North Dakota Legislature Rejects Proposed Data Center Moratorium
The North Dakota Legislature, during a special session, rejected proposals from Democratic lawmakers for a temporary data center moratorium. These proposed bills failed to gain traction in both the House and Senate. Governor Kelly Armstrong dismissed the data center debate as "political grandstanding" during the session, which primarily focused on banning kratom.
During a special session of the North Dakota Legislature, Democratic lawmakers made last-ditch efforts to introduce and pass legislation for a temporary moratorium on data center development, alongside additional funding for childcare assistance. These proposals, put forth by representatives including Zac Ista (D-Grand Forks) and Gretchen Dobervich (D-Fargo) in the House, failed to secure the two-thirds vote required to be added to the session's agenda. In the Senate, similar moratorium bills proposed by Sens. Kathy Hogan and Ryan Braunberger, both Democrats from Fargo, were blocked by Senate Majority Leader David Hogue (R-Minot) on procedural grounds, preventing a vote.
Governor Kelly Armstrong publicly criticized these efforts as "political grandstanding," asserting that the special session's sole purpose was to address the ban of kratom products to prevent overdoses. He suggested that bills unrelated to the primary focus were politically motivated, especially with the upcoming November elections. Democrats, however, argued they were responding to constituent demands for both childcare assistance and a pause on data center approvals, warning that the session would be a wasted opportunity if it only addressed kratom regulation and museum funding.
In addition to the moratorium, a legislative policy committee recommended against a bill that would prohibit nondisclosure agreements for data centers and industrial projects, with the vote failing 13-5. The article noted that artificial intelligence infrastructure companies are considering North Dakota for future data center projects.