HomeMy WebLinkAboutORD-2026-010-One-Year Moratorium Ordinance on “Data Centers” as a Land Use ORD-202 &010IJla ) 41"Igf/50 Attachment 1
AN ORDINANCE IMPOSING A TEMPORARY MORATORIUM ON DEVELOPMENT APPROVALS FOR LARGE
SCALE DATA CENTERS AND RELATED HIGH -IMPACT FACILITIES IN ORANGE COUNTY.
WHEREAS, the Orange County Board of Commissioners (the " Board " ) is responsible for promoting the
health, safety, and general welfare of the County ' s residents; and
WHEREAS, North Carolina General Statute § 160D407 authorizes local governments to adopt temporary
moratoria on development approvals under certain conditions; and
WHEREAS, the Board has observed a recent increase in inquiries and potential applications for high -
impact facilities, specifically large scale data centers and similar operations, within the unincorporated
areas of the County; and
WHEREAS, these types of facilities present unique challenges and potential impacts not adequately
addressed by the County ' s current Unified Development Ordinance ( UDO ) or zoning regulations,
including but not limited to :
• Extremely high electricity consumption and strain on existing utility infrastructure ;
• Significant noise generation from cooling systems and backup generators, affecting adjacent
residential areas and general quality of life;
• Substantial water usage for cooling purposes;
• Potential environmental impacts, including hazardous materials and electronic waste disposal ; and
• Land use compatibility concerns, including in rural or agriculturally zoned districts; and
WHEREAS, the County ' s existing regulations were not developed with these specific types of high - impact
uses in mind , and the County needs time to develop appropriate, comprehensive standards to ensure
that any future development of such facilities is consistent with the County ' s long-term land use plan
and protects the public interest; and
WHEREAS, the Board has considered alternative courses of action, such as relying on existing general
use permits or on -the -spot zoning amendments, but determined these were inadequate because they
lack the specific performance standards ( e . g . , noise limits, utility capacity requirements, setbacks )
needed to mitigate the unique impacts of data centers effectively; and
WHEREAS, a temporary moratorium on accepting and processing new applications for such facilities is a
reasonable and necessary measure to allow County staff and the Planning Board sufficient time to study
the issues, engage with stakeholders, and draft appropriate amendments to the UDO ;
NOW, THEREFORE, BE IT ORDAINED by the Orange County Board of Commissioners :
Section 1 . Moratorium Imposed
A temporary moratorium is hereby imposed for a period of one ( 1 ) year from the effective date of this
Ordinance . During this period , the County shall not accept, process, or approve any applications for the
following development approvals :
• Special Use Permits;
• Conditional Zoning Permits;
• Zoning Map Amendments ( rezoning requests);
• Building Permits ( except for interior renovations that do not expand capacity or impact
exterior appearance/ noise ) ;
• Any other development approval required by law;
for the establishment, construction , erection, alteration, or expansion of any data center,
cryptocurrency mining facility, other high - impact data processing facility or other uses including but not
limited to Artificial Intelligence Data Centers, Cryptocurrency Mining Facilities, Data Centers, Data
Processing Facilities, and similar uses .
Section 2 . Scope and Exemptions
This moratorium shall apply to all unincorporated areas of Orange County . Exemptions include :
• Any development that has received a valid development approval in accordance with G . S . 160D407 ( c )
prior to the effective date of this ordinance .
• Single and two -family residential dwellings .
Section 3 . Plan of Action and Schedule
During the effective period of this moratorium , the Orange County Board of Commissioners and County
Staff shall take the following actions :
• Step 1 : Study the potential impacts ( energy, water, noise, land use ) of data centers and similar
facilities .
• Step 2 : Draft specific land use ordinance amendments and performance standards to regulate these
facilities, including appropriate zoning districts, setback requirements, noise limitations, and utility
capacity conditions .
• Step 3 : Planning Board review of the draft amendments .
• Step 4 : The Board of Commissioners will hold the necessary public hearings to consider and potentially
adopt the final ordinance amendments .
Section 4. Duration and Termination
This Ordinance shall be in full force and effect from April 21, 2026 until April 21 , 2027, unless earlier
terminated , extended , or modified by the Board of Commissioners in accordance with North Carolina
law . The stated duration is reasonably necessary to address the identified problems .
Section 5 . Severability
If any section or part of this ordinance is declared invalid or unconstitutional by a court of competent
jurisdiction , such invalidity shall not affect the validity of the remaining sections or parts .
Adopted this the 21St day of April , 2026 .
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