Pins matching tag:"AI Data Center Legislation"

Connecticut SB245, 'An Act Eliminating Certain Tax Incentives For Data Centers,' would revoke the state's data center tax incentive program established in 2021, which allows DECD to enter into 20- or 30-year agreements providing sales, use, and property tax exemptions. The bill is part of a national trend, with more than 300 data center bills filed across 30+ states in the first six weeks of 2026 alone. It received a favorable change of reference to the Committee on Finance, Revenue and Bonding. VERIFIED 2026-05-26: SB 245 (repeal data center tax incentives) was never taken up; CT adjourned sine die May 6, 2026 (companion HB 5469 also failed).

South Carolina S. 867, the 'Data Center Development Act', introduced January 29, 2026, is sponsored by Sens. Tom Davis (R-Beaufort, primary sponsor), Kimbrell, Garrett, Sutton, Walker, Blackmon, Turner, Zell, Kennedy, and Devine. The bill requires a state permit before a new data center can operate, and regulates permitted data centers on locations, water usage, infrastructure costs, and financial assurances. Sen. Davis described it as a 'middle ground' approach. Separately, H4583, the 'South Carolina Data Center Responsibility Act', is sponsored by Reps. April Cromer (R-Anderson), Gilreath, Oremus, Chumley, White, Reese, and Atkinson. Additional related bills include S. 724 (commercial data center water usage reporting) and S. 3401 (technology transparency). A gigawatt-scale data center proposal in the Lowcountry drew significant opposition from local residents and a bipartisan group of legislators representing Colleton County. VERIFIED 2026-05-26: Did not advance before South Carolina's regular session adjourned May 14, 2026 (carryover possible in the 2-year biennium). The SC Senate did pass budget provisos requiring annual data center water-use reporting ($10k/day penalty) and an economic-incentive moratorium.

Alabama Senate Bill 270 (Alabama Affordability Protection Act), sponsored by Sen. Lance Bell, requires the Public Service Commission to review contracts between utilities and data centers using 150+ MW to ensure costs are not passed to residential ratepayers. Requires data centers to pay full cost of grid infrastructure upgrades. Passed unanimously by both chambers (Senate 30-0, House 100-1). Governor Kay Ivey signed SB 270 into law on April 10, 2026. Senate concurred 33-0 after House amendments.

In New York State, New York, New York S.9144 (Senate, Sen. Liz Krueger, Co-prime sponsor Sen. Kristen Gonzalez) / A.10141 (Assembly, Asm. Anna Kelles), introduced February 6, 2026, would impose a moratorium of at least 3 years and 90 days on permits for new data centers designed to use 20+ MW. During the moratorium, the DEC must issue a generic environmental impact statement covering energy, water, air quality, GHG emissions, and e-waste; the PSC must assess rate impacts and protect residential customers from cost increases. Would not affect the public Empire AI research initiative in Buffalo. Described as the 'strongest-in-the-nation' data center moratorium. Additionally, S.6394 (the NY Sustainable Data Centers Act) requires data centers to source 1/3 renewable energy by 2030, 2/3 by 2035, and 100% by 2040. S.8540 (the AC/DC Act) addresses rate classification and cost responsibility for data center operators. Over 100 community, environmental, and faith organizations called for passage of S.9144/A.10141 in a March 2026 letter to Gov. Hochul. [Validation 2026-06-18: status updated to 'passed legislature, awaiting governor signature' per https://earthjustice.org/press/2026/nys-legislature-passes-data-center-moratorium.]

