California

Data center activity in California

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Regulatory Environment Score
C
+13 pts

California's regulatory environment is defined by a high volume of moratoriums and strong opposition that frequently blocks projects. At least 22 moratoriums have been enacted with only 2 rejected, and at least 13 projects have been blocked compared to just 1 approved despite opposition, one of the most lopsided opposition ratios in the country. Zoning outcomes are relatively favorable with at least 22 approvals against 2 denials, suggesting that projects which survive the moratorium and opposition gauntlet tend to win approval. Unlike neighboring Arizona, where opposition rarely succeeds and moratoriums are typically rejected, California presents a far more hostile regulatory posture for data center developers. Despite these challenges, at least 52 companies remain active, reflecting the state's fundamental market importance.

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Coachella City Council Halts Data Center Project, Enacts Moratorium Amid Community Opposition
News ClipPalm Springs Tribune·Coachella, Riverside County, CA

Coachella City Council Halts Data Center Project, Enacts Moratorium Amid Community Opposition

The Coachella City Council unanimously voted to halt a proposed data center campus by Stronghold Power Systems and terminate its utility agreement with the developer following significant community opposition. The council also approved a 45-day moratorium on all data center development in the city. Residents voiced concerns about water usage, electricity costs, and potential air pollution.

6/8/2026
Will Perris join other Southern California cities in banning data centers?
News Clippressenterprise.com·Perris, Riverside County, CA

Will Perris join other Southern California cities in banning data centers?

The Perris City Council is scheduled to discuss potential bans or regulations on data center development, following concerns from residents about their intensive water and power consumption. The city currently lacks specific rules for data centers, and officials are exploring options ranging from a citywide ban to allowing them with conditional-use permits. This comes as other Southern California cities have already enacted bans or restrictions.

6/8/2026
SGV communities react to Monterey Park AI data center vote
News ClipSpectrum News·City of Industry, Los Angeles County, CA

SGV communities react to Monterey Park AI data center vote

Monterey Park voters overwhelmingly approved Measure NDC, permanently banning data centers within city limits. This decision has spurred residents in nearby San Gabriel Valley communities, particularly the City of Industry, to organize against proposed AI infrastructure projects. Concerns revolve around potential strain on water and electricity resources.

6/8/2026
Local Zoning Decisions Threaten US Lead in AI Development
News ClipLos Angeles Times·Monterey Park, Los Angeles County, CA

Local Zoning Decisions Threaten US Lead in AI Development

Widespread local opposition to data centers, fueled by concerns over utility bills, water usage, and noise, is jeopardizing the United States' lead in artificial intelligence development over China. The article argues that the AI industry must address these local concerns through policy and engineering fixes rather than treating them as mere public-relations issues. Proposed solutions include interruptible load contracts, developer-borne infrastructure costs, and proportional community benefits.

6/7/2026
High-Speed Rail plans to lay track starting in November | John Lindt
News ClipHanford Sentinel·Hanford, Kings County, CA

High-Speed Rail plans to lay track starting in November | John Lindt

The California High-Speed Rail Authority is advancing its project, including laying tracks in the Central Valley and partnering with private consortiums. The board is also exploring opportunities for clean energy and grid integration along the rail corridor, potentially including battery storage and data centers. This prospect of data center construction is highlighted as a potential new controversy.

6/6/2026
Monterey Park voters approve permanent data center ban
News ClipThe Washington Post·Monterey Park, Los Angeles County, CA

Monterey Park voters approve permanent data center ban

Voters in Monterey Park, California, overwhelmingly approved the nation's first permanent ban on data centers within city limits. This decision comes amidst growing nationwide concerns regarding data centers' energy consumption and potential environmental impact. The ban sends a clear message against data center development in the city.

6/6/2026
The push for AI data centres is growing. So is the angry backlash
News Clip2:22CBC News: The National·Monterey Park, Los Angeles County, CA

The push for AI data centres is growing. So is the angry backlash

Growing public backlash against AI data centers is leading to significant opposition and policy changes in the US. Monterey Park, California, has voted to permanently ban data centers, while New York State has enacted a one-year pause on permits due to environmental and power grid concerns.

