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Jersey City Council bans A.I. data centers from being built in the industrial district

Officials argue that data centers will not offer many jobs to locals. They also say it would be an unnecessary waste of resources like electricity and water.

Adriana Daniel

Aug 22, 2026, 10:25 PM

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The Jersey City Council unanimously voted Wednesday to ban artificial intelligence data centers from being built in the industrial district.

Councilmembers say the data centers wouldn't bring many jobs to the area and would drain resources.

Artificial intelligence data centers are on the chopping block other major cities across the state. Most recently ordinances have passed in Bayonne and Howell.

Jersey City resident Abril Rios agrees with the council's decision.

RELATED: Should New Jersey pause AI data center development?

Jersey City resident Abril Rios agrees with the council's decision.

"I really support it," Rios said. "I think a lot of A.I. data centers have been going up without confirmation of the community, so it is really important that we have input before anything happens."

Not everyone, however, agrees with the decision to ban the centers.

Jersey City resident Brenden Clark called for the council during the meeting to regulate the A.I data centers over an all-out ban. Clark cited the recent 15.5% property tax increase Jersey City residents are now facing. He sees the data centers as a way to bring in new revenue.

"We are telling homeowners we need more reoccurring revenue, yet at the same time we are considering an ordinance eliminating a category of capital-intensive development from our industrial property," Clarke said.

More than 30 towns and cities have banned data centers across the state.

RELATED: Gov. Mikie Sherrill wants transparency, accountability about new data centers coming to NJ

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