Senator Tom Cotton (R-Ark.) introduced the DATA Act of 2026 on January 8, 2026, to exempt data centers and their power suppliers from federal energy regulations if they are fully isolated from the grid. The bill creates a new regulatory category — consumer-regulated electric utilities (CREUs) — for fully off-grid power systems serving data centers. CREUs would be exempt from FERC rate regulation, reliability standards, interconnection queue processes, and transmission planning requirements. Critics warn this would let data centers bypass grid oversight while still impacting nearby communities. Companion bills include Sen. Durbin's Data Center Water and Energy Disclosure Act (March 26, 2026) and a bipartisan Hawley/Warren letter to the EIA demanding mandatory reporting. Most analysts expect transparency/disclosure bills to pass before the more controversial Cotton bill.