At a Glance
- 20 data-center proposals worth $98 B were blocked or delayed in 11 states between April-June.
- Indiana alone saw more than a dozen projects lose rezoning petitions.
- Developers are selling sites after securing power because zoning and local opposition can still derail projects.
- Why it matters: Residents fear higher bills, lost open space, and health impacts from sprawling data centers.
Tech giants are pouring billions into new data-center sites, but growing community opposition is turning many projects into political flashpoints. Municipal boards are wrestling with zoning, water, and energy demands while residents rally to keep their towns free of humming server farms.
Rising Opposition
Municipal boards across the country are debating whether data-center projects fit into their zoning frameworks. Some have tried waivers or new ordinances; others lack zoning altogether. The result is crowded town-hall meetings and door-to-door campaigns.
Larry Shank asked supervisors:
> “Would you want this built in your backyard?”
Andy Cvengros said:
> “It’s becoming a huge problem.”
Bryce Gustafson said:
> “I’ve been doing this work for 16 years, worked on hundreds of campaigns I’d guess, and this by far is the biggest kind of local pushback I’ve ever seen here in Indiana.”
- Energy-hungry sites could raise electric bills.
- Open space, farmland, and forest could be lost.
- Diesel generators and server hum may affect health and property values.
- Water wells and aquifers risk depletion.
Impact on Developers and Politics
Even with federal or state support, developers face delays. Microsoft lists community opposition as a risk in its filings. Maxx Kossof warned that power can be secured but zoning may still block a project:
> “You might as well take chips off the table… You could have power to a site and it’s futile because you might not get the zoning.”
Dan Diorio noted that the industry is re-examining community engagement:
> “It’s definitely a discussion that the industry is having internally about, ‘Hey, how do we do a better job of community engagement?'”
| Metric | Value |
|---|---|
| Proposals blocked or delayed | 20 |
| Total value | $98 B |
| States involved | 11 |
| Projects lost rezoning in Indiana | >12 |
A lawsuit-filled landscape is emerging, with residents using social media to organize and challenge secrecy. John Higdon warned that a council vote could cost elected officials:
> “Had council approved it, every person that voted for it would no longer be in office…”
Jonathan Thornton criticized the secrecy that fuels opposition:
> “It’s the secrecy. The secrecy just drives people crazy.”
Rebecca Gramdorf expressed ongoing concern:
> “I don’t think this fight is over at all.”
Key Takeaways
- Community opposition has halted or delayed $98 B in data-center projects.
- Developers are reconsidering sites after securing power due to zoning risks.
- Local politics and secrecy fuel intense resistance, threatening even well-backed proposals.
The clash between data-center expansion and community interests underscores a growing tension that could reshape how tech infrastructure is built across the United States.
