Lee County data center UDO proposal draws crowd, sparks concerns over power, water and weak enforcement

Citizens filled the Dennis Wicker Civic Center for the data center Uniform Development Ordinance (UDO) consideration at the April 20 Lee County Commissioners’ meeting.

Details of data center rules may be read here.

Sanford-Lee County Planning Director Marshall Downey said they “got wind” of a proposed data center and began working on rules in Oct. 2025.

He said the joint planning committee and workshops with county commissioners helped build the rules.

The proposed data center standards include detailed definitions and basic buffering requirements, which are three times the normal, but several weaknesses could limit their effectiveness.

Downey said no fracking would be allowed as a power source and that the data center must be connected to a regional electrical utility provider.

There are no utility provisions in the rules. Downey said utility companies must decide what they are comfortable with. No capacity numbers are referenced. No independent studies are referenced. The rules inadequately address potential power and water system strain.

Even with strict noise testing to establish noise rules, the rules permit operation at 65 dBA day and night equally. Generator use, despite high noise and emissions, is excluded from “normal operations” by the ordinance.

Downey said staff wanted the $10,000 penalty for noise above 65 dBA to be replaced with a $100 daily fine for legal reasons.

Commissioner Taylor Vorbeck asked where the $10,000 figure originated.

Downey said it was from staff, and when research showed their figure was higher than anyone else’s, the legal team said to lower.

“Normally, we’ll contact them. Give them a grace period, ten days,” Downey said about informing a data center it would be accumulating $100 per day fines and if noncompliant by 30 days, they would “hit them with the $10,000” fine.

Groundwater is prohibited, but unrestricted water consumption and no recycling requirements may stress city resources.

Setback rules are insufficient for large facilities and ignore emissions, traffic, and construction effects.

Enforcement relies on complaints and limited studies, placing the burden on residents rather than routine oversight. The ordinance lacks financial guarantees for decommissioning, does not clearly distinguish data centers from crypto mining, and uses vague terms that complicate enforcement and open avenues for legal interpretation.

Citizens said:

Sanford Area Growth Alliance (SAGA) President Jimmy Randolph was one of the last speakers and, in an emotional plea, asked the public to understand that he brought professionals to speak at the request of county commissioners. He spoke of his love for community and place and how he had just attended his mother’s funeral. Randolph said he was true to the facts and did his best to weigh needs, laws, and community will.

Kurt Bradley said he was an economic developer and supported the rules, and data centers did not strain local communities but helped pay for roads and infrastructure. Bradley is CEO of Lee-Moore Capital, a Sanford-based real-estate development company with projects including Governors Club and Triangle Innovation Point.

Kristen Herman said she opposed the data center. She began her argument with fracking consequences, but Downey had already stated fracking was not allowed. Herman said she wanted restrictive rules so strong that a data center could not be approved in Lee County.

Eric Evanson said he helped prevent data centers in Virginia. He said it would be wise if Lee County Commissioners would listen to Virginia citizens who fought data centers. He said with a power grid at capacity, they were all going to face higher electric bills. “Do you think anyone who lives within 500 feet of this are going to be satisfied? They won’t be able to sell their home…Do you really think Deep River Data cares about $100 day?…They don’t live here and they really don’t care about what happens to us. Nobody really wants this. I dare say nobody really wants AI.” He ended by saying the governor was creating a task force to study data centers.

Therese Vick said she worked with the Blue Ridge Environmental Defense League, and she opposed the proposed data center UDO. She referenced North Carolina General Statute 62-323 which addresses impairment or destruction of utility operations. It can carry prison time. She said Deep River Data was still interested in using Butler well #3.

Chet Mann said he approved the proposed rules.

Keely Puricz said she opposed the rules as they existed. “The cost of business should be higher,” she said about the reduced noise fine. She requested a document to show who wanted a “five-billion-dollar data center,” as Chair Kirk Smith had texted.

No answer was uttered.

Another citizen said modern engineering could solve any water concerns.

Citizens said SAGA had not recommended the data center for Lee County but brought experts to the public hearing to support it.

“Are you planning to move so you don’t have to deal with your decisions?” a woman asked.

A data center engineer said the noise was predictable, and they had tools to mitigate noise: enclosures, building directions, barriers. He said he worked all over the nation and liked the specific language.

Citizens repeated the process was rushed, they were not represented by elected officials, and they wanted a moratorium to take time to draft stronger rules.

Eddie Oldham with Central Electrical Membership Corporation said he supported the drafted rules. He said they assist with capacity needs and protect existing customers. Oldham said large customers would not affect existing customer costs.

If a data center comes to Lee County, and it wants a dedicated substation, it must pay to build the electrical grid, and it is the property of the electrical company. Also, the industry must pay for the requested substation in full if they abandon the business early.

Oldham said the aging 1987 Shearon Harris Nuclear Plant pulled on the electrical grid and contributed to increasing rates.

Emily Bowers said she was present on behalf of SAGA and supported the UDO. She said her expertise in policy led to her approval.

Stephanie Stephens said she opposed the rules. She is the River Keeper of the Deep River. She said the upper Cape Fear basin was in trouble and Asheboro was being sued for pollution from an industry. The city is being held responsible. “Now Sanford is rescuing Pittsboro,” Stephens said about Tri River supplying water services.

It is important to note that the 2023 geological study on Butler Well #3 shows there was gas present, but it was not likely viable for use, even with fracking. The study revealed the flow was “slowly diminishing,” and the audible flow lasted less than three minutes, and there was no visible vapor after five minutes.

The Sanford City Council votes Tuesday on the data center UDO rules at 5:30.

April 20, 2026

Stephanie M. Sellers

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