Oakland City Council approves 45-day moratorium on new data centers

Published October 6, 2026 10:39 PM PDT

The Oakland City Council voted unanimously Tuesday night to place a 45-day temporary moratorium on all new data center development across the city.

Oakland Enacts Temporary Moratorium on Data Center Construction

The urgency measure, sponsored by Councilmember Carroll Fife, pauses new approvals to allow city leaders time to study the potential environmental and operational impacts of data centers on local water supplies, electrical grids, and air quality.

Before the vote, protesters rallied outside Oakland City Hall to demand a pause on data center developments, expressing concerns over natural resource consumption. Inside council chambers, community members and activists offered mixed testimony on the proposal.

Opponents of data centers highlighted the massive water demands required for cooling systems. 

"My concern about it being in Oakland is that we have limited water from the Mokelumne River, and that’s in the Sierra Nevada, and we’re already taking up to 60 to 70 percent of that river out of the river," said Dr. Elizabeth Dougherty. "If we increase water use here, that would take more and more out, so what would be impacting not just our ecosystem, but also up river in the Sierra Nevada."

Other residents voiced fears regarding daily utility volume, with one speaker noting that "a large data center can use up to 5 billion gallons of water a day," while another called on the council to implement a permanent ban.

Conversely, supporters urged the council to reject the moratorium, emphasizing the economic potential and job creation tied to technology infrastructure. "I oppose the moratorium on data centers," one resident told council members. "Data centers will bring jobs. They will not take jobs away," another resident added.

Concerns Over Non-Disclosure Agreements and Downtown Proposal

Councilmember Fife, who proposed the moratorium, has criticized developers for using non-disclosure agreements (NDAs) to shield specific project details from city officials and the public.

The vote followed growing scrutiny over plans announced by Behring Companies to convert the ground floor of a building near 20th and Franklin streets in downtown Oakland into a data center. The developer stated that the other floors of the facility would serve as office space for artificial intelligence research.

Mayor Barbara Lee noted that the pause would provide necessary time for public engagement.

"This is a moment to have the public weigh in, and the public will be able to weigh in during this 45-day moratorium to see exactly what people here in Oakland want," Mayor Lee said.

Next Steps and Public Forum

The 45-day moratorium takes effect immediately.

City officials will use the interim period to analyze policy options and development standards for future data center projects. Councilmember Fife has scheduled a community conversation for Oct. 24 at 10 a.m. at the Beth Eden Baptist Church at 1183 10th Street in West Oakland to allow residents to further discuss the future of data centers in the city.

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