US Municipalities Enact Data Center Moratoriums Over Infrastructure Concerns

Several United States municipalities have enacted moratoriums on data center construction to evaluate the impact of these facilities on local infrastructure and regulatory standards. In Lima, Ohio, the City Council approved an 18-month pause on new developments and city-supplied water requests. Mayor Sharetta Smith stated the measure allows the city to update zoning codes and research electric demand and land use. Lima Utilities Director Mike Caprella emphasized that the city must prioritize residential water needs while ensuring future capacity. This moratorium does not affect a Google data center currently under construction.

In Inver Grove Heights, Minnesota, the City Council voted 3-1 to exempt QLevr LLC from a one-year moratorium. The developer had sued the city, threatening damages between $20 million and $150 million. City attorney Jason Kuboushek warned that taxpayers would bear these costs because city insurance is capped at $1 million. While QLevr LLC may proceed, other data center developments remain banned until June 2027.

Additionally, residents of Dixfield, Maine, voted 35-3 during a special town meeting to implement a 180-day moratorium. The Dixfield Select Board recommended the pause to study potential effects on the environment and the local energy grid, charging the planning board with developing ordinances to protect public health and safety.