The surge in state and local backlash against AI data center expansion, fueled by rising energy demands and community concerns, underpins the market's strong 92.5% implied probability for a moratorium passing before 2027. Progressive lawmakers including Bernie Sanders and Alexandria Ocasio-Cortez introduced federal legislation in March 2026 to pause large-scale projects until safeguards address grid strain and worker protections, while Maine advanced but ultimately saw its bill vetoed and over a dozen other states pursued similar measures, reflecting growing legislative momentum and historical patterns of environmental pushback on tech infrastructure. This consensus draws from widespread local moratoriums already in place across more than 100 jurisdictions and active bills in key states like New York and New Jersey. Industry lobbying and executive efforts to accelerate permitting could still create hurdles ahead of the 2026 midterms or major legislative deadlines.