,i #aaith ,,congress #b;d ,session ,h4 ,r4 #ifee ,,in ,,the ,,house ,,of ,,representatives ,july #ac1 #bjbf,mr4 ,riley of ,new ,york 7for himself and ,mr4 ,van ,drew7 introduced the following bill2 which was referred to the ,committee on ,energy and ,commerce ,a ,,bill ,to amend the ,public ,utility ,regulatory ,policies ,act of #aigh to add a standard prohibiting the recovery of costs associated with data centers by certain electric utilities1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,fair ,allocation of ,infrastructure ,responsibility for ,data ,act or the ,,fair ,data ,act4 #b4 ,,purpa standard for recovery of costs associated with covered data centers 7a7 ,in general ,section #aaa7;d7 of the ,public ,utility ,regulatory ,policies ,act of #aigh 7#af ,u4,s4,c4 #bfba7;d77 is amended by adding at the end the following3 7#bb7 ,costs associated with covered data centers 7,a7 ,cost recovery relating to covered data centers ,no covered utility may recover from residential or small business electric consumers1 including through rates charged by such covered utility for providing electric service1 any costs of the covered utility associated with covered data centers1 including any costs associated with any upgrade made to the generation1 transmission1 or distribution facilities of the electric grid in order to meet the demand for electric energy from covered data centers4 7,b7 ,definitions ,in this paragraph3 7i7 ,covered utility ,the term covered utility means a ,state regulated electric utility that is investor owned4 7ii7 ,covered data center ,the term covered data center means a facility1 or an aggregation of facilities at a single site1 with respect to which the peak demand of such facility or such aggregation of facilities exceeds #ge megawatts1 that primarily contain electronic equipment used to process1 store1 transmit1 or host digital information and the electrical1 mechanical1 and environmental control equipment to maintain the proper conditions for the operation of electronic equipment4 4 7b7 ,conforming amendments 7#a7 ,consideration and determination ,section #aaa7;a7 of the ,public ,utility ,regulatory ,policies ,act of #aigh 7#af ,u4,s4,c4 #bfba7;a77 is amended by striking ,each ,state and inserting ,except as otherwise provided in this section1 each ,state4 7#b7 ,obligations to consider and determine ,section #aab of the ,public ,utility ,regulatory ,policies ,act of #aigh 7#af ,u4,s4,c4 #bfbb7 is amended-- 7,a7 in subsection 7b71 by adding at the end the following3 7#i7 7,a7 ,not later than #f months after the date of enactment of this paragraph1 each ,state regulatory authority 7with respect to each covered utility 7as defined in paragraph 7#bb7 of section #aaa7;d77 for which the ,state has ratemaking authority7 shall commence consideration under section #aaa1 or set a hearing date for consideration1 with respect to the standard established by such paragraph 7#bb7 of section #aaa7;d74 7,b7 ,not later than #a year after the date of enactment of this paragraph1 each ,state regulatory authority 7with respect to each covered utility 7as defined in paragraph 7#bb7 of section #aaa7;d77 for which the ,state has ratemaking authority7 shall complete the consideration and make the determination under section #aaa with respect to the standard established by such paragraph 7#bb7 of section #aaa7;d74 2 7,b7 in subsection 7c7-- 7i7 by striking subsection 7b77#b7 and inserting subsection 7b72 and 7ii7 by inserting ,each ,state regulatory authority 7with respect to each covered utility 7as defined in paragraph 7#bb7 of section #aaa7;d77 for which it has ratemaking authority7 shall undertake the consideration1 and make the determination1 referred to in section #aaa with respect to the standard established by paragraph 7#bb7 of section #aaa7;d7 in the first rate proceeding commenced after the date three years after the date of enactment of this sentence respecting the rates of such covered utility if such ,state regulatory authority has not1 before such date1 complied with subsection 7b7 with respect to such standard4 after paragraph 7#ba742 and 7,c7 by adding at the end the following3 7i7 ,other prior ,state actions ,subsections 7b7 and 7c7 shall not apply to the standard established by paragraph 7#bb7 of section #aaa7;d7 