At the April 21 Meeting, the Richmond City Council will discuss a potential moratorium on data centers within the City of Richmond.
The council is being asked to provide direction for staff to develop a proposed moratorium on data centers. Last week, the City of Oakley unanimously agreed on a moratorium of data centers–which will last 45-days before likley being extended fora year.
According to the staff report:
Data centers are emerging as a more prominent land use in cities nationwide, driven by increasing demand for digital infrastructure to support cloud computing, artificial intelligence, and data storage. While these facilities can generate economic benefits, including construction activity, limited employment opportunities, and potential tax revenue, they also present unique land use considerations. Unlike traditional commercial or industrial uses, data centers operate with high infrastructure demands and relatively low on-site employment, raising questions about their long-term value relative to other potential land uses.
A primary concern associated with data center development is the significant demand for electricity, water, and land resources. Data centers require substantial and continuous power supply to operate servers and cooling systems, which may strain existing energy infrastructure and conflict with local and regional climate goals. Water usage for cooling, particularly in areas facing drought conditions, further complicates sustainability considerations. Additionally, these facilities often require large building footprints, which can limit opportunities for more community-serving or employment- generating uses.
Beyond resource consumption, data centers may also create compatibility challenges with surrounding land uses. Potential impacts include noise from mechanical equipment, visual scale and design concerns, and limited activation of the public realm. These factors can affect nearby residential neighborhoods and may not align with broader community priorities for equitable development, economic vitality, and environmental stewardship. As such, careful planning and policy guidance are necessary to ensure that any future data center development is consistent with the City’s goals and standards.
Given the evolving nature of this industry and the uncertainty in balancing its potential benefits with long-term costs, a temporary moratorium may be a prudent step. A moratorium would provide the City with time to conduct a comprehensive evaluation of impacts, review best practices from other jurisdictions, and engage stakeholders, including residents, utility providers, and industry representatives. This process would enable the City to develop clear policies and regulations to guide future data center proposals in a manner that aligns with community priorities and resource constraints.
SYNERGISTIC POLICIES:
The contemplated moratorium would give City staff time to align with the goals specified in the City’s Energy and Climate Change Element, given that these uses are known to be highly energy-intensive, and to evaluate their potential impact on local energy demand and emissions. In addition, given concerns about noise, environmental impacts, and compatibility with surrounding uses, evaluating data centers through a public health lens is consistent with the City’s commitment to integrating health considerations into planning decisions. A temporary moratorium would provide time to assess potential impacts on nearby residents and ensure that future policies prioritize health equity and environmental justice.
CONCLUSION:
In consideration of these factors, initiating an evaluation of a potential data center moratorium is a prudent and proactive approach to land-use planning and Health in All Policies. This action would allow the City to thoughtfully assess the full range of economic, health, environmental, and community impacts associated with this emerging use, while ensuring consistency with adopted General Plan policies and community priorities. By taking this step, the City can position itself to make informed, balanced decisions that safeguard critical resources, protect neighborhood compatibility, and support long-term sustainability and equitable development goals.
Also on the agenda:
- Ice Free Zones: This is a second reading…. see staff report.
- Letter to Governor Gavin Newsom to Stop the Illicit Importation of Illegal Fireworks from Nevada: ADOPT a resolution to DIRECT the city clerk to send a letter to California State Governor Gavin Newsom in support of developing a task force to explore an interstate compact between California and Nevada to stop the illicit importation of illegal fireworks from Nevada into California via a shared database of recorded sales — staff report
- Craneway Property Lease: The City Council is being asked to approve a Donation Agreement pursuant to which Orton Entertainment, LLC (“Donor”) will donate to the City certain leasehold interests associated with property located at 1414–1422 Harbor Way South (Ford Point area), along with related personal property and a cash contribution of $80,000 to help pay for first year operations. If approved, the escrow would open within days and close by May 1 — note: the city says it will cost $12.7 million in long-term capital needs. The city is also looking at possible options for use, which include a non-operation cost of $600k per year or launching a recreation complex at $1.6 million per year. — staff report
- Parcel Tax for ALS & Fire Station Upgrades: Using Richmond’s 32,683 taxable parcels, a parcel tax dedicated to ALS First Responder Services would generate approximately $1.63 million annually at $50 per parcel, $3.3 million at $100 per parcel, and $4.9 million at $150 per parcel. For comparison, the ALS Update presented to the City Council on January 27, 2026, estimated annual ALS operating costs at approximately $4.1 million, based on a five-year program total of $20.46 million. At these levels, a parcel tax between $100 and $150 per parcel could cover 80 percent to 120 percent of ALS operating costs, with higher rates providing capacity for physical station replacement and/or upgrades and/or reducing reliance on the General Fund. — staff report.
If You Go
Richmond City Council Meeting
Community Services Building
440 Civic Center Plaza, Richmond, CA 94804
Full Agenda: Click Here
