Hamilton County Commission approves yearlong data center moratorium

Hamilton County, Tennessee, has officially approved a one-year moratorium on data center construction within its unincorporated regions. The unanimous vote by the Hamilton County Commission came after County Mayor Weston Wamp initially proposed the ban in late June. The primary goal of this temporary halt is to enable the County Planning Department to draft and implement more restrictive zoning regulations specifically tailored for data centers by March 2027.

Mayor Wamp emphasized that, based on discussions with local utilities, data centers are not an appropriate fit for Hamilton County. While some commissioners had initially questioned whether the moratorium could be extended for several years, County Attorney Janie Varnell advised against a longer ban, citing potential legal challenges. She clarified that a year-long moratorium, with the express purpose of developing new zoning codes, aligns with Tennessee law and minimizes legal risks.

The enacted moratorium applies to businesses primarily engaged in processing, storing, or transmitting digital information that require environmental controls and have a peak electric demand of 1 megawatt or more. During this period, the County Planning Department will conduct comprehensive studies on the potential impacts of data centers, including utility infrastructure strain, light and noise pollution, and other environmental concerns. Commissioner Steve Highlander supported the one-year approach, stating the county's desire to "control our own destiny" regarding such developments.