As Memphis lawmakers wrestle with how to regulate the hyperscale data centers that have been operating in the city's backyard for a few years now, Shelby County Commissioners are testing the same waters.
At its Oct. 12 meeting, the Commission narrowly advanced an ordinance that would aim to pause the development of data centers in unincorporated areas of Shelby County for up to a year. While some Commissioners are looking to stave off any data center development in the near future, the legality of a moratorium or any related legislation is still up in the air.
Though there currently are no data centers in unincorporated Shelby County, several commissioners are pushing for a moratorium to buy time to write regulatory legislation.
"We must establish
uniform, strict regulations before the concrete is poured, not after it's dry," Vice Chair Henri Brooks said to her colleagues.
The moratorium passed its first of three votes, but not without some pushback.
Commissioners Mark Billingsley and Derek Mills were vocally opposed to the moratorium. Billingsley said passing the temporary ban would be "incredibly premature," as the County has not yet sought expert testimony and collected data on both environmental factors and economic impact. He emphasized not wanting the County to miss out on property tax revenue from data centers.
Per Brett Ragsdale, director of Memphis and Shelby County Division of Planning and Development, the department has not processed any permits for future data centers in unincorporated parts of the County, which the County Commission has jurisdiction over.
“I don’t support having a moratorium on something that doesn’t exist,” Mills said.
What's next?
The Commission still has weeks of discussion and opportunity to make changes before a moratorium could pass a third and final vote.
Commissioner Amber Huett-Garcia said she is drafting an alternative ordinance that will be on the board's Oct. 21 committee agenda. She is proposing more specific zoning-related legislation.
"I think the moratorium alone is not getting at what the public is telling us," she said.
But the Commission may also have some legal hoops to jump through first.
Assistant County Attorney Craig Barnes told the board that passing a moratorium may require some strict procedural actions under state law. This could include seeking approval from the County's Land Use Control Board before any County Commission action is taken.
Exact legal requirements seemed up in the air, but Commissioners expressed interest in engaging in further discussion at upcoming committee meetings.
How did commissioners vote in the first reading?
The following Commissioners voted yes for advancing the moratorium:
- Brooks
- Charlie Caswell
- Will Richardson
- Lashanta Rudd
- Erika Sugarmon
These commissioners voted no on the moratorium's first reading:
- Billingsley
- Michele Dial
- Mills
- Rhonda O’Dell
The following commissioners abstained from the vote:
- Shante Avant
- Miska Clay Bibbs
- Huett-Garcia
- Karen Streeter
Annie Goldman covers government for The Commercial Appeal. She can be reached at annie.goldman@commercialappeal.com or 901-930-7431, and followed on X @AnnieSGoldman.
This article originally appeared on Memphis Commercial Appeal: Shelby County Commission advances data center moratorium. Is it legal?
