Prichard questions validity of permit issued before data center moratorium
A proposed $93 million Edged data center in Prichard, Alabama, faces a significant hurdle after the city council moved to invalidate its building permit and refund $224,000 in application fees. The council asserts the permit was issued illegally, lacking a required planning commission review, prompting questions about whether the project now falls under the city's recently enacted data center moratorium. The outcome has major financial implications for the city, which had budgeted for increased sales and property tax revenues from the project.
The city of Prichard, Alabama, is challenging the validity of a building permit for a proposed $93 million Edged data center. The Prichard City Council is considering a resolution to invalidate the permit and refund $224,000 in application fees, arguing that the permit was issued on July 30 without the required site plan review by the planning commission.
Council members, including Walker and Stephani Norwood, contend that this procedural flaw makes the permit illegal and subjects the project to the city's six-month data center moratorium, which was approved on August 4, just days after the permit's issuance. Mayor Carletta Davis, who was absent during the council's discussion, acknowledged the legal complexities, stating it is a legal question whether the project is now under the moratorium or if it is grandfathered in. The city attorney declined to comment on the ongoing issue.
The potential invalidation of the permit carries significant financial implications for Prichard, as Mayor Davis's proposed 2026-27 budget projected a 46.1% increase in sales-tax collections and approximately $90,000 in annual property-tax revenue, primarily attributed to the data center project. NBC 15 News has reached out to Edged for comment on the development.