No hyperscale data centers in town–that is one thing that will likely be included in the Town of Orange’s Data Center Policy.
On Monday, council members continued their discussion of the town’s draft data center policy. The policy will be used to create the draft zoning ordinance on data centers. It will undergo public hearings at both the planning commission and council levels.
Currently, the working draft contains several goals as well as categories of data centers, environmental stewardship and operational requirements. As discussed following the town hall meeting held earlier this month and reiterated Monday, the draft removes hyperscale data centers as a possible use in town and includes power draw as a consideration during the evaluation of a project. Also included is bonding to ensure a property is returned to its original pre-data center state.
Council member Jason Cashell said he still supports a moratorium on data centers within the town. He said while he is open to business in town, he disagrees that a data center is like any other business and there are too many negative things that could occur to risk it.
Mayor Harrison Cluff disagreed. He said he doesn’t want to create an implication that the town is closed for business. He said while the town is not currently in dire financial shape, there is no industrial tax base, something the town used to have with various factories and industries. He said he fears at some point folks who have lived in the town for generations will be priced out because of increasing taxes.
“I do not want to hang a ‘not open for business’ sign at the entrance to the town,” Cluff said. “Many of us can remember when this town thrived and had a thriving middle class [with a] vibrant Main Street. Our history was not destroyed. I understand the heritage thing, but also understand the responsibility we have to all citizens of this town to be as friendly to business, but also cautious. I can’t support a moratorium; it doesn’t make sense from a business perspective.”
Council member Donna Waugh-Robinson agreed. Cashell countered that if allowed, data centers should be kept to the industrial zoned areas of the town, not the town activity and rural commercial zones as currently allowed in the draft policy. He also suggested limiting data centers by size and suggested not allowing the annexation of county land for data center usage. It has long been rumored that a plan is in the works to annex county land for such a use.
Cluff said he would be open to discussing size limitations and wants any project to be within the utility limits. He said size restrictions could be determined using either square footage or electrical use and suggested limiting projects to 20,000 square feet max with a total acreage size of 10 acres.
Council member Delmer Seal said he wasn’t sure about an annexation ban because the county could opt to build a data center next to town, but the town would receive no benefit. Waugh-Robinson agreed saying she would hate to box the town in. Annexations require public hearings at both the county and town levels as well as court approval.
“There are checks and balances already in place to protect us,” Waugh-Robinson said. “There are so many steps we have to go through to get to that point. There would be public input. I don’t think [a ban] is necessary.”
Cluff said the idea that everyone is against data centers is an incorrect presumption. He said while there is overwhelming resistance at meetings, when getting out in town, the feeling is different.
“There are 10, 15, 20 residents in the audience with a town of 5,200-5,300,” Cluff said. “This is a passionately opposed group, but a very small fraction of the residency.”
He said he would favor existing buildings being used over new construction and said there are data centers that exist in strip mall style buildings.
Cashell said he’d also like to see water restrictions mirroring the county’s data center language, preventing the use of ground water or water from the Rapidan River. Cluff said one option may be to use the grey water from the wastewater treatment plant for cooling.
Cashell also suggested putting in a public transparency policy requiring data center developers to submit a comprehensive publicly accessible impact disclosure 60 days prior to any hearing. He suggested requiring three town hall meetings on the proposal, separate from public hearings, and one developer hosted town hall. Waugh-Robinson concurred with both suggestions.
Several public comments centered around data centers.
Write-in candidate for town council Sara Jaeger said she’s concerned with how long the process is taking to create a data center ordinance. She said the council must listen to the strong public opposition against data centers and should vote to approve a full moratorium with no nondisclosure agreements signed until the zoning ordinance protections can be finalized. She said the ordinance should be stringent to protect the quality of life and property values.
“The clock is ticking and we all need to get to work ASAP,” Jaeger said.
Will Morton, also running for council as a write-in, questioned the need for the previous data center town hall meeting, stating many were confused why a meeting was needed on something that people have overwhelmingly opposed. Instead of data centers, he said the legal cannabis industry could bring sales tax revenue, training and jobs if a project were to locate in town. He said the industry is more regulated than alcohol and may be an option favored “over selling out” the town “to the corporate technology predators that would take advantage of us every chance for profit.”
Hillarie Hicks voiced her concerns about a data center locating at the former American Woodmark property, which has been said to be a potential suitable location. She said many people live in proximity to the property and locating one there would be “a big mistake.”
Meanwhile, Nicholas Austin said he thinks there could be a middle of the road approach for data centers. He said the council doesn’t need to make things so stringent no developer applies, but the council does have a duty to vet all of the proposals seriously, making sure the developer pays all the costs involved and proposes a good deal for citizens. He also suggested treating any revenue from a data center project as a “windfall,” or one-time funds until the company is able to establish it will be in business long-term.
The draft data center policy will now be discussed by the planning commission with recommendations made based on the council’s suggestions.
