The exploding growth of data centers in Georgia has state officials trying to catch up with the Georgia Department of Community Affairs (DCA) seeking input regarding rules for data center construction in the state. The State of Georgia currently has no rules specific to data centers.
Regulations aren’t finalized and the state is holding a public hearing on them on Sept. 9 at 60 Executive Park South, Atlanta. Atlanta. The meeting is open to the public. Proposed regulations from the DCA focus on water and energy needs. Under the rules, data center developers must disclose energy and water needs required for new data centers.
Review thresholds would be set for data centers that are 300,000-square feet in urban areas and 500,000-square feet in rural communities. The DCA has paused data center applications to come to Georgia until after the public hearing and rules are finalized. More than 50 data centers operate in Georgia and 40 more are proposed.
The process has left many, ranging from water conservationists to local municipalities, with questions. The pause on applications doesn’t equate to a moratorium. Data centers don’t need the DCA’s approval to build. Developers can get approval from local planning and zoning boards, city councils, and county commissions. That can continue.
However, continuing with a project during the pause doesn’t mean it will be grandfathered into new rules. Some may be required to fulfill the rules even if they are built and that could be expensive. Some developers are willingly waiting to see the outcome of regulations to judge whether their Georgia project remains feasible.
That points to another problem. Many local entities don’t have rules in place either. Some, like Cartersville and Bartow County, have set rules or stipulations for data centers in place. That could amount to a patchwork of differing rules across the state.
Water conservationists like Chris Manganiello, water policy director for the non-profit organization Chattahoochee Riverkeeper, state the DCA has inadvertently changed the process where local water planners no longer have access to valuable data. Manganiello spoke at a Georgia House subcommittee meeting.
“Rather than the state helping regions think through this stuff, it’s going to leave planners flying blind,” he said.
The DCA isn’t an elected board but consists of appointees. It has no authority to approve or deny applications but that isn’t its purpose. The DCA has several functions with the core being to promote economic development in Georgia by supporting local municipalities with services and funds. The mission is to use economic development to enhance the community and promote prosperity.
In that sense, it is a guiding force to create rules and regulations to keep development consistent across the state. It can also help developers, like those building data centers, to locate in areas that are best for communities and the state.
The DCA, created in 1977, also has a practical role which could affect data centers. It coordinated financial incentives and financing to promote economic development and jumpstart job creation. It would be the one to recommend incentives like tax breaks or impose fees for high water and power use. That is likely another reason why data center developers are willing to pause projects until the political dust settles.
Those who can’t come to the Sept. 9 hearing in Atlanta can still issue comments. Public comments are accepted by email with a Sept. 12 5 p.m. deadline. You can submit comments by emailing your DCA representative using addresses found here. The phone number is 404-679-4840. The DCA will make a decision about the rules at a Nov. 20 meeting in Savannah.
Melody Dareing is a freelance writer for publications in the U.S., Canada, the UK, and Germany. She is a former news director of Adelphia Channel 4 and WBHF Radio. Follow her on Facebook to catch her livestream, X for commentary, and subscribe to her podcast on Rumble or content on YouTube.