6/6/2026
Coachella kills massive data center project after resident backlash and considers future ban for similar ‘tech campuses’
News ClipNew York Post·Coachella, Riverside County, CA

Coachella kills massive data center project after resident backlash and considers future ban for similar ‘tech campuses’

The City of Coachella has imposed a 45-day temporary ban on data center developments and unanimously voted to terminate its agreement with Stronghold Power, the company behind a previously approved project. This decision follows months of public outcry and resident protests citing environmental concerns and higher electricity rates. The City of Indio also established a similar moratorium.

6/6/2026
Data Centers Hit the Brakes: Coachella and Indio Push Pause on Big Tech Projects
News ClipNBC Palm Springs·Coachella, Riverside County, CA

Data Centers Hit the Brakes: Coachella and Indio Push Pause on Big Tech Projects

The city of Coachella approved a temporary ban on new data center projects and terminated its agreement with Stronghold Power, following strong public opposition. The city of Indio also paused new data center developments to further study the issue. These actions reflect an ongoing debate in the Coachella Valley about community growth and future direction.

6/6/2026
Imperial County voters reject data center-backed candidate for water and power utility
News Clip0:58KPBS Public Media·Imperial County, CA

Imperial County voters reject data center-backed candidate for water and power utility

Imperial County voters rejected Carlos Duran, a candidate for the Imperial Irrigation District board who was backed by data center developer Imperial Valley Computer Manufacturing. Voters instead reelected incumbent Alex Cardinus. The outcome signals a preference for transparency and a rejection of special interest influence on the local water and power agency.

6/5/2026
Map: Which States Are Giving Biggest Tax Breaks for Data Centers
News ClipNewsweek·Monterey Park, Los Angeles County, CA

Map: Which States Are Giving Biggest Tax Breaks for Data Centers

States like Washington, Texas, and Indiana have offered billions in tax incentives to attract data centers, with Amazon, Apple, Meta, Google, and Microsoft being major recipients. However, community opposition is growing nationwide due to concerns over energy and water use, and land impact. Monterey Park, California, has already enacted a ban on new data center development.

6/5/2026
Coachella Shelves Proposed Data Center, Enacts Moratorium on Projects
News ClipMyNewsLA.com·Coachella, Riverside County, CA

Coachella Shelves Proposed Data Center, Enacts Moratorium on Projects

The Coachella City Council unanimously approved an urgency ordinance imposing a 45-day moratorium on data center applications and terminated its agreement with Stronghold Power Systems Inc. This decision follows months of community protests citing environmental, health, and electricity rate concerns. City staff are now expected to propose a permanent ban on data centers.

6/5/2026
Amazon data center construction in Gilroy sparks public concern over transparency
News ClipMonterey Herald·Gilroy, Santa Clara County, CA

Amazon data center construction in Gilroy sparks public concern over transparency

A large Amazon data center is under construction in Gilroy, California, sparking significant community concern and protests over its approval process and environmental impacts. Residents claim they were not adequately informed before construction began, leading to a petition to change city codes for future data center projects. Amazon and city officials assert they followed regulations and are working to mitigate the project's energy and water consumption.

6/5/2026
Brawley removes temporary moratorium language from new ordinance
News ClipThe Desert Review·Brawley, Imperial County, CA

Brawley removes temporary moratorium language from new ordinance

The Brawley City Council voted to remove temporary moratorium language from a newly proposed city ordinance concerning large-scale data center construction. This decision was influenced by concerns from public speakers and council members about creating an anti-business climate and hindering economic development in the Imperial Valley. Staff will now prepare a revised ordinance with proper development guidelines but without the moratorium.

6/5/2026
Community speaks on proposed data center
News Clip2:19KGET News·Bakersfield, Kern County, CA

Community speaks on proposed data center

A proposed data center in Inyokern, California, faces community opposition over its projected 12-16 million gallons of annual water consumption from an already over-pumped groundwater basin. Residents cite environmental threats and higher energy bills, while supporters emphasize job creation. The California Energy Commission will vote on the application by June 11th.

6/5/2026