Montgomery County Council Approves 18-Month Data Center Moratorium
The Montgomery County Council has approved an 18-month moratorium on new data center development, replacing a previous six-month executive order. Concurrently, new zoning measures were adopted, establishing definitions for and prohibiting hyperscale data centers while officials develop comprehensive long-term regulations. This action aims to address resident concerns regarding environmental impacts and electricity costs.
The Montgomery County Council in Maryland recently approved an 18-month moratorium on new data center development, effectively replacing a prior six-month executive order issued by County Executive Marc Elrich. This legislative action, known as Expedited Bill 19-26, prohibits the Department of Permitting Services from issuing building permits for data centers during this period and applies to projects already under review or approved but not yet issued permits.
Simultaneously, the Council adopted Zoning Text Amendment 26-01, which defines hyperscale data centers and prohibits their establishment in Montgomery County. This measure is intended to provide the County with sufficient time to develop a comprehensive zoning framework and long-term regulations for the data center industry.
Council President Natali Fani-González stated the goal is to create "well-defined guidelines" in collaboration with the state. Councilmember Evan Glass highlighted the moratorium as a "necessary step" to safeguard the environment, utility ratepayers, and residents' quality of life. Councilmembers Will Jawando and Kristin Mink also voiced that the extended pause reflects resident concerns over potential environmental impacts and escalating electricity costs. Supporters believe this planning period will facilitate studies, community engagement, and the establishment of standards for future data center projects' location, operation, and community impacts.