Pulaski County approves data center moratorium after tense, hours-long debate

The Pulaski County Quorum Court convened for nearly four hours of emotional debate before approving a one-year moratorium on future large-scale data center development in the county's unincorporated areas. The moratorium, however, included a last-minute amendment to grandfather in the AVAIO Digital project near the Sweet Home community, allowing it to proceed. This decision means no new data center projects will be considered for the next 12 months in Pulaski County.

Opponents, including Arkansas Grassroots United, advocated for the moratorium, citing concerns over utility costs, environmental impacts, noise, health, and a lack of public transparency. Justice of the Peace Julie Blackwood, a sponsor of the emergency ordinance, emphasized the need for community input and informed decision-making.

Business leaders, including representatives from Entergy and Central Arkansas Water, defended data center developments, asserting that customers would not experience rate increases due to these projects. They highlighted the significant economic benefits, estimating that a fully built-out project could contribute up to $28 million annually in property taxes. Proponents also argued that such projects are crucial for Central Arkansas to remain competitive in the burgeoning AI industry.

It was noted that Google's project at the Port of Little Rock, being within city limits, would not be affected by the county's moratorium. An AVAIO Digital representative was present at the meeting, presenting the company's approved permits, infrastructure plans, and utility agreements. The county attorney revealed that the Arkansas Attorney General had issued an opinion stating the Quorum Court was outside its jurisdiction in approving such a measure, leading to concerns about a potential lawsuit following the vote. The county is now facing possible legal challenges.