Foley City Council has approved a six-month moratorium on data centers and similar technically oriented operations while city officials study their potential effects on the community.

The council voted Tuesday, Sept. 8, on the final reading of an ordinance establishing the temporary moratorium. The ordinance is now in effect.

The measure restricts the acceptance, processing, approval and consideration of applications for data centers, Bitcoin and cryptocurrency mining facilities, server farms and similar technically oriented uses, facilities and operations for six months.

Mayor Ralph Hellmich said no data centers have been proposed for Foley, but teh moratorium will give city officials time to prepare municipal ordinances and guidelines should an application be submitted in the future.

"This way we can review all of our regulations, environmental, zoning, and make sure everything coordinates so that if, in the future, any of one of these types of industries come to us, we're prepared," Hellmich said. "We want to have the answers if they show up, so that all the right questions are asked."

"We want to make sure that our city has all the questions answered before anybody shows up," he added.

Hellmich said Foley's city-owned electrical provider, Riviera Utilities, already has requirements that could affect data centers built in the area.

"We're in a unique position. Foley owns Riviera Utilities, which already has protections built in. The big three things are water use, noise and electrical use that punishes current customers. Riviera had already put into place a policy that will not allow a data center to put the burden onto existing customers. If a data center comes, they have to bring the power with them."

Hellmich said he does not believe South Baldwin County would be considered a likely location for a data center, but city officials want to be prepared for any contingency.

The moratorium will give city staff time to update regulations, including zoning ordinances and technical design manuals that have traditionally been used to regulate development. The updated regulations would address potential effects associated with data centers, including impacts on water resources, air pollution and noise pollution.

During the six-month period, city staff will continue reviewing work completed by cities in Alabama and communities elsewhere in the country. The study will focus on both the positive and negative impacts of data centers and similar operations in those communities.

The city also plans to work with Riviera Utilities on water usage, power usage and anticipated megawatt thresholds.

City officials said the moratorium is not intended to restrict the legal use of private property. Before Foley considers any proposals for facilities such as data centers, however, officials want updated municipal regulations in place to protect the community and environment from potential impacts associated with the operations.

Foley is one of the fastest-growing communities in the United States. As the city develops, officials have worked to meet the needs of a growing population while preserving the qualities that make Foley attractive to both new and established residents.

Zoning and other municipal regulations are among the tools the city can use to help preserve those qualities as Foley continues to grow. The moratorium will provide time to study the effects of data centers and similar facilities and determine how municipal regulations could be modified to address potential impacts if such operations are proposed.