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Key developments
New York passes first-in-nation data center moratorium
On June 4, the New York Legislature passed the Responsible Data Center Development Act (A11560/S10642), creating a one-year moratorium on permits for large data centers with peak demand of 20 MW or more. The bill would also require an environmental impact report and add labor, energy-efficiency, transparency, and ratepayer-protection standards for new, existing, and expanding facilities. Mintz reported on June 12 that the measure had not yet been delivered to or signed by Gov. Kathy Hochul.
Why it matters
If enacted, it would be a first-in-the-nation permit freeze that could stall major projects in a large data center market.
Sources & driving stories
MINTZ
Mintz coverageVirginia budget drops data center standards
The Virginia House budget proposal no longer includes environmental standards that data centers would need to keep the state's sales-and-use tax exemption, which state data says saves the industry about $1.6 billion a year. The revised plan, backed by Gov. Abigail Spanberger, instead creates a commission to study the sector's impact on utility bills, tax revenue, air quality, water conservation, renewable energy, and communities. An earlier draft would have required siting and generator rules, but those provisions were removed.
Why it matters
Virginia remains one of the country's biggest data center hubs, so even a study-first approach can reshape policy and investment expectations.
Sources & driving stories
VIRGINIA MERCURY · Shannon Heckt
Virginia Mercury coverageWe Energies seeks looser data center guarantees
We Energies filed June 10 asking Wisconsin regulators to rehear part of the electric rate the Public Service Commission approved in April for hyperscale data centers. The utility wants authority to grant exemptions for lower-rated but creditworthy customers and to waive Oracle's collateral requirement, arguing the current rule would force more than $7 billion in backing at roughly $100 million a year in costs. The petition comes as construction continues on Vantage Data Centers' $15 billion Port Washington AI campus for OpenAI and Oracle.
Why it matters
The outcome will affect financing and risk rules for one of the largest U.S. AI data center builds.
Sources & driving stories
MILWAUKEE JOURNAL SENTINEL
Milwaukee Journal Sentinel coverageWorth noting
WORTH NOTING
West Virginia gets first microgrid application
It is the state's first disclosed application to certify a microgrid tied to data center development, which could signal a new power-sourcing path.
WORTH NOTING
Jay data center project stays on hold
Sentinel Data Centers' retreat leaves the $550 million Maine redevelopment unresolved after a high-profile local and state fight.
WORTH NOTING
Pasco County enacts data center moratorium
The Florida county joined other localities pausing large-scale projects while it develops rules and definitions.
Still unclear
OPEN QUESTION
Will Hochul sign New York's moratorium?
Her decision will determine whether the permit freeze becomes law and whether planned projects face immediate delay.
OPEN QUESTION
Will Virginia's commission replace enforceable standards?
Budget negotiations will show whether the state chooses study and delay over direct regulatory requirements.