Agenda 03-17-2026; 6-c - Discussion of Moratorium on “Data Centers” as a Land Use

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4 Attachment 1 response to transformations in technologies including Al, hyperscale development across the country and new domestic manufacturing, the total national energy demand is estimated to increase 20 percent by 2030.2 This level of power demand can trigger the need for additional generation sources and new grid infrastructure. Source— National Association of Counties • Nationally, evidence suggests that large facilities' drains on electrical grid infrastructure leads to higher costs for residents. Water Usage Impact of Data Centers • Large data centers can consume up to 5 million gallons per day, equivalent to the water use of a town populated by 10,000 to 50,000 people. Source -- Data Centers and Water Consumption By Miguel Yanez-Barnuevo • Novel technologies like direct-to-chip cooling and immersion cooling can reduce water and energy usage by data centers. Source -- Data Centers and Water Consumption By Miguel Yanez-Barnuevo • Nationally, evidence suggests that large facilities' drains on water utility infrastructure leads to higher costs for residents. Policy Options Available to the County and Process Temporary Moratorium —Two options for moratoria, less than or greater than 60 days. Less than 60 days requires a legislative public hearing with more than 7 days advance public notice and may be imposed by BOCC majority vote/resolution. Greater than 60 days requires a legislative public hearing with notice of the hearing given once a week for two successive calendar weeks. The notice must be published the first time not less than 10 days nor more than 25 days before the date scheduled for the hearing and must be adopted by ordinance. Either option requires specific findings by the BOCC. Revising the UDO— During a moratorium the actual amendment to the UDO would go through the usual process for a text amendment, i.e., staff drafting and review, planning board hearing, review, and recommendation, BOCC hearing and decision. Amending the UDO with regard to data centers would be subject to downzoning restrictions such that Data centers could not simply be prohibited. For any use specifically eliminated, another use must be added. For example, "Data Center" over 20,000 square feet prohibited while "Data Center Local" under 20,000 square feet allowed each with specific descriptions. Recommendations for BOCC Action Manager recommends the BOCC — Direct staff to bring back to the BOCC a public hearing on a one-year moratorium on data center development for the purpose of developing appropriate UDO safeguards related to Artificial Intelligence Data Centers, Cryptocurrency Mining Facilities, Data Centers, Data Processing Facilities, and similar uses.