Reno City Council adopts pending moratorium on new data centers

The Reno City Council has voted 6-1 to adopt a "pending moratorium" on new data center projects, a move that will temporarily halt the approval and construction of such facilities within city limits. Senior Planner Lauren Knox stated that this interim measure immediately affects new applications, preventing the acceptance of conditional use permission applications for the next 30 days or until a final moratorium solution is adopted by the council. This decision follows an April 22 unanimous vote by council members to begin tightening regulations on data centers. The city plans to introduce more specific requirements for data center locations, sound emissions, energy and water consumption, and community benefits agreements. Advocates, including Olivia Tanager, executive director of the Sierra Club Toiyabe Chapter, have been vocal in pushing for a pause, citing concerns about data centers' "outsized impact" on air quality, water resources, and grid stability in Reno. However, the move has also drawn criticism. Tray Abney of the Nevada Data Center Alliance expressed concern that a moratorium could send a "wrong message" for business development in Reno. Nevada Lt. Gov. Starvos Anthony noted that the state is actively engaging with data center companies to encourage the development of technologies that reduce resource use. The pending moratorium is the initial phase of a two-part process, with discussions for the final moratorium scheduled for June 1.