Iowa City Hits Pause on Data Centers

Waterloo officials approved a 90-day moratorium on new data centers.

Akshaya Krishnan

Akshaya Krishnan

— 2 min read
Iowa City Hits Pause on Data Centers
A wind turbine in rural Iowa, where communities like Waterloo are pausing data center growth.

WASHINGTON, Sept. 15, 2026 -  Some Iowa cities are hitting pause on data centers.

Hours after the U.S. Department of Energy announced a nearly $2 billion loan to restart the Duane Arnold Energy Center – a 615-megawatt nuclear plant near Palo, Iowa – the city of Waterloo joined a growing list of Iowa communities voting to temporarily block new data center projects. Palo is about 55 miles southeast of Waterloo.

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