County judge vetoes Pulaski County data center moratorium; override of veto expected
Pulaski County Judge Barry Hyde vetoed a recently passed ordinance that aimed to regulate data center development, including a large AVAIO Digital project, citing concerns about potential lawsuits and loss of tax revenue. The Quorum Court, which passed the ordinance with an 11-4 vote, is expected to override the veto with Justice of the Peace Julie Blackwood leading the effort.
Pulaski County Judge Barry Hyde has vetoed a comprehensive ordinance designed to establish regulatory "guardrails" for data centers, including a significant project by AVAIO Digital near Wrightsville. The ordinance, which was passed by the Pulaski County Quorum Court on an 11-4 vote, detailed permit requirements, noise abatement measures, safety standards, environmental impact assessments, and setback rules for high-intensity industrial enterprises.
Judge Hyde justified his veto by expressing concerns that the ordinance was too far-reaching and could expose the county to expensive lawsuits from developers over vested rights, due process, and contractual interests. He also highlighted the potential loss of substantial property tax revenues that large-scale projects like AVAIO Digital's $21 billion, 1-gigawatt data center could bring to local schools and public institutions.
Justice of the Peace Julie Blackwood, who sponsored the ordinance, expressed disappointment but anticipated the veto override. She indicated that the Quorum Court, needing nine votes, expects to successfully override Judge Hyde's decision. Democratic county judge candidate Wendell Griffen criticized Hyde for not offering an alternative regulatory framework and supported the override. Former county attorney Hamilton Kemp had previously warned the justices that a moratorium, an option considered, could lead to lawsuits.