Cheyenne Residents Push For 12-Month Moratorium On Data Centers

A surge of as many as 70 proposed data centers converging on Cheyenne has rallied residents and a city councilman to propose a 12-month moratorium on new construction. Councilman Mark Moody’s proposal would give city staff one year to study the effects on electricity rates, water usage, the environment, and anything else related to residents’ health, safety, and welfare. It would also direct staff to prepare a report by April 1, 2027, and recommend changes to existing codes.

Moody wrote that “this discussion is not about rejecting data centers altogether. They play a role in national security and economic diversification. Most of the data centers currently operating or under construction in Cheyenne’s business parks have been net positives.” But he said it is fair to question how many Cheyenne can reasonably support without compromising “infrastructure, safety, agriculture industry, or quality of life.”

The moratorium proposal will be referred to the Public Services Committee without discussion when it comes to the City Council on Monday night, Mayor Patrick Collins told Cowboy State Daily. Collins said he does not believe a moratorium is the best way to handle questions about data centers. “The Wyoming way is to look at each individual opportunity that comes and make the best decision for our community,” he said. “An outright moratorium or a ban, that’s not our way.”

Ward I Councilman Larry Wolfe questioned whether the city even has the authority to enact a moratorium, noting that “we only have powers that are granted to us by the Constitution and the state legislature.” He acknowledged a need for major planning efforts, which are already contemplated as part of Plan Cheyenne, but said the city lacks funding for comprehensive studies.

The moratorium would not apply to data centers where substantial construction has already begun, including grading, excavation, or foundation installation. But it would affect very large projects that have been announced but not yet started, including Microsoft’s recent annexation proposal for 3,200 acres and the data center seeking to locate on the 1,200-acre Cox Ranch.

Sen. Cale Case, R-Lander, said cities do have authority under zoning ordinances to impose moratoriums for revamping rules, but he believes cities should also be given more power to reject applications outright. He has proposed a gross receipts tax on electricity for data centers and redirecting revenue to support local governments. Rep. Daniel Singh, R-Cheyenne, said he has been “flirting” with the idea of a moratorium, not to reject the industry but to slow down and see how the city reacts to growing pains. He noted that the number of data centers could require amplifying electricity production by over tenfold, and he raised questions about water use and transparency. “I just think there are a lot of things we need to talk about,” Singh said. “How’s this going to affect your ability to have just a quiet ‘Little House on the Prairie’ if your neighbor is a super loud data center with super bright lights?”