180-day pause on new data centers moves forward in Statesville

STATESVILLE, N.C. — The city of Statesville could soon implement a data center moratorium.

Iredell County resident Ronica Smith uses artificial intelligence in her life like many others.

“I have made some photos with it, and I ask questions,” Smith said. “I use AI for questions.”

A 2025 study by the Pew Research Center found that 79% of people surveyed use AI several times a day.

Data centers house equipment that stores, transmits, and manages data for AI.

City leaders voted Monday night to pass a first reading of a 180-day pause on all new data centers.

“I’m not against growth,” said Carolina Campbell, a Statesville resident. “I’m not against technology, businesses, or economic development, but I do think we need to ask ourselves: This is this the right kind of development for Statesville, and is this the right location for it?”

The city said that the previously approved Compass data center, which will be built on Stamey Farm Road, is exempt from the proposed moratorium.

Some locals argue it should be included.

“There is absolutely no reason the Stamey Farm Data Center project should be exempt from this moratorium,” said Cam Land, of Statesville. “You are being at last asked to allow a massive, industrial facility into our community, one that could affect our residents, our property values, and all of our resources and our quality of life for decades.”

Several residents asked council members on Monday night to make the pause last for a year or two.

Smith hopes a moratorium will help council learn more about the impacts on infrastructure and the environment.

“Just trying to learn more about where it’s going, what it’s going to be used for, and if there’s anything that’s going to be detrimental to us,” Smith said.

The moratorium was originally proposed at 150 days but was later increased to 180 days.

The second reading is expected to happen in the coming weeks.

Statesville City Council will hold a public hearing next month.

If approved, the moratorium will go into effect on Sept. 14.