Daily Digest — May 14, 2026
Hill County, Texas Enacts One-Year Data Center Moratorium; North Texas Communities Diverge on Development
Hill County, Texas, has approved a one-year moratorium on data center construction in unincorporated areas, in what is reported to be a first for a Texas county. According to KCENTV, the measure passed 3-2 after a four-hour public comment period, with County Judge Shane Brassell casting the deciding vote. Residents cited concerns over noise pollution, traffic, strain on electricity infrastructure, and water consumption.
Pervez Siddique, Chief Development Officer for Prime Power Inc., cautioned commissioners that the county could miss significant long-term tax revenue for schools and infrastructure, and stated his company would generate its own electricity and use minimal water. Despite the moratorium, commissioners left open the possibility of granting waivers for projects not deemed a threat to public health and safety, as reported by KCENTV.
The Baton Rouge Business Report, citing Bloomberg, noted that Hill County officials said the rapid influx of proposals outpaced the county's capacity for local oversight, and that lawmakers in other states are considering similar restrictions.
Meanwhile, the city of Red Oak approved an 800-acre data center site despite protests and a negative recommendation from its planning and zoning commission, according to WFAA. Texas currently leads the nation with 142 data centers under construction.
North Texas explores data center boom amid economic hopes and community concerns
WFAA
Hill County approves data center moratorium; other Texas localities also weigh proposals
WFAA
Hill County temporarily bans data center construction in what appears to be a Texas first
KCENTV.com
Why a Texas county just hit the brakes on data center development
Baton Rouge Business Report
Hill county temporarily bans data center construction
KCENNews
Granbury to hold data center town hall to discuss data center plans, as opposition grows
WFAA
Hood County Residents Sue Over "Project Patriot" Data Center; Judge-Elect Pushes for Moratorium
Residents of Hood County, Texas, have filed a lawsuit against Granbury city leaders to block "Project Patriot," a proposed 2,100-acre data center development on the former Knox Ranch, according to WFAA. The suit alleges city officials engaged in secret conversations regarding rezoning and annexation, and that the annexation occurred without proper public notice and involved the illegal use of public funds.
Hood County Judge-elect Mark Lowry, who campaigned against the county becoming a "data center capital," is pushing for a new county-wide moratorium vote despite a prior unsuccessful attempt and a warning from State Senator Paul Betancourt that counties may lack broad constitutional authority for such a ban. Lowry recently moderated a town hall in Granbury to gather public input, citing concerns over noise, light, and industrial waste.
Calipatria, California Advances Five-Year Data Center Moratorium
The Calipatria City Council in Imperial County, California, unanimously voted to initiate the drafting and public hearing process for a proposed five-year moratorium on large-scale data center development, as reported by the Desert Review and inewsource. Mayor Michael Luellen stated this makes Calipatria the first city in Imperial County to take such a step, expressing strong opposition to data centers and citing concerns over energy and water demands, increased costs, and public health risks.
The moratorium would allow the city to study impacts on:
- Water resources
- Electrical infrastructure
- Public health
- Traffic and noise
- Land use compatibility
The action is a direct response to a regional dispute over a large data center proposed on unincorporated Imperial County land near the city of Imperial. City of Imperial officials have filed a 231-page complaint in court disputing the developer's claim that the project does not require a formal CEQA review, according to inewsource. The city currently lacks specific zoning or development standards for large-scale data facilities. As reported by KYMA, the vote also followed the issuance of council recall notices.
Calipatria, California, City Council to Consider Data Center Moratorium Amid Regional Opposition
inewsource
Calipatria considers five-year moratorium on data center development
The Desert Review
Calipatria City Council approves data center moratorium on heels of council recall notices
kyma.com
Calipatria seeks historic data center moratorium on heels of council recall notices
kyma.com
Calipatria Council Introduces Data Center Moratorium
Calexico Chronicle
Birmingham Residents File Class-Action Lawsuit to Block Nebius AI Data Center
Residents of Birmingham's Oxmoor Valley have filed a class-action lawsuit in Jefferson County Circuit Court against Nebius and the City of Birmingham to halt a proposed 300-megawatt AI computing campus, according to WVTM. The lawsuit alleges the city allowed the project to proceed without necessary zoning approvals or public hearings, and that the site's mixed-use zoning does not permit a hyperscale AI facility.
The legal dispute centers on a proposed power substation and switching station that plaintiffs say required special approval from Birmingham's Zoning Board of Adjustment. Those applications reportedly failed to garner enough votes at a March meeting, as reported by WBMA. The lawsuit challenges an internal city attorney memo that allegedly stated the facilities did not qualify as utility substations under city code, contending this improperly overrode the zoning board's decision.
Demolition and grading work are reportedly underway, and the city has issued a permit worth approximately $7 million. Plaintiffs are seeking a court order to halt further work and damages related to property values and quality of life. The City of Birmingham stated it had not yet been served and declined to comment on pending litigation.
New York Lawmakers Rally for Three-Year Statewide Data Center Moratorium
New York lawmakers, advocates, and over 100 residents rallied at the state Capitol to push for passage of S.9144/A.10141, a bill that would impose a three-year moratorium on new hyperscale data center construction statewide, according to Spectrum News and the Yonkers Times.
Introduced by State Senator Liz Krueger and Assemblymember Anna Kelles, with Senator Kristen Gonzalez as co-prime sponsor, the bill would direct the Department of Environmental Conservation and the Public Service Commission to study data centers' effects on:
- Electricity usage and rates
- Water resources
- Air quality and greenhouse gas emissions
- Electronic waste
Senator Gonzalez cited projections of 9,000 megawatts in data center electricity demand, which she said would double the consumption of all New York households. The Data Center Coalition's Khara Boender countered that rising energy costs stem from multiple factors and warned a moratorium could signal to companies that New York is unwelcoming for their operations. More than 150 organizations across New York have expressed support for the bill, per the Yonkers Times.
Proposal calls for three-year moratorium on construction of data centers in New York
Spectrum News
Inside the fight to halt data center projects in NY for three years
The Journal News | lohud.com
NY lawmakers, activists push for moratorium on large-scale data centers
Times Herald-Record
Lawmakers, Advocates and Alarmed New Yorkers Rally for Data Center Moratorium Bill
Yonkers Times
Gallup: 71% of Americans Oppose AI Data Centers in Their Communities
A new Gallup poll finds that 71% of Americans oppose the construction of AI data centers in their local communities, with 48% strongly opposed, according to Fingerlakes1.com. Opposition exceeds that for nuclear power plants and is driven primarily by concerns over environmental impact, electricity and water consumption, pollution, utility costs, and quality-of-life issues.
The poll found consistent opposition across political affiliations, with majorities of Republicans, Democrats, and independents expressing disapproval. Resistance was highest in the Midwest and South, though majorities in all regions opposed local development. Supporters of data centers primarily cited economic benefits such as job creation and tax revenue. Gallup warned that public sentiment could fuel increased grassroots activism, legal challenges, and make AI infrastructure a campaign issue in upcoming elections.
