Following Lee’s lead, Terrell County hits pause on data centers

DAWSON — The Terrell County Commission has become the latest southwest Georgia government to pause potential data center development while officials draft regulations, joining a growing number of local governments choosing to establish rules before developers come calling.

The Terrell County Board of Commissioners voted unanimously Tuesday to adopt a six-month moratorium on new data centers, giving county officials time to develop zoning regulations governing where such facilities could be located and how they would operate.

The move comes even though no formal data center proposal has been submitted in the county.

Commission Chairman W.T. Gamble III said the county’s goal is not to discourage development but to ensure commissioners have clear standards in place before considering what could become one of the largest industrial investments in the county’s history.

“I’m not saying that because I’m necessarily hardcore against them,” the chairman said during Tuesday’s meeting. “They do have some big advantages.”

Among those advantages, he said, are the substantial property tax revenues large data centers can generate.

“They sometimes bring $20 million or $30 million a year in property tax,” Gamble said, noting that figure could exceed, and potentially more than double, the county’s current annual property tax collections.

At the same time, commissioners acknowledged the facilities present unique challenges, including high water consumption, significant electrical demand, noise concerns and potential impacts on rural landscapes.

Planning officials raised the issue after discussing how other Georgia communities have begun responding to increased interest from data center developers.

County officials specifically referenced neighboring Lee County, where commissioners earlier this year approved a temporary moratorium while considering development standards. Similar discussions have taken place elsewhere across Georgia as local governments seek to balance economic development opportunities with infrastructure demands.

“One thing they did say was that it’s a good idea to go ahead and be proactive,” Terrell County Extension Coordinator Margaret Halbrook told commissioners, recalling a presentation she attended. “If you don’t already have some kind of ordinance in place, they can take advantage of that.”

County Attorney Jimmy Skipper agreed the county should establish regulations before any proposal arrives.

Without an ordinance, officials noted, the county could have limited authority to address issues such as setbacks, buffering, utility requirements or operational standards should a developer seek approval under existing zoning.

The moratorium is intended to provide time for commissioners, the Planning and Zoning Board and county staff to research best practices before adopting permanent regulations.

Data centers have become increasingly attractive to local governments because they often represent hundreds of millions of dollars in taxable investment while employing relatively few workers compared with manufacturing facilities.

The rapid expansion of artificial intelligence, cloud computing and digital storage has accelerated demand for new facilities across Georgia, particularly in communities with available land, reliable electric infrastructure and access to major transmission lines.

But the projects have also drawn scrutiny.

Large data centers can consume millions of gallons of water daily for cooling, depending on their design, while requiring enormous amounts of electricity that can strain local power infrastructure. Many local governments also have debated issues ranging from diesel backup generators and noise to the long-term use of agricultural land.

Terrell commissioners emphasized Tuesday that the six-month moratorium is intended to allow those questions to be answered before the county receives a formal proposal.

The board voted to limit the moratorium to six months, with the option of extending it if additional time is needed to complete an ordinance.

“I don’t want to just linger that forever,” Gamble said. “I want to get something in place. It’s a pretty complicated issue.”

During the coming months, county officials are expected to review model ordinances from other Georgia communities and work with the Planning and Zoning Board to develop regulations for future consideration.