Text of Senate Amendment 6837

Quick facts

Record: Senate Floor
Section type: Amendments
Chamber: Senate
Date: September 28, 2026
Congress: 119th Congress
Why this source matters: This section came from the Senate floor portion of the record.

Readable version of the official text

SA 6837. Mr. WARNER submitted an amendment intended to be proposed by him to the bill H.R. 9340, to amend the Public Utility Regulatory Policies Act of 1978 to establish a Federal standard relating to the recovery of the full, incremental costs of upgrades that serve large- load customers, and for other purposes; which was ordered to lie on the table; as follows:

At the end, add the following:

SEC. 3. EXEMPTING AI DATA CENTERS FROM BONUS DEPRECIATION.

(a) In General.—Section 168(k) of the Internal Revenue

Code of 1986 is amended—

(1) in paragraph (9)—

(A) in subparagraph (A), by striking “or” at the end,

(B) in subparagraph (B), by striking the period at the end

and inserting “, or”, and

“(C) any property used in an AI data center.”, and

(2) by adding at the end the following new paragraph:

“(11) AI data center.—

“(A) In general.—For purposes of paragraph (9)(C), the

term `AI data center' means a permanent or semipermanent

structure, or group of such structures, which—

“(i) is dedicated to—

“(I) the centralized accommodation, interconnection, and

operation of information technology and network

telecommunications

equipment (including not less than 1 graphics processing

unit), and

“(II) providing data storage, processing, and transport

services, and

“(ii) at least 20 percent of which is used for developing

or operating artificial intelligence.

“(B) Exclusion.—

“(i) In general.—For purposes of paragraph (9)(C), the

term `AI data center' shall not include any structure or

group of structures described in subparagraph (A) which has

obtained the LEED Green Building Rating System certification

at the Platinum or Gold level.

“(ii) Alternate standard.—The Secretary of Energy and the

Administrator of the Environmental Protection Agency may

jointly—

“(I) establish or identify an alternate standard that is

equivalent to or exceeds the standard described in clause

(i), and

“(II) as an alternative to the standard described in

clause (i), allow the use of such alternate standard for

purposes of the exclusion provided under such clause.

“(C) Definitions.—For purposes of this paragraph—

“(i) Artificial intelligence.—The term `artificial

intelligence' has the meaning given such term in section 5002

of the National Artificial Intelligence Initiative Act of

2020 (15 U.S.C. 9401).

“(ii) Graphics processing unit.—The term `graphic

processing unit' means a specialized electronic circuit

designed to accelerate image rendering, graphics processing,

and parallel computation tasks.

“(iii) LEED green building rating system.—The term `LEED

Green Building Rating System' means the most recent version

of the Leadership in Energy and Environmental Design green

building rating system for—

“(I) Building Design and Construction, or

“(II) Operations and Maintenance,

as developed by the U.S. Green Building Council.”.

(b) Application of Leased Property Rules to AI Data

Centers.—Section 168 of the Internal Revenue Code of 1986 is

amended by adding at the end the following new subsection:

“(o) Application of Leased Property Rules to AI Data

Centers.—In the case of any AI data center (as defined in

subsection (k)(11)) which is subject to a lease, the

depreciation deduction provided by section 167(a) shall be

determined pursuant to the rules under section 1.167(a)-

11(e)(3)(iii) of title 26, Code of Federal Regulations (as in

effect on the date of enactment of this subsection).”.

shall apply to property placed in service after the date of

enactment of this Act.

SEC. 4. DATA CENTER DISCLOSURES.

(a) Definitions.—In this section:

(1) Administrator.—The term “Administrator” means the

Administrator of the Environmental Protection Agency.

(2) Affected community.—The term “affected community”

means a community that—

(A) is subject to the jurisdiction of the same unit of

local government as a covered data center; or

(B) is served by the same electric utility, water

authority, or drinking water utility as a covered data

center.

(3) Affected unit of local government.—The term “affected

unit of local government” means any unit of local government

within the jurisdiction of which a covered data center or

affected community is located.

