Memphis fails to pass 1-year data center moratorium, instead opting for a shorter-term ban
The Memphis City Council rejected a proposed one-year moratorium on new data center construction but approved a shorter 135-day halt. The decision followed sustained community opposition to SpaceXAI's data center expansion, environmental concerns, protests and a lawsuit related to access restrictions at council meetings.
The Memphis City Council voted against a proposed one-year moratorium on new data center construction, instead approving an ordinance that pauses construction for 135 days. The temporary ban is intended to complement Mayor Paul Young's 90-day study of data center impacts and give the city time to consider permanent zoning, disclosure and development rules.
The decision followed protests and complaints from residents and activists about a lack of transparency, air pollution, electricity infrastructure, water protection and noise. SpaceXAI has built and is constructing multiple facilities in the Memphis region, including in nearby Southaven, Mississippi, where methane-powered turbines serving its data centers have prompted an environmental lawsuit. A federal judge also blocked the Trump administration's attempt to dismiss that case, while Memphis activists and Tennessee Rep. Justin Pearson have sued over their exclusion from earlier council meetings.