Gilroy City Council Enacts Moratorium on New Data Center Applications
The Gilroy City Council unanimously approved a temporary citywide moratorium on new data center applications. This pause allows the city to study and develop specific zoning, siting, development, and operational standards for future data center projects. The action was prompted by community feedback, including concerns about an Amazon data center already under construction.
The Gilroy City Council unanimously enacted a temporary citywide moratorium on new data center applications following significant community feedback. The September 14 vote immediately halts the acceptance and processing of new data center projects while the city reviews its regulations. Residents' concerns, particularly regarding an Amazon data center currently under construction in northeast Gilroy, highlighted the inadequacy of current zoning codes which do not define data centers as a distinct land use.
During the moratorium, city staff, led by the Community Development Department and the Planning Commission, will research and propose new standards for future data center development. This study will encompass various impacts, including water use, cooling technology, electrical demand, grid capacity, backup generators, emissions, noise, aesthetics, and traffic. The Council has the option to extend the moratorium for a maximum total of two years, though it does not affect projects already approved or under construction, such as the Amazon facility.
City officials emphasized that the moratorium is part of a broader effort to improve how Gilroy handles major development projects, incorporating increased public awareness and community input. They aim to establish clear and consistent rules for businesses investing in Gilroy while ensuring residents have ample opportunity to participate in significant development decisions.