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܆ ܆ ܆ ܆ ܆ ܆
ZĞƋƵĞƐƚĨŽƌWŽůŝĐLJŶĂůLJƐŝƐ;ŽƵŶĐŝůZĞĨĞƌƌĂůƐͿ
Department CMO, OEDCA, PBCE, ESD, ED Rules Date June 10, 2026 Item C.1Department Rep. Name/Ext. Manuel Pineda, Erica Garaffo Councilmember Sponsorship Mayor Mahan and CouncilmembersPolicy/Ordinance Subject Data Center Standards Candelas, Cohen, and Ortiz Staff Recommendation
GREEN Adopt based on tradeoffs
outlined on next page
YELLOW efer to ĂůĂƚĞƌĚĞƐŝŐŶĂƚĞĚ
ĚĂƚĞŽƌƚŚĞĂŶŶƵĂůƵĚŐĞƚWƌŽĐĞƐƐ
RED Recommend Council not
adopt nominated idea
NEEDS CLARIFICATION OR
MORE TIME TO EVALUATE
Staff Evaluation
Is this already underway in a department work plan?
Yes No
Is this time critical or an emergency?
Yes No
Will this require substantial resources, staffing, budget, strategic support͕ŽƌƌĞƉƌŝŽƌŝƚŝnjŝŶŐĞdžŝƐƚŝŶŐǁŽƌŬƉůĂŶ? Yes No
Criterion to Determine Scale of Project Complexity Project complexity is determined by scoring the project in each of the 3 criterions below and then summing the score. a. Low Complexity is a sum of 6 or less. b. Medium Complexity is a sum of 7 – 9. c. High Complexity is a sum of 10 or greater.
Total Score =
Scoring Criterion
Low Complexity Medium Complexity High Complexity
Estimated Duration 6 – 9 months ܆ =1 9 - 18 months ܆ =2 More than 18 months ܆ =3 Organizational Complexity (Internal)
Can easily be absorbed into existing work plan
܆ =1 Planned work (future) ܆ =2 Work not currently proposed ܆ =3 Have staff with required skillset/knowledge
܆ =1 Have staff with required skillset/
requires moderate research
܆ =2 Do not have staff with required
skillset/requires significant research
3 =܆
Less than or equal 2 staff required
܆ =1 3 - 4 staff required ܆ =2 More than 5 staff required ܆ =3 (External) 1 Additional department; no
community outreach required
܆ =1 2 Other departments Involved;
some community outreach required
܆ =2 3 or more departments and/or external
partners involved; significant community outreach required 3 =܆
DEPT.
Required܆ Airport ܆ Auditor ܆ CMO ܆ OEDCA ܆ ESD ܆ Fire ܆ HR ܆ IT ܆ PRNS ܆ Police ܆ Retirement ܆ Attorney ܆ Clerk ܆ CMO – Budget ܆ Community Energy ܆ Finance ܆ Housing ܆ IPA ܆ Library ܆ PBCE ܆ PW ܆ DOT 9 ✔
✔ ✔ ✔
/s/ Lee Wilcox 6/5/2026 CMO Approval: Date
Analysis
Explain the rationale for staff recommendation, including any mitigating factors that need to be considered (recent legislative action, significant work plan changes, etc.). Please address the following as well. GREEN LIGHT: The Administration can implement this nominated idea under its current work plan. Item should be sent to Council to add to department work plan. (1) How will the idea be approached? (2) If adopted, what is its impact and/or tradeoff to the City Council Focus Area or to a department work plan, including strategic support? (3) What is the minimum viable scope to move the idea forward and reduce its complexity? The Administration can implement this nominated idea under its current work plan. The City Manager's Office, in coordination with Planning, Building, and Code Enforcement, City Manager's Office of Economic Development and Cultural Affairs, and other relevant departments, will develop uniform standards and best practices for data center projects in San José. This work will build on existing City processes, including environmental review, development standards, and community outreach requirements, and will focus on creating a clear and consistent framework for applicants, residents, staff, and decision makers. (continued below) YELLOW LIGHT: ĚŵŝŶŝƐƚƌĂƚŝŽŶƌĞĐŽŵŵĞŶĚƐŽƵŶĐŝůĚĞĨĞƌƚŚŝƐŶŽŵŝŶĂƚĞĚŝĚĞĂƚŽĂůĂƚĞƌĚĞƐŝŐŶĂƚĞĚĚĂƚĞŽƌƚŚĞĂŶŶƵĂůƵĚŐĞƚWƌŽĐĞƐƐĚƵĞƚŽ;ĚĞƐĐƌŝďĞĐŽƐƚŝŵƉůŝĐĂƚŝŽŶƐ͕ǁŽƌŬůŽĂĚŝŵƉĂĐƚƐ͕ŽƌŽƚŚĞƌĨĂĐƚŽƌƐͿRED LIGHT: The Administration recommends Council not to adopt this nominated idea due to (describe reason implementation would be difficult if not impossible – conflict with other laws, etc.).
Analysis (Continued)
The effort will evaluate standards and best practices related to energy consumption and sourcing; water use, including recycled water infrastructure, closed-loop systems, and other water-efficient technologies; air quality and backup power generation; greenhouse gas emissions; noise; water quality protections; and other environmental considerations. Staff will also evaluate how to provide a clear and consistent process for community notification and engagement for new data center projects, building upon existing City outreach policies and processes, including Council Policy 6-30. The primary tradeoff will be staff time needed to coordinate across departments and consolidate existing practices, regulations, and emerging best practices into a local framework. The work is expected to require interdepartmental coordination with departments and offices involved in economic development, planning and permitting, environmental review, energy, water infrastructure, public works, and community engagement. However, the effort can be advanced within the current work plan by focusing first on a minimum viable scope. The minimum viable scope is to prepare a framework of uniform standards and best practices that consolidates existing local and state requirements, identifies areas where San José should establish clearer expectations, and outlines a consistent process for community notification and engagement. This initial phase would focus on standards for energy, water, air quality and backup generation, greenhouse gas emissions, noise, water quality protections, and community engagement. More complex implementation actions, including future updates, technical refinements, or additional infrastructure strategies, can be evaluated over time as technologies, utility conditions, and community expectations continue to evolve. Staff will continue to advocate for legislation that conforms with the Council adopted 2026 Legislative Program and Legislative Priorities. Staff will return to Council by December 2026 with the proposed approach.