Ro Khanna Introduces Data Center Bill of Rights as Communities Push Back Against AI Infrastructure

Khanna to introduce 'Data Center Bill of Rights' as fight over AI power plants heats up

Rep. Ro Khanna is introducing what he calls a "data center bill of rights" as voters nationwide recoil from potential utility rate hikes by the facilities that power artificial intelligence. Khanna, D-Calif., who is widely expected to run for president in 2028, said the resolution would give local communities "the right to say no" to data centers. Khanna recently traveled to Pennsylvania, where he said he heard feedback on data centers. "The biggest feedback I heard was in opposition to these data centers across the state," he told CNBC. "We need a data center bill of rights where communities don't have these data centers shoved down their throat, where they can stand up and say no and where they can make sure these aren't going in farmland or residential communities." The resolution, shared exclusively with CNBC, would establish a set of rights for local communities to reject data center construction. It comes amid a crush of other legislative efforts to slow data center development over concerns they will add to the already high cost of living. Those authorities Khanna proposes include empowering communities to bar data centers from being built within 2,500 feet of homes, schools, childcare facilities, hospitals or nursing homes; ensuring the ability to reject any proposed data center through a transparent community process; and maintaining a state's ability to adopt statewide pauses on new data centers until the state approves protections that stop ratepayers from rising electricity bills and prevent the draining of local water supplies. Several states, including New York, have already implemented moratoriums on data centers.

Ro Khanna introduces data center bill of rights resolution

The resolution would let communities ban data centers within 2,500 feet of homes, schools, and hospitals, and reject proposed projects outright Rep. Ro Khanna introduced a resolution Monday calling on Congress to establish a "data center bill of rights" that would give local communities the power to block artificial intelligence data center construction. The California Democrat said the resolution would give communities "the right to say no" to data centers, according to CNBC. "We need a data center bill of rights where communities don't have these data centers shoved down their throat," Rep. Khanna said. "Where they can stand up and say no and where they can make sure these aren't going in farmland or residential communities." The resolution, H. Res. 1471, was referred to the House committees on Energy and Commerce and the Judiciary. It expresses the sense of the House that communities should have the right to ban data centers in residential areas and within 2,500 feet of homes, schools, childcare facilities, hospitals, or nursing homes, and to reject any proposed data center through a transparent community process. The resolution further calls for keeping intact the authority of counties and municipalities to oversee data center development free from state override, and for giving states the option to pause new construction until they have adopted measures protecting ratepayers from higher electricity costs and safeguarding local water supplies. Other provisions would require data centers to use clean energy and meet noise and air pollution limits, prohibit increases in electricity rates for households and small businesses, and mandate independent public impact reports before any project is approved. The reports would assess effects on utility bills, public health, rents, and housing availability, as well as projected job creation over 10 years. The resolution cites several concerns driving the push. More than 4,400 registered data centers currently operate across the United States, and AI data centers could consume up to 32 billion gallons of water per year by 2028, with many facilities located in water-stressed regions. The resolution also notes that some developers have used nondisclosure agreements and shell companies to obscure ownership, water use, and electricity demand. While data center construction can create hundreds of jobs, even the largest facilities often employ fewer than 150 permanent workers, the resolution states. Rep. Khanna said that a recent trip to Pennsylvania left him with a clear impression: residents there were broadly hostile to data center development. According to CNBC, a number of states -- New York among them -- have enacted moratoriums halting new data center construction.

Ro Khanna Slams AI Data Center Boom as 'Damaging,' Says Backup Generators Are Becoming 'De Facto Private

Rep. Ro Khanna (D-Calif.) warned that the rapid expansion of AI data centers is placing growing environmental and infrastructure burdens on local communities while companies shift some costs to residents and utility ratepayers. Khanna Targets AI Data Center Costs On Sunday, in a post on X, Khanna said that the proposed Data Center Bill of Rights would give local communities the ability to oppose data center projects and prohibit them in residential areas and farmland. California Democrat said he has spoken with senior technology executives who share concerns about the industry's practices, describing some of the conduct as "damaging." He accused companies of "building or operating before environmental review and permitting are complete" and using "temporary," "mobile," "backup" or emergency generators as "de facto private power plants." Khanna also alleged that data center operators are shifting "transmission, generation, water, tax, and infrastructure costs to residents and ordinary ratepayers." He raised concerns about noise, air pollution, groundwater risks and cumulative environmental impacts. He also criticized company-wide renewable energy accounting, saying it can "obscure what is happening at an individual facility and in the surrounding community." AI Data Centers Face Rising Costs and Community Concerns Earlier, Investor Kevin O'Leary said AI data center developers needed to earn community trust by being transparent about power use, water consumption, emissions and economic benefits. He urged developers to "bring your own power" rather than rely on local grids and said modern cooling systems had reduced water consumption. Billionaire Mark Cuban warned that venture capital firms, private equity funds and institutional investors could face steep losses if massive AI infrastructure spending failed to generate expected returns. He questioned whether billions spent on data centers would pay off as AI efficiency improved and joked that some facilities could eventually be "turned into pickleball courts." Sen. Elizabeth Warren (D-Mass.) also raised concerns that AI data centers were increasing electricity costs for households. She said a single AI data center could use as much electricity as 100,000 households and accused utility companies of passing infrastructure upgrade costs onto consumers rather than major technology companies. Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. Photo courtesy: Phil Pasquini on Shutterstock.com Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.