Monterey Park voters to decide on permanent data center ban
Monterey Park residents are set to vote on Measure NDC, a ballot initiative proposing a permanent ban on data centers within city limits. This initiative emerged from strong community opposition to a previously proposed data center by HMC StratCap, which has since withdrawn its plans. If approved, it would be the first data center ban by popular vote in the U.S., setting a precedent for other communities in Southern California facing similar development proposals.
Residents of Monterey Park, California, are preparing for a landmark vote on Measure NDC, which proposes a permanent ban on data centers within the city. This initiative follows a wave of data center opposition across the U.S., with Monterey Park potentially becoming the first city to enact such a ban via popular vote.
The ballot measure originated from a significant local dispute over a 247,000-square-foot data center proposed by Australian investment firm HMC StratCap in a residential area. The facility, which would have required 50 MW at peak demand, faced strong community pushback from groups like No Data Center Monterey Park, co-founded by Steven Kung. Residents voiced concerns about noise, air pollution, rising electricity rates, and potential decreases in property values, ultimately leading HMC StratCap to withdraw its plans in late March after a city council vote to extend a temporary moratorium and place the ban on the ballot.
Despite the Monterey Park City Council having already enacted an indefinite ban on data centers – the first in California, according to Mayor Elizabeth Yang – the ballot measure is seen as crucial. Mayor Yang and all four council members are actively campaigning for Measure NDC, arguing that a citizen-approved ban would be more difficult for future councils to overturn than a council ordinance. The measure aims to protect air quality, drinking water resources, public health, and prevent impacts on electricity and water rates.
While California ranks third nationally for existing data centers, it has not been a primary target for the recent AI-driven data center boom due to high electricity rates, expensive land, and regulatory challenges. However, new proposals in Southern California are meeting fierce opposition, with Montebello, El Monte, and Baldwin Park enacting temporary moratoria, and Alhambra updating its zoning to ban data centers. Conversely, some cities like Industry and Vernon are actively courting developers. Industry representatives, such as Mehdi Paryavi of the International Data Center Authority, lament the public opposition, emphasizing the economic benefits, while community organizers like Kung view bans as a victory for local quality of life.