Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Data Centers topic
No spam. Unsubscribe anytime.
House approves GRID bill to tighten data center tax and community requirements
Summary
In a broader package of measures on June 24, the House approved HB2650 ("GRID") imposing stricter energy, water, noise and community‑benefit standards and shortening tax exemptions for data centers; the floor saw vigorous debate over economic and environmental tradeoffs.
The Pennsylvania House on June 24 approved House Bill 2650, a measure tied into a broader package described on the floor as the “GRID” framework (Governor's Responsible Infrastructure Development). Sponsors said the bill imposes enforceable restrictions on energy, water and noise; requires community outreach and community benefit plans; and reduces a long-standing tax exclusion for data center equipment.
Representative Webster, the prime sponsor, framed the package as a means to rebalance incentives so that “wealthiest companies” building data centers do not leave local municipalities to shoulder energy and infrastructure risks. Webster said the bill includes limits on energy use, water and noise controls, and mechanisms to require community benefits and local jobs.
Supporters, including Representative Gaydos and Representative Williams, said the framework will require developers to plan for incremental energy and community impacts and to deliver benefits to host communities. Critics on the floor, including Representative Nelson and Representative Barger, warned the bill’s incentives will not deter the largest hyperscalers and could prompt firms to invest elsewhere; some labeled parts of the debate a “mob mentality” and urged caution about unintended economic consequences.
When the House voted on final passage, the clerk recorded 134 yeas and 68 nays and the bill passed. Sponsors and supporters said the GRID package will be paired with other bills (some already passed by the House) and that additional regulatory and disclosure measures will follow in committee and in the Senate.
Next steps: The bill will be transmitted to the Senate for concurrence or amendment. House proponents said forthcoming measures will address related topics such as energy-code requirements and disclosure of project plans and developers’ identities.
