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TN HB1847

TN HB1847
AN ACT to amend Tennessee Code Annotated, Title 5; Title 6; Title 7; Title 13 and Title 65, relative to data centers.


summary

Introduced
01/21/2026
In Committee
04/15/2026
Crossed Over
04/21/2026
Passed
05/07/2026
Dead
Signed/Enacted/Adopted
05/07/2026

Introduced Session

Potential new amendment
114th General Assembly

Bill Summary

As introduced, requires the owner or operator of a data center to pay for the full cost of infrastructure needed to support the data center; requires an electric utility to ensure that the cost of infrastructure needed to support the provision of electric services to the data center is paid solely by the owner or operator of the data center; makes other changes related to data centers. - Amends TCA Title 5; Title 6; Title 7; Title 13 and Title 65.

AI Summary

This bill mandates that the owner or operator of a data center, which is defined as a building primarily housing electronic equipment for processing, storing, and transmitting digital information along with necessary environmental and cooling equipment, must bear the entire cost of any infrastructure required to support its operations, including expansions or upgrades to existing utility systems. This infrastructure encompasses roads, bridges, sidewalks, water, wastewater, natural gas, electric lines, substations, transformers, telecommunications, fiber optic connections, and storm water facilities. Furthermore, electric utilities, which include municipal electric authorities, municipal electric plants, public utilities, county or city-owned electric utilities, and electric cooperatives, are explicitly prohibited from passing on the costs associated with data center infrastructure or increased electricity demand to residential customers or other commercial and industrial customers. Electric utilities are also allowed to create a new customer classification specifically for data centers to implement these provisions and must publicly document any rate increases not attributable to data centers. Complaints regarding violations can be filed with the Tennessee Public Utility Commission or the governing board of the local utility.

Committee Categories

Budget and Finance, Business and Industry

Sponsors (5)

Last Action

Signed by Governor. (on 05/07/2026)

bill text


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