in the case of a covered utility 7as defined in paragraph 7#bb7 of section #aaa7;d77 in a ,state if1 before the date of enactment of this subsection-- 7#a7 the ,state has implemented for the covered utility the standard 7or a comparable standard72 7#b7 the ,state regulatory authority for the ,state has conducted a proceeding to consider implementation of the standard 7or a comparable standard7 for the covered utility2 or 7#c7 the ,state legislature has voted on the implementation of the standard 7or a comparable standard7 for the covered utility during the #c-year period ending on that date of enactment4 4 7#c7 ,prior and pending proceedings ,section #abd of the ,public ,utility ,regulatory ,policies ,act of #aigh 7#af ,u4,s4,c4 #bfcd7 is amended by inserting ,for purposes of subtitle ,a and ,b1 and this subtitle1 proceedings commenced by ,state regulatory authorities 7with respect to covered utilities 7as defined in paragraph 7#bb7 of section #aaa7;d77 for which it has ratemaking authority7 before the date of the enactment of this sentence and actions taken before such date in such proceedings shall be treated as complying with the requirements of subtitles ,a and ,b1 and this subtitle1 if such proceedings and actions substantially conform to such requirements4 ,for purposes of subtitles ,a and ,b1 and this subtitle1 any such proceeding or action commenced before the date of enactment of this sentence1 but not completed before such date1 shall comply with the requirements of subtitles ,a and ,b1 and this subtitle1 to the maximum extent practicable1 with respect to so much of such proceeding or action as takes place after such date1 except as otherwise provided in section #aba7;c74 after paragraph 7#ba744 #c4 ,conditions on ,,doe funding and ,,ferc annual report 7a7 ,funding conditions ,notwithstanding any other provision of law1 a ,state regulatory authority may not receive funds provided by the ,secretary for administrative or technical assistance unless the ,state regulatory authority submits to the ,secretary1 with respect to that fiscal year1 a certification that-- 7#a7 costs associated with covered data centers1 including costs for any upgrade made to the generation1 transmission1 or distribution facilities of the electric grid in order to meet the demand for electric energy from covered data centers1 will not be recovered through increased rates for residential or small business electric consumers2 and 7#b7 the ,state regulatory authority has required each owner or operator of a covered data center that claimed in its permit applications or other statements regarding construction and operation of the covered data center that the operation of the covered data center would decrease utility bills of residential and small business electric consumers in the applicable community to provide such ,state regulatory authority an annual report on the actual cost savings for residential and small business electric consumers in the applicable community4 7b7 ,report ,not later than ,september #cj of the fiscal year in which this ,act is enacted1 and every ,september #cj thereafter1 the ,federal ,energy ,regulatory ,commission shall submit to ,congress a report on the impact of covered data center demands on residential and small business electricity rates and grid reliability4 7c7 ,definitions ,in this section3 7#a7 ,electric consumer ,the term electric consumer has the meaning given such term in section #c of the ,public ,utility ,regulatory ,policies ,act of #aigh 7#af ,u4,s4,c4 #bfjb74 7#b7 ,covered data center ,the term covered data center means a facility1 or an aggregation of facilities at a single site1 with respect to which the peak demand of such facility or such aggregation of facilities exceeds #ge megawatts1 that primarily contain electronic equipment used to process1 store1 transmit1 or host digital information and the electrical1 mechanical1 and environmental control equipment to maintain the proper conditions for the operation of electronic equipment4 7#c7 ,secretary ,the term ,secretary means the ,secretary of ,energy4 7#d7 ,state regulatory authority ,the term ,state regulatory authority has the meaning given such term in section #c of the ,public ,utility ,regulatory ,policies ,act of #aigh 7#af ,u4,s4,c4 #bfjb74