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Artificial Intelligence/Data Centers

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In the News #

  • Texas House discusses putting guardrails on Artificial Intelligence (CW39 Houston, 3/26/2025)
    • The Texas House Committee on the Delivery of Government Efficiency (Texas DOGE) held a hearing to explore potential regulations for artificial intelligence, focusing on privacy, security, and transparency concerns. Lawmakers heard testimony from experts and industry representatives about the risks of AI in areas such as facial recognition and algorithmic decision-making. The discussion is part of a broader legislative effort to establish oversight mechanisms for emerging technologies.
  • State Data Center Legislation in 2026 Tackles Energy and Tax Issues (MultiState, 2/20/2026)
    • States are reportedly introducing legislation in 2026 to address the growing energy demands and tax implications associated with expanding data center development. According to the article, proposals in multiple states focus on utility rate structures, electricity reliability, environmental impacts, and revisions to tax incentives that have historically been used to attract data center investment. Lawmakers are also considering measures intended to balance economic development goals with oversight of costs that could be passed on to residents and local infrastructure systems.
  • Nevada will use AI for unemployment appeals. Some lawmakers are skeptical. (CarsonNOW, 3/14/2026)
    • Nevada’s employment agency is implementing a Google-developed AI tool to assist with unemployment appeals, with officials stating it will speed up decisions while still requiring human review and final approval. Lawmakers raised concerns about transparency, consent, data use, and potential bias, particularly because claimants are not required to opt in to the AI process. According to agency officials and external experts, while safeguards and accuracy targets are in place, questions remain about reliability, oversight, and broader implications for government use of AI.
  • State Lawmakers Weigh Costs and Benefits of AI Data Centers (National Conference of State Legislatures, 3/25/2026)
    • State lawmakers are examining the economic and infrastructure impacts of expanding AI-focused data centers, according to the National Conference of State Legislatures. The article says legislators are weighing benefits such as jobs, tax revenue, and technology investment against concerns over electricity demand, water consumption, land use, and utility costs that could affect residents. Several states are reportedly considering policies related to tax incentives, energy planning, zoning, and oversight of how data center growth affects local communities and power grids.
  • Texas Legislature Sets Its Sights on Data Centers and AI: What You Need to Know (National Law Review, 4/3/2026)
    • Texas lawmakers are considering legislation that would increase oversight of data centers and artificial intelligence, including proposals related to energy use, consumer protections, and disclosure requirements. Several bills would regulate how AI systems are used, require notice when consumers interact with AI, and address risks such as bias and misuse of personal data. Lawmakers are also examining how the rapid growth of data centers could affect the state’s electric grid and water resources.
  • State capitols are catching up to the data center boom (Latitude Media, 4/22/2026)
    • State lawmakers are reportedly increasing scrutiny of the rapid expansion of data centers as utilities and technology companies pursue projects tied to artificial intelligence and cloud computing growth. According to the article, legislatures in several states are considering measures related to electricity demand, utility cost allocation, tax incentives, water use, and transmission planning as concerns grow over the impact on ratepayers and local infrastructure. The article notes that policymakers are also debating how to balance economic development benefits from data centers with oversight of long-term energy and environmental costs.
  • Connecticut AI Bill Clears Statehouse, Heads to Governor (GovTech, 5/5/2026)
    • Connecticut lawmakers gave final approval to a broad artificial intelligence bill that would establish oversight committees, regulate AI use in employment and consumer interactions, and create safeguards to protect children and consumers while supporting industry growth. According to lawmakers and Gov. Ned Lamont’s office, the legislation would require disclosures when users interact with AI companions, implement protections related to self-harm and minors, and expand the state attorney general’s oversight authority. Supporters described the bill as an initial regulatory framework for a rapidly growing technology, while some Republicans raised concerns that the measure could hinder innovation or negatively affect jobs.

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