SB 270 Alabama Senate · 2026 Regular Session

Electric Utilities; review by Public Service Commission of certain contracts with large load data centers further provided for

SB 270 requires Alabama's Public Service Commission to evaluate contracts between utilities and large data centers (defined as facilities using at least 150 megawatts) to ensure they recover the utility's additional "incremental costs" tied to serving these centers. The bill mandates that contracts must also promote "positive benefits" for other utility customers, such as potentially lowering costs, improving grid efficiency, or boosting local economic growth. This applies specifically to contracts with data centers meeting the 150-megawatt threshold and affects utilities, large data center operators, and all other electricity customers in Alabama. The law, effective October 1, 2026, adds new review criteria to the Commission's existing authority under Section 37-4-22.
Bill status signed all 5 stages cleared
Introduction
Feb 2026
Committee Review
Mar 2026
Senate Passage
Mar 2026
House Passage
Apr 2026
Signed into Law
Apr 2026
Introduced Feb 5, 2026 Signed Apr 17, 2026
Maddy AI version diff · 1 comparison

What changed between versions

Introduced Enrolled · 3 edits · Apr 17, 2026
MINOR
The bill was finalized and enrolled after passing both legislative chambers, with minor formatting updates to the page headers and bill numbering. The core policy language regarding data center contracts remained consistent, but the definition of a 'large load data center customer' was expanded to explicitly require that the facility operates solely for data processing purposes. Additionally, the list of factors for determining public interest was updated to specify that benefits must be promoted for 'other retail electric customers' rather than 'all other retail electric customers'.
Scope change
The scope of the bill's applicability was slightly narrowed by adding a specific operational requirement to the definition of a large load data center customer.
DEFINITION

Added the requirement that a large load data center customer must operate 'solely for the purpose of data processing' to qualify under the new section.

REQUIREMENT

Changed the public interest standard from promoting benefits for 'all other retail electric customers' to 'other retail electric customers', removing the word 'all'.

TECHNICAL

Updated page headers from 'SB270 INTRODUCED' to 'SB270 ENROLLED' and corrected the bill number from YMZ7MN2-1 to YMZ7MN2-2 to reflect the final enrolled version.

Floor votes

How they voted

This bill passed the Senate by voice vote (no roll call recorded).
Full legislative history

Actions timeline

Total actions
20
Key actions
8
Committee
4
Amendments
3
Apr 8, 2026
Upper · Passed
Gudger Motion to Concur In and Adopt House Amendment - Adopted Roll Call 1258
upper
Apr 8, 2026
Lower · Passed
Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 1323
lower
Apr 8, 2026
Lower · Passed
Motion to Adopt - Adopted Roll Call 1322
lower
Apr 8, 2026
Introduced
Rafferty 1st Amendment Offered
lower
Mar 17, 2026
Lower · Passed
Reported Out of Committee Second House
lower
Mar 12, 2026
Lower · Passed
Pending Committee Action in Second House (Transportation, Utilities and Infrastructure)
lower
Mar 12, 2026
Upper · Passed
Motion to Read a Third Time and Pass - Adopted Roll Call 853
upper
Feb 11, 2026
Upper · Passed
Reported Out of Committee House of Origin
upper
Feb 5, 2026
Upper · Passed
Pending Committee Action in House of Origin (Fiscal Responsibility and Economic Development)
upper
1 primary · 0 co-sponsors

Sponsors

Role
Legislator
Party
State
District
P
Photo of Lance Bell
Lance Bell
RRepublican
AL
11