Local governments across the United States are weighing new restrictions on data center construction following Prince George's County, Maryland's approval of a two-year moratorium on Monday.

The Prince George's County Council passed the measure on July 19, halting new data center approvals after residents objected to electricity demand, water consumption, and noise. County Council members cited concerns that the sprawling facilities, driven largely by artificial intelligence workloads, were straining local infrastructure without commensurate community benefit.

Similar disputes have surfaced in Virginia's Loudoun and Prince William counties, long known as "Data Center Alley," where residents and planning boards have challenged proposals from operators serving Amazon Web Services, Microsoft, and Google. Utility operator Dominion Energy has warned that regional electricity demand tied to data centers could double within a decade.

Industry groups, including the Data Center Coalition, argue that moratoriums risk pushing investment and jobs to other states. Environmental advocates and neighborhood associations counter that the pace of AI-driven expansion has outstripped the ability of local grids and water systems to cope.

The Prince George's decision is expected to influence deliberations in neighboring jurisdictions, where zoning reviews and utility rate hearings tied to data center growth remain on the calendar in the coming weeks.