Water 101: How the Data Center Ordinance Protects Local Wells

Water is usually at the top of a community’s list of concerns around data center development. Residents worry about water use, whether their wells may run dry, and who is on the hook for replacing the water if that happens.

The Penn Forest ordinance makes clear that the answer is: the developer.

The Study Comes First

Before a developer can drill any well for a project, they must complete a three-step groundwater study. The developer must finish and have that study approved before drilling starts—not after residents start noticing a problem.

Every Nearby Well Is Covered

The ordinance requires a mandatory Well Depletion Agreement covering every private well within 3,000 feet of the site. That's not a handful of closest neighbors — it's a wide radius designed to catch anyone who could realistically be affected.

If Your Water Is Affected, the Developer Pays

This is the core protection: if a well runs low or dries up because of the project, the developer is required to provide replacement water and cover the cost of fixing it. The financial responsibility sits with the developer, not the resident and not the township.

Ongoing Accountability, Not a One-Time Check

Once a facility is up and running, it doesn't get to stop reporting. Monthly water usage reports are required for the life of the facility, giving the township an ongoing record of how much water is actually being used.

Built to Use Less Water in the First Place

The ordinance also encourages air-cooled, closed-loop, and other systems designed to minimize water use — pushing developers toward technology choices that reduce the risk to local wells before it ever becomes an issue.

The Bottom Line

Between the upfront study, the wide radius of coverage, the replacement-water guarantee, and the ongoing reporting, the ordinance is built around one idea: residents shouldn't have to prove a data center broke their well, and they definitely shouldn't have to pay to fix it.

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