In Tucker County, West Virginia, Fundamental Data, a Virginia-based company, applied for an air permit for the 'Ridgeline Facility' — a natural gas power plant and data center campus between Thomas and Davis that could span 10,000 acres across Tucker and Grant counties (1.7GW). The West Virginia DEP issued an air quality permit authorizing construction of a 785MW natural-gas-fired power plant with diesel backup generators. In February 2026, the West Virginia Air Quality Board upheld the air permit, denying appeals from Tucker United, the West Virginia Highlands Conservancy, and the Sierra Club. The board sided with developers despite two days of testimony from citizen groups. Opposition groups argue the project threatens the area's tourism-based economy and rural character. A state law passed in 2025 stripped local authority over data center siting. On April 14, 2026, the West Virginia Highlands Conservancy issued a new action alert urging members to contact legislators and the WVDEP over the Fundamental Data LLC project, confirming the 1,656-MW gas-plant-plus-data-center near Thomas and Davis is still advancing. WV Commerce officials publicly clarified the project is proceeding. The West Virginia Air Quality Board ruled in favor of developers on February 7, 2026. UPDATE 2026-04-25: On April 21, 2026, the West Virginia Highlands Conservancy, Tucker United, and Sierra Club filed a motion in the WV Intermediate Court of Appeals seeking the recusal of Chief Judge Dan Greear from the Ridgeline air permit appeal. The motion cites Rule 2.11 of the WV Code of Judicial Conduct and alleges multiple conflicts: House Speaker Roger Hanshaw co-hosted Greear's campaign fundraisers, Greear's son worked at Bowles Rice (the firm representing Fundamental Data), and Hanshaw is a partner at Bowles Rice. A portion of the appeal had been dismissed earlier ahead of the evidentiary hearing. UPDATE 2026-07-23: The WV Dept. of Commerce demanded the developer disclose project details, then reversed itself, accepting the company's claim that the project is merely 'conceptual' and that it lacks legal control of the land — directly contradicting the WVDEP, which had already issued an air permit based on a finding that the company DID control the land. HB 2014's confidential-business-information exemption is shielding most of the underlying data from public disclosure.

Requires electric utilities and new data centers (100+ MWH peak annual demand) to agree on contract terms that shield other power customers from construction and operation costs. Includes minimum billing requirements, performance/credit provisions, and termination protections. Passed Georgia House 159-5, now in Senate.

Bipartisan bill H0739 would limit sales tax exemptions to data center-specific equipment (excluding construction materials), sunset the exemption in 2036, and require data centers built after March 2026 to pay power rates that fully cover utility costs (proposed by Meta / Diode Ventures). Rep. Mickelsen separately introduced a bill to prevent the Idaho PUC from approving any new customer requiring 20+ MW without proving it would not raise rates for other customers. Multiple bills addressing tax breaks, water usage reporting, and rate protection.

Georgia SB436 suspends new sales and use tax exemptions for data centers from July 1, 2026 through June 30, 2027, and prohibits local governments from entering into nondisclosure agreements related to data center water and electricity usage. The bill is part of a wave of Georgia data center legislation in 2026 — the Senate also passed SB410 to outright end tax exemptions, while the House passed HB1063 (159-5) requiring data centers to pay down payments and sign longer contracts covering infrastructure costs. VERIFIED 2026-05-26: Georgia adjourned sine die Apr 3, 2026 with no data center regulation enacted; SB 436 (suspend tax exemptions + ban NDAs) died in Senate Finance and HB 1063 died in the Senate after crossover.

Virginia SB 253 (Sen. Louise Lucas, D-Portsmouth) would shift energy infrastructure costs from residential ratepayers to data centers served by Dominion Energy. The SCC estimated residential rates would drop ~3.4% (~$5.52/month) while data center rates would rise ~15.8%. The bill passed the Senate nearly unanimously and the House 66-32 on March 3, 2026. Gov. Abigail Spanberger returned the bill with amendments in mid-April that lawmakers and Dominion say weaken it, including retroactively limiting Dominion's earnings in the current rate cycle. Lawmakers reconvened April 22, 2026 to consider the amendments. If rejected, Spanberger would have to sign or veto as originally passed. VERIFIED 2026-05-26: SB 253 (Lucas cost-shift) was signed by Gov. Spanberger in mid-May 2026 (effective July 1) after the General Assembly rejected most of her amendments; it creates a GS-5 rate class shifting grid-infrastructure costs onto data centers, though one accepted amendment (dropping the PJM cost-shift requirement) weakened it.

Washington HB 2515, the comprehensive data center regulation bill, passed the House 51-41 but died in the Senate. It would have required utilities to develop tariffs preventing financial risk to other customers, mandated annual sustainability reports, and prevented data centers from receiving free carbon credits. Instead, the Legislature passed SB 5982, which clarifies that large customers including data centers must meet the same clean energy deadlines as utilities and directs the UTC to establish reporting requirements. The Data Center Workgroup is expected to issue its final report later in 2026.

HB 1265 would establish a one-year moratorium on new data center construction and create a study committee examining environmental impacts. Introduced by Rep. Peter Schmidt (D-Dover). Supporters cited that 100,000 sq ft data centers use up to 5 MW of electricity and 5 million gallons of water daily. Committee did not take immediate action after February 11 hearing.

