Data center moratorium gains traction among Hill progressives

A proposal to enact a moratorium on new data centers across the country is gaining traction among progressives on Capitol Hill.

Last year hundreds of advocacy groups, led by Food and Water Watch, sent House and Senate lawmakers are letter calling for a "National Data Center Moratorium Now!" They cited energy, water and other environmental concerns. But only Vermont independent Sen. Bernie Sanders appeared to take them up on the plan.

Now, even though the idea remains unpopular with members of both parties, it's gaining currency among lawmakers like former Progressive Caucus Chair Pramila Jayapal (D-Wash.). Sanders said he's preparing legislation.

"A few months ago, when I proposed a moratorium on AI data centers, it was perceived as a radical, fringe and Luddite idea. Well, not anymore," said Sanders.

Supporters frame the moratorium as a temporary pause that would allow regulators to catch up with the breakneck pace of development. Not only are companies looking to build several thousand data centers around the country, they're also working on securing the energy and water necessary to keep them running.

"The problem with a lot of these technologies is that once they’re out of the box, it’s difficult to pull them back in,” said Jayapal. "It is not too soon to stop this."

Rep. Maxwell Frost (D-Fla.) said, “This doesn’t mean we’re anti-innovation. We just need time to make sure we can legislate on behalf of our constituents, because tech companies are moving a million miles an hour."

But other Democrats from across the ideological spectrum have rejected the idea of a moratorium. Sen. John Fetterman (D-Pa.) publicly rebuked Sanders, echoing Interior Secretary Doug Burgum’s warning that a moratorium would amount to waving a “surrender flag” to China. “I refuse to help hand the lead in AI to China,” Fetterman wrote on X.

Many lawmakers on Capitol Hill are taking cues from state and local leaders, some of whom have also moved to support a data center moratorium.

One proposal in New York would impose a three-year moratorium on proposed facilities that require too much energy. And in Denver, Mayor Mike Johnston is finalizing a plan that would give the city a year to review how data centers might affect utility bills and update zoning rules.

But even though data centers are causing a buzz, opposition to them is far from universal. A POLITICO Poll, conducted in January by London-based firm Public First, found that half of voters surveyed support building more data centers in the U.S., compared with 17 percent who oppose them. Support fell to roughly 36 percent if the data center was being built within three miles of where people respondents live.

The White House, which has been bullish on artificial intelligence helping bolster the unsteady economy, has been trying to get ahead of data center concerns by pushing companies to source their own energy.

And while progressives see the data center moratorium as siding with concerned communities, some Republicans say it reminds them of the Green New Deal, casting the left as hostile to growth, innovation and national competitiveness.

"It’s Green New Deal politics all over again, and it’s the dumbest thing I’ve ever heard of,” said Rep. Rich McCormick (R-Ga.), whose state is experiencing a data center boom. “Let’s stop while everybody else surpasses us."

Not all Republicans are as dismissive. House Energy and Commerce Chair Brett Guthrie (R-Ky.) refrained from being overly critical of Sanders’ push, citing two proposed data centers in his district.

“I understand that local communities need to have plans and understand how more data centers would work in their communities,” Guthrie said. “But we have to win the AI war. And so I would be very reluctant to do a federal ban on data centers that would set us behind.”

James Fishback, a far-right candidate for Florida governor, has criticized national Republicans for prioritizing major tech firms over communities absorbing the impacts of rapid development.

"They’re not building an AI data center next door to Mar-a-Lago," Fishback said. “They’re building AI data centers in our agricultural communities like Loxahatchee and Fort Meade, and I'm running for governor to stop that."

Similarly, progressive Rep. Hank Johnson (D-Ga.) said, “Why are we supporting data centers that drive up energy, electric and water costs for everybody, and pretty much only benefit AI developers? We need to get a handle on it.”