ARTICLE
15 June 2026

New York Legislature Passes First-In-The-Nation Data Center Moratorium, Awaiting Governor’s Signature

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The moratorium exempts modifications or renewals of previously issued approvals and projects that commence construction by the effective date, and separately subjects existing, newly operational, and expanding data centers to energy-efficiency, host-community benefit, labor, rate-classification, and environmental-review obligations.
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On June 4, 2026, the New York Legislature passed the Responsible Data Center Development Act (A11560/S10642).

The bill is a one-year moratorium on permits for “large data centers,” meaning data centers with peak demand of 20 megawatts (MW) or more. In addition, the bill would require an environmental impact report, as well as new labor, energy efficiency, transparency standards, and ratepayer protections. The moratorium exempts modifications or renewals of previously issued approvals and projects that commence construction by the effective date, and separately subjects existing, newly operational, and expanding data centers to energy-efficiency, host-community benefit, labor, rate-classification, and environmental-review obligations.

As of June 10, 2026, the bill is not shown on the official tracker as delivered to or signed by Governor Hochul, who has not announced a position and whose office has said she will review it. If signed, the act would take effect immediately and trigger a one-year moratorium. If vetoed — or, assuming delivery after adjournment, left unsigned for the applicable 30-day period — it would not become law.

The moratorium, if enacted, would have significant impacts on planned data centers in development throughout New York. Clients who are considering development in New York should reach out to discuss opportunities, and updates will be provided as they become available. Please contact Josh Rudin or Steve Shparber if you have additional questions.

Mintz Project Analyst John McEachern contributed to this alert.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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