(4) Applicable recipient.—The term “applicable

recipient”, with respect to a disclosure under subsection

(b) or a report under subsection (c), means—

(A) if the applicable covered data center is located in an

electing State, the electing State; and

(B) if the applicable covered data center is not located in

an electing State, the Secretary and the Administrator.

(5) Covered data center.—

(A) In general.—The term “covered data center” means a

data center, including a dual-use data center and a data

center that is co-located or otherwise shares commercial

space with a dedicated Federal data center, the power demand

of which is 25 megawatts or more.

(B) Exclusion.—The term “covered data center” does not

include a dedicated Federal data center.

(6) Data center.—The term “data center” has the meaning

given the term in section 453(a) of the Energy Independence

and Security Act of 2007 (42 U.S.C. 17112(a)).

(7) Data center operator.—The term “data center

operator” means any person that operates a covered data

center.

(8) Dedicated federal data center.—The term “dedicated

Federal data center” means a data center that is owned and

operated exclusively by or for the Federal Government

(including any element of the intelligence community (as

defined in section 3 of the National Security Act of 1947 (50

U.S.C. 3003))).

(9) Dual-use data center.—The term “dual-use data

center” means a data center that provides services to both

the Federal Government and 1 or more non-Federal interests.

(10) Director.—The term “Director” means the Director of

the Office of Management and Budget.

(11) Electing state.—The term “electing State” means a

State that—

(A) has elected to receive disclosures and reports under

this section;

(B) has established a system for receiving those

disclosures and reports; and

the State will—

(i) receive those disclosures and reports; and

(ii) submit to the Secretary and the Administrator an

annual compilation of those disclosures and reports under

subsection (d)(1).

(12) Power usage effectiveness.—The term “power usage

effectiveness” has the meaning given the term in the

document published in 2026 by the International Organization

for Standardization and the International Electrotechnical

Commission entitled “Information technology — Data centres

key performance indicators — Part 2: Power usage

effectiveness (PUE)” and numbered ISO/IEC 30134-2:2026 (or a

successor document).

(13) Secretary.—The term “Secretary” means the Secretary

of Energy.

(14) State.—The term “State” means—

(A) each of the several States of the United States;

(B) the District of Columbia;

(D) the United States Virgin Islands;

(E) Guam;

(F) American Samoa;

(G) the Commonwealth of the Northern Mariana Islands;

(H) an Indian tribe included on the list published by the

Secretary of the Interior under section 104 of the Federally

Recognized Indian Tribe List Act of 1994 (25 U.S.C. 5131);

(I) the Federated States of Micronesia;

(J) the Republic of the Marshall Islands; and

(K) the Republic of Palau.

(15) Water usage effectiveness.—The term “water usage

effectiveness” has the meaning given the term in the

document published in 2022 by the International Organization

for Standardization and the International Electrotechnical

Commission entitled “Information technology — Data centres

key performance indicators — Part 9: Water usage

effectiveness (WUE)” and numbered ISO/IEC 30134-9:2022 (or a

successor document).

(b) Initial Disclosures.—

(1) In general.—Not later than 180 days before the date on

which a covered data center commences operations, the data

center operator shall submit to the applicable recipient an

initial disclosure that includes an estimate of the

information described in paragraphs (1) through (4) of

subsection (c) for the 1-year period beginning on the date on

which the covered data center is expected to commence

operations.

(2) Existing data centers.—Not later than 180 days after

the date of enactment of this Act, each covered data center

operating as of that date of enactment shall submit to the

applicable recipient an initial disclosure that includes the

information required to be included in an annual mandatory

report under subsection (c) for the most recent calendar year

ending before that date of enactment.

(3) Federal data centers.—

(A) Dual-use data centers.—With respect to a dual-use data

center—

(i) this subsection and subsection (c) shall only apply to

the extent prescribed by the Director under subsection

(e)(1)(D); and

(ii) in providing initial disclosures under this subsection

or submitting an annual report under subsection (c) as so

prescribed, the data center operator shall comply with all

applicable requirements established under subsection (e),

including the standards established under paragraph (1)(D) of

that subsection and any exemptions from disclosure

established under paragraph (2)(C) of that subsection.

