Data Centers: Daily Notes | April 21, 2026
Monterey Park permanently bans data centers; North Carolina targets tax exemptions; $73B Virginia project in jeopardy; Nobles County farmland vote; Jackson considers moratorium; Indianapolis residents sue.
At A Glance 🔽
- Monterey Park, CA permanently banned data center construction, with a June 2 ballot measure to lock in the prohibition by public vote.
- North Carolina lawmakers return to session with data center sales tax exemptions on the chopping block, worth up to $450 million annually.
- A $73 billion Stack Americas data center investment in Pittsylvania County, VA faces uncertainty as Democrats debate ending the state's tax exemption.
- Nobles County, MN commissioners vote Tuesday on allowing data centers in agricultural districts for a $4 billion, 1,000-megawatt project.
- Jackson, MS City Council is considering a temporary moratorium on data center development while it builds a regulatory framework.
- Decatur Township residents in Indianapolis filed a lawsuit to overturn the city's approval of Sabey's multi-billion-dollar data center.
Monterey Park, California
Monterey Park became the first city in California to permanently ban data center construction, passing three ordinances that label data centers a public nuisance and prohibit them within city limits.
The ban follows a successful campaign to block a 250,000-square-foot data center proposed by Australian asset manager HMC StratCap in an old shopping center. After the company withdrew its lease, the city passed a temporary moratorium and then moved to make the ban permanent. A ballot measure on June 2 would enshrine the ban so it can only be overturned by public vote.
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North Carolina
North Carolina lawmakers return to session today with data center sales tax exemptions expected to be a bipartisan target.
Governor Josh Stein wants to modify or repeal exemptions first enacted in 2006 and expanded in 2015. The state Department of Commerce estimates data centers currently receive about $50 million per year, with a full repeal potentially yielding up to $450 million annually. Separately, a proposed constitutional amendment would allow state lawmakers to limit local property tax increases, requiring voter approval on the November 3 ballot.
Pittsylvania County, Virginia
A $73 billion Stack Americas data center investment projected to create 2,050 jobs is in jeopardy as Virginia Democrats debate phasing out the state's data center tax exemption.
Secretary of Finance Mark Sickles told the Senate Finance Committee the project "goes away" if the exemption ends. The Danville-Pittsylvania Regional Industrial Facilities Authority approved the sale of 2,900 acres at the Southern Virginia Mega Site last month, but the performance agreement remains unsigned. Senate Finance Chair Louise Lucas insists on moving the exemption's sunset from 2035 to 2027. The exemption costs the state an estimated $1.9 billion annually. A Washington Post-Schar School poll found support for the tax break dropped from 61% in 2023 to 37% this year.
Nobles County, Minnesota
Nobles County commissioners are expected to vote Tuesday on a zoning amendment that would allow data centers in agricultural preservation districts, which cover 70 to 80 percent of the county.
The planning commission already voted down the measure after roughly 300 residents attended the April 8 meeting. Approval would clear the way for Geronimo Power's $4 billion data center on about 950 acres of farmland east of Reading. The project would generate 400 megawatts scaling to 1,000, with an estimated $7 million annually in county tax revenue and a 2035 target completion.
Jackson, Mississippi
The Jackson City Council is considering a temporary moratorium on data center development and expansion while it establishes a regulatory framework for reviewing and approving projects. The ordinance was introduced by Councilman Grizzell. A vote date has not been set.
Indianapolis, Indiana
Decatur Township residents filed a lawsuit to overturn the city's approval of Sabey's multi-billion-dollar data center, arguing the process violated due process rights.
The city approved the project in March through a variance rather than a full rezoning, giving the Metropolitan Development Commission final say without a City-County Council vote. The group Protect Decatur Township is asking the court for an injunction to halt construction. The case could take up to a year.
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