Data center activity in North Dakota
North Dakota's regulatory environment has deteriorated notably, driven by a wave of moratorium activity with at least 21 moratoriums enacted against 6 rejected. Zoning outcomes remain modestly positive, with at least 4 approvals and 1 denial reported, and at least 3 projects have been approved despite opposition with no reported projects blocked. Compared to neighboring South Dakota, which has fewer moratoriums but also weaker zoning outcomes, North Dakota shows more local government intervention but slightly better results when projects reach the approval stage. The 21 active companies indicate continued market interest, though medium confidence suggests that regulatory activity in the state may be underrepresented in media coverage.
North Dakota's regulatory environment has deteriorated notably, driven by a wave of moratorium activity with at least 21 moratoriums enacted against 6 rejected. Zoning outcomes remain modestly positive, with at least 4 approvals and 1 denial reported, and at least 3 projects have been approved despite opposition with no reported projects blocked. Compared to neighboring South Dakota, which has fewer moratoriums but also weaker zoning outcomes, North Dakota shows more local government intervention but slightly better results when projects reach the approval stage. The 21 active companies indicate continued market interest, though medium confidence suggests that regulatory activity in the state may be underrepresented in media coverage.
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Public opinion against data centers is growing nationally, with polls showing significant opposition, especially regarding energy and water consumption. North Dakota Republicans are criticized for dismissing these concerns as uninformed. Applied Digital's 280-megawatt data center near Harwood, North Dakota, is cited as an example of ongoing development.
Morton County's draft ordinance regulating data centers has been advanced by the Planning and Zoning Commission to the County Commission. The proposed regulations were met with a positive reception from residents concerned about data center development in the area.
Cass County, North Dakota, could be the site of a new data center following a purchase agreement for nearly one square mile of land in Durbin Township by a company representing Minnesota-based Geronimo Power. However, Geronimo Power states they do not have a permit application and local officials, like Durbin Township board chairman Keith Goetz, were reportedly blindsided by the news.
North Dakota Governor Kelly Armstrong is opposing a bipartisan bill, Senate Bill 2406, which aims to restrict public officials from signing nondisclosure agreements (NDAs) with developers, including data center companies. The governor argues the bill, without his proposed amendment, could hinder economic development and that existing open records laws are sufficient. Supporters of the bill contend it adds necessary enforcement mechanisms and transparency.
Geronimo Power, a Minnesota-based energy company, has a purchase agreement for over 600 acres in rural Cass County, North Dakota. The company recently promoted the economic benefits of data centers in the region, leading to speculation about a new facility near Fargo.
The North Dakota Senate has defeated Senate Bill 2406, which sought to impose a moratorium on public officials signing non-disclosure agreements concerning data centers and other industrial projects. The bill was voted down 32-15, meaning the proposed ban on NDAs will not be enacted.
The City of Mandan Planning and Zoning Commission advanced a draft data center ordinance, including six changes. This ordinance will now be reviewed by the Mandan City Commission, marking a step towards new regulations for data center development.
Data center projects were discussed in Mandan and Morton County, North Dakota, but ultimately not approved by the local planning and zoning commissions. This indicates that no specific data center development has been cleared to proceed in the area.
The Morton County Planning and Zoning Commission approved a draft data center ordinance during its meeting. This ordinance will advance with some changes. The specific details of the changes were not provided.
A guest column advocates for North Dakota's lignite coal industry as a reliable power source for data centers, highlighting the state's existing energy infrastructure and workforce. It suggests that utilizing lignite would bring economic benefits, stabilize the coal industry, and generate tax revenue. The article also addresses concerns about grid strain and costs to existing customers through "bring your own power" programs.
During a special legislative session, the North Dakota House overwhelmingly voted down a proposed bill for data center moratoriums. This was one of two bill drafts that failed to pass, alongside a proposal for state childcare assistance.
A North Dakota legislative committee has recommended rejecting Senate Bill 2406, a bill aimed at adding penalties for data center developers entering nondisclosure agreements with public agencies. Although an amendment was adopted to clarify state agencies' ability to use confidentiality agreements, the committee voted against the bill, citing its complexity. The bill will now proceed to the full Senate with a do-not-pass recommendation.
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.
A bill in North Dakota aiming to ban non-disclosure agreements concerning data centers and other industrial projects received a "do-not-pass" recommendation from the Joint Policy Committee. This decision occurred on the first day of the Legislature's special session.
North Dakota Democratic lawmakers attempted to introduce a bill for a temporary moratorium on data center permitting during a special legislative session. The proposal, which called for a pause until June 2027, was rejected by the Republican-led House and blocked in the Senate. Lawmakers cited the need for further discussion on both benefits and concerns related to data centers.
North Dakota Governor Kelly Armstrong is opposing a broad legislative ban on public officials signing nondisclosure agreements (NDAs), arguing it is a political move and partially symbolic. The push for NDA restrictions stems from public concern over data center projects and transparency, with activists alleging corruption. While the Governor supports a narrower version of the bill, he maintains that existing open records laws are sufficient for project information.
A data center nondisclosure bill in North Dakota failed to gain support in a legislative committee. This indicates a setback for the proposed legislation aimed at regulating information transparency around data center developments.
North Dakota lawmakers are holding a special session in Bismarck to discuss a bill that would ban public officials from signing non-disclosure agreements (NDAs) for industrial projects like AI data centers. This proposed legislation aims to increase transparency around such developments. The special session is set to run through Friday.
A North Dakota committee convened to review the statewide impacts of data center growth, focusing on grid effects, regulatory frameworks, and environmental concerns. Experts shared insights on economic benefits and resource usage, while residents voiced concerns during a public comment period. The committee is set to meet again in October 2026 to continue its evaluation.
State Sen. Mark Enget is organizing an open house in Tioga, North Dakota, for local and state officials to discuss data center developments with the public. The event will address common concerns like water and electricity demand, noise, and environmental impacts. This comes as multiple data center projects in Williams County and the Williston area have recently received conditional use permits or plat approvals.