Bay County adopts temporary moratorium on large‑scale data centers, board lowers threshold to 5 MW

Bay County commissioners adopted a temporary moratorium on new large‑scale data centers on July 7, voting to lower the statutory 50‑megawatt threshold cited in state law to a 5‑megawatt limit while staff develops land‑use regulations and coordination measures.

Planning staff presented the ordinance that the Bay County Planning Commission had recommended and said the pause — proposed for six months with a possible one‑year extension — would allow the county to consider zoning districts, buffering, development agreements and coordination with electric, water and emergency providers. "This temporary pause will allow staff time to evaluate potential amendments to the land development regulations," planning staff said during the presentation.

Residents and speakers at the hearing urged the board to take action. Diane Cummings, a Panama City-area resident, told the board she was downhill from local water supplies and asked commissioners to "ban it," citing concerns about water use and environmental damage. Bridal Chapman said public records showed the Owen Road parcel is listed to a company called Florida Solar 3, a division of Orgis Energy, and urged the county to follow other jurisdictions that had adopted bans.

Speakers also raised technical and long‑term concerns. A planning commissioner and other board members asked how a hardship clause would be applied and whether a six‑month staff review was sufficient. Staff noted the draft ordinance adopts the definition from state statute for "large‑scale data center" (a facility anticipated to have a monthly peak load of 50 megawatts or more), but commissioners said projects could "slide in under the radar" below that threshold.

Commissioners debated alternatives, including lowering the megawatt threshold and adding closure or decommissioning plan language to protect water and community infrastructure when a facility stops operating. One commissioner said, "If you allow one to come in, make sure that you have some language in there about when they close it, what happens to it — you gotta have a closure plan like you do a landfill." Planning staff advised the board to adopt the current ordinance and direct staff to return with amendments that could capture medium‑sized projects without unintentionally covering standard small server rooms.

After public comment and discussion, a commissioner moved to adopt the moratorium but change the threshold from 50 megawatts to 5 megawatts; the motion was seconded and approved by roll call. All board members recorded "yes." The moratorium takes effect immediately; staff will return with proposed land‑use language and any suggested amendments for the board and the planning commission to consider.

Why it matters: data centers can place large new demands on electricity and water systems and introduce operational requirements that differ from typical industrial uses. The moratorium gives Bay County staff time to evaluate those potential impacts, consult utilities and emergency services, and draft development standards to reduce unintended consequences.

Next steps: staff will draft amendments to land development regulations, coordinate with affected utilities and agencies, and bring proposed language back to the planning commission and the board for formal consideration. The moratorium as adopted contains a six‑month window with the county attorney’s office indicating an optional extension to one year if needed.