Two Wisconsin PSC dockets address data center rate structures. Docket 6630-TE-113: We Energies proposed a 'Very Large Customer' rate class for customers with electricity demands above 500 MW (targeting hyperscale data centers like Microsoft in Mount Pleasant). Over 200 people joined virtual hearings on Feb 10-11, 2026, with ~85% of speakers voicing concerns about the proposal, urging that tech companies pay their full share of infrastructure costs. Critics argue the proposal would only require data centers to pay 75% of infrastructure costs, leaving 25% subsidized by the public. Docket 6680-TE-115: Alliant Energy's Individual Contract Rate Agreement to serve a data center campus in Beaver Dam (widely assumed to be Meta). The PSC required Alliant to refile the contract with fewer redactions after advocates raised transparency concerns. A coalition of 42 environmental justice, faith, conservation, and community organizations submitted formal comments voicing concerns about the proposals. VERIFIED 2026-05-26: On April 24, 2026 the Wisconsin PSC adopted a "full-benefits" model requiring data centers to pay 100% of their costs, extended the minimum term to 15 years, and lowered the threshold from 500 MW to 100 MW (removing the 75% capacity-only option) — a ratepayer-protection win.

Requires new data centers with 20+ MW demand to generate their own power off-grid, with a 10-year transition for existing facilities and $1 million/day penalties for violations. Also requires public disclosure of current and projected utility usage. Introduced by Senators Josh Hawley (R-MO) and Richard Blumenthal (D-CT).

Colorado: Two competing approaches: SB 26-102 requires data centers to pay full electricity and grid investment costs, mandates hourly matching of 100% renewable electricity from new sources starting 2031, and prohibits discounted 'economic development rates' for data centers consuming 30+ MW. The competing HB 26-1030 takes the opposite approach with a 20-year sales/use tax exemption for qualifying data centers. VERIFIED 2026-05-26: Both major Colorado data center bills died — SB 26-102 (community-protective guardrails) postponed indefinitely May 11 (a loss), and HB 26-1030 (pro-development 20-yr tax break) postponed indefinitely May 7 (a win). Sponsor plans to refile SB 26-102 next year.

Wisconsin SB 1061 would have imposed a moratorium on new data center construction until the state established a data center planning authority, prohibited cost-shifting to residents, eliminated subsidies, mandated public reporting, required 100% renewable energy, restored PSC planning authority, prohibited NDAs, and created enforcement structures. Introduced Feb 26, 2026 by Sens. Larson and Carpenter with cosponsors Madison, Hong, Moore Omokunde, Clancy, Cruz, and Tenorio. Companion AB 1099 is in the Assembly Energy and Utilities Committee. SB 1061 failed to pass pursuant to Senate Joint Resolution 1 on March 23, 2026.

HB 593 (Rep. Josh Bray, R) requires data centers to cover transmission and infrastructure costs, generate their own power or purchase on the open market, with a $75,000 nonrefundable application fee. Unanimously passed the House Economic Development and Workforce Investment Committee on Feb 26, 2026. A companion bill HB 544 (Reps. Adam Moore & William Lawrence) prohibits utilities from serving data centers with 100+ MW aggregate capacity without a PSC-approved specific tariff. As of late March 2026, HB 593 is advancing in the Senate. Both bills aim to ensure data center costs are not passed to ratepayers and tie tax breaks to compliance with local zoning. HB 593 passed the Kentucky House 90-8 but DIED in the Senate as the legislative session closed on April 15-16, 2026, without a floor vote. Sponsor Rep. Josh Bray indicated he will refile in the 2027 session. UPDATE 2026-04-21: Bill died April 15-16, 2026 as the legislative session ended. HB 593 passed the House 90-8 but stalled in the Senate. An SB 197 revival attempt was stripped on the final day.

Pennsylvania: Proposes a three-year moratorium on hyperscale data center construction including associated power generation and transmission infrastructure. Multiple legislators involved: Sen. Katie Muth, Sen. Rosemary Brown (R) who supports restricting data centers to industrial zones, and Rep. Jamie Walsh (R) who plans a separate regulatory package. Bipartisan opposition with over 50 planned data centers facing resistance from community groups across the state.

