Faulkner County court narrows ordinance language, adds state definitions and noise limits for data centers and digital-asset mining businesses

Faulkner County Quorum Court members voted to approve Ordinance 25-12 as amended, tightening how the county will regulate large computing facilities by adding state-based definitions for digital-asset mining and spelling out noise limits and notice procedures.

The court’s final action replaces a broad reference to “commercial crypto mining facilities” in the county’s data-center definition with the term “digital asset mining business,” and inserts four definitions taken from Act 173 of the 2024 Arkansas legislative session and Arkansas Code §14-1-603. The ordinance as amended also spells out daytime and nighttime sound limits, and narrows how public notice is distributed while requiring filing with the county judge’s and clerk’s offices and a public meeting on a court agenda within a set period.

Why it matters: County officials said the changes aim to give the sheriff’s office and prosecutors workable elements to enforce noise and nuisance complaints while avoiding overly narrow language that could be vulnerable to legal challenge. Supporters said the added state definitions create clearer thresholds (including an energy-use threshold) to distinguish ordinary data centers from facilities built specifically to secure blockchain networks, while opponents warned about the administrative burden of notice requirements and the potential to deter legitimate investment.

The key provisions

Definitions — The court accepted four definitions drawn verbatim from Arkansas law. As read on the floor, the ordinance will include the Arkansas-code language that a “blockchain network” is “a group of computers operating and processing together to execute a consensus mechanism to agree upon and verify data in a digital record,” and that a “digital asset” includes “cryptocurrency, virtual currency, or natively electronic assets” such as stablecoins and non‑fungible tokens. The court added the code’s definitions of “digital asset mining” (the use of electricity to power a computer blockchain network) and “digital asset mining business” (a group of computers at a single site that consumes more than 1 megawatt on an average annual basis for the purpose of generating digital assets by securing a blockchain network). Justice Pearson read the definitions into the record as taken from Arkansas Code §14‑1‑603.

Noise limits and attenuation — The ordinance adds explicit sound limits for facilities: 60 dB during daytime hours (8 a.m.–8 p.m.) and 55 dB during nighttime hours (8 p.m.–8 a.m.), measured at the property line of the receiver. The court also required submission of a third‑party noise‑attenuation plan prepared by an architectural or design firm. The sponsor explained the decibel figures are intended to remove ambiguity from the ordinance’s existing “noise disturbance” wording and make enforcement standards clearer for the sheriff’s office and county prosecutors.

Notice and public process — The court amended the ordinance to remove the requirement that applicants mail certified notices to every residence within a half‑mile radius. Instead the amended language requires the property owner or operator to file required studies and plans with the county judge and county clerk; the judge’s or clerk’s office must make public notice (for example, posting on the county website) and the item must be placed on a court meeting agenda within 90 days so the public has an opportunity to comment.

Enforcement and evidentiary questions — Members discussed how a narrower definition (digital asset mining business) could make it harder for law enforcement to prove criminal elements because some elements (such as whether the facility is securing a blockchain network) may require technical proof or warrants to obtain energy‑usage records. The court balanced that concern by keeping the broader statutory data‑center definition in place for the ordinance’s descriptive language while nesting the specific Arkansas definitions under it to create thresholds that can be checked (for example, megawatt usage) when warranted.

Votes and outcome

- Motion to amend the ordinance’s references so the data‑center definition specifically “includes but is not limited to digital asset mining businesses” and to add the four Arkansas definitions (blockchain network; digital asset; digital asset mining; digital asset mining business): passed on the floor (recorded in debate as 9 yes, 2 no). Justice Pearson moved the amendment; it was seconded and adopted.

- Motion to add a definitional cross‑reference and attach explicit decibel thresholds (60 dB daytime / 55 dB nighttime) to the noise‑disturbance definition: adopted by roll call earlier in the debate and incorporated into the ordinance as amended.

- Motion to replace the large‑radius certified‑mail notice requirement with filing to the county judge/clerk, a requirement that the judge or clerk make public notice, and that the matter be placed on a court meeting agenda within 90 days for public comment: adopted by roll call. The court then voted to adopt Ordinance 25‑12 as amended; the motion carried and the ordinance passed.

What officials said

Justice Allison, sponsor: “Let me say that my intent is to not make it so narrowly defined that we're in danger of or in a foul of discrimination, and so that we're not thrown out in court because we're considered to be discriminatory against the single entity or bridal people.”

Justice Pearson (reading Arkansas statute language into the record): “A blockchain network is a group of computers operating and processing together to execute a consensus mechanism to agree upon and verify data in a digital record… A digital asset mining business is a group of computers working at a single site that consumes more than 1 megawatt on an average annual basis for the purpose of generating digital assets by securing a blockchain network.”

Several members urged caution about overly narrow language because proving that a facility is specifically securing a blockchain network can require technical evidence; others said the energy‑use threshold in the Arkansas definition offers a practical way to separate ordinary server rooms from large coin‑mining operations.

Context and next steps

Court members said the ordinance responds to complaints from residents living near existing crypto‑mining operations and aims to establish enforceable standards for any future large computing facilities in unincorporated Faulkner County. The ordinance’s noise rules and filing/notice process take effect according to the county’s standard implementation procedures; the judge’s office will post notices and schedule the public hearing portion on a court meeting agenda within the 90‑day window established by the amendment.

The ordinance incorporates Arkansas Code §14‑1‑603 (Act 173 of 2024) definitions. The county’s sheriff’s office and prosecuting attorney will continue to have responsibility for enforcement and for any investigative steps (including seeking warrants) to obtain energy‑usage records if necessary to prove a violation under the new definitions.

Ending: The Quorum Court passed Ordinance 25‑12 as amended; the county judge’s office will accept filings under the new rules and is responsible for public posting and agenda placement for hearings arising from future permit filings under the ordinance.