US Local Governments Propose Data Center Moratoriums Over Resource Strains

Local and state authorities across the United States are implementing restrictive measures on data center development to manage surges in energy and water demand. In Washington, the Spokane County Board of Commissioners is considering a nine-month moratorium on large load data centers to develop zoning and power infrastructure regulations. This follows a similar one-year ban by the Spokane City Council and a pause in energy request processing by Avista. Commissioners Chris Jordan and Amber Waldref cited concerns over a potential 500 megawatt project that could consume nearly half of the county's power demand.

Similar actions are occurring in other regions. The Henderson City Council scheduled a vote on July 21 for a 180-day moratorium on conditional use permits for data centers, citing grid stability and environmental impacts. In New York, Governor Kathy Hochul signed a statewide moratorium on July 14, prompting Potsdam Town Councilman Pat Brady to propose a local pause to assess aging grid infrastructure. Meanwhile, in Dalton, Georgia, residents are protesting for a moratorium due to a lack of transparency in development deals, though Whitfield County officials currently see no need for a ban.

Other jurisdictions are opting for regulatory shifts over total pauses. Lincoln County commissioners in Nebraska unanimously reclassified data centers from permitted to conditional, allowing officials to mandate noise and water standards. In Pennsylvania, the state budget now requires data centers using over 10 MW annually to disclose energy and water consumption, though some lawmakers argue these measures are insufficient.