Pennsylvania Proposes Three-Year Data Center Moratorium

Proposed legislation mandates independent water impact studies to address utility strain from dozens of pending state projects.

Updated on Oct. 26, 2026 in Data Centers

Pennsylvania Proposes Three-Year Data Center Moratorium

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Should local governments restrict the placement of large-scale data centers in residential areas?

In February 2026, Pennsylvania Senator Rosemary Brown introduced a legislative package proposing a three-year moratorium on large-scale data center applications. This initiative, part of the broader Residents First package, seeks to implement stricter oversight as developers move forward with over 50 projects across the state.

Why it matters

The proposed regulations aim to reconcile the rapid expansion of digital infrastructure with local utility capacities and zoning requirements. By mandating independent studies, the legislation targets the current regulatory gap municipalities face when evaluating high-density utility demands.

The proposed mandate requires developers to submit independent, third-party water impact studies at least 30 days prior to formal application. This policy addresses the resource strain associated with the 50 projects currently in development across the state, including 11 in Lackawanna County alone.

The players

Senator Rosemary Brown

A Pennsylvania state legislator representing the 40th District who is advocating for increased zoning and water usage restrictions on industrial data center developments.

The details

The Residents First package forces developers to secure will-serve letters from utility providers, confirming actual capacity to support a project at full build-out. By requiring independent water impact assessments, the legislation shifts the burden of proof regarding environmental and infrastructure strain onto the developer. These requirements would apply to the seven applications currently filed in Archbald and others throughout the 40th District, effectively pausing the approval process during the proposed three-year moratorium.

Timeline

  1. 2025: Senator Brown co-sponsored Senate Bill 1359.

  2. February 2026: Brown introduced the Residents First legislative package.

  3. November 3, 2026: Date of the upcoming state senate election.

The Tech Race

This legislation builds upon the foundation laid by Senate Bill 1359, which first proposed a data center moratorium in 2025. It marks a shift from local zoning concerns to a statewide framework for managing the rapid clustering of digital infrastructure.

Residents in districts with high proposal volumes, such as Archbald, may see a halt in new construction as developers wait for the three-year moratorium to clear or for new impact studies to be completed. Utility customers will see developers held to stricter infrastructure-capacity disclosures before any ground is broken.

The takeaway

Legislators and local municipalities are moving to formalize utility oversight for digital infrastructure projects. Readers should monitor upcoming state senate committee hearings for specific amendments to the Residents First package that could define which data center sizes qualify as large-scale.

Further reading

Explore the ongoing shifts in how regional grids manage massive infrastructure demands in our Data Centers section.

Source note: This article includes information reported by Tri-County Independent.

Live Poll

Should local governments restrict the placement of large-scale data centers in residential areas?