Data center expansion looms over midterm elections

Data center expansion looms over midterm elections

News ClipArizona Capitol Times·Ashburn, Loudoun County, VA·3/13/2026

Data center expansion in the Sterling, Virginia area near Dulles International Airport is generating backlash from local communities due to issues like high energy bills and noise complaints. This has turned into a political issue, with Democrats and Republicans campaigning against state-funded tax incentives for data center companies. The fight over data centers in Virginia has pitted Democrats against each other, as the new Democratic governor has sparred with the powerful Senate President Pro Tem over continued tax breaks for these projects.

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Gov: Loudoun County Board of Supervisors, Virginia DEQ
Data center expansion is becoming a major political issue in the United States, as the booming artificial intelligence and cloud computing industry builds more large data centers. This is sparking backlash in surrounding communities due to rising energy bills and noise complaints. Democrats and Republicans are campaigning against state tax incentives for these data centers, reconstituting a not-in-my-back-yard coalition ahead of the midterm elections. Some states like Virginia are seeing intra-party fights over the issue, while others like Mississippi are more welcoming. The data center industry is expected to launch a more sophisticated public relations campaign to change its image and address concerns over costs and AI.