Disagreement remains over data center legislation

House leader ‘hoping’ to pass data center bill in January

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(The Center Square) – Although Gov. J.B. Pritzker said last month he expected a bill regulating data centers to be ready for fall veto session, the Illinois House majority leader says lame duck session in early January is more likely.

State Rep. Robyn Gabel, D-Evanston, told The Center Square she had a long meeting about the POWER Act on Thursday.

“We’ve just begun our meetings with stakeholders, so we are hoping to get something together by lame duck, which is early in January,” Gabel said.

Proponents of the legislation include the Illinois Clean Jobs Coalition and the Citizens Utility Board. According to CUB, data center energy demand increases power costs for Illinois consumers.

Labor unions, business groups, manufacturers and the Illinois State Association of Counties were among those who expressed opposition to the POWER Act last spring.

A study released last month by the Illinois Economic Policy Institute and the Project for Middle Class Renewal at the University of Illinois Urbana-Champaign said Illinois data center investments are expected to generate almost $300 million per year in property tax revenues over the next decade.

Gabel is the chief sponsor of House Bill 5513, which includes provisions to prohibit cost shifting, ensure data centers power their own operations and provide clean energy incentives.

Gabel said at a news conference in Chicago last April that lawmakers would pass the POWER Act.

Three weeks after the spring legislative session ended, Pritzker expressed disappointment that lawmakers failed to approve the measure and ordered a pause of data center tax credits to take effect July 1.

Last month, the governor said he expected a bill regulating data centers to be ready for fall veto session, which is scheduled to begin on Nov. 17.

Gabel said state officials just began a new round of meetings with stakeholders.

“We want to ensure that data centers don’t take all the energy in the state and leave consumers with higher bills. That’s a priority,” Gabel said.

Gabel said water is also a major issue with data centers.

“We want to make sure that water, if they have to use water for cooling, that it’s used in a way that’s most efficient,” Gabel said.

Gabel said noise and pollution are smaller issues being looked at.

State Rep. Ann Williams, D-Chicago, a POWER Act co-sponsor, told The Center Square last month there was still disagreement over some provisions of the bill.

Gabel said on Thursday that, at this point in time, she thinks the bill will get passed.

“There are many points that we agree on and have reached some agreement,” Gabel said.

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