Gilroy City Council will consider temporary moratorium on data centers

Gilroy City Council will consider temporary moratorium on data centers

News ClipGilroy Dispatch·Gilroy, Santa Clara County, CA·9/14/2026

The Gilroy City Council will consider a temporary moratorium on new data center developments at its upcoming meeting, aiming to review and update design and development standards. This decision follows community concerns over large-scale projects, though it will not impact an Amazon data center already under construction.

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Gov: Gilroy City Council, City of Gilroy, Planning Commission, Morgan Hill City Council

The Gilroy City Council is set to consider an interim urgency ordinance on September 14, which would impose a temporary moratorium on new data center developments. The proposed pause aims to allow city officials time to review and update design and development standards applicable to data centers and other industrial projects.

This move by the council is a direct response to community concerns and questions raised by residents regarding large-scale development and the approval process for such projects. Mayor Greg Bozzo emphasized the city's commitment to taking community feedback seriously, acknowledging the need to carefully examine and potentially strengthen existing standards. While the moratorium would halt new applications, it would not affect an Amazon data center that has already been approved and is currently under construction in Gilroy.

City staff explained that the review would focus on objective standards related to building aesthetics, height, energy and water usage, and community integration. The proposal follows recent changes approved by the City Council in August, which expanded notification and community engagement requirements for large commercial and industrial projects and mandated Planning Commission review for developments requiring an Environmental Impact Report. Neighboring Morgan Hill City Council recently enacted a similar temporary moratorium.