Little Rock board to consider moratorium on new large-scale data centers until January

The Little Rock Board of Directors is scheduled to consider a proposed ordinance at its July 7 meeting that would implement a moratorium on new approvals for large-scale data centers until January 1, 2027. The measure, which would specifically target "hyperscale" facilities, would not apply to Google's already planned data center at the Port of Little Rock.

City Directors Kathy Webb of Ward 3 and Capi Peck of Ward 4 requested the moratorium, citing concerns about electricity costs, water resiliency, environmental exposure, and tax revenue. Their stance marks a shift from April 2025, when both directors voted to authorize the sale of land and other measures for the Google project without objection. The Google facility, expected to involve a $1 billion investment for a nearly 300,000-square-foot data center, could eventually expand to five primary buildings of similar size.

Separately, in June, the Little Rock board unanimously approved new regulations proposed by Mayor Frank Scott Jr. These regulations classify data centers into three tiers—"accessory," "major," and "hyperscale"—and establish rules for aspects like water use, noise, and property setbacks. Despite these new rules, public scrutiny has increased, with some attendees arguing the regulations are inadequate.

In nearby unincorporated Pulaski County, AVAIO Digital Partners is pursuing a $6 billion data center project. The Pulaski County Quorum Court previously voted to establish a 12-month moratorium on new data centers, with an exception for the AVAIO facility, though a miscount later revealed the measure failed to meet the threshold for an emergency ordinance.