Monterey Park voters approve first US citywide data center ban

Monterey Park, California, voters approved Measure NDC with 86.27% support on June 2, enacting the first citywide permanent ban on data center development in the United States. The prohibition, triggered by public opposition to a proposed 247,000-square-foot facility that critics said would triple local electricity consumption, can only be reversed by a future voter referendum. The measure sets a precedent for other communities considering restrictions on energy-intensive crypto mining and AI infrastructure.

Monterey Park voters approve first US citywide data center ban The Los Angeles-area city voted 86% in favor of a permanent prohibition, setting a precedent that could reshape where crypto miners and AI firms build next. A small city just east of Los Angeles just did something no American city has done before: it told data centers to stay out, permanently. Monterey Park voters approved Measure NDC on June 2 with 86.27% support, a margin so lopsided it barely qualifies as a contest. The final tally was 6,316 yes votes to 1,005 no votes. The measure bans all data center development within city limits unless future voters decide to reverse it. What triggered the ban The story starts with a proposal from Australian developer DigiCo Infrastructure REIT, which pitched a 247,000-square-foot data center facility in the city. Opponents argued the project would triple Monterey Park’s electricity consumption. In a city of roughly 60,000 people, that claim hit hard. Public pushback was immediate and fierce. In January 2026, the city council enacted a temporary moratorium on data center development while it figured out next steps. By March, the council had unanimously voted to put a permanent ban on the ballot. The bigger picture for crypto and AI infrastructure Monterey Park isn’t an isolated case. Multiple localities have already taken aim at energy-intensive computing operations. Fort Worth, Texas, and Canton, North Carolina, are among the communities that have enacted restrictions targeting data centers and crypto mining facilities. The common thread is always the same: electricity demand, noise, environmental impact, and the question of whether a handful of jobs justifies the strain on local infrastructure. What this means for investors The immediate market impact of one city’s ban is minimal. Monterey Park was never going to be a hub for crypto mining or hyperscale computing. But the precedent matters enormously. The Monterey Park ban was driven by a voter initiative, not a top-down regulatory action. That means it’s sticky. Repealing it requires another public vote, which creates a durable barrier that industry lobbying alone can’t easily overcome. Other communities watching this result now have a proven template for doing the same thing. Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy https://cryptobriefing.com/editorial-policy/ .