Jersey City

JERSEY CITY INTRODUCES LAW TO BAN DATA CENTERS  

JERSEY CITY, N.J. (July 17, 2026) — Mayor James Solomon and the Jersey City Council introduced Ordinance 26-057 on Wednesday, July 15, which amends the Land Development Ordinance to ban data centers as the primary principal use of industrial property.  

With demand for data center capacity surging across the region, Jersey City's industrial land, some of the last remaining in the city, had been left open to a use that consumes enormous quantities of electricity and water, occupies large footprints, and generates comparatively few permanent jobs. The ordinance ensures that land is preserved for uses that actually employ Jersey City residents. 

"Data centers eat up power, drive up utility bills for every ratepayer in this state, and employ almost nobody. Our industrial land should be put to work for the people who live here by creating real jobs with real wages,” said Mayor James Solomon.  

“When a data center plugs into the grid, billionaire companies reap the profits and Jersey City families get the bill,” said Ward D Councilmember Jake Ephros. “Our residents are already stretched thin by rising utility costs. We refuse to let working people subsidize data centers at the expense of our community so that the wealthiest corporations on earth can get a little wealthier.” 

“Jersey City must reject AI data centers,” said Ward B Councilmember Joel Brooks. “Alongside Climate Revolution Action Network (CRAN), Hudson County DSA, and community advocates, I’m standing with residents to put our neighborhoods before Big Tech’s profits. Data centers drain our water, strain our electric grid, and threaten the health and quality of life of our communities. We must put our residents first, not the profits of billionaires.” 

"Our industrial land should be used to create jobs and opportunity for the people of Jersey City," said Ward E Councilmember Eleana Little. "AI data centers generate massive profits for tech billionaires while using vast amounts of electricity and water and creating very few jobs for the actual community. That's not a trade our residents should ever be asked to accept, and I'm proud of the action our Council took on Wednesday to ensure they won't be." 

“Jersey City is taking an important step to protect residents from an affordability crisis that is only getting worse as private equity and Big Tech race to build AI infrastructure across North Jersey,” said Ben Dziobek, Executive Director of Climate Revolution Action Network. “AI Data centers drive up utility costs, strain our electric grid and water supplies, and create very few permanent jobs in return. New Jersey needs meaningful statewide guardrails, including a moratorium on new large AI data centers while the state develops comprehensive standards to address their impacts. We are grateful to Mayor Solomon and the City Council for working with us on the language of this ordinance and for putting Jersey City residents ahead of corporate profits.”   

"The people of Jersey City have made it clear: They don't want noisy, polluting, water-sucking, energy-wasting AI data centers in their neighborhoods. Credit to city leaders for heeding the calls of the community and banning new data center construction for good. Jersey City is now part of a vast and growing movement across the state and the country to put a halt on this aggressive, profit-driven industry causing spikes in utility rates and threats to water security wherever it lands." - Sam DiFalco, North Jersey Organizer for Food & Water Watch North Jersey 

Jersey City currently has approximately five data centers, all located downtown inside existing office buildings shared with other commercial tenants. None received Planning Board approval; each was permitted administratively for tenant use. Ordinance 26-057 does not affect those existing facilities. It removes the use from the list of principal permitted uses in the Industrial District going forward, along with the associated parking standard, and adds a definition of "data center" to the municipal code clarifying that a data center or cyber hotel is not warehousing. 

The first reading of the Ordinance was on July 15, 2026, with a final vote at the August 19 meeting of the City Council.