Jackson County commissioners are putting a one-year pause on new data center development, joining a growing number of communities across Western North Carolina that have moved to temporarily halt the facilities while local governments figure out how they want to regulate them. 

Commissioners approved the moratorium Aug. 18, putting a hold on data center development in the county’s planning and development jurisdiction through Aug. 18, 2027. The moratorium prohibits the county from issuing permits for data center development, including zoning, development, building and demolition permits, as well as accepting certain related site plans. It also prohibits rezoning property for use as a data center.

“The moratorium is probably really appropriate in this day and age,” said Jackson County Planning Director Michael Poston. “Once you get a data center into your jurisdiction, that’s when we get into this issue we’ve had before about creating nonconformities and, ‘Is it a downzoning’ and, ‘Do we have the ability to make changes to that?’”

Jackson County’s moratorium comes as other communities across the region take similar steps. Swain County commissioners approved a 12-month moratorium earlier this year, while Clay and Watauga counties have also adopted moratoriums. Several municipalities, including Boone, Canton, Clyde, Brevard and Woodfin, have taken similar actions. Asheville also approved a one-year moratorium in June.

The wave of moratoria comes as data centers have become an increasingly common form of development across the state and country with the prevalence of artificial intelligence and all the necessary computing power required to use it.

Jackson County’s ordinance acknowledges the potential economic benefits of the industry, including the possibility of increasing the county’s tax base. At the same time, it recognizes concerns from residents about how data centers could affect the quality of life of people living near them.

One Jackson County resident spoke in support of the data center moratorium and in opposition to the county’s use of Flock security cameras.

“I believe a one-year pause is [a] reasonable approach to give our elected officials time to understand how data centers can affect our community before making decisions that can have long-term consequences,” she said.

The county’s Unified Development Ordinance also does not currently provide a clear definition of a data center, according to the moratorium. Commissioners said the yearlong pause will give the county time to determine whether additional regulations are needed and what those regulations should look like.

During the Aug. 18 meeting, county officials described the moratorium as a chance to study the issue before the county has to deal with a data center development under its existing rules.

Poston said the county will hold public hearings, bring in at least one data center developer or industry expert and have the planning board examine how other communities across North Carolina are handling the industry.

“We’re going to do hearings at the board level for general comments,” he said, adding that the county also plans to bring in someone with a background in data centers to speak to the boards.

The planning board and county staff will study the potential benefits and harms of data centers through the end of January. Staff will also review restrictions adopted by other counties and municipalities, with a particular focus on emerging data center technologies. By February, planning staff will begin drafting potential changes to the county’s development ordinance based on what it learns. The planning board will hold a public hearing on those changes by June 30 and make a recommendation to the commissioners. The commissioners will then hold another public hearing and vote on whether to adopt the proposed regulations by Aug. 18, 2027.

The moratorium is not intended to permanently block data centers from Jackson County. Instead, the ordinance says the goal is to find a balance between allowing the economic benefits of data center development and addressing concerns about its potential impacts on residents.

The moratorium does not apply to projects exempt under state law, and commissioners can end it early by majority vote. Commissioners voted unanimously to approve the moratorium.