Lawmakers push a bill to impose an AI data center moratorium

Lawmakers push a bill to impose an AI data center moratorium

Lawmakers push a bill to impose an AI data center moratorium

https://www.latimes.com/business/story/2026-03-26/lawmakers-push-bill-to-impose-ai-data-center-moratorium

Publish Date: 2026-03-26 12:42:00

Source Domain: www.latimes.com

  • Progressive lawmakers introduced a bill proposing a temporary halt to new data centers until national safeguards are established to protect workers, consumers, and the environment.
  • Democratic Rep. Alexandria Ocasio-Cortez and independent Sen. Bernie Sanders emphasized the deep concerns shared by many progressives regarding the growing impact of data centers and artificial intelligence.
  • Public backlash against data centers includes fears of rising electricity prices, pollution, and water consumption, which played a significant role in Democratic victories in recent state elections.
  • The increasing energy demands of artificial intelligence pose a threat to the power grid, although President Donald Trump sees AI as critical for economic and national security, pushing for commitments from major technology companies to develop their own power generation.
  • Sen. Sanders and Rep. Ocasio-Cortez argue that AI and data centers changes will impact the economy, democracy, privacy, and environment, emphasizing the need for a moratorium to protect working families and democracy.
  • Most lawmakers, including Sen. John Fetterman, have rejected the bill, fearing it could cede AI leadership to China, while industry groups warn of the negative consequences for jobs, services, and local revenue.
  • The White House has proposed a framework to address AI concerns without stifling innovation, emphasizing the need to protect ratepayers and prevent surging electricity costs.