An Act Regarding
Maine Legislature, Session 132, LD 0307
Committee Amendment CA_B_H882 (House)

COMMITTEE AMENDMENT "^," to H.P. 207, L.D. 307, "An Act Regarding
Energy, Utilities and Technology"
Amend the bill by striking out the title and substituting the following:
'An Act to Establish the Maine Data Center Coordination Council and Place a
Temporary Limitation on Certain Data Centers'
Amend the bill by striking out everything after the enacting clause and inserting the
following:
'See. 1. Interim suspension on certain data center approvals.
1. Definitions. For the purposes of this section, the following terms have the following
meanings.
A. "Commission" means the Public Utilities Commission.
B. "Data center" means any facility in the State, which may be a freestanding structure
or a facility within a larger structure, that primarily contains electronic equipment used
to process, store and transmit digital information that uses environmental control
equipment to maintain the proper conditions for the operation of electronic equipment.
C, "Electric demand" means, with respect to a data center, the projected or current
electricity usage of the data center calculated based on aggregated load at a single site
or contiguous parcels under common ownership or control.
D. "Exemption order" means an order issued by the commission after an adjudicatory
proceeding as described in subsection 3.
2. Interim suspension. Notwithstanding any provision of law to the contrary, prior
to November 1, 2027, a municipality, a quasi-municipal entity or an agency of the State
may not accept an application for or issue, approve or make finally effective a permit,
certificate, license, lease authorization or other approval for the development, construction
or operation of a data center with a projected or current electric demand of 20 megawatts
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or more, other than a data center that has received an exemption order pursuant to
subsection 3.
3. Exempt data center projects. A developer or operator of a data center may petition
the commission for an exemption order to demonstrate to a municipality or agency of the
State that the data center is not subject to the interim suspension under subsection 2. The
commission may issue an exemption order after an adjudicatory proceeding, if the
commission determines in its discretion that:
A. The developer or operator of the data center:
(1) Prior to the effective date of this Act, established control offhe data center site
through ownership, an executed purchase agreement or option or binding long-
term lease or option;
(2) Prior to the effective date of this Act, executed a binding interconnection
agreement or obtained written confirmation from the applicable transmission and
distribution utility specifying available electric capacity at the data center site
without requiring transmission or distribution upgrades funded through
transmission and distribution rates;
(3) Demonstrates to the commission's satisfaction that the owner or operator has
the capability to execute on a timely basis a binding construction contract or
redevelopment agreement;
(4) Demonstrates to the commission's satisfaction that the owner or operator has
the capability to execute on a timely basis a substantial financial commitment
through secured financing, equity contribution or other legally binding financial
obligation; and
(5) Demonstrates the owner or operator has established appropriate cost allocation
mechanisms with the transmission and distribution utility in whose service territory
the data center will be located to ensure that the project bears the fall cost of any
infrastructure upgrades required to serve the load; and
B. The data center:
(1) Will not materially increase transmission and distribution costs to ratepayers
in the State;
(2) Does not have a projected electrical demand that will exceed the level
documented in the binding interconnection agreement or written confirmation from
the utility described in paragraph A, subparagraph 2;
(3) Does not have projected water withdrawals, consumption or discharge that will
materially adversely affect local water resources, municipal or regional water
systems or wastewater treatment capacity; and
(4) Does not have projected natural gas consumption, if any, including fuel used
for on-site generation or backup generation, that will materially increase rates or
utility infrastructure requirements borne by other natural gas customers.
In evaluating a petition under this subsection, the commission may consult with the
Department of Environmental Protection, the Department of Energy Resources and any
relevant municipal water or wastewater authorities. The commission may impose
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conditions in its exemption order that the commission determines are necessary to protect
ratepayers, water resources, natural gas customers or system reliability.
If the commission issues an exemption order in accordance with this subsection, the
commission shall promptly, and no later than the next general electric rate or stranded cost
recovery proceeding, allocate to ratepayers any transmission and distribution rate
reductions resulting solely from the projected and achial operation of a data center that has
received the exemption order.
4. Limitation on increased electric demand. Prior to November 1, 2027, a data
center receiving an exemption order pursuant to subsection 3 may not increase its electric
demand beyond the level documented in its petition to the commission unless the
commission approves the increase following notice and opportunity for hearing and fmds
that the criteria described in subsection 3, paragraphs A and B remain satisfied and that the
data center's electric demand delivered through the facilities of a transmission and
distribution utility is no more than 100 megawatts.
