Energy in South Dakota | MyRepTracker

passed · South Dakota · Senate Feb 18, 2026

SB 235: protect residents from increased utility costs and utility shortages caused by data centers, to clarify authority to regulate data centers, and to modify provisions pertaining to the purchasing of goods and services by a data center.

SB 235 prevents utilities from raising residential electricity rates to cover data center costs, requiring data centers to pay all associated infrastructure expenses directly. It mandates data center operators to report water usage to local providers and the state board, with public disclosure of semi-annual water consumption data. The bill preserves local government authority to regulate data center construction and operations, and exempts data center purchasing from certain taxes. These provisions directly affect residents (by shielding them from cost shifts), data center operators (requiring direct payment and reporting), and local governments (retaining regulatory power).

Topics ✗ Budget & Taxes ✓ Energy | Rep's Stance ✗ Voted No ✗ Opposes Energy

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SB 235: protect residents from increased utility costs and utility shortages caused by data centers, to clarify authority to regulate data centers, and to modify provisions pertaining to the purchasing of goods and services by a data center.