A data center moratorium is planned in Denver, Colorado.

Mayor Mike Johnston and members of the Denver City Council said that they would pause new projects for at least several months to better regulate the sector, which has become a local political flashpoint across the US amid concerns over power and water use.

Denver
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“Data centers power the technology we depend upon and strengthen our economy,” Mayor Johnston said in a statement.

“But as this industry evolves, so must our policies. This pause allows us to put clear and consistent guardrails in place while protecting our most precious resources and preserving our quality of life.”

Existing permitted projects will be exempt from the moratorium, with CoreSite's DE3 data center the only facility currently permitted and under construction in Denver. Potential future phases would have to meet any guardrails that come out of the moratorium.

Councilmember Paul Kashmann has also backed the pause. “Data centers bring with them a unique series of environmental challenges and neighborhood impacts,” the South Denver council representative said.

“My office has been looking into this topic in depth in recent months. I believe the complexity of the issues involved merits our city taking a pause to give them adequate consideration. While there remains distance between the Mayor’s view and mine - as well as some other council colleagues - I look forward to working with the administration, the community at large and industry voices to see if regulations - as have been instituted in sister cities around the country - will or will not make additional data center development possible in the City and County of Denver.”

Last week, Councilmember Stacie Gilmore called for a more aggressive stance. "In the City and County of Denver, we should ban data centers," she said in a town hall.

Following news of the moratorium, US Senator Bernie Sanders reiterated his view that the entirety of the US should pause data center construction.

“We need a federal moratorium on AI data centers,” he said, tying development not just to local energy concerns but also to AI's potential impact on jobs.

Two data center bills are also proposed in Colorado - one that would set a 100 percent renewable mandate for large load data centers, and another that would offer tax breaks for renewable facilities.

Additionally, moratoria have been proposed in Maine, New York State, and elsewhere.