Blount County Planning Commission requests 12 month moratorium on AI data centers while it develops regulations

The Blount County Planning Commission in Maryville, Tennessee, unanimously voted on July 23 to recommend a 12-month moratorium on the development of AI data centers, cryptocurrency mining, and blockchain computing centers within the county's jurisdiction. The motion, proposed by Commissioner Nick Bright and seconded by Jessica Hannah, aims to provide staff with time to develop and refine new zoning regulations specifically for these types of industrial data centers.

Thomas Lloyd, Director of Blount County Development Services, detailed the progress staff has made in drafting new ordinances. He highlighted the importance of clearly defining the industries to be regulated, differentiating between general data centers and the larger-scale "AI data centers" that raise quality of life issues. Commissioner David Wells emphasized this distinction, ensuring existing smaller data centers are not inadvertently impacted.

The proposed regulations may closely resemble those adopted by Knox County and Knoxville City Council, which focus on defining operations by their anticipated peak utility demands, particularly electricity and water consumption. An initial suggestion from the county commission included a 5,000-foot distance boundary from residential areas, schools, or churches. However, staff, after working with GIS, determined that this requirement would effectively leave no viable industrial sites within the county's jurisdiction, raising concerns about potential legal challenges if the regulations are too restrictive. The recommendation for a moratorium has been forwarded to the Blount County Board of Commissioners for final consideration and approval.