(B) Dedicated federal data centers.—This subsection and

subsection (c) shall not apply to a dedicated Federal data

center.

each year, each data center operator shall submit to the

applicable recipient an annual report that describes, for the

most recent preceding calendar year, the following

information for each applicable covered data center operated

by the data center operator:

(1) Water access and usage.—

(A) The total number of gallons of water withdrawn or

consumed each month by the covered data center during the

year covered by the report.

(B) The source of the water so withdrawn or consumed by the

covered data center, such as a municipal drinking water

system, groundwater, surface water, or reclaimed water.

covered data center.

(D) Any water rights, permits, or long-term supply

agreements held by a data center operator for a covered data

center, including the term and quantity of water subject to

those rights, that permit, or that agreement.

(2) Electricity access and usage.—

(A) The total electricity contracted for or consumed by the

covered data center each month during the year covered by the

report, measured in megawatt-hours, and the peak electricity

demand of the covered data center during that year, measured

in megawatts.

(B) If the covered data center uses behind-the-meter power

generation, the method used to generate that power, including

the

percentage of total electricity consumed by the covered data

center from each behind-the-meter generation source type,

calculated on an actual-dispatch basis.

center in carbon dioxide-equivalent metric tons (calculated

on the basis of energy consumption).

(D) The annual average power usage effectiveness of the

covered data center.

(E) Any long-term power purchase agreements or utility

service agreements to which the covered data center operator

was a party during the year covered by the report,

including—

(i) the term of the power purchase agreement; and

(ii) the quantity of power covered by the power purchase

agreement.

(3) Backup power.—

(A) The types of backup power maintained for the covered

data center, including generators, batteries, and all other

sources of backup power.

(B) The total backup capacity maintained for the covered

data center.

(D) The total hours that the covered data center operated

using backup power during the year covered by the report.

(E) The annual emissions of carbon dioxide, and criteria

pollutants for which there are national ambient air quality

standards under section 109 of the Clean Air Act (42 U.S.C.

7409), from backup power during the year covered by the

report.

(4) Property setback.—The setback requirements for data

center facilities in the State in which the covered data

center is located, including any zoning variances, special

use permits, or conditional approvals relating to the use of

a facility or setback by the data center operator.

(d) Reports to EPA and DOE.—

(1) In general.—Each electing State shall annually submit

to the Secretary and the Administrator a compilation of—

(A) the disclosures submitted to the electing State under

subsection (b); and

(B) the reports submitted to the electing State under

subsection (c).

(2) Publication.—The Secretary and the Administrator shall

make publicly available on the website of the Department of

Energy and the Environmental Protection Agency, respectively,

an annual report that includes each of—

(A) the disclosures submitted directly to the Secretary and

the Administrator under subsection (b);

(B) the reports submitted directly to the Secretary and the

Administrator under subsection (c);

Administrator under paragraph (1); and

(D) any information submitted to the Secretary and the

Administrator under subsection (e)(3), in accordance with any

standards established under subsection (e)(1)(C).

(e) Disclosures for Federal Data Centers.—

(1) In general.—Not later than 180 days after the date of

enactment of this Act, the Director shall establish standards

for—

(A) the compilation by appropriate Federal officials, as

determined by the Director, of information relating to each

dedicated Federal data center and dual-use data center

utilized by the Federal Government;

(B) the submission of that information to the committees of

Congress with jurisdiction over those Federal officials;

subsection (d)(2)(D), if applicable; and

(D) with respect to dual-use data centers, disclosure and

reporting by the applicable data center operator under

subsections (b) and (c).

(2) Requirements.—The standards established under

paragraph (1) shall—

(A) to the maximum extent practicable, require the

disclosure of information consistent with the information

required to be disclosed under subsection (c) with respect to

covered data centers;

(B) simultaneously—

(i) promote data center accountability and transparency;

and

(ii) protect national security; and

security, as appropriate.

