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KY SB319

KY SB319
AN ACT relating to data centers.


summary

Introduced
03/02/2026
In Committee
03/02/2026
Crossed Over
Passed
Dead
04/15/2026

Introduced Session

2026 Regular Session

Bill Summary

Create a new section of Subchapter 10 of KRS Chapter 224 to define "data center"; provide that the requirements of the section only apply to data centers constructed on agricultural land; require a data center owner to file a decommissioning plan with the Energy and Environment Cabinet prior to operating the data center; provide for the minimum requirements of the decommissioning plan, including requiring a surety bond or similar security to guarantee the decommissioning of the data center; amend KRS 154.20-229 to require that a qualified data center project that has been preliminarily approved for a certificate of exemption under KRS 139.499 include in its memorandum of agreement with the Kentucky Economic Development Finance Authority requirements to engage with local government officials to regularly review and adopt practices to improve energy and water use efficiency.

AI Summary

This bill establishes new regulations for data centers, which are defined as large facilities primarily used for electronic information services with significant electricity needs, specifically those located on land previously used for agriculture. Owners of such data centers must submit a decommissioning plan to the Energy and Environment Cabinet before operation, detailing how the facility will be dismantled and the land restored to its prior agricultural state, and must secure a bond or similar financial guarantee, determined by an independent engineer, to cover these decommissioning costs. Additionally, the bill amends existing law to require that any qualified data center project that has been preliminarily approved for a tax exemption must include in its agreement with the Kentucky Economic Development Finance Authority (KEDFA) provisions for regularly consulting with local government officials to improve energy and water efficiency practices within the data center.

Sponsors (1)

Last Action

to Committee on Committees (S) (on 03/02/2026)

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