BrightRidge announced Tuesday it is putting a moratorium on data center project proposals in its service area, including the one that was being considered in south Johnson City.
It's the first time BrightRidge has confirmed it was planning a data center for a property it purchased in Johnson City. News 5's Caleb Perhne asked a spokesperson directly Wednesday if the company was planning a cryptocurrency mine on the property, but BrightRidge declined to comment.
It comes after BrightRidge settled a lawsuit with Washington County, Tennessee in October 2023 over allegations of zoning violations with a cryptocurrency mine in Limestone. Residents complained for years about the noisy computer fans at the site. The settlement requires the mine's closure by March 2026.
BrightRidge's announcement also comes amid public backlash to the planned Johnson City site and proposed zoning changes that would add data centers, including cryptocurrency mines, as a permitted use in the heavy industrial district. Residents opposed are set to meet Tuesday night at 6:30 p.m. at Ashley Academy. City leaders said the zoning changes would be more restrictive compared to current zoning code, which does not mention data centers.
You can view the full statement from BrightRidge below:
BrightRidge values the perspectives of the region’s leadership and the long-term economic health of the communities we serve when considering the feasibility of any new development in our region. For this reason, BrightRidge is putting a moratorium on entertaining proposals for new data center projects in our service area, including the one being considered in south Johnson City.
BrightRidge is a proud regional leader in the adoption and deployment of innovative technology, and we are fully aware of the many benefits a next-generation data center could bring to the communities we serve. However, in the case of the south Johnson City project and other similar projects in the near term, the costs currently outweigh the benefits for the communities we serve.
The site in south Johnson City is zoned for industrial use and retains great value to BrightRidge and our customers as a potential power substation and/or a wholesale electricity delivery point for a future industrial user. For this site and others, BrightRidge remains committed to working collaboratively with community leaders to identify future industrial projects that will deliver economic development, create great jobs, and maintain low power bills to the residents we serve.
The data center facility located in Limestone, which is currently operating under a settlement agreement with Washington County, remains on track for closure in March 2026.