(3) Submission of information for publication.—If the

Director determines appropriate, the standards established

under paragraph (1) may require appropriate Federal

officials, as determined by the Director, to submit to the

Secretary and the Administrator for publication under

subsection (d)(2)(D) such information as is appropriate for

publication under that subsection.

(4) Coordination.—In carrying out this subsection,

including the development of exemptions under paragraph

(2)(C), the Director shall coordinate with appropriate

officials of—

(A) the Office of the Director of National Intelligence;

(B) the Central Intelligence Agency;

(D) the Department of Homeland Security;

(E) the Department of Justice;

(F) the Department of Energy;

(G) the Department of Commerce;

(H) the Department of the Treasury; and

(I) any other relevant Federal agency, as determined by the

Director, including any Federal agency utilizing a data

center for purposes relating to national security.

(f) Prohibition on Use of Nondisclosure Agreements or

Confidentiality Agreements To Conceal Information or Avoid

Required Disclosures.—

(1) In general.—Notwithstanding any provision of State

contract law or any agreement to the contrary, no

nondisclosure agreement, confidentiality agreement, or

similar contract or agreement shall operate—

(A) to prevent, limit, delay, or penalize disclosure by any

party to the contract or agreement to the Secretary, the

Administrator, or an electing State of any information

required to be disclosed to the Secretary, the Administrator,

or the electing State under this section;

(B) to prevent, limit, delay, or penalize disclosure by an

electing State to—

(i) the Secretary or the Administrator of any information

required to be disclosed to the Secretary or the

Administrator under this section; or

(ii) an affected unit of local government of any

information provided to the electing State under this

section; or

seek approval from a data center operator before responding

to a request for information from the Secretary, the

Administrator, or an electing State made pursuant to

subsection (g)(4).

(2) Voidability.—Any provision of a nondisclosure

agreement, confidentiality agreement, or similar contract or

agreement that purports to restrict disclosure in a manner

prohibited under paragraph (1) is void as against public

policy and unenforceable to the extent of such restriction.

(3) No liability for compliance.—No electric utility,

water authority, drinking water utility, unit of local

government, or State agency shall be liable to a data center

operator under any nondisclosure agreement, confidentiality

agreement, or similar contract or agreement for any

disclosure made in compliance with the requirements of this

section.

(4) Federal preemption.—To the extent that any provision

of State contract law would render enforceable a provision of

a nondisclosure agreement, confidentiality agreement, or

similar contract or agreement prohibited or rendered

unenforceable under this subsection, such provision of State

law is preempted by this Act.

(5) Rule of construction.—Nothing in this section

prohibits a data center operator from entering into a

nondisclosure agreement, confidentiality agreement, or

similar contract or agreement covering information that is

not required to be disclosed to the Secretary, the

Administrator, or an electing State under this section.

(g) Enforcement.—

(1) Negligent violations.—Any data center operator that

negligently fails to submit a disclosure required under

subsection (b) or a report required under subsection (c)

shall be subject to a civil penalty of not more than $50,000

for each day of noncompliance.

(2) Knowing violations.—Any data center operator that

knowingly fails to submit a disclosure required under

subsection (b) or a report required under subsection (c), or

that knowingly submits a false or materially misleading

disclosure or report, shall be subject to a civil penalty of

not more than $100,000 for each day of noncompliance.

(3) State enforcement.—An electing State may impose fines

and engage in other enforcement activities consistent with

this section and applicable State law.

(4) Requests for information.—The Secretary and the

Administrator, acting jointly, or an electing State may issue

to an electric utility, water authority, or drinking water

utility a request for information relating to matters

required to be disclosed by a data center operator under

subsection (b) or (c).

(h) Rulemaking.—Not later than 180 days after the date of

enactment of this Act, the Secretary and the Administrator

shall jointly promulgate such regulations as are necessary to

carry out this section, including regulations establishing—

(1) standardized formatting for the disclosures under

subsection (b) and the reports under subsection (c); and

(2) procedures for submission to, and review by, the

Secretary and the Administrator of disclosures under

subsection (b), reports under subsection (c), and

compilations under subsection (d)(1).

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