Hochul's data center moratorium raises questions for proposed Genesee County project

News Clip2:0513WHAM ABC News·Alabama, Genesee County, NY·7/15/2026

Governor Kathy Hochul enacted a statewide moratorium on new hyperscale data centers, impacting a proposed $20 billion Stream Data Centers facility in Genesee County, New York. Local residents and environmental groups are opposing the project, with a lawsuit filed and a protest planned, while the project awaits final local approvals.

moratoriumenvironmentalgovernmentoppositionlegalelectricityzoning
Gov: Governor Kathy Hochul, Genesee County Economic Development Center, Town of Alabama, Alabama Town Supervisor Robert Crosson, planning board

Governor Kathy Hochul signed New York's first statewide moratorium on new hyperscale data centers, creating uncertainty for a proposed multi-billion dollar facility by Stream Data Centers in Genesee County. Local residents of Alabama, New York, expressed optimism, viewing the moratorium as a positive step in their ongoing opposition.

Stream Data Centers' proposed nearly $20 billion facility is touted by the Genesee County Economic Development Center (GCEDC) to generate over $218 million in local revenues across two decades. However, Hochul's executive order halts state environmental permits for up to one year to establish a framework safeguarding ratepayers, the energy grid, and the environment. Critics like Grandell Logan hope GCEDC will use this time for thorough environmental impact studies, extending beyond the immediate site.

Further escalating the local dispute, the Tonawanda Seneca Nation and the Sierra Club filed a lawsuit challenging an incentive zoning agreement (IZA) between the town of Alabama and GCEDC. Logan argues this IZA restricts future town boards from making decisions for their constituents. Alabama Town Supervisor Robert Crosson stated the town has not been formally served the lawsuit and believes the governor's order excludes local government approvals. The project is still awaiting final environmental and site plan approval from the planning board, which is set to meet next on August 3rd. Opposition efforts, including a planned protest in Batavia, are ongoing, with some residents vowing to leave if the data center is built.