CORRECTIONVILLE, Iowa (KTIV) – A second data processing center, better known as a Bitcoin mine, could be on the way to Woodbury County if it is approved by county officials next week.

Bitcoin mining has proven controversial in the United States and right here in Siouxland. They are big customers for power companies and increase their tax base. But they can be noisy and annoying for rural residents seeking peace and quiet.

The Woodbury County Board of Adjustments will vote on a permit for the project at 6 p.m. next Monday, August 5, in the basement of the county courthouse.

Right now in the county, on a quiet gravel road outside Salix, Iowa, there’s a Bitcoin mine humming behind an electrical substation. By our measurements, the decibels are between 50 and 70 near the road. That’s about the level of normal conversation.

A second mine could soon be on the way, and this one could be closer to rural homes.

“It seems like, at least with these two in Woodbury County, they tend to like to locate them near these utility substations,” said Daniel Priestley, Woodbury County zoning coordinator.

The second Bitcoin mine would be located at 170th Street and Kossuth Avenue, west of Correctionville and south of Highway 20. Priestley says the closest home would be about 1,100 feet away from the site. However, under county rules, only landowners within 500 feet are notified by mail of a conditional use request.

In Stanton County, Nebraska, some landowners live further away from a larger mine and they complain of almost non-stop frustration due to the noise.

“And we encourage all concerned citizens to come forward and give their views, anyone who has been through this before,” Priestley said.

Woodbury County does not have a specific law when it comes to Bitcoin mining, so the applicants, AUR Correctionville, and the landowners, Ashley Acres Family Limited Partnership, will need to apply for a conditional use permit.

If a mining company only needs a conditional use permit, the final say lies with the appointed members of the Board of Adjustments, but if a mining company actually needs to rezone the land where the mine is located, the final say lies with the elected Woodbury County Board of Supervisors.

The mine has already gone before the Woodbury County Zoning Commission. According to commission documents, county staff said it “will be essential” to minimize noise from the facility. The commission is the first step toward receiving a conditional use permit, though the board of adjustment is free to vote against the permit even after it is approved by the commission.

In other words, the commission gives a recommendation to the board of adjustment.

Aside from noise, county staff found no other factors that could impact neighborhoods, traffic, parking, or utilities. Staff recommended using security fencing and lighting to protect the project.

The applicants wrote that the site will employ two full-time technicians earning $26 an hour, with housing and health care provided by AUR Correctionville. The company will also offer internships for students at local colleges and use local contractors to build the site.

“There will be no disruption to the land, neighborhood or surrounding property,” AUR Correctionville wrote in its application. “The location of the site is directly adjacent to the substation, (and) the land is not used for agricultural purposes.”

AUR Correctionville noted that the land is currently zoned as agricultural, meaning it has no neighborhood or historic features. The company does not need to rezone the land, only obtain a conditional use permit.

Priestley said Woodbury County elected officials could choose to create a specific law on Bitcoin mining if it generates enough interest.

The Bitcoin mine in Stanton County that has sparked complaints is larger than the current mine near Salix and the proposed mine near Correctionville. While decibels in Salix registered between 50-70 on Monday, decibels reached 88 at the site in Stanton County earlier this year.

Two storage containers would be placed at the site near Correctionville, and two would appear at the site near Salix, while about 10 are at the site in Stanton.

According to Carnegie Mellon UniversityBitcoin miners solve difficult mathematical problems to create blocks, which are simply groups of transactions. Since the miner solves the mathematical problems first, the transactions within those blocks are now cemented in time, verifying the transactions as valid.

For their efforts, miners are rewarded with Bitcoin, which can be traded for US dollars or another currency.

According to the conditional use application, the mine would balance energy supply and demand near the adjacent electrical substation.

Priestley encourages all Woodbury County residents to monitor the zoning commission It is adjustment plate to stay aware of changes in their neighborhoods because while elected supervisors are the most public face of county government, they are not the only party.

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