City considers placing the clamps on any potential bitcoin operation

The Leavenworth City Council appears poised to set interim zoning controls regarding bitcoin high density power load uses. This was discussed at the March 13 city council study session.
In cooperation with the Chelan County PUD, city administrator Joel Walinski said without regulatory intervention, cryptocurrency mining in residential districts poses a life safety threat to the community due to the risk of fire.
The proposed interim zoning control would provide a framework that prohibits cryptocurrency mining in areas that wouldn’t normally be expected to serve high density load electricity uses, specifically in residential areas.
“We had the presentation by the PUD. This has been discussed at the city of Wenatchee with the PUD. This is their wording. As long as the city council wants us to continue on. There is supposedly a bitcoin operator on Prowell Street,” said City Administrator Joel Walinski.
Mayor Cheri Kelley Farivar said she recently received a video from Chelan County Commissioner Keith Goehner on a bitcoin mining operation on North Road. She played the video for the council.
“It’s an un-permitted building. You can build any building in Chelan County under 280 square feet. It is 12x24. Looks like a little storage shed or garage. This is the noise it makes. This is what the next door neighbor hears from their deck 24/7,” Farivar said.
The loud noise is from the fans and air conditioning needed to cool the building, because the servers generate so much heat, she said.
“It looks innocuous, but it is so noisy. They can’t sit on their deck and have a nice iced tea. This in March, wait until July,” Farivar said.
Councilman Jason Lundgren asked if the house had been wired for a high density load. Farivar said no, it is just huge box.
“The PUD, remember what they said, until show they’re using a lot of power, they have to give it to them,” Walinski said.
“It is a very annoying and safety consideration,” she said.
“This is the first one I was made aware of in the Leavenworth community, not inside the city. There is another one on Prowell. This ordinance is timely and critical,” Farivar said.
Councilman Elmer Larsen said it is a real safety hazard if it is right in your neighborhood.
The Chelan County PUD has decided to halt work on applications from bitcoin and similar data operations. The moratorium became effective immediately to reduce operating and financial risks. See sidebar story.
Ian Dunn can be reached at 548-5286 or editor@leavenworthecho.com.