Norwalk courts a data center dubbed "Project West"

Catch up fast: City officials were approached by an unnamed national technology developer last year and signed a nondisclosure agreement as the city assisted with the project's potential development.

• After months of negotiations and preparation for the voluntary annexation of thousands of acres, officials are now finalizing zoning.

Driving the news: The new Technology & Industry Overlay District would simplify and streamline the approval processes necessary for high-tech projects that can take more than a decade to complete fully, city manager Luke Nelson told the council during a Feb. 6 meeting.

• To qualify, projects must cover a minimum of 40 acres and 100,000 square feet of building space. They don't necessarily have to be data centers.

Context: Microsoft's five West Des Moines data centers — the "epicenter for advancing AI" — represent over $5 billion in investments and 350 permanent jobs over nearly two decades.

Friction point: Microsoft's centers consume as much as 11.5 million gallons of water monthly for cooling.

• WDM city leaders in 2023 told Microsoft that future centers will be considered only if technology can significantly reduce peak water usage — and then they approved its sixth Microsoft data center last year after improvements to infrastructure alleviated concerns, the Register reported.

• Altoona, where Meta has invested billions of dollars, decided to boost its water production a few years ago.

What they're saying: Hollie Zajicek, Norwalk's economic services director, tells Axios that Project West officials have been working with utility providers for months to determine options with the least impact on the community.

What's next: Thursday's meeting is the second of three ordinance readings.

• Land deals could be finalized shortly after the council's March 6 meeting.