Cullman, Fort Payne join growing list of Alabama cities pausing data center development

Cullman, Fort Payne join growing list of Alabama cities pausing data center development

News ClipYellowhammer News·Cullman, Cullman County, AL·6/29/2026

Cullman and Fort Payne, Alabama, have both approved moratoriums on data center development to allow city officials time to draft comprehensive zoning regulations. Cullman enacted a one-year moratorium, while Fort Payne approved a six-month pause, aiming to proactively establish rules before development proposals arise. These actions follow similar moves by other Alabama cities like Birmingham, Leeds, and Homewood, driven by community questions about water use, noise, and infrastructure impact.

moratoriumzoningenvironmentalgovernmentelectricitywater
Gov: Cullman City Council, Fort Payne City Council, Cullman Planning Commission, Fort Payne Planning Commission, Fort Payne Board of Zoning Adjustment, Birmingham City Council

The Cullman City Council and the Fort Payne City Council in Alabama have independently enacted moratoriums on data center development, joining a growing list of Alabama cities that are pausing new projects to address community concerns and establish specific zoning regulations. On Monday night, the Cullman City Council unanimously approved a one-year moratorium, stating that the city's staff, Planning Commission, and city attorney will use this period to study the potential impacts of data centers on infrastructure, the environment, traffic, noise, and water resources before recommending new zoning rules. Violations of the moratorium are enforceable and subject to injunctions.

Meanwhile, the Fort Payne City Council approved a six-month moratorium during its June 16 meeting. City officials, including Zoning Administrator Nick Brown, emphasized that this move is proactive, as no data center proposals have been received yet. Brown noted that Fort Payne's current zoning ordinance lacks specific provisions for data centers or battery energy storage systems, which would leave the city with limited control over their location. The proposed regulations, currently being developed by the Planning Commission, are expected to primarily permit data centers in the city's M2 heavy industrial district and require conditional-use approval through the Board of Zoning Adjustment, including public hearings. Residents and economic development officials have discussed various provisions, such as environmental impact studies, water-use plans, electrical demand limits, noise standards, and significant setbacks from residential properties. The goal for both cities is to establish clear standards to manage future data center development responsibly.