This week’s Zoning In highlights how data center growth is reshaping policy and infrastructure across the U.S. In California, PG&E announced a $73 billion plan to upgrade transmission systems in response to rising data center electricity demand. In Maryland, a coalition of environmental and land use groups formed to coordinate responses and provide resources to communities evaluating new projects.
Meanwhile, lawsuits, rezoning battles, and moratoria continue from Georgia to Indiana, Pennsylvania, and Virginia, while states like Ohio and Wisconsin examine new strategies for incentives and competitiveness.
Residents sue Twiggs County over $2 billion data center project. What we know.
Twiggs County residents filed a lawsuit after officials approved rezoning nearly 300 acres of timberland for a $2B Eagle Rock Partners data center. Plaintiffs allege improper public notice, zoning violations, and failure to conduct a mandatory “Developments of Regional Impact” review before approval.
Maryland groups join forces for upcoming data center decisions
Six land use/environmental groups launched the Maryland Data Centers Analysis Group to provide fact-based resources for communities facing new projects. With hyperscale proposals underway in multiple counties, the coalition joins other advocacy networks and education efforts while the Maryland Tech Council pushes economic benefits.
PG&E unveils $73 billion spending plan to meet surging data-center energy demand
PG&E plans $73B in transmission upgrades by 2030 to meet 10 GW of new data center demand, while also burying 700 miles of lines and upgrading wildfire safety. The utility remains under scrutiny for wildfire liabilities as California power demand spikes.
Arizona cities are taking different approaches to regulate large water users like data centers
An ASU study shows Arizona cities are adopting varying ordinances to restrict high-volume water users like data centers. Definitions differ by city, raising concerns that users will relocate to less restrictive jurisdictions, undermining groundwater protections.
Southern GOP governors embrace AI data centers, push back on clean energy subsidies
At the Southern States Energy Board, governors from GA, MS, and MO praised AI data centers as economic engines while rejecting clean energy subsidies. They emphasized property tax relief, rural job growth, and free-market energy sourcing, amid community pushback over energy demand and environmental impacts.
Residents protested rezoning 158 more acres in Indiana for a data center, citing tax abatements, property value risks, and lack of developer transparency. The Plan Commission nonetheless recommended approval; county commissioners will decide Oct. 6.
Former Mayor Greg Ballard weighs in on Google data center withdrawal
Following Google’s withdrawal of its Franklin Township rezoning request, former Indianapolis Mayor Greg Ballard cautioned against heavy incentives for low-job-creation projects. He urged leaders to focus on employment impacts; another data center proposal may be emerging in Martindale-Brightwood.
Archbald residents voice concerns over proposed data center zoning law
Hundreds in Archbald, PA opposed a proposed zoning law confining data centers to four overlay zones with restrictions on noise, water, and building specs. Residents argued the controls don’t go far enough and that surveys show industrial uses are least desired.
Tulsa County Commissioners vote to approve tax incentives for ‘Project Clydesdale’ data center
Tulsa County approved four incentive districts over 25 years for “Project Clydesdale.” Supporters cited growth potential, while critics demanded local hiring commitments and raised concerns about water usage. Rezoning has already been cleared.
Data center pause underscores local concerns about widespread impacts
Prince George’s County, MD paused all data center projects until a task force reports in November on health, environmental, and energy impacts. Officials cited high electricity imports and rising resident bills as key concerns.
Maryland Data Center Projects Boost Local Economy and Create Jobs in Frederick County
A Calvert County session highlighted job creation, training programs, and tax revenue from projects like Quantum Frederick. Advocates say data centers can generate $40M in annual property taxes and fund schools, though the write-up notes it is AI-generated.
Site Selection and Incentives for Data Centers: Navigating New Opposition and Legislative Challenges
Faegre Drinker’s client advisory outlines incentive negotiation and permitting strategies amid growing community opposition and legislative scrutiny of data centers nationwide.
Yukon weighs data center deal amid water, power, and resident concern
Yukon, OK is negotiating a land sale with Beltline Energy for a 500MW data center projected to bring $8–12M annually in tax revenue. Mayor Pillmore stressed long-term water and grid planning while acknowledging resident concerns over infrastructure strain.
Data center developers descend on upstate New York
AI-driven power demand is drawing hyperscale proposals to former coal plants and industrial sites in upstate New York. Officials balance climate goals and energy reliability with the economic lure of data center development.
St. Louis leaders seek resident input on data center regulation plans
St. Louis invited public feedback on new rules requiring conditional-use reviews and disclosures for data centers. Officials aim to balance tech growth with environmental goals, citing projects like the proposed Armory redevelopment.
Albemarle supervisors table further data center regulation changes
Albemarle County will pause new rules and stick with its April ordinance requiring permits for centers above 40,000 sq. ft. Officials say technology and state law are evolving too quickly for further local changes.
Data center regulation resolution heads to Board of Aldermen for vote
St. Louis’ Board of Aldermen advanced a resolution to tighten reviews and require aldermanic approval. Residents voiced concerns about increased electric demand and grid impacts.
Meta Faces Backlash Over AI Data Center’s Strain on Georgia Water Supply
Residents near Meta’s Newton County, GA facility blame water contamination and appliance damage on the 4M sq. ft. data center’s cooling water use. Meta denies responsibility, citing distant sources and reuse practices.
Plymouth Township’s planning agency unanimously rejected a special exception for a proposed data center on a historic steel site. The developer argued it would bring major tax revenue and rely on onsite gas power; residents objected over noise, pollution, and industrial riverfront use.
Ohio must adjust data center strategies to maintain ‘hyperscale hub’ dominance, per report
An Ohio Chamber study says the Columbus–Licking County corridor is a hyperscale hub anchored by AWS, Google, and Meta, but warns that policy and infrastructure upgrades are needed to maintain its competitive edge.
Push continues to expand Wisconsin data center sales tax exemption
Wisconsin legislators are considering expanding sales tax exemptions for standalone data center equipment. Proponents say it levels the field; critics cite $70M in lost revenue so far and rising energy costs tied to new facilities.
