Venice Council wants a hold on data centers
Venice Mayor Nick Pachota proposed an 18-month moratorium on data center development to allow city staff time to draft new regulations. The City Council unanimously voted to direct staff to work on the moratorium ordinance and evaluation rules. The initiative aims to properly plan for future data center proposals while considering existing state laws.
Venice Mayor Nick Pachota has proposed an 18-month moratorium on data center construction within the city, citing the need for a comprehensive plan to evaluate such projects. The proposal was unanimously approved by the City Council, which voted 7-0 to direct staff to develop an ordinance and associated rules for data center development.
The Mayor clarified that the moratorium's purpose is to provide city staff with sufficient time to research and draft proposed regulations, which would then undergo review by the Planning Commission and require final Council approval. The move comes as state Senate Bill 180 restricts local governments' ability to tighten land-use laws until September 30, 2027.
The discussion also touched on public perception and state-level considerations. Council Member Ron Smith suggested that public concerns about data centers, particularly regarding water usage, might be an "overreaction," noting that modern data centers often use closed-loop cooling systems and can provide their own power. Mayor Pachota and Council Member Kevin Engelke echoed this sentiment, emphasizing advancements in data center technology.
The state has also enacted a new law, effective July 1, requiring "large load users" to bear the full cost of their utility needs, with the Public Service Commission currently reviewing a proposal from Duke Energy to meet this requirement. The Venice City Council's action is part of a broader trend among local governments adopting moratoriums to manage the rapid growth of data center proposals.