Kentucky county becomes the first in the state to permanently ban data centers

Woodford County sets a new line

The Woodford County Fiscal Court approved a September 8 ordinance permanently barring data center construction, establishing Kentucky’s first known permanent prohibition by that level of government on such facilities.

The same measure also blocks landfills and large battery storage systems, adding firm restrictions on land-intensive uses while leaders emphasize farmland, rural character, and limits on industrial development.

What the ordinance changes

County officials chose a permanent rule rather than a temporary pause, blocking new data center construction instead of delaying applications while leaders studied local review processes and standards.

That approach made the ordinance stricter than a moratorium, which gives officials limited time to assess zoning, infrastructure capacity, and operating standards before reopening applications under revised rules.

Storage rules expanded the reach

The ordinance also covers large battery storage systems often paired with hyperscale data center campuses, where power demand and acreage can affect planning before proposed projects advance publicly.

By including large battery storage systems, county leaders extended the land-use restriction beyond data centers to another type of major infrastructure covered directly by the adopted ordinance itself.

A unanimous vote moved it forward

The Woodford County Fiscal Court approved the measure unanimously, giving Judge-Executive James Kay a clear public position as residents weighed development pressure, farmland protection, and future local growth.

Kay tied the decision to Woodford County’s identity, describing farms, pastures, agriculture, and rural character as central to its economy and planning priorities for future development decisions there.

Farmland shaped the county view

Leaders described Woodford’s land supply as limited, with each acre carrying value for farming, heritage, scenery, and long-term choices that shape community growth and local economic activity there.

County leaders repeatedly emphasized farmland preservation and rural character when explaining the ban, placing local land-use priorities at the center of their decision on future development proposals there.

Residents influenced the scope

Kay said residents showed broad opposition during local discussions, pushing county leaders away from a moratorium and toward a lasting restriction before any specific data center proposal emerged.

No developer had publicly advanced a specific Woodford County proposal, but officials knew data center and battery storage developers were then examining possible sites across central Kentucky communities.

Fun fact: U.S. data centers may use 10 to 50 times as much energy per floor space as typical commercial office buildings.

Moratoriums took a softer route

Other Kentucky cities and counties chose moratoriums, giving local governments time to study zoning, water demand, utility capacity, and operating rules before deciding whether applications should reopen later.

Versailles first approved a temporary moratorium on June 16, then the city and Midway each adopted permanent bans as Woodford County communities moved toward stricter data center restrictions.

Little-known fact: U.S. data centers directly used 17 billion gallons of water in 2023, compared with about 5.6 billion gallons in 2014.

Industry leaders opposed the ban

The Data Center Coalition criticized Woodford County’s permanent ban and similar moratoriums, arguing such measures can limit investment and economic development opportunities for potential host communities across Kentucky.

Data Center Coalition Executive Vice President of State Policy and Government Affairs Dan Diorio urged local leaders to establish reasonable regulations without deterring the industry or its potential benefits.

Water and energy stayed central

Diorio said the data center industry seeks to act responsibly in communities where it operates, including careful use of water and energy during ongoing facility operations in host areas.

Woodford leaders weighed those claims against concerns about power-intensive facilities, farmland conversion, and whether large campuses fit county planning goals near agricultural land, homes, and surrounding local infrastructure.

Burgin showed another path

Kay pointed to Burgin, a small Mercer County community, where a proposed hyperscale data center had drawn sustained local scrutiny before Woodford officials acted on their permanent ordinance.

Kay argued that a permanent ban lets Woodford County establish its position before a specific proposal develops into the type of prolonged local dispute seen in the Burgin community.

A larger preservation effort

Kay connected the ban to a years-long preservation effort against sprawl, urban growth, and development that officials view as incompatible with farmland patterns across the compact rural county.

Woodford County is Kentucky’s 15th smallest by area, while its limited land base includes noted Thoroughbred horse farms that form part of the county’s agricultural landscape and economy.

Local action spread nationally

Across the country, local governments have used zoning rules, development agreements, impact reviews, moratoriums, and permanent bans to manage data center growth near infrastructure systems and residential areas.

A growing number of local governments across several states adopted permanent data center restrictions in 2026, while many more communities used temporary moratoriums to review possible future rules.

Want to stay ahead of the news? Check out why America’s $4 billion wind rollback is reshaping energy investment as cheap natural gas gains ground again.

What the decision means

Kay left open the possibility of revisiting local rules if data center technology becomes less intrusive and better aligned with community priorities around land use and resource demand.

Until the rules change, the ordinance prohibits new data center construction in Woodford County, reflecting leaders’ stated priority of protecting farmland and controlling local land use there over time.

Want to read more about the latest developments? Check out how New Mexico crews responded after eight wildfires broke out in Santa Fe National Forest.

What stands out more, Kentucky’s permanent data center ban or the growing push for stricter local development rules? Share your thoughts.

This slideshow was made with AI assistance and human editing.

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