North Richland Hills adopts new zoning rules for data centers, adds special-use reviews near homes

The North Richland Hills City Council on Monday approved an ordinance amending Chapter 118 of the city’s zoning code to add two categories of data centers and new regulations for equipment, noise and parking.

City planning staff said the amendment creates two definitions — Data Center (General) for facilities in excess of 10,000 square feet, and Data Center (Small-Scale) for facilities of 10,000 square feet or less — and adds requirements for full enclosure or screening of noise-generating equipment, limits on generator testing hours, a required noise study, parking formulas, and a 200-foot special-use-permit requirement for sites near residential zoning.

The text amendment was staff-initiated. Planning staff told the council they had been researching national model guidance and peer-city ordinances and wanted to put a regulatory framework in place before applicants filed formal proposals. “We did a lot of research,” Staff member Corey, planning staff, said as she described work with the Urban Land Institute model ordinance and neighboring cities’ approaches.

Why it matters: data centers can materially change property tax valuations and have operational characteristics — power, cooling and sometimes fuel storage — that raise community concerns. Planning staff said three underutilized sites the city examined currently generate only modest property tax revenue but could generate substantially more if developed as data centers.

Key provisions and council discussion - Two-scale definition: Small-scale centers (≤10,000 sq ft) and general (>10,000 sq ft). The definitions consider total gross floor area across buildings on a site. - Equipment enclosure and screening: The ordinance requires that rooftop or ground-mounted cooling and noise-generating equipment be fully enclosed within the building where mechanically feasible; staff may grant an exception and require full screening if enclosure is not feasible. Planning staff said the enclosure requirement was clarified after Planning & Zoning Commission feedback. - Noise and generator testing: The Planning & Zoning Commission recommended a requirement that applicants submit a sound study demonstrating compliance with the city noise ordinance. The commission also tightened hours for routine generator testing to 10 a.m.–5 p.m. any day. - Distance / SUP threshold: The commission recommended that any data center proposed within 200 feet of residentially zoned property require a special-use permit, even if the underlying zoning would otherwise allow the use by right. The council adopted this approach. - Parking and site design: The ordinance uses a parking standard tied to office area (one space per 350 sq ft) and one additional space per 5,000 sq ft of gross floor area; staff said the goal is to avoid excessive impervious paving and favor landscaping when possible.

Council members asked specifically about likely sites, noise, utility and water demands, and whether equipment could realistically be enclosed. “If something comes up and it’s not feasible within the building, we wanted to have the addition of having that staff discretion,” Corey said. Councilmember Roberts voiced concern that even if facilities meet decibel limits, a persistent hum could still be a nuisance to long-time neighbors and said 100 feet (a buffer referenced earlier in discussion of screening) might not be enough.

A member of the public with experience in cloud and data-center operations spoke in support of the ordinance’s change, saying small-scale cooling is often comparable to rooftop HVAC and that special-use review for commercial zones offers additional safeguards. “That being said, I like having the designation preset so we can have rules future forward thinking,” Sean Nutt said.

Outcome and next steps The council voted 7–0 to approve the ordinance as revised following Planning & Zoning Commission recommendations. Staff noted applicants are expected later this year and that a short continuation to the council’s June 23 meeting would not materially delay potential projects but that delaying beyond the summer could cause concerns for prospective developers.