US Cities Consider Bans and Moratoriums on Data Centers

Municipalities across the United States are introducing restrictive zoning laws and development pauses to curb the rapid proliferation of data centers. In Ohio, the Dayton City Commission is scheduled to vote on June 24, 2026, on a proposal to ban data centers entirely, following a recommendation from the city's planning department based on water usage and electricity rates. Similarly, the Plain City Council is reviewing regulations that would mandate facilities be built at least 750 feet from homes.

In Indiana, the New Albany Development and Annexation Committee unanimously advanced a one-year moratorium on new data center applications. Although no proposals are currently active in the city, officials intend to establish safeguards against noise and water consumption before development begins.

Efforts to tighten regulations are also underway in Pennsylvania and the Carolinas. The Allentown City Council is reviewing amendments to strengthen buffers between residential areas and data centers after activists criticized existing laws as too lenient. Meanwhile, the Durham County Board of Commissioners in North Carolina is voting to extend a previous 60-day pause to a 12-month moratorium. In South Carolina, the Spartanburg County Council is considering a similar pause following public protests over transparency regarding a proposed 151-acre site.