Hochul enacts first statewide moratorium on new data centers
Democratic voters in Michigan, Wisconsin and other swing states are expressing anger at party leaders who have championed large-scale data center projects, with polls showing the issue could become a liability in the November midterm elections, according to interviews and surveys reported by The Guardian. New York Governor Kathy Hochul on July 14 became the first U.S. governor to enact a statewide moratorium on new data centers, signing an executive order that mandates a one-year pause on the large facilities.
In Michigan, where Trump won by 1.4% in 2024, establishment candidates are at risk amid a groundswell of anger at rising utility costs and a perceived disregard for voters’ stances on data centers, The Guardian reported. The Democratic frontrunner for governor, Secretary of State Jocelyn Benson, is married to Ryan Friedrichs of Related Companies, the real estate developer building a $16 billion data center in Saline Township that has drawn opposition from local residents. Michigan progressive Senate candidate Abdul El-Sayed, who has called for partial public ownership of data centers, leads his primary race against AIPAC-backed Haley Stevens, several polls show.
Sarah Brabbs, a lifelong Democratic voter who lives six miles from the Saline Township site, said she felt “rage and sadness” when she saw Governor Gretchen Whitmer appear on stage with OpenAI CEO Sam Altman and Oracle CEO Clay Magouyrk at the project’s groundbreaking in June. “I’m extremely angry watching her essentially throw us under the bus, casually,” Brabbs told The Guardian. Whitmer, who is term-limited and considered a potential 2028 presidential candidate, did not respond to requests for comment from The Guardian.
In Wisconsin, Governor Tony Evers called Microsoft’s data center complex in Mount Pleasant a “modern marvel” in September, but the company later canceled plans for a second facility in Caledonia after local pushback. Kelly Gallaher, chair of the Racine County Democratic Party, said the party’s candidates have been “very outspoken about the need for a moratorium on data centers.” The Mount Pleasant site was originally developed for a failed Foxconn project that left the village with nearly $1 billion in debt. Microsoft’s three planned data centers in Racine County will collectively use up to 8.4 million gallons of water annually, supplied by the city of Racine from Lake Michigan. The first completed facility, called Fairwater, is the first of the three.
An Ipsos national poll found Democratic voters oppose data centers by a margin of 17% compared to Republican voters. Only 9% of Democrats polled said they supported a data center in their own community, compared to 21% of Republicans. A Michigan survey of 600 likely general election voters published in May found that 64% of Democrats opposed having a data center within 25 miles of their home, compared to 51.5% of Republicans.
In Pennsylvania, reports show the issue is bringing Republican and Democratic voters together, The Guardian reported. Gallaher said the use of incentives for corporations has “gotten completely out of control” and that “people are finally getting wise to it.” Michigan congresswoman Rashida Tlaib called Whitmer’s position on the data center “disgusting.” The Michigan primary is scheduled for Aug. 4.