility of developing data centers in Modesto, no applications have been submitted,” Thursday’s statement said.

Data centers providing servers for artificial intelligence and bitcoin are seeing a backlash nationally because of demands on water and high energy consumption. Noise is another common complaint.

A city spokesperson said last week that staff members were working on a thorough review of the impacts and any concerns related to data centers. “If any application did come in, it would have to go through a full environmental review process and go to both the Planning Commission and council for formal approval,” the spokesperson said by email.

The city’s post on Thursday, marked “Official Statement,” seemed to suggest that any data center projects also would require approval of a code amendment. “We appreciate hearing from residents and value the community’s engagement. We hope this information helps clarify the current situation and provides reassurance to our community,” the statement said.

The San Francisco Chronicle reported in April that more than 20 data centers are planned in California. That could push the total to more than 300 statewide.

Ken Carlson

The Modesto Bee

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