San Diego's City Council voted unanimously Oct. 27 to freeze all data center permitting, approval and development within city limits for at least 45 days.
The moratorium, first ordered by Mayor Todd Gloria on Oct. 22, gives city staff time to write rules for an industry that had been regulated the same as warehouses. The council can extend the pause for up to roughly two years, NBC San Diego reported.
Council President Joe LaCava, who represents La Jolla's District 1, voted yes.
"San Diegans were clear, unambiguous and passionate about why data centers don't belong in San Diego," LaCava said at the Oct. 27 meeting, according to NBC San Diego.
What the moratorium does
The vote halts new data center applications while city departments draft a regulatory framework. City staff have a 180-day deadline to deliver preliminary recommendations to the mayor and council, according to a statement from the mayor's office.
A Data Center Stakeholder Working Group will guide that work. The group will include technology experts, community advocates, utility and water professionals, housing and land-use specialists and other stakeholders, the mayor's office said. The city plans to formally amend its land development code next year.
Elo-Rivera's amendments
Councilmember Sean Elo-Rivera added several amendments to shape the future framework, according to NBC San Diego:
- The council must be notified within seven days of any data center proposal
- No data center costs may be imposed on city residents
- Project labor agreements requiring union labor during construction
- Only clean, renewable energy allowed
- A minimum distance required from schools, parks and child care centers
The full ordinance language is awaiting approval by the city attorney, Times of San Diego reported.
The NAVWAR question
The vote was prompted after Manchester Financial Group floated a 400-megawatt data center at the Naval Information Warfare Systems Command (NAVWAR) site near Old Town. The Navy-owned, 70-acre property has been the subject of redevelopment plans for years, including proposals for mixed-use development with affordable and military housing.
The proposed facility would be the largest data center in California. Sources differ on its energy demand: NBC San Diego and Fox 5 San Diego reported it would use the equivalent of powering 300,000 homes, while Times of San Diego cited a Voice of San Diego figure of 320,000 homes.
Because NAVWAR sits on federal land, the city moratorium does not apply there. Council members acknowledged that limit but said the fight would continue. One of Elo-Rivera's amendments directed the mayor's government affairs team to lobby lawmakers to take the issue up in Congress, NBC San Diego reported. Council members, joined by state Assemblymember Chris Ward, called on San Diego's federal delegation to write to the Navy in opposition to the data center, according to Times of San Diego.
"The costs dramatically outweigh any benefits in the current environment," Councilmember Raul Campillo said, according to NBC San Diego.
Developer responds
Ted Eldredge, president and CEO of Manchester Financial Group, said in a statement that the data center was one of several ideas and that nothing had been finalized, NBC San Diego reported. The Navy selected the San Diego-based company in 2024 to redevelop the property, according to Fox 5 San Diego.
Public turnout
Dozens of residents spoke at the Oct. 27 meeting. Speakers included people dressed as Elmo from "Sesame Street" and Lord Farquaad from "Shrek." Nearly all opposed data center development in the city, NBC San Diego reported.
"San Diego needs more affordable housing, not more computer servers," Councilmember Stephen Whitburn said, according to Times of San Diego.
The 45-day moratorium could be extended for an additional 10 months and 15 days if the council votes to renew it, Fox 5 reported. The U.S. Navy expects to publish a revised draft environmental impact statement for the NAVWAR site in 2027, according to Voice of San Diego.
