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Town Position Statement on Data Center

August 27, 2026

 

TO WHOM IT MAY CONCERN:

Members of the Town of Yadkinville Board of Commissioners and town staff have received requests for information, requests for specific actions, and are aware of the social media expressions of concern about the pending Unifi Manufacturing Inc sale of property to Enovum Data Centers, a wholly owned subsidiary of WhiteFiber, Inc.

The Town understands and appreciates the concerns regarding data centers and as a response to those concerns, inquiries, and requests for action, has determined to issue the following as the Town of Yadkinville Board of Commissioners' official position and statement of fact.

After reviewing the applicable North Carolina Statutes and the Town's authority under those Statutes and under the Town’s zoning regulations, the Town has determined that it will not initiate a separate public hearing concerning data centers at this time, nor will it impose a moratorium on data centers.

 

The reasons for those decisions are explained below.

  1. North Carolina law requires a municipality to hold a legislative hearing when a governing board is actually considering the adoption, amendment, or repeal of a zoning regulation.

N.C. Gen. Stat. § 160D-601(a) provides that, before adopting, amending, or repealing an ordinance or development regulation authorized by Chapter 160D, the governing board must hold a legislative hearing. A "legislative hearing" is a hearing to receive public comment concerning a proposed legislative decision. N.C. Gen. Stat. § 160D-102(20).

The statute does not, however, provide that a resident may require the Town to initiate a zoning amendment or require the governing board to hold a legislative hearing merely because a resident requests one.

N.C. Gen. Stat. § 160D-603 does not require the Town to initiate an amendment simply because a resident submits a request.

Accordingly, because the Town is not presently proposing to adopt or amend a zoning regulation concerning data centers, there is no pending legislative zoning amendment for which NCGS 160D-601 requires a legislative hearing.

If the Town subsequently decides to propose an amendment to its development regulations concerning data centers, the Town will comply with the notice and hearing requirements applicable to that proposed amendment.

 

  1. A moratorium is discretionary, not mandatory.

North Carolina General Statute § 160D-107 authorizes local governments to adopt temporary moratoria on development approvals under specified circumstances. The statute provides that local governments "may adopt" temporary moratoria; it does not require a local government to impose one whenever a resident requests one.

The statute also places substantive limitations on a moratorium. Its duration must be reasonable in light of the conditions warranting the moratorium and may not exceed the period reasonably necessary to correct, modify, or resolve those conditions. In addition, an ordinance establishing a moratorium must identify the problems or conditions necessitating the moratorium, the development approvals subject to it, why the moratorium will address the identified problems, its duration, and the actions the local government intends to take during the moratorium. N.C. Gen. Stat. § 160D-107(a), (d).

The Town has determined that the circumstances presently before it do not establish statutory grounds to impose a data-center moratorium.

The fact that a data center has been proposed does not, standing alone, establish the statutory necessity for a moratorium. A moratorium is a temporary regulatory measure, not simply a mechanism for delaying a particular development proposal while objections are considered.

 

  1. If an application for a data center is submitted, the application must be considered under the regulations applicable to the property at the time the application is properly submitted, subject to the provisions of North Carolina law.

The Town cannot simply change the rules applicable to a particular property because residents oppose a proposed development. Any proposed change must comply with the statutory requirements governing zoning amendments.

 

  1. The Town also must consider the restrictions imposed by N.C. Gen. Stat. § 160D-601(d).

Section 160D-601(d) provides:

"No amendment to zoning regulations or a zoning map that down-zones property shall be initiated, enacted, or enforced without the written consent of all property owners whose property is the subject of the down-zoning amendment."

The statute defines a down-zoning to include an amendment that decreases development density, reduces the permitted uses of the land to fewer uses than previously allowed, or creates specified types of nonconformity on nonresidential property.

Consequently, if the Town were to adopt a new regulation that effectively removed a use presently permitted on a particular property, the Town would have to determine whether the amendment constitutes a statutory "down-zoning" and, if so, comply with § 160D-601(d).

This issue would be particularly relevant to any proposal that would impose a new performance standard if compliance with that requirement would effectively eliminate a previously permitted use on the property.

 

  1. The Town remains committed to following the law and considering legitimate land-use concerns.

If the Town undertakes legislative action concerning data centers in the future, the Town will follow the applicable notice, hearing, planning-board, and other procedural requirements imposed by North Carolina law and the Town's ordinances. See N.C. Gen. Stat. §§ 160D-601 through 160D-605.

For these reasons, the Town does not believe that a separate public hearing on data centers is presently required merely because a resident has requested one, and the Town has determined that the circumstances presently before it do no provide the necessary statutory grounds to impose a moratorium on data center developments.

 

  1. The following is additional information that is available for review and consideration which will help explain why Enovum Data Centers (Enovum) has selected Unifi Manufacturing in Yadkinville as a site, how they will not be an impact to our Town and Town systems, and how they differ from other data center facilities and operations.

 

The following four videos are of the Madison, North Carolina, Unifi Manufacturing site, which Enovum has designated as NC-1:

https://www.youtube.com/watch?v=xECLTlCgrRY 

https://www.youtube.com/watch?v=MTWZovpzydY 

https://www.youtube.com/watch?v=TCnJvr9JueQ 

https://www.facebook.com/WesternRockinghamChamberOfCommerce/videos/talk-tuesday/1316678830128867/

The following two videos are of the Montreal, Canada site which Enovum has designated as MTL-3:

https://www.youtube.com/watch?v=tK8rKcjbIG0 

https://www.youtube.com/watch?v=l9B-hHxiLgk

 

Lastly, if you prefer to hear and see for yourself firsthand what Enovum has done in Madison and what is planned for Yadkinville, you are invited to attend the Town Hall meeting on September 19th, the details of which are provided below:

 

Event Details

Date: Saturday, September 19, 2026

Time: 12:00 PM – 2:30 PM

Location: Enovum Data Centers – Madison, NC Campus 805 Island Drive, Madison, NC 27025

 

Registration & Attendance

To help us properly prepare for the event:

  • Pre-registration is required. Please return a list of attendees by email (jcollins@enovumdc.com) at least two days prior to the event.
  • All attendees must present a valid photo ID for admission to the campus.
  • We ask that questions or topics you would like addressed during the forum be submitted by email in advance as well. This will help us ensure that the appropriate representatives are available to provide accurate and helpful information.

Enovum Will Provide

  • Tent and covered event space
  • Tables and chairs
  • Speaker and presentation area
  • Food and refreshments

The Town Board of Commissioners appreciates your interest in the future development of our community and your willingness to raise these concerns with the Town, and offers a public comment period for that purpose at every monthly Town Board of Commissioners meeting.

 

TOWN OF YADKINVILLE