California: For the first time, U.S. city permanently bans data centers

A small California city has just sent a signal that will resonate far beyond its borders. Residents of Monterey Park, a suburb of Los Angeles, overwhelmingly voted to permanently ban the construction of new data centers within their city limits. It thus becomes the first city in the United States to impose such a ban through a popular referendum.

According to preliminary results, more than 86% of voters supported the ban. This overwhelming result leaves no doubt about the local community’s will.

This decision comes as the rapid expansion of artificial intelligence fuels a race to build massive digital infrastructure. Although essential for processing and storing the colossal amounts of data required by AI, data centers are increasingly at the center of controversy due to their massive consumption of energy and water.

The mobilization arose in response to a project led by the investment firm HMC StratCap, which sought to build a data center spanning nearly 23,000 square meters in Monterey Park. Many residents expressed concerns about potential environmental impacts, rising energy bills, and the facility’s proximity to residential areas. As early as April, the city council had approved an indefinite moratorium on data centers. With this referendum, the ban takes on a whole new dimension: it can only be lifted by a new public vote.

The question put to voters was clear: ban data centers to protect air quality, water resources, and public health, while avoiding potential impacts on water and electricity rates.

“This result clearly demonstrates that the residents of Monterey Park do not want data centers in their municipality,” says José Sanchez, a city council member and one of the project’s proponents.

The case of Monterey Park is part of a broader trend. Across the United States, discontent is growing over these facilities, which many view as the hidden symbol of the artificial intelligence revolution. According to a recent Gallup poll, seven out of ten Americans say they oppose the construction of AI-dedicated data centers in their own cities.

In recent months, several cities have approved temporary moratoriums or are considering restrictions. In Wisconsin, for example, voters have secured the right to have their say before tax incentives are granted to data center builders. In Michigan and other parts of the country, new public referendums are already scheduled.

The Hidden Cost of Artificial Intelligence

Behind chatbots, image generators, and increasingly sophisticated digital services lies a network of energy-intensive infrastructure that requires enormous amounts of electricity to power servers and cooling systems. According to numerous studies, the growth of AI could significantly increase global energy demand in the coming years, raising questions about the environmental sustainability of this development model.

It is precisely for this reason that the debate over data centers is (rapidly) moving beyond purely technical considerations to become a political and social issue.

On one hand, companies and industry associations argue that these facilities generate investment, skilled jobs, and new tax revenue. On the other, citizens and environmental groups are demanding greater safeguards regarding resource consumption, climate impacts, and quality of life.

In Monterey Park, the message from voters was clear: the digital future cannot be built without the consent of the communities that will have to live alongside these facilities.

Source: No Data Center in Monterey Park!