00:00A protester slammed to the floor at a county meeting, a mayor freezing a 400-megawatt project on a Navy
00:07site, and a state Supreme Court siding with a small village.
00:12The backlash against data centers is moving from public comment to the courts and the streets.
00:19A data center meeting in Utah has turned into a flashpoint.
00:23On Tuesday evening, October 20, the Utah County Planning Commission voted unanimously to recommend rules for data centers on unincorporated
00:34county land.
00:35As deputies escorted activist Aspen Azalea out of the room.
00:40Video shows her hitting the floor with an officer's hand on the back of her neck.
00:45The sheriff's office says she struck a deputy.
00:48Azalea says she suffered a concussion and bruises.
00:51Though a scan showed no fractured jaw, she was booked on three misdemeanor counts.
00:58And two other people who left with her received citations.
01:01The group Protect Utah then rallied at the state capitol.
01:06Demanding justice for Aspen.
01:08Elsewhere, a mayor is trying to get ahead of a different fight entirely.
01:14That kind of tension is exactly what San Diego's mayor is trying to avoid.
01:19Todd Gloria signed an executive order pausing data center construction citywide after a developer
01:26floated a 400-megawatt data center on part of the NAVWAR site near Old Town.
01:33It would be the largest in California.
01:36Manchester Financial Group says it is one of several ideas and no agreements are in place.
01:42Council member Sean L.O. Rivera called the proposal a monstrosity.
01:47Noting the Navy does not have to follow city zoning.
01:51So the pause might not stop this project.
01:54City staff would have 180 days to bring recommendations.
01:58And the full council votes on the moratorium Monday.
02:02Meanwhile, in Ohio, a developer learned how much a moratorium can matter.
02:09And in Ohio, that moratorium question just reached the state's highest court.
02:14On October 20th, the Ohio Supreme Court unanimously ruled that the village of Lordstown does not have to keep
02:22reviewing a proposed $3.6 billion data center while its moratorium is in effect.
02:29The developer, Bristolville 25 developer, planned four three-story buildings totaling about 1.65 million square feet near
02:40Interstate 80.
02:41It argued that submitting plans while data centers were still allowed entitled it to review under
02:47the old rules.
02:49The court disagreed, finding the developer had not yet gained the right to apply for a zoning permit.
02:55The village council has since extended its moratorium through the end of the year.
03:01Beyond zoning, there is a bigger fight over who pays for the power.
03:07And the reason this fight keeps gaining momentum comes down to one thing.
03:12Who pays for the power?
03:14Pennsylvania Governor Josh Shapiro petitioned the Public Utility Commission on October 15th to
03:20join a complaint against PPL Electric Utilities, arguing that existing customers could end up covering
03:28costs caused by large data centers.
03:31His office says it is the first governor intervention in a PUC case in at least 15 years.
03:38And he wants a separate customer class for big data centers.
03:42The amended complaint warns that service could be compromised as early as July 1,
03:492027, it lands as the Regional Grid Operator, PJM, came up 6,831 megawatts short in its latest
03:58capacity auction.
04:00The strain on the grid is only part of the story.
04:04The pressure on the grid is only half the story.
04:08Because water tells the other half.
04:10The ordinance Utah County's Planning Commission just endorsed would cap data center cooling water.
04:16At 300,000 gallons per year, slightly more than two county households use annually.
04:24Closed-loop systems could drain and refill no more than once every five years.
04:29Except in approved emergencies, applicants would need well and water impact studies.
04:35Plus monitoring every six months for the first two years.
04:39Along with low-frequency noise and traffic studies,
04:42They would have to pay for necessary grid upgrades and show no cost increase for other utility
04:48customers.
04:50The largest projects would be capped at 500 megawatts and 1 million square feet.
04:56The county commission makes the final call.
04:59State legislators are taking notice too.
05:03State legislators are taking notice.
05:06And New Jersey just moved on transparency.
05:09The Senate passed Bill S-4304.
05:13Sponsored by Senators Linda Greenstein and Brian Stack.
05:17Which would bar data center applicants and their agents from entering agreements with approving
05:22authorities, municipal agencies, or property sellers that would hide information from public
05:30review of a proposed development.
05:32Applicants would have to attest that no such agreement was part of the real estate transaction.
05:38If they violate the rules, an approving authority could not approve a site plan, subdivision,
05:45or other required approval, and the agreements themselves would be declared against public policy
05:51and unenforceable.
05:53It is a direct response to the secrecy that has fueled so much community anger.
05:58Another city is extending its pause even further.
06:04Yet while states write rules, cities are buying themselves time.
06:09In Kentucky, the Lexington Urban County Council unanimously approved two data center ordinances
06:15at second.
06:17Reading on Thursday night, the first creates a standalone zoning category for data centers.
06:23With recommendations on facility size, energy and water use, and setbacks from certain
06:30buildings including schools.
06:32The second updates language governing future development.
06:36Data centers are removed as a primary use in six zoning categories.
06:41And the council previously voted to extend its moratorium on permits, development plans,
06:48and zone changes through October 2027.
06:52Council member Emma Curtis said there is no land in Lexington designated for any data center
06:58use.
06:59So any developer would need a zone change.
07:02All this caution is colliding with a very different mood on Wall Street.
07:08And the financial side of this boom is showing real strain.
07:12According to Ortex estimates, short sellers made about $6 billion in paper profits in October
07:19betting against AI data.
07:21Center stocks.
07:23Core Weave fell more than 10% on October 22nd to $55.60.
07:29And Bernstein cut its price target to $51.
07:33The company needs about $85 billion to fund existing contracts.
07:39Leaving a gap of roughly $76 billion.
07:43And its unsecured bonds yield about 15%.
07:46Nebius shares also dropped.
07:49Yet it secured a $3.5 billion senior facility from Citi.
07:54Roughly $17 billion of stock is sold short across the Neocloud group.
07:59From a Utah hallway to Wall Street, the question is who bears the cost and who decides.
