Voters in Multiple States Reject Data Center Expansion Measures
Ballot initiatives in at least 10 states resulted in the rejection or restriction of new data center projects, reflecting concerns over electricity costs, land use and AI infrastructure growth.
Local voters in at least 10 states rejected or limited new data center projects in 41 ballot measures, according to an analysis by Ballotpedia and results compiled by CNBC. The Washington Post reported that measures limiting or blocking data centers passed in at least 38 jurisdictions, many by wide margins.
In Ohio, voters approved charter amendments restricting data center construction in Defiance (64.73% to 35.27%), Pataskala (73.62% to 26.38%) and Granville (82.45% to 17.55%). In Ashville, a referendum was rejected by 81.61% of voters.
The outcomes coincided with broader political races. In Texas, Democrat Gina Hinojosa defeated incumbent Governor Greg Abbott after campaigning on a moratorium for new data centers and stronger environmental protections. Ohio elected Democrat Amy Acton as governor, who supports a moratorium and stricter regulations, while Georgia Gov.-elect Keisha Lance Bottoms highlighted developer accountability in her campaign.
A pre-election Washington Post-ABC News-Ipsos poll found that seven in 10 Americans, including a majority of Republicans, opposed new data center construction in their communities. An election-day poll indicated that 56% of voters considered AI and data centers a major factor in their vote, though it ranked last among five issues surveyed.
Industry representatives argue that data centers can bring jobs, tax revenue and investment. > "Affordability, jobs, and the economy are priorities for Americans across the country," said Dan Diorio, executive vice president of state policy and government affairs at the Data Center Coalition. > "The data center industry is committed to advancing America’s digital infrastructure, supporting energy reliability and affordability, and promoting long-term, responsible economic development."
OpenAI announced it would cover the full cost of powering its own data centers, seek community input, publish construction plans and avoid nondisclosure agreements with public officials. > "What we’re doing with this blueprint is really laying out the best lessons that we have learned and committing to applying them as they go forward," said OpenAI Chief Global Affairs Officer Chris Lehane.
Not all communities voted for restrictions; in Harwood, North Dakota, roughly three-quarters of voters rejected proposed limits on industrial development.