Woofun AI reports that US state and local governments have enacted over 300 restrictions on data center construction since 2023, with more than 275 implemented in 2026. This regulatory wave is most pronounced in the Midwest and South, targeting large-scale AI computing facilities. In Michigan, OpenAI and Oracle’s Stargate supercomputer project faced zoning rejection in Saline Township despite state tax incentives. Following a legal victory, groundbreaking occurred on June 1, 2026, triggering bans in over 20 nearby towns and creating more than 50 restrictive zones statewide.

Public opposition remains high, with polls indicating 70% of American adults oppose local AI data centers due to water usage, electricity costs, and landscape concerns. Political resistance spans the spectrum, featuring federal ban proposals from Senator Bernie Sanders and Congresswoman Alexandria Ocasio-Cortez, alongside protests by the conservative group Humans First. While most restrictions are temporary, New Jersey has instituted permanent bans. New York’s legislature passed a one-year ban awaiting Governor Kathy Hochul’s signature, whereas Maine’s governor vetoed similar legislation. Ohio, Illinois, and Arizona suspended data center tax incentives in 2026.