Ohio: HB 706 bans utilities from recovering data center infrastructure costs by shifting them onto other customers and requires long-term service agreements of at least 12 years. Mirrors AEP's existing tariff requiring data centers to cover 85% of energy costs. Senate Democrats introduced additional bills to eliminate tax breaks, require developers to cover infrastructure costs, and impose greater oversight. Around 18 municipalities have enacted local moratoriums on data centers.

SB 232 would have imposed a one-year moratorium on construction or expansion of hyperscale data centers in South Dakota. The Senate State Affairs Committee voted 5-3 to table the bill on February 18, 2026, with opponents arguing statewide moratoriums improperly limit local government authority. Instead, the legislature passed SB 135, which prohibits the state from limiting local governments' authority to regulate or ban data centers, shifting regulatory power to municipalities and counties.

Multiple Minnesota data center bills are in play. Sen. Jen McEwen (DFL-Duluth) introduced legislation imposing a two-year moratorium on new hyperscale data center permits while the state studies long-term effects. Sen. Erin Maye Quade (DFL-Apple Valley) pursued legislation to prohibit NDAs for data centers and end tax exemptions. Per MultiState's March 2026 tracker, none of the statewide moratorium proposals have passed their originating chamber, though NDA bans have gained traction in committees. Hundreds of opponents rallied at the State Capitol on Feb 18-20, 2026. The City of Eagan passed a one-year moratorium, believed to be the first Minnesota municipality to take such action. Previously, HF 16 (2025 special session) passed and was signed into law (effective June 15, 2025), establishing initial data center regulations. VERIFIED 2026-05-26: Minnesota adjourned sine die May 18, 2026; the statewide moratorium proposals all failed to pass the divided legislature.

Gov. Rhoden signed SB 135 and HB 1038 into law on March 24, 2026. SB 135 requires data centers with peak demand >10MW to ensure water use doesn't overburden local resources, pay for electrical infrastructure costs, and prohibits the state from overriding local ordinances on data centers. HB 1038 allows the Public Utilities Commission to assess data center companies the costs of regulatory reviews. Signed after legislature rejected tax incentive proposals. (Sen. Karr sponsored SB 135; Rep. Hansen sponsored HB 1038.)

Governor Wes Moore signed HB 1532, the Utility RELIEF (Reducing Energy Load Inflation for Everyday Families) Act, into law on or about April 15, 2026, the day after the General Assembly passed it on the final day of session (April 13/14). The bill's data center provisions create a large-load registry program for grid management, require data centers to pay for transmission, distribution, interconnection, and new capacity costs (preventing cost-shifting to other ratepayers), and incentivize data centers to bring their own clean energy generation with battery backup (effective 2028). Top-tier projects receive 12-month expedited environmental permitting and priority interconnection. Critics including Food & Water Watch criticized provisions they characterized as pro-industry. The law saves Maryland families an estimated $150/year on energy bills.

Governor Janet Mills VETOED LD 307 on April 24, 2026 — "An Act to Establish the Maine Data Center Coordination Council and Place a Temporary Limitation on Certain Data Centers." The bill would have made Maine the first state with a statewide moratorium on new data centers using 20+ MW, freezing approvals through November 1, 2027. Mills cited the bill's failure to exempt a $550M data center project at the former Androscoggin Mill in Jay. The legislature passed LD 307 on April 14 by 79-62 in the House and 21-13 in the Senate, falling short of the two-thirds majority needed for an override. Mills said she will issue an executive order creating a council to study data center impacts.

Illinois: The POWER Act (SB 4016/HB 5513), sponsored by Rep. Robyn Gabel (Evanston) and Sen. Ram Villivalam, establishes comprehensive statewide standards for data center development including clean energy procurement requirements, utility cost responsibility, water use reporting, pollution controls, and community engagement. Requires data centers to submit clean energy supply plans and establishes new rate tariffs for hyperscale data centers. Governor Pritzker supports. On April 22, 2026, the Illinois House Executive Committee, chaired by Rep. Ann Williams (D-Chicago), held the third of three subject-matter hearings on data centers, focused on data center water use. The April 15 hearing addressed energy use; the April 9 hearing covered general impacts. Polling shows 70% of Illinois residents support the POWER Act, which would also mandate disclosure of community benefit agreements, water efficiency standards, Illinois State Water Survey review, and an industry-funded ratepayer affordability fund. VERIFIED 2026-05-26: The POWER Act (SB 4016) was re-referred to Senate Assignments May 22, 2026 with no floor vote; advocates accused Gov. Pritzker of "lack of engagement." Dead with the session ending May 31.