Technology

H.727 establishes a regulatory framework for data centers in Vermont that use 20 megawatts or more of power. It requires the Public Utility Commission to create a separate ratepayer class and specific contract terms for data centers, including 10-year minimum agreements and cost-sharing mechanisms to prevent existing customers from bearing undue infrastructure costs. Before construction can begin, the Commission must issue a "certificate of public good" after assessing impacts on electric system reliability, local communities, environmental protections (including air/water quality and agricultural soils), and economic benefits. The bill directly affects data center developers, electric utilities, and Vermont ratepayers by mandating standardized contracts and site reviews to balance industry growth with community and environmental safeguards.

Vermont's S.71, the Vermont Data Privacy Act, creates new rules for businesses handling personal data of Vermont residents. It requires businesses to obtain clear, affirmative consent (not dark patterns or broad terms) before collecting personal data, with special protections for sensitive information like reproductive health, gender-affirming care, and precise location data (within 1,750 feet). The law prohibits using geofencing to track individuals near sensitive locations like abortion clinics or mental health facilities. It directly affects all businesses processing personal data of Vermont residents, including tech companies, retailers, and health services, by mandating transparency and restricting how they can use or share consumer information.

This bill, S 69 (Vermont Age-Appropriate Design Code Act), requires online services popular with minors to redesign their platforms to protect children’s privacy and safety. It directly affects businesses that generate most revenue from online services likely accessed by Vermont minors under 18 and collect their personal data. Key provisions mandate age-assurance methods to identify minors, set default privacy settings to the most protective level, ban features causing "compulsive use" (like addictive content algorithms), and restrict data collection for minors. The law also defines strict rules for handling biometric, genetic, and derived data of minors, ensuring data processing aligns with their developmental needs. It applies broadly to digital products like apps and websites, excluding physical products and basic internet services.

H.489 adjusts the Vermont state budget for fiscal year 2025 by modifying funding allocations across multiple agencies. It increases total funding for the Judiciary by $2.56 million (primarily through General Fund) and shifts $786,000 from Operating Expenses to Personal Services for the Agency of Digital Services. The bill also raises Human Services funding by $841,000, including a $4.3 million increase in the Global Commitment fund, while reducing Public Safety Criminal Justice Services funding by $681,000. These changes directly affect state agencies managing digital infrastructure, courts, public safety, and human services programs. The bill was vetoed by the Governor on April 4, 2025, and did not become law.