Thomas Unise
A wave of bipartisan resistance to data center expansion is gaining momentum across the United States, with lawmakers in at least six states introducing legislation to temporarily halt data center development. This growing movement reflects mounting concerns over energy consumption, environmental impact, and potential costs to consumers.
The Rising Tide of Data Center Moratoriums
New York became the latest state to join this trend when two Democratic lawmakers announced a bill proposing a three-year moratorium on data center development. State Senator Liz Krueger and Assemblymember Anna Kelles presented the legislation, which would pause permits for new data centers while requiring comprehensive impact studies.
“Data center moratoriums are being tested as a model throughout states in this country,” said Krueger. “Democrats and Republicans are moving forward with exactly these kinds of moratoriums. New York should be in the front of the line to get this done.”
The New York bill follows similar initiatives in at least five other states—Georgia, Maryland, Oklahoma, Vermont, and Virginia—where legislators have proposed various forms of temporary pauses on data center development. Notably, these efforts cross party lines, with Democrats leading in Georgia, Vermont, and Virginia, while Republicans are spearheading initiatives in Oklahoma and Maryland.
High-Profile Support and Growing Concerns
The movement has attracted support from prominent political figures. Senator Bernie Sanders became the first national politician to call for a nationwide moratorium in December 2023. Florida Governor Ron DeSantis has also criticized data centers, questioning whether consumers should bear higher energy costs to support them.
These legislative actions reflect several key concerns:
- Strain on electrical grids (New York alone has 10 gigawatts of demand waiting to be connected, largely from data centers)
- Environmental impacts
- Potential increases in consumer energy bills
- Questions about whether communities benefit proportionally from data center development
In New York specifically, where over 130 data centers already exist and several large projects are planned, the proposed moratorium would require the Department of Environmental Conservation and the Public Service Commission to assess impacts and recommend new regulations.
Industry Response
The data center industry has begun responding to the backlash. Microsoft recently announced commitments to be a “good neighbor” in communities where it builds data centers. The Data Center Coalition, an industry group, emphasized the importance of educating the public about “the industry’s responsible usage of water and our commitment to paying for the energy we use.”
Local Success and Legislative Progress
At the local level, at least 14 states already have towns or counties that have paused data center permitting and construction. In Virginia, a major hub for data centers, the caucus of self-identified data center “reformers” in the legislature has grown from just three politicians in 2024 to 12 or 13 in 2025.
Virginia Delegate Josh Thomas, who has led legislative efforts to regulate data centers, noted that a proposal requiring more in-depth environmental, noise, and community impact assessments has already passed the House. With newly-elected Democratic Governor Abigail Spanberger, who campaigned on making data centers “pay their own way,” such legislation appears more likely to succeed than under her predecessor.
The Path Forward
While complete moratoriums may be more feasible in states where the industry has less influence, the growing momentum suggests data centers will face increased scrutiny and regulation nationwide. This represents a significant shift in the political landscape surrounding digital infrastructure, with potential long-term implications for the tech industry, energy policy, and community planning.
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