Grand Junction Considers Data Center Moratorium

Grand Junction municipal staff are drafting an ordinance to implement a one-year moratorium on new data center developments. The proposed ban aims to allow the city to update its zoning laws and address the rapid growth of the data center industry proactively, before any development applications are formally submitted.

City Manager Mike Bennett stated that current city codes do not adequately cover data centers, creating a "vulnerability" regarding water and electricity resources. The moratorium would prevent the city from accepting or reviewing new data center applications for a year, or until new code language is adopted. Grand Junction City Council members expressed no immediate pushback on the proposal during a recent workshop.

The initiative is influenced by challenges faced by other Colorado cities dealing with data center developments without adequate regulations. Concerns about water conservation and electricity rates are prominent, as evidenced by a recent Magellan Strategies poll showing 82% of Colorado voters oppose data centers in their cities or towns.

Council Member Cody Kennedy suggested coordinating regulations with Mesa County to ensure a consistent approach, recognizing that even data centers outside city limits would impact shared resources. The eventual regulations will focus on zoning districts, use categories, and potential standards for water, power, heat, noise, lighting, and environmental impacts, while aiming to avoid deterring low-impact IT businesses.