Some council members seek hearing on data center construction moratorium
Five Dallas City Council members have formally requested a public hearing on a temporary moratorium for new hyperscale data center permits. This pause would allow the city to develop specific zoning rules and address community concerns about noise, heat, water, and electricity demand. The city currently lacks specific data center zoning, leading to projects being approved by right.
Five Dallas City Council members, including Chad West, Kathy Stewart, Laura Cadena, Paul Ridley, and Jaime Resendez, have formally asked Mayor Eric Johnson to consider a temporary halt on permits for new hyperscale data centers. Their memo requests that the issue be referred to a council committee and placed on a voting agenda within 30 days, paving the way for a public hearing on a potential moratorium covering new hyperscale construction permits and initial occupancy certificates.
The council members advocate for this pause to provide city staff with time to research best practices and formulate a comprehensive regulatory framework for these facilities. They cited community concerns regarding the potential adverse effects of data centers, specifically mentioning noise pollution, heat generation, substantial water consumption, and increased electricity demand, all of which impact residents' quality of life. Currently, Dallas does not have a dedicated zoning category for data centers, often classifying them as "communications exchange facilities," which can be approved "by right" in many commercial and industrial zones without specific oversight from the City Plan Commission or City Council.
This initiative builds on previous calls from council members, residents, and environmental advocates for tailored regulations amidst a data center boom that has made North Texas a leading global market. The proposed regulatory changes could include creating a distinct land-use category for data centers and establishing specific requirements for setbacks, noise levels, and water and electricity usage. The memo also references an August directive from Gov. Greg Abbott, which mandated that the Public Utility Commission of Texas and the Electric Reliability Council of Texas audit data centers seeking interconnection to the state’s electric grid.