Manchester Enacts Temporary Moratorium on Data Centers

MANCHESTER — The Manchester City Council unanimously approved a temporary moratorium on data centers during a special called meeting Tuesday, June 30, giving city officials additional time to study the potential impacts of such developments before allowing them within the city limits.

The resolution places an immediate moratorium on applications, zoning changes, development plans, permits, approvals and authorizations related to data centers within the City of Manchester. The moratorium will remain in effect through December 31, 2026.

According to the resolution, the temporary pause is intended to provide the Manchester City Council and the Manchester Planning and Zoning Committee adequate time to research the potential benefits and concerns associated with data centers and determine whether changes to the city's zoning ordinances are necessary.

The resolution cites the recent increase in interest surrounding data center development and identifies several issues city officials believe warrant additional review. Among those concerns are the potential environmental impacts of data centers, possible nuisances associated with their operation, and the effect such facilities could have on residential energy costs and local resources.

During the moratorium, the city will not accept or process applications seeking zoning map amendments for the purpose of establishing a data center, review development plans for new data centers, or issue permits, approvals or authorizations necessary for their operation. Applications already filed prior to the resolution are exempt from the moratorium.

As part of the process, the Manchester Planning and Zoning Committee is expected to consider amendments to the city's zoning ordinance that would better define and regulate data centers. Any proposed ordinance changes will require a public hearing before recommendations are forwarded to the City Council for consideration.

The resolution estimates the review process will take approximately five to six months, allowing elected officials, planning and zoning members, residents and appointed officials time to examine research, receive public input and evaluate whether additional regulations should be adopted.

City officials emphasized the moratorium is not a permanent prohibition on data centers but rather a temporary measure designed to ensure the city has sufficient information before making long-term decisions regarding future development.

The resolution was signed by Mayor Steve Collins and City Clerk Sarah Gregory Woliver and became effective immediately upon its passage. The moratorium is scheduled to expire on December 31, 2026, unless modified or extended by future action of the City Council.