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The Data Center Divide

Hamblen County

This restriction takes precedence while in effect. The rating below excludes temporary restrictions.

Slightly Pro-Data Center Policies

Hamblen County’s enacted measure pauses approvals and construction of covered high-load facilities, including expansions, for one year and holds pending applications. Existing operations can continue, and industrial-zoned sites in the First Civil District are exempt.

Rating from Tennessee statewide as there are no scored current or future laws outside temporary restrictions for Hamblen County.

Specific to Hamblen County only.

current law · County measure: Countywide, except facilities located on industrial-zoned property within the current boundaries of the First Civil District
Temporarily suspends development and approvals for high-intensity electrical load facilities while Hamblen County studies and adopts permanent land-use regulations.Hamblen County AI Datacenter Moratorium (2026)

What this means

The measure would pause approvals and construction of covered high-load facilities for one year, including expansions, and would hold pending applications. Existing operations could continue, and industrial-zoned sites in the First Civil District are exempt, but the pause would still make building or expanding most covered data centers substantially harder.

Timing

Ends
one year after adoption

The County webpage describes the measure as a one-year moratorium. The ordinance itself states that it takes effect upon adoption but does not specify an exact calendar expiration date or extension condition.

People behind it

  • Voted to enact the one-year moratorium on new data center construction.

  • Adopts the ordinance, which takes effect upon Commission adoption.

  • Administers the ordinance.

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  • Determines whether the ordinance applies.

Restrictions & requirementsHide restrictions & requirements9
  • A one-year moratorium applies to new high-intensity electrical load facilities, including data centers with a peak electrical demand of at least 5 megawatts or facilities requiring dedicated infrastructure primarily for industrial-scale computing. The moratorium covers development, construction, expansion, and approval, except for facilities on industrially zoned property within the current boundaries of the First Civil District.

  • During the moratorium, the County may not accept, process, approve, or issue rezoning, special-use or conditional-use approvals, site-plan approvals, subdivision or development plats, building permits, electrical or utility-connection approvals, water or wastewater capacity commitments, grading or land-disturbance permits, certificates of occupancy, or other required development authorizations for covered facilities.

  • Applications for covered facilities pending when the ordinance takes effect are stayed and held in abeyance for the moratorium period, and cannot be deemed approved because of governmental inaction, lapse of time, or a procedural deadline.

  • Submitting an application or obtaining preliminary approval does not create a vested or grandfathered right. A vested-rights safe harbor requires a valid building permit issued before the effective date and substantial construction commenced in reliance on that permit.

  • Developers may not divide, segment, phase, or otherwise structure a project to avoid the high-intensity classification. Related parcels, structures, and applications under common ownership or control are evaluated as one unified project.

  • Utility providers are not required during the moratorium to reserve, allocate, or commit electrical, water, wastewater, or other infrastructure capacity for a covered facility. Previously issued capacity letters or preliminary utility commitments do not require final development approval.

  • Existing lawful facilities that do not meet the high-intensity threshold may continue normal operations, maintenance, and repair, but an expansion that causes the facility to meet the threshold becomes subject to the moratorium.

  • Routine repairs, maintenance, and in-kind equipment replacements are exempt only if they do not increase peak electrical demand above the applicable threshold and do not expand operational capacity.

  • The County may deny permits, revoke approvals, and seek injunctive relief for violations, with applicability determined by the Zoning Administrator.

Benefits & exceptionsHide benefits & exceptions7
  • Facilities located on industrial-zoned property within the current boundaries of Hamblen County’s First Civil District are excluded from the moratorium, so they may continue pursuing development approvals otherwise available under applicable regulations.

  • A facility below the 5-megawatt peak-demand threshold, and without dedicated electrical infrastructure primarily for industrial-scale computing, is outside the definition of a High-Intensity Electrical Load Facility and therefore outside this moratorium.

  • Existing lawful facilities that do not meet the high-intensity definition may continue normal operations, maintenance, and repair activities.

  • Routine repairs, maintenance, and upgrades are exempt if they do not increase peak electrical demand above the applicable threshold; in-kind equipment replacements without increased operational capacity are also allowed.

  • A vested-rights safe harbor applies when a valid building permit was issued before the ordinance’s effective date and substantial construction began in reliance on that permit.

  • The measure is expressly temporary, intended to preserve the status quo while permanent regulations are developed, and is not intended to permanently prohibit lawful data-center uses.

  • Utility providers may continue evaluating service requests under their standard engineering and reliability criteria, although they are not required to reserve capacity, approve extensions, or commit infrastructure upgrades for facilities subject to the moratorium.

Sources

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