Wyoming residents gather signatures to force a vote on 3,460-acre AI data center annexation

Residents in Cheyenne, Wyoming, are racing to force a public vote on a major land annexation tied to Microsoft data center growth.

What happened?

The Wyoming Tribune Eagle reported that organizers began a petition drive after the Cheyenne City Council voted July 13 to annex and rezone land on the city's southeast edge for data center development.

Petitioners Katherine McAdams and M. Lee Hasenauer — a former Laramie County commissioner who is running again for that office this year — are trying to send the annexation question to city voters instead of leaving it solely to council members. Under Wyoming law, supporters of a referendum have 20 days from an ordinance's passage to gather signatures from at least 10% of Cheyenne's registered voters, according to the Tribune Eagle.

Organizers said that requirement comes to about 2,700 valid signatures, though they are pursuing 6,000 to 7,000 to offset any that may be rejected during verification. Hasenauer said the group picked up about 600 signatures in its first two days and must complete the effort by Aug. 2.

McAdams said, "What we're trying to do is say, 'Look, we're not quite satisfied that the City Council represented everybody.'" 

Hasenaur thought the City Council members didn't really listen to the community's concerns. "I think their minds were made up before the meeting ever started," he said. "It was just a dog-and-pony show for the people … People had tears in their eyes saying, 'Don't do this. I don't want to be annexed into the city.' That tore me up."

Why does it matter?

Large data centers are becoming increasingly important to the AI boom, but they can also put substantial pressure on local resources. These facilities often require enormous amounts of electricity to power servers and significant volumes of water for cooling, straining energy grids, increasing utility costs, and raising questions about future infrastructure planning.

AI can also help utilities forecast demand, improve grid efficiency, support battery storage, and better integrate renewable energy sources such as wind and solar. But those benefits exist alongside concerns about energy consumption, water use, cybersecurity, misuse, and unintended economic consequences for nearby communities.

Hasenauer said residents raised questions during the council process about water quality, septic systems, and public infrastructure, while also arguing that regulations for large-scale data centers have not kept pace with the industry's growth.

What's being done?

For now, opponents are focused on the referendum effort. If they collect enough valid signatures, the annexation ordinance would go before Cheyenne voters on the general election ballot in November.

McAdams said the petition is meant to address this annexation vote, not to shut down all future data center proposals, according to the Tribune Eagle. Instead, organizers said they want city and state officials to have more time to put clearer data center rules in place before more development moves ahead.

Hasenauer also said local governments should negotiate stronger community benefits from major projects, including greater support for services like libraries, police, hospitals, and fire and rescue agencies. He argued the city acted too quickly and should have waited for possible state-level guidance.

"We want the Legislature to have an opportunity to go through and regulate it," McAdams said. "If we can do this to delay the action they took Monday night, I think that's what the will of the people would be. What does it hurt to look at it a little bit harder?"

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