Title
Public Hearing on Temporary Moratorium on New Telecommunications and Data Storage Facilities
Action
Action:
Conduct a public hearing to consider adoption of a Temporary Moratorium on acceptance, processing, and approval of applications for new telecommunications and data storage facilities within the City of Charlotte, North Carolina, and its Extraterritorial Jurisdiction pursuant to NC General Statute 160D-107.
Body
Staff Resource(s):
Alyson Craig, City Manager’s Office
Andrea Leslie-Fite, City Attorney
Explanation
§ The Charlotte Unified Development Ordinance (UDO) defines a data center as a “telecommunications and data storage facility, accessed only by employees, that houses computer systems and associated components, related to the transmittal and receiving of information, including but not limited to, telecommunications systems, telecommunication and telephone switching systems, cloud storage systems, and server farms.”
§ Per the UDO, telecommunications and data storage facilities (data centers) are permitted uses by right in the following districts:
- General Commercial (CG),
- Regional Commercial (CR),
- Office Flex Campus (OFC),
- Research Campus (RC),
- Manufacturing & Logistics (ML-1 & ML-2),
- Innovation Mixed Use (IMU), and
- Uptown Core (UC).
§ Currently all data centers, regardless of size, type, or capacity, are treated the same under the UDO.
§ Data centers are subject to applicable zoning and general development standards (setbacks, height, transparency, landscape yards, screening, exterior lighting, etc.) but have no additional prescribed conditions.
§ On December 11, 2024, Session Law 2024-57 (SB 382) amended NC General Statute 160D-601 to limit the ability of local governments to down-zone property without the written consents of all affected property owners.
§ Although state law limits some zoning changes to data centers, the city has assembled an interdisciplinary team of city staff with expertise across city departments to study and explore the impacts of data centers and create a unified strategy to address concerns.
§ At the April 27, 2026, Business Meeting, City Council directed staff to provide an overview and informational presentation of data centers in Charlotte.
§ On May 11, staff provided City Council with information about the types of data centers, data center inventory in Charlotte, the impacts on water and energy consumption, and the legal constraints with modifying certain land use requirements in the UDO due to Session Law 2024-57 (SB 382).
§ Staff recommended that the City Council:
- Conduct a public hearing and adopt a 150-day moratorium on applications for new data centers; and
- Refer the issue of data centers to the Transportation, Planning, and Development Committee on June 1.
§ Pursuant to NC General Statute 160D-107, local governments may adopt temporary moratoria on any development approval required by law, except for the purpose of developing and adopting new or amended plan or development regulations governing residential uses.
§ The purpose of the temporary moratorium would be to allow the city to analyze and study the unique development, infrastructure, and environmental impacts of data centers and prepare and consider appropriate regulatory and policy changes to address those impacts. These considerations include, but are not limited to, impacts on water consumption, energy demand, noise, and land use compatibility.
§ Pursuant to NC General Statue 160D-107, a development moratorium with a duration of 61 days or longer is subject to the notice and hearing requirements of NC General Statue 160D-601. Specifically, before adopting any ordinance or development regulation authorized by Chapter 160D, the governing board shall hold a legislative hearing. A notice of the hearing shall be given once a week for two successive calendar weeks in a newspaper not less than 10 days nor more than 25 days before the date scheduled for the hearing.
§ On May 11, 2026, City Council voted to hold a public hearing on Tuesday, May 26, 2026, on the adoption of a 150-day moratorium on data center development.
§ The city published the public hearing notice in the Charlotte Observer on May 15, 2026, and May 22, 2026.