Wendell adopts temporary moratorium on data centers while it rewrites zoning rules

Wendell — The Town of Wendell on Wednesday voted to adopt a temporary moratorium on data centers, data processing facilities and cryptocurrency mining, saying the pause will allow staff and consultants to craft zoning and performance standards before the town considers new applications.

The moratorium ordinance, proposed by planning staff and drafted with the town attorney's input, was approved after an extended public hearing that drew residents who cited concerns about water use, electricity demand, noise and property impacts. "We have an opportunity to push this down the road until we have the real answers," said Robert Clon, a Wendell resident. "Once we make this decision, there may not be a second chance."

Town staff told commissioners that Wendell's Unified Development Ordinance (UDO) does not currently define data centers, cryptocurrency mining or related uses, creating regulatory uncertainty. Staff said it is participating in regional working groups and has retained a consultant; a timeline presented to the board estimates work on UDO updates through December 2026. The draft moratorium would begin April 13 and expire Dec. 31, 2026, or earlier if new zoning is adopted.

During the hearing, several residents cited technical studies and experiences in other jurisdictions. Ray Henet cited an Environmental Protection Agency figure on water demand for large facilities and warned about noise and property-value effects; Donald Cervalini raised potential health-cost estimates drawn from Northern Virginia cases. Staff and the town attorney described moratoria as a lawful, temporary tool municipalities may use to pause approvals while updating regulations; the attorney noted statutory requirements for public notice and optional extensions tied to the steps listed in the ordinance.

Commissioners weighed typical moratorium lengths, noting 12 months is common and extensions are allowed if the town has taken the steps outlined in the ordinance. Commissioner Eamonn said the town needed time to write robust rules while keeping the process data-driven and collaborative. Mayor Virginia Gray said the measure was a proactive step intended to protect Wendell's infrastructure and character, and to avoid litigation that can follow regulatory gray areas.

The board voted to adopt the moratorium by voice vote following the public hearing. The town plans to complete the UDO revisions with consultant support and return draft regulations to the board for review; staff said it is coordinating with county and regional groups and will follow state statute regarding notice and possible extensions.

The public hearing record included written comments urging a ban rather than a pause; staff and the attorney said state law limits a municipality's ability to ban a use outright and that zoning standards must be the tool used to regulate where and how such facilities locate. The moratorium does not apply retroactively and staff said the town has not yet received any data center application.

What happens next: staff and the consultant will develop zoning language and performance standards, coordinate with regional working groups and return recommended UDO text for board consideration. The moratorium allows time to complete that work and, if necessary, to seek extensions with public hearings under the statute.