Agenda Item Wording:
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Urgency Ordinance - Consider adoption of Ordinance 2026-10, an interim urgency ordinance to be adopted as a temporary moratorium on the acceptance, processing, approval, or issuance of permits and entitlements for new data center development within the City of Visalia pursuant to California Government Code Section 65858 (4/5’s approval of the City Council is required for passage).
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Agenda Date: 09/08/2026
Prepared by:
Paul Bernal, Planning and Community Preservation Director, (559) 713-4025, paul.bernal@visalia.gov <mailto:paul.bernal@visalia.gov>
James Koontz, City Attorney
Department Recommendation: Staff recommends that the City Council adopt Ordinance No. 2026-10, an interim urgency ordinance placing a temporary moratorium on the acceptance, processing, approval, or issuance of permits and entitlements for new data center development while the City considers land use regulations governing new data centers within the City of Visalia pursuant to California Government Code Section 65858 (4/5’s approval of the City Council is required for passage).
Summary:
Communities throughout the state and country are and/or have experienced detrimental effects of “data center” land uses, including, but not limited to, intensive energy and water use, noise, air quality, water and noise pollution, aesthetic impacts, and quality of life to surrounding communities/neighborhoods. Data center development often necessitates unique and/or abnormally large utility infrastructure connections to electrical and water systems where this type of infrastructure demand may be in conflict with communities/regions which are not equipped to support such uses based on the load intensity these uses require.
Currently, the City of Visalia does not regulate nor define “data center” land uses, including location, size and scope, and other development standards in the Zoning Ordinance. By enacting a temporary moratorium, the City Council and staff would have the necessary latitude to study, deliberate, and determine the acceptable scope of Data center land uses within City limits. In the interim, the City shall not receive, accept, process, or approve any Data Center land use application as long as the ordinance is in effect.
It is noted that the current zoning regulation allows for Communications Equipment Buildings within the City. This usage is defined as a building housing electrical and mechanical equipment necessary for the conduct of a public communications business. City staff does not consider this type of usage would include a data center, but in order to avoid potential issues, to the extent this type of usage cannot be shown not to be a data Center, as defined in the interim ordinance, this usage will also be prohibited under the temporary moratorium.
Pursuant to California Government Code section 65858, a city can adopt, as an urgency measure, an interim ordinance prohibiting land uses that may conflict with the general plan, specific plan, zoning, or development standards that the City is studying or intends to study within a reasonable time. In doing so, the City Council is required to make finding that that there is a current and immediate threat to the public health, safety, or welfare, and that the approval of additional subdivisions, use permits, variances, building permits, or any other applicable entitlement for use which is required in order to comply with a zoning ordinance would result in that threat to public health, safety, or welfare.
The proposed ordinance would define a data center as a facility that houses computing infrastructure, including graphics and central processing units, servers, storage devices, networking equipment, and associated power and cooling systems, for the primary purpose of processing, storing, or distributing electronic data. The term data center, under this Ordinance, shall not include server rooms that are being installed as an ancillary component of another permitted use, telecommunications facilities that are separately regulated under the City Zoning Ordinance, government emergency communications facilities, or facilities owned or operated by public utilities that are primarily used for public utility operations not commercial purposes.
Staff has prepared responses to the necessary findings required to enact the urgency ordinance which are include in the attached Ordinance No. 2026-10 (see Attachment 1).
Background Discussion:
There is growing concern across the state and nation regarding the proliferation of data center developments. Numerous publications have often described data center operations as “resource-hungry facilities with site sizes that can range from 10,000 square feet of space to more than a million”. Further research into data center development continues to note concerns related to soaring energy demand, water demand, air pollution and climate impacts, noise impacts, and land demand impacts. This has resulted in several communities adopting mortarium’s on new data center development to prevent this type of use from potentially creating significant impacts without further research to determine if this type of use is appropriate given potential strains on resources these types of uses appear to need to operate.
It should be noted that the City’s existing zoning regulations and development standards were adopted before the emergence of date centers and therefore do not adequately regulate the intensity, utility demand, operational characteristics, environmental impacts, or cumulative impacts associated with this particular type of use. Given the characteristics of data center projects, especially large-scale date center developments, staff concludes these types of uses would create a current and immediate threat to the public health, safety, or welfare in the absence of zoning and other regulations and the urgency ordinance is necessary in order to protect the City from the potential negative impacts.
The proposed urgency ordinance will enable staff to evaluate impacts, gather public input, and ultimately look to consider zoning regulations for this type of use.
The urgency ordinance may initially be enacted for a period of up to 45 days. The City Council thereafter may extend the ordinance up to a maximum of two additional times: first, for a period of 10 months and 15 days; and second, for a period of up to one year. In total, the urgency moratorium may last for two years.
Fiscal Impact including annual maintenance and operating costs: There is no additional cost to the General Fund associated with adoption of the interim ordinance. Staff time associated with preparation of permanent municipal code regulations to address Data Centers will be absorbed within existing departmental budget.
Prior Council Action: None.
Alternatives: The City Council may revise or decline staff’s request to adopt an interim urgency ordinance.
Recommended Motion (and Alternative Motions if expected):
recommendation
I move to adopt Ordinance No. 2026-10, an interim urgency ordinance placing a temporary moratorium on the acceptance, processing, approval, or issuance of permits and entitlements for new data center development within the City of Visalia pursuant to California Government Code Section 65858.
Environmental Assessment Status: The requested action is considered exempt under Section 15061(b)(3) of the State Guidelines for the California Environmental Quality Act (CEQA). A Notice of Exemption has been prepared for the project because Section 15061(b)(3) states that the project is exempted from CEQA if the activity is covered by the commonsense exemption that CEQA applies only to projects that have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA. The proposed text amendments, which largely pertain to expanding the scope of residential uses and emergency shelters which are already allowed within the city will not have a significant effect on the environment.
CEQA Review: A Notice of Exemption has been prepared for the project because Section 15061(b) (3) states that the project is exempted from CEQA if the activity is covered by the common sense exemption that CEQA applies only to projects that have the potential for causing a significant effect on the environment.
Deadline for Action: 09/08/2026
Attachments:
1. Ordinance No. 2026-10 - Urgency Interim Ordinance on New Data Center Development within the City of Visalia
2. PowerPoint Presentation
Strategic Goal: Indicates which City Strategic Goal(s) this item supports. Check all that apply.
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