NEW ORLEANS, LA — At a special meeting held today, the City Council approved two motions addressing the proposed data center in New Orleans East and the regulation of future data center developments citywide. The motions now place a moratorium on these uses while the City Planning Commission (CPC) conducts public hearings to evaluate zoning definitions, standards, and other land use controls related to data center uses, at the Council's direction. 

Motion M-26-62 directs the CPC to consider amendments to the Comprehensive Zoning Ordinance (CZO) to formally define data centers and related uses, determine whether such uses should be permitted or conditional within various zoning districts or overlays, and establish appropriate use and design standards. These standards may include density requirements, sound-mitigation measures, safety measures, and other regulations intended to protect the quality of life of nearby residents, businesses, and institutions. 

Motion M-26-63 directs the CPC to study the creation of a temporary Data Center Interim Zoning District (IZD), which would pause the issuance of occupational licenses and approvals for data centers citywide for one year while zoning standards are evaluated. The interim district may be extended in accordance with Section 3-126 of the City Charter. An Interim Zoning District is a temporary zoning classification used to regulate or restrict certain types of development while the City evaluates planning issues and considers permanent zoning changes. 

“Too often, the City of New Orleans is reacting to new technology when it's already in our neighborhoods, rather than anticipating potential problems. Today's passage of the Interim Zoning District turns a page on that narrative by placing a hold on any future development while the City Planning Commission studies the potential impacts of an AI data center in New Orleans East. The City Council shares the community's concerns about the potential adverse effects a data center could have in the East, and no stone will be left unturned. I encourage the public to stay engaged on this matter, and I want to thank Councilmember Jason Hughes for his partnership on this legislation and his commitment to the residents of District E,” said Council President JP Morrell. 

“District E deserves development that adds value without undermining the quality of life residents have fought to protect. This effort is about closing gaps in our zoning code and putting clear guardrails in place. I will insist on meaningful community input before any zoning changes move forward. I thank Council President Morrell for his partnership in taking a proactive, responsible approach,” said District E Councilmember Jason Hughes. 

“Over the past few weeks, I’ve heard from residents across the city about data centers, and I want New Orleanians to know that their voices are being heard. I have raised concerns about the risks that come with data centers and the impact they have on our communities, including the rising cost of electricity and the enormous amount of water they use. I’m committed to keeping this process open and transparent so residents know what’s happening in their neighborhoods and have a say in it,” said Council Vice President Matthew Willard. 

“I stand with the community and oppose the proposed data center in New Orleans East.  I appreciate Councilmember Hughes leadership on this issue,” said District A Councilmember Aimee McCarron. "The motions passed today not only protect the immediate future of the East, but will also provide guidance for the entire city if and when these projects express interest in our city. We know now, if not properly planned for, data centers can drastically increase the cost of electricity and cause other community harms. To prepare for the future, we must protect our neighbors and communities from negative impacts while carefully balancing economic interests.” 

“The truth is, data centers are often placed in Black and Brown communities, bringing with them environmental, economic, and public health harm,” said District B Councilmember Lesli Harris.  “Today, we took a critical first step by putting a temporary pause on data center development while the City studies their true impact for the people of New Orleans.”

“The Interim Zoning District provides the City with the opportunity to pause and study data centers on a citywide basis, including how they should be defined and addressed within the zoning code. This approach ensures zoning and land use decisions are made deliberately, with meaningful public input, and with careful consideration of potential impacts on neighborhoods, infrastructure, and overall quality of life,” said District C Councilmember Freddie King, III. 

“The Data Center Interim Zoning District allows us to take a responsible pause to ensure we are making smart decisions for our city. New Orleans East and communities across the City deserve development that is thoughtful, well planned, and aligned with our long-term priorities,” said District D Councilmember Eugene Green. “While the proposed data center would affect portions of New Orleans East, this is an issue that impacts the entire city. This IZD gives us the time to fully evaluate the impacts of data centers, put appropriate safeguards in place to protect residents, infrastructure, and quality of life. I encourage residents to stay engaged and participate in the ongoing discussions surrounding this matter.”