El Dorado approves moratorium on high-impact data centers as court fight over citizen petition looms

The El Dorado City Commission has approved a moratorium on high-impact data centers and certain battery energy storage systems, effective until November 30, 2026. This temporary ban suspends new use applications and building permits for these developments, with the possibility of extension.

Simultaneously, the commission declared a citizen-led petition, which sought to prohibit these same developments through an ordinance, as legally invalid. City Manager David Dillner stated the petition's proposed ordinance relies on the city's zoning code, making it an administrative matter outside the citizen ordinance petition process. The attorney who drafted the petition, however, disputes this interpretation and has indicated a potential lawsuit against the city if the petition is not deemed valid. Consequently, the city plans to file a declaratory judgment in court to resolve this legal dispute. Residents, including Steve Shannon, expressed some relief with the moratorium, viewing it as a step closer to their initial demands and providing temporary respite during the legal uncertainty. The city previously established a zoning framework for emerging industrial uses to regulate potential developments proactively.