Alabama
Favorable / IncentivesAlabama offers tax incentives for data center development, but local pushback spread rapidly in mid-2026. Birmingham enacted a 6-month moratorium on large data centers (>20 MW) in March 2026, and in June 2026 Leeds, Homewood, Cullman, and Fort Payne each adopted their own data center moratoriums while reviewing zoning rules.
Local Actions
City Council voted unanimously to enact a 6-month moratorium on data centers requiring >20 MW. Exempts DC Blox and Nebius AI Factory.
City Council passed a one-year moratorium on data centers in early June 2026.
City Council approved a 12-month moratorium (extendable by six months) on data centers on June 22, 2026.
City Council unanimously imposed a 12-month moratorium on June 22, 2026 and referred a prohibition zoning amendment to the Planning Commission.
City Council unanimously approved a six-month moratorium on data centers on June 16, 2026.