Foley Puts Six-Month Freeze on Data Centers While City Studies Impacts
No facilities are proposed yet, but officials want to be ready
Foley, Ala. — (OBA) — Foley has imposed a six-month moratorium on data centers while city officials update local regulations. The Foley City Council approved the measure to give staff time to study how such facilities could affect the community. No data centers have been proposed for the Foley area, according to Mayor Ralph Hellmich. The move is intended to ensure the city is prepared if any applications come in the future.
The council voted on Tuesday, Sept. 8, 2026, to approve the ordinance's final reading, which puts the temporary moratorium into effect. The ordinance is now active and will remain in place for six months.
The moratorium 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.
Hellmich said the pause will allow officials to review zoning, environmental rules, and other regulations before any such operation knocks on the city's door.
"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 also cited Foley's city-owned electrical provider, Riviera Utilities, as an important factor in any future data center discussion. He said the utility already has policies in place to protect existing customers.
"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."
The mayor said he does not believe South Baldwin County is likely to be targeted as a data center site, but added that city officials are preparing for any possibility.
During the moratorium, city staff will study how Alabama cities and other communities across the country have managed data centers, examining both benefits and drawbacks. Staff will also work with Riviera Utilities to examine water usage, power consumption, and anticipated megawatt thresholds.
The six-month window will also allow staff time to update zoning ordinances and technical design manuals. Those updates would address potential impacts from data center operations, including water resource use, air pollution, and noise pollution.
City officials said they do not want to restrict the legal use of private property. However, they believe updated regulations should be in place before considering any proposals to protect both the community and the environment.
Foley is one of the fastest-growing communities in the United States. City leaders have said they want to balance the needs of a growing population with preserving the qualities that make the city attractive to both new and longtime residents.
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