What is a data center moratorium? See why some D-FW cities are considering one
Several North Texas cities, including Fort Worth, Dallas, and Denton, are considering temporary moratoriums on new data center development. These actions aim to provide time to study the impacts of data centers on local resources like water and electricity, as well as address concerns about noise and land use. This trend reflects growing community and municipal concerns about rapid data center growth.
Several cities across North Texas are actively exploring temporary moratoriums on new data center development to address growing community concerns regarding water, electricity, noise, and land use. Fort Worth, for instance, initiated the legal process on August 11 to consider such a pause, while Dallas City Council members requested Mayor Eric Johnson to review the city's development code concerning data centers. Denton city officials are also weighing a potential 90-day moratorium and changes to their development code.
City leaders, including Fort Worth Mayor Mattie Parker and Dallas City Council member Chad West, emphasize the urgency of enacting "smart regulations" and bolstering existing ordinances to prioritize residents while maintaining economic competitiveness. They highlight that data centers are often permitted by-right in many non-residential zones with limited oversight, prompting calls for more resident and council input on future developments.
The article defines a moratorium as a temporary pause, distinct from an outright ban, which cities can implement under Texas Local Government Code Chapter 212, Subchapter E, after fulfilling specific notice and public hearing requirements. Moratoriums typically last up to 90 days but can be extended. The discussion comes as state officials conduct an audit of data center projects amidst rapid market growth in the Dallas-Fort Worth area.
Examples of past actions by other localities are also cited. Hill County faces a $100 million federal lawsuit from a Texas data center developer after enacting a year-long moratorium in May. In contrast, San Marcos amended its land development code in June to prohibit data centers across all zoning districts, effectively banning them within city limits. San Marcos City Council member Amanda Rodriguez, who championed the ban, noted the viability of a moratorium "just wasn't there" for her city, opting instead for a direct prohibition without a legal challenge yet.