By Lorraine Bennett
Clay County Progress
Hayesville – Town council members discussed at length but took no action Feb. 14 on adopting a moratorium for the town and extraterritorial jurisdiction pertaining to crypto currency mining.
The Clay County Board of Commissioners already has adopted a moratorium, putting the issue on hold for the immediate future.
“We still have several things to investigate,” Mayor Joe Slaton said. “Our current ordinances would not allow it. Our ultimate goal is to protect the town and we’re working for the best way to do that.”
Crypto mining is a process where a network of computers – crypto miners – are used to validate crypto currency such as bitcoin. Such operations are energy intensive and generate considerable noise and environmental impacts.
“The county is looking at ways of allowing it and trying to control it,” Slaton said. “I’m not really in favor of allowing it, period.”
He added that county officials were discussing buffers.
“Southwire is sitting empty,” Councilman Austin Hedden said. “Cactus Games was for sale years ago. Those are two buildings right now where something could go in overnight. Where do we draw the line – if somebody is doing it for personal use or as a business?”
What’s required would be an empty building, the addition of computers and electricity.
Hedden said a crypto mining facility in Cherokee County looks like a storage building with electricity coming in. It is surrounded by a chain-link fence and armed guards 24-7.
“If a business wants to build in our jurisdiction, before they get a building permit they have to get a zoning compliance from the town. What about an existing building? What would trigger them having to come to us for a zoning compliance?” Councilman Harry Baughn wondered.
“How can we adequately develop something to stop it?” Hedden asked.
“If they’re not building something new they don’t need a permit,” Slaton said.
“When there’s an existing building, is there anything they do before they turn on the power?” Baughn queried.
“Is it a business endeavor if you do it for personal gain?” Hedden wondered. “Are you the only person using this or do you allow others to do it?”
“If it employs other people, it’s a business,” Baughn said.
“If you’re mining for yourself, it’s completely privatized,” Hedden observed. “It’s either an individual or a group of individuals that comes together to do that. All it is inside is just rows and rows of computers, just running.”
While a public hearing on a proposed noise ordinance was held last month, the Cherokee County Board of Commissioners has not taken any action so far on crypto mining. Across the state line, the Towns County (Ga.) Board of Commissioners has joined Clay County in adopting a temporary moratorium on the facilities.