5. Restriction on financial incentives. Notwithstanding any provision of law to the
contrary, prior to November 1,2027, a state agency or quasi-independent state agency may
not approve, award or disburse state-funded financial incentives, grants, loans, refundable
or transferable tax credits or other discretionary economic development benefits for a data
center with an electric demand of 20 megawatts or more. This subsection does not apply to
incentives that were finally approved and legally binding prior to the effective date of this
Act.
6. Repeal. This section is repealed November 1, 2027.
Sec. 2. Establishment of Maine Data Center Coordination Council. The
Department of Energy Resources shall convene the Maine Data Center Coordination
Council, referred to in this legislation as "the council," to provide strategic input, facilitate
coordinated state planning considerations and evaluate policy tools to address data center
opportunities and related benefits and risks to the State. For the purposes of this section,
"data center" means any facility in the State, which may be a freestanding structure or a
facility within a larger structure, that primarily contains electronic equipment used to
process, store and transmit digital information that uses environmental control equipment
to maintain the proper conditions for the operation of electronic equipment.
1. The council shall evaluate issues related to data centers located or proposed to be
located in the State, with the goals of protecting ratepayers, maintaining electric grid
reliability, minimizing environmental impacts and enabling responsible and appropriately
sited economic development. In conducting its evaluation, the council shall consider the
State's policy goals related to renewable energy in the Maine Revised Statutes, Title 35-A,
section 3210, greenhouse gas reduction objectives, including those in Title 38, section
576-A, goals for broadband service established in Title 35-A, section 9202-A, the state
economic development strategy and the legislative findings described in Title 38, section
480-A. In carrying out its work, the council shall:
A. Review and consider legislation related to data centers that has been considered or
adopted m other states;
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B. Evaluate projections of electric load growth, infrastructure needs and system
reliability and resource adequacy impacts associated with data centers in the State and
the ISO-New England region;
C. Identify strategies to protect ratepayers from rate inflation or negative financial
effects resulting from data centers, including, but not limited to, cost allocation
approaches, rate design changes, impact fees, efficiency standards, energy supply
obligations and demand response and load flexibility during periods of high demand
or grid emergencies;
D. Review applicability of existing state programs and financial tools to data centers;
E. Assess potential environmental and natural resource impacts, including, but not
limited to, water use, emissions, land use and other impacts on host communities, and
identify strategies to minimize adverse impacts;
F. Consider data-sharing requirements and processes for proposed data centers,
including use of nondisclosure agreements and identify information essential to grid
operators, electric utilities, state agencies and policy makers regarding electric load,
peak demand, water use and other operational characteristics necessary to inform state
and local planning;
G. Offer guidance to assist municipalities in assessing potential data center impacts
and benefits, including the use of community benefit agreements; and
H. Develop recommendations to clarify roles, responsibilities, information-sharing
practices and timelines among state agencies, utilities, municipalities and other
governmental entities to support coordinated, timely and well-informed responses to
data center development inquiries.
2. The Commissioner of Energy Resources or the commissioner's designee shall serve
as chair of the council. The council must include the following 14 additional members:
A. The Director of the Maine Office of Community Affairs or the director's designee;
B. The Commissioner of Economic and Community Development or the
commissioner's desigaee;
C. The Public Advocate or the Public Advocate's designee;
D. The chair of the Public Utilities Commission or the chair's designee;
E, The president of the Maine Connectivity Authority or the president's designee;
F. The Commissioner of Environmental Protection or the commissioner's designee;
G. The executive director of the Wabanaki Alliance or the executive director's
designee;
H. The following 7 members appointed by the Commissioner of Energy Resources or
the commissioner's designee:
(1) A representative of the Maine Municipal Association;
(2) One representative each from the 2 investor-owned transmission and
distribution utilities in the State and one representative of the interests of
cooperative and municipally owned utilities in the State;
Page4-132LR1521(03)
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(3) One representative of an environmental advocacy organization;
(4) One representative of a labor organization; and
(5) One representative with technical expertise in data center design and operation.
The Commissioner of Energy Resources or the commissioner's designee may invite
additional agency representatives, experts or stakeholders to provide comment or provide
assistance to the council as the commissioner determines appropriate to address technical,
economic and environmental factors of data center development.
3. The council shall hold at least 5 meetings. The council shall provide an opportunity
for public comment on the council's draft fmdings prior to submitting the final strategy
report described in subsection 4.
4. By Febmary 1, 2027, the council shall submit a final strategy report with the findings
of its evaluation and any recommendations, including any proposed legislation, to the
Governor and the joint standing committee of the Legislature haviug jurisdiction over
energy matters. The committee may report out a bill related to the report to the 133rd
Legislature in 2027.
Sec. 3. Appropriations and allocations. The following appropriations and
allocations are made .
