City of Commerce Approves Temporary Ban on Data Center Development

City of Commerce Approves Temporary Ban on Data Center Development

News ClipMyNewsLA.com·Commerce, Los Angeles County, CA·8/12/2026

The Commerce City Council has enacted an immediate 45-day moratorium on data center development. This temporary ban allows city staff time to study data center operations and develop specific land-use standards and zoning amendments to address potential impacts like noise, air quality, electricity, and water usage.

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Gov: Commerce City Council, City of Commerce, Mayor Kevin Lainez, City Manager Ernie Hernandez

The Commerce City Council has enacted an immediate 45-day moratorium on data center development, effective Wednesday. This decision came after the council adopted an urgency ordinance at a recent meeting, prohibiting the approval of land-use permits or agreements for data center projects during this period.

City officials stated that the current municipal code lacks specific definitions or regulations for data centers, leaving existing zoning standards inadequate to address potential impacts. These impacts include concerns over noise, air quality, infrastructure strain, and the significant electricity and water demands of modern data centers.

Mayor Kevin Lainez emphasized that the city's highest priority is the well-being of its residents, aiming to balance economic growth with quality of life. City Manager Ernie Hernandez added that the focus is on proactive and responsible oversight to manage complex industrial proposals.

The moratorium is intended to provide city staff with time to research data center operations and develop comprehensive land-use standards, zoning amendments, and environmental protections. Staff are expected to present a written report detailing these measures within 35 days. Additionally, a public hearing will be scheduled to consider extending the moratorium for up to an additional 10 months and 15 days.