Voters rejected data center development in 40 of 41 ballot measures across ten states, which could lead to tougher permitting, higher costs, and a slower pace of construction. However, voters did not uniformly “reject” active projects in all 40 cases. The measures included full bans (5), partial bans (12), temporary six-month moratoriums (3), zoning rules, voter-approval thresholds, financial-guarantee requirements, and non-binding advisory votes. The lone exception was in Harwood, North Dakota, where voters defeated a proposed review requirement. Construction projects could be suspended or downsized, with moratoriums beginning in January and delays of six to nine months. Only a third of Americans approve of the pace of data-center construction according to a June Reuters/Ipsos poll, and only 14% of those respondents would support a data center being built in their community. After election results opposed data center development, OpenAI published a new policy statement reaffirming that it would pay the full cost of powering its data centers.
Residents are concerned about electricity prices and water usage from data centers. Opponents have argued that data centers’ large energy demand drives energy prices higher and places heavy demands on water resources. At a contentious project in Saline, Michigan, the companies involved said they will fund all the energy and infrastructure needed for the data center, “ensuring no impact on local ratepayer bills or grid reliability.” It states it is “committed to responsible development,” including “protecting Michigan’s water by using closed-loop, air cooling systems” and preserving “750 acres of farmlands, wetlands and woodlands.” The project will help the local economy by creating more than 2,500 union construction jobs, 1,500 countywide jobs, more than 450 permanent jobs and billions in tax revenue. Data centers create ongoing jobs because the hardware inside them needs updating every three to five years. One OpenAI facility in southern Ohio is expected to create 2,500 long-term jobs with an average annual salary of $80,000.
OpenAI quickly issued a new policy statement after the election, saying it will refrain from using non-disclosure agreements with public officials when negotiating or discussing future sites, and it will solicit community input and publish construction plans and their potential effect on traffic, noise, and lighting. Additionally, in a policy blueprint, OpenAI encouraged policymakers to enact similar commitments as laws.
In February, OpenAI told investors that it is targeting $600 billion in total compute spend by 2030, and the company has since announced data center projects in Georgia and Ohio. It has contracted with Georgia Power Company for 3.2 gigawatts of power, which will be delivered in phases between 2028 and 2032. The project will use a closed-loop water system that recirculates water rather than continuously withdrawing and discharging it, keeping ongoing water use low. It will provide $80 million in community benefits directed toward local priorities such as schools, public safety, health care, utilities, workforce training, housing, veterans’ services, and support for small businesses and working families in Georgia. In Ohio, it will provide $40 million supporting priorities identified by local residents. It will keep the public informed by annual reports on its progress covering local hiring, community investment, water use, and project-related energy use.
Other tech companies, including Meta, Microsoft, Google, and Anthropic, have outlined several similar commitments. Anthropic states it will cover electricity price increases from its data centers, including paying 100% for grid upgrades needed to connect its data centers to the grid and the cost of any new generation needed. It will also invest in curtailment systems that would cut data centers’ power usage during periods of peak demand and grid optimization tools, both of which would help keep prices lower for ratepayers. And Meta reported earlier this year that it will pay the full costs of its data centers’ energy and water use and fund new and upgraded infrastructure.
According to the Data Center Map, Texas currently has 605 data centers, second only to Virginia, and will account for more than 25% of planned U.S. capacity by 2030. Because of public sentiment in the state, outgoing Texas Governor Greg Abbott ordered the Public Utility Commission (PUCT) and ERCOT to pause new grid interconnection approvals while auditing pending projects, and in September 2026 he directed the Texas Commission on Environmental Quality (TCEQ) to halt environmental permits until the audit concludes. Projects already approved or using off-grid/on-site power could continue construction. However, Texas’s newly elected governor has promised a moratorium on data centers statewide. With all the negativity and new governors elected, U.S. competition with China for global technological innovation remains a concern.
Conclusion
Data centers were on the ballot, and voters rejected 40 of 41 ballot measures across ten states that could lead to tougher permitting, higher costs, and a slower pace of construction. According to a Reuters/Ipsos poll, only a third of Americans approve of the pace of data-center construction, and only 14% of those respondents would support a data center being built in their community. After the election, OpenAI issued a policy statement saying it will solicit community input on the projects, publish construction plans, and protect ratepayers, hoping to shift public opinion. AI companies point to benefits including job creation, tax revenues, and community support, as well as covering electricity costs and using less water than some traditional industries like agriculture, rock quarries, and poultry processing through closed-loop water systems. The election could jeopardize U.S. competition with China for technological dominance if residents continue to oppose data centers.