ENERGY RESOURCES, DEPARTMENT OF
Department of Energy Resources Z424
Initiative: Provides one-time funding for contracted technical and facilitation support for
the Maine Data Center Coordination Council.
GENERAL FUND 2025-26 2026-27
AH Other $0 $95,000
GENERAL FUND TOTAL $0 $95,000
ENERGY RESOURCES, DEPARTMENT OF
DEPARTMENT TOTALS 2025-26 2026-27
2930 GENERAL FUND $0 $95,000
DEPARTMENT TOTAL - ALL FUNDS $0 $95,000
PUBLIC UTILITIES COMMISSION
Public UtUities - Administrative Division 0184
Initiative: Provides one-time funding for contracted consulting services.
OTHER SPECIAL REVENUE FUNDS 2025-26 2026-27
AllOther $0 $201,608
OTHER SPECIAL REVENUE FUNDS TOTAL $0 $201,608
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COMMITTEE AMENDMENT "K " to H.P. 207, L.D. 307
PUBLIC UTILITIES COMMISSION
DEPARTMENT TOTALS
OTHER SPECIAL REVENUE FUNDS
DEPARTMENT TOTAL - ALL FUNDS
SECTION TOTALS
GENERAL FUND
OTHER SPECIAL REVENUE FUNDS
SECTION TOTAL - ALL FUNDS
t
Amend the bill by relettermg or renumbering
number to read consecutivelv.
2025-26
$0
$0
2025-26
$0
$0
$0
2026-27
$201,608
$201,608
2026-27
$95,000
$201,608
$296,608
any nonconsecutive Part letter or section
SUMMARY
This amendment replaces the bill, which is a concept draft, and changes the title.
It establishes a temporary suspension on the authority of a municipality, a quasi-
municipal entity or any agency of the State, prior to November 1, 2027, to accept an
application for or to issue, approve or make finally effective a permit, certificate, license,
lease authorization or other approval for the development, construction or operation of a
data center with an electric demand of 20 megawatts or more, other than a data center that
has received an exemption order from the Public Utilities Commission. To receive an
exemption order, a developer or operator of a data center must demonstrate that it has met
certain criteria,
The amendment also prohibits a state agency or quasi-independent entity from
approving, awarding or disbursing state-funded financial incentives, grants, loans,
refundable or transferable tax credits or other discretionary economic development benefits
for a data center with an electric demand of 20 megawatts or more prior to November 1,
2027. This prohibition does not apply to incentives that were finally approved and legally
binding prior to the effective date of this legislation.
The amendment also requires the Department of Energy Resources to convene the
Maine Data Center Coordination Council to provide strategic input, facilitate coordinated
state planning considerations and evaluate policy tools to address data center opportunities
and related benefits and risks to the State. By Febmary 1, 2027, the council is required to
submit a final strategy report, including the fmdings of its evaluation and
recommendations, to the Governor and the joint standing committee of the Legislature
having jurisdiction over energy matters.
FISCAL NOTE REQIHRED
(See attached)
COMMIHEE AMENDMENT
Approved; 03/18/26 t-Kl-
LD 307 LR 1521(03)
An Act Regarding Energy, Utilities and Technology
Fiscal Note for Bill as Amended by Committee Amendment '^' ( f-f -
Committee: Energy, Utilities and Technology
Fiscal Note Required: Yes
Fiscal Note
Projections Projections
FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29
Net Cost (Savings)
General Fund $0 $95,000 $0 $0
Ippropriations/Allocations
General Fund $0 $95,000 $0 $0
Other Special Revenue Funds $0 $201,608 $0 $0
Revenue
Other Special Revenue Funds $0 $201,608 $0 $0
Fiscal Detail and Notes
This bill requires the Department of Energy Resources (DOER) to convene the Maine Data Center Coordination
Council to evaluate planning considerations for data center development in the State and submit a report of its
findings, DOER has indicated that these responsibilities will require additional resources. The bill includes a one-time
General Fund appropriation of $95,000 in fiscal year 2026-27 to DOER for contracted technical and facilitation
support,
The Public Utilities Commission (PUC) has indicated that implementing the exemption review process established in
this bill will require additional resources. The bill includes a one-time Other Special Revenue Funds allocation of
$201,608 in fiscal year 2026-27 for contracted consulting services.
Because the Public Utilities Commission is funded through assessments on regulated utilities set to recover its
authorized budget, any increase in expenditures associated with the activities authorized by this bill may result in
increased assessments on regulated utilities, including the potential use of a special assessment to generate the
required revenue.
Additional costs to state agencies for participation in the council are expected to be minor and can be absorbed within
existing budgeted resources.
LR1521(03) - Fiscal Note - Page 1 of 1