Public opposition to AI data centers has exploded across the United States, with three-quarters of Americans now saying they would oppose building one in their community, up from just 42% a year ago. This dramatic shift is reshaping how governors and local officials approach data center policy, forcing some states to impose strict new requirements while others face mounting pressure to halt projects altogether.

What's Driving the Sudden Backlash Against Data Centers?

The reasons Americans have soured on data center development are remarkably consistent across regions and political affiliations. Concerns span environmental impacts, economic fairness, and transparency in decision-making. A July poll from Morning Consult and Americans for Responsible Innovation found that overwhelming majorities of Americans worry about multiple aspects of data center projects.

• Industrial Noise: 73% of Americans cite industrial noise as a major concern with data center development.
• Water Consumption: 74% worry about heavy water use from data centers, which can strain local water supplies.
• Hidden Subsidies: 77% oppose the use of hidden taxpayer subsidies to attract data center companies to their regions.
• Lack of Public Input: 75% believe deals are cut without meaningful public participation or community engagement.
• Rising Electricity Bills: 77% of Americans believe AI data centers will make electricity even more expensive for residents.

The opposition cuts across political lines in a way that few issues do. A March Gallup poll found that 75% of Democrats, 74% of independents, and 63% of Republicans would oppose a data center in their area to support AI technology. Seven in ten Americans worry about environmental impacts either a fair amount or a great deal.

How Are States and Local Communities Responding to Public Pressure?

The surge in public opposition has translated into concrete policy action at multiple levels of government. In the Ohio River Valley region, which includes Ohio, Pennsylvania, West Virginia, and Kentucky, communities have moved swiftly to restrict or pause data center development. Thirty Kentucky counties have already enacted ordinances or moratoria on new data centers, and West Virginia residents have packed town halls and organized roadside protests to demonstrate their opposition.

Ohio presents a particularly striking case. The state is home to more than 200 planned or currently operating data centers, the sixth-highest total in the country. Yet Ohio has not passed any statewide regulations on data center development. In May, Governor Mike DeWine directed the Ohio Tax Credit Authority to pause new data center tax exemption considerations after the state handed out over $1.5 billion in sales tax exemptions on data center equipment and construction materials in the previous year.

Pennsylvania has taken a more aggressive regulatory approach. In August, Governor Josh Shapiro signed an executive order embedding enforcement mechanisms into his Governor's Responsible Infrastructure Development, or GRID, Standards. These requirements represent a significant tightening of oversight compared to previous expedited permitting processes.

The GRID standards direct data centers to provide their own electricity without imposing additional costs on ratepayers and include modest standards for new clean energy generation that ramp up from 10% of capacity to 32% by 2035. The standards also require submission of a community outreach and disclosure plan, good faith efforts to mitigate air pollution and land and water impacts, and a community benefit plan with a commitment to at least $250 million in new investment, 200 construction jobs, and 50 long-term jobs, prioritizing local labor.

Shapiro's order also prohibits the use of nondisclosure agreements with state executive agencies, requires data center operators to submit information on real and projected energy use and water consumption, and establishes a public map of statewide data center proposals and permitting information.

What Do Voters Want From Policymakers on Data Centers?

Americans are not simply opposed to data center development; they have clear preferences for how such projects should be regulated if they do proceed. Large majorities support specific policy interventions that would enhance transparency, protect local resources, and ensure communities benefit from development.

• Tax Incentive Reform: Over three-quarters of Americans (77%), including large majorities of Republicans (77%), Democrats (77%), and independents (71%), favor repealing or limiting tax incentives so that data centers do not strip funding away from local services.
• Water Protection: 82% of Americans support establishing regulations to protect nearby water sources from data center operations.
• Mandatory Disclosure: 82% want data center companies to disclose their water and energy use publicly, enabling communities to understand the true impact of these facilities.

These policy preferences suggest that Americans are not categorically opposed to data center development but rather want it to occur under conditions that protect local interests, ensure transparency, and prevent communities from bearing hidden costs.

How Will the 2026 Ohio Gubernatorial Race Shape Data Center Policy?

Ohio's upcoming gubernatorial election will substantially reshape the state's data center landscape. The winner will appoint the five members of the Ohio Public Utility Commission, which sets utility rates and statewide parameters for data center development. The two major candidates have taken sharply different positions on data center expansion.

Democrat Amy Acton announced that she would support a conditional moratorium on data centers if requirements on costs, union labor, transparency, environmental standards, community benefit agreements, and development are not met. Republican Vivek Ramaswamy has welcomed data center expansion, suggesting it would require an unshackling of energy production in Ohio, from fossil fuels to nuclear energy.

Ramaswamy's data center proposal, released in August, acknowledges growing concerns around data center expansion and outlines a set of conditions for new projects. According to his framework, if a data center is built in a community, residents will no longer have to pay for their home's electricity, will pay lower property taxes, and the data center will be required to abide by all air and water quality standards without exception while protecting Ohio's fertile farmland. If any one of these three conditions is not met, the data center will not be built.

However, an investigation from Innovation Ohio revealed that Ramaswamy stands to personally benefit from data center development. His 2025 financial disclosure, filed with the Ohio Ethics Commission, reveals millions of dollars worth of personal investments in chip manufacturers, tech companies like Microsoft and Amazon, real estate investment trusts, and companies throughout the data center supply chain.

Polls suggest the race could come down to the wire. In the lead-up to the November election, dozens of Ohio towns and cities have advanced municipal data center moratoriums to stave off new development proposals.

What Gaps Remain in Current Data Center Regulations?

Despite Pennsylvania's aggressive new standards, community advocates argue that significant gaps remain in data center regulation. The majority of the Commonwealth's projected data center electricity demand is expected to be met with gas-fired power, which can spike residential electricity prices and increase climate-warming pollution, even when developers build their own dedicated, behind-the-meter power plants.

Additionally, permitted data centers will still be eligible for the state's generous sales tax exemption, previously estimated to cost Pennsylvanians hundreds of millions of dollars annually through 2031. This means that despite new transparency and environmental requirements, the financial burden on state budgets and ratepayers may remain substantial.

The tension between state support for AI and data center development and public opposition to local projects reflects a broader challenge facing policymakers. While governors have championed AI and data center development as economic opportunities, voters increasingly view these facilities as imposing costs and risks on their communities without adequate compensation or community input.