Cleveland Implements Moratorium on Data Center Permits

Cleveland City Council has passed an emergency ordinance to pause the review and issuance of various permits related to the development of data centers within the city. Under Ordinance No. 556-2026, the city will temporarily halt the processing of zoning permits, certificates of occupancy, and other license or permit applications—including those managed by the Department of Public Utilities—specifically for data center facilities. This measure was introduced by Council Members Slife, Kazy, Santana, and Griffin to allow the Council time to evaluate potential regulations or prohibitions regarding these large-scale computing hubs.

The legislation defines a data center as a large physical facility housing the infrastructure for computing functions, such as servers and network equipment, which support services like cloud storage, streaming, and artificial intelligence. According to 556-2026-as amended-desk copy-Final, the Council expressed concerns regarding the energy and water intensity of these facilities. The document notes that "hyperscale" data centers can consume significant amounts of electricity and fresh water, potentially impacting residential utility costs and local resources. Furthermore, the ordinance cites concerns that these facilities may create fewer jobs relative to their total investment compared to other industrial uses and could impact land availability in areas where they are currently permitted, such as semi-industry zones.

The emergency ordinance has officially passed, establishing the moratorium to facilitate a review of the city's codified rules. Residents can watch for future updates as the City Council continues its evaluation of how data center operations should be regulated or restricted in Cleveland.

Source record

File
556-2026
Type
Emergency Ordinance
Status
Passed
Committee
City Council
Introduced
April 23, 2026

View on Cleveland Legistar

Official documents

Sources