1. Executive Summary
H.R. 10139 Ratepayer Bill of Rights Act of 2026 mandates disclosure of large data centers' electricity and water use, infrastructure costs, and public financial assistance by establishing ten enumerated ratepayer rights, cost-recovery and assessment requirements, and a public database, under the joint jurisdiction of the Federal Energy Regulatory Commission, Department of Energy, Environmental Protection Agency, and Department of Labor.
2. What This Bill Would Do
Sec. 2(a)(2) defines the bill's scope. Currently, the bill text does not cite an existing federal statutory threshold for data center disclosure obligations. This provision would apply the Act to a data center, or group of data centers under common ownership or control, with peak electricity demand of at least 50 megawatts or water withdrawal of at least 100,000 gallons per day, including expansions that reach those levels.
Sec. 2(b)(1)–(2) requires disclosure of resource use and costs. Currently, the bill text does not cite an existing federal disclosure mandate covering data center electricity/water use, infrastructure costs, or public financial assistance. This provision would require covered data centers to disclose projected and actual electricity and water use before operations begin (reported every six months for electricity, every three months for water, with prompt notice of material change), and would require public disclosure of infrastructure costs, rate effects, and public assistance received before final approval. Note: Implementation details are subject to agency rulemaking.
Sec. 2(b)(3) prohibits shifting data center costs to ratepayers. Currently, the bill text does not cite an existing federal statute governing how utility ratepayers bear data-center-driven infrastructure costs. This provision would require companies to sign a binding cost-recovery agreement and post financial security before construction, would prohibit shifting project-driven costs onto ratepayers through rates, riders, or surcharges, and would require improper charges to be refunded with interest within 90 days.
Sec. 2(b)(4)–(6) establishes independent assessment requirements for water and electric service. Currently, the bill text does not cite an existing statutory requirement for pre-commitment independent water-supply or electric-reliability assessments specific to data centers. This provision would require an independent assessment confirming sufficient water supply — including during drought — and confirming that grid reliability for existing customers would not be materially reduced, before a data center receives a final water- or electric-service commitment; it would also prohibit data centers from receiving water priority over households, hospitals, or schools during a water emergency. Note: Implementation details are subject to agency rulemaking.
Sec. 2(b)(7)–(10) creates public-notice, anti-evasion, and enforcement mechanisms. Currently, the bill text does not cite an existing federal process for public notice specific to data center siting decisions. This provision would require at least 60 days' advance notice and a local public meeting, prohibit confidentiality claims from blocking required disclosures, treat related or affiliated projects as a single project for coverage purposes, and authorize federal and state regulators to audit compliance, order refunds, and assess civil penalties. Note: Implementation details are subject to agency rulemaking.
3. Who is Affected
Affected Group | If Bill Passes | If Bill Fails / Status Quo | Section |
|---|---|---|---|
Ratepayers generally (households, farmers, ranchers, small businesses, communities) | Gain right to know covered data centers' electricity/water use, infrastructure costs, and rate effects | Current information gap on data center resource use and cost impacts continues | 2(a)(1), 2(b)(1)–(2) |
Covered data centers (≥50 MW peak demand or ≥100,000 gal/day water withdrawal) | Subject to disclosure, cost-recovery, assessment, and reporting requirements | Not subject to these specific requirements | 2(a)(2) |
Households, farms, small businesses (rate impact) | Protected from bearing data-center project-driven costs via rates, riders, or surcharges; entitled to refunds with interest for improper charges | Current allocation of data-center-related infrastructure costs among ratepayers continues under existing state/utility processes | 2(b)(3) |
Schools and hospitals | Explicitly named as protected ratepayers not required to subsidize data center costs; guaranteed no water-priority disadvantage relative to data centers during an emergency | Current water and cost allocation treatment continues | 2(b)(3)–(4) |
Households, agriculture, existing businesses (water supply) | Independent assessment required to confirm sufficient water remains for these groups, including during drought, before a data center receives a final water-service commitment | No such assessment requirement applies specifically to data centers under this Act | 2(b)(4) |
Private well owners, rural water systems, farmers, ranchers | Gain rights to monitoring, notice, and compensation if a covered data center harms their water supply; data centers barred from drawing from an already-overdrawn aquifer without an independent assessment showing no further harm | These monitoring/notice/compensation rights and the aquifer-draw restriction do not apply | 2(b)(5) |
Existing electricity customers | Independent assessment required to confirm reliability is not materially reduced before a data center receives a final electric-service commitment; on-site power generation capacity, fuel source, and emissions must be disclosed | No such assessment requirement applies specifically to data centers under this Act | 2(b)(6) |
Affected residents and ratepayers (public process) | Entitled to 60 days' notice, a local public meeting, and cost/water/reliability studies published 30 days in advance, in English and Spanish where required; involved public officials must disclose financial interests | No such notice, meeting, or disclosure requirement applies specifically to data center approvals under this Act | 2(b)(7) |
General public (via public database) | Aggregate data on electricity/water use, costs, public assistance, and emissions must be posted to a searchable public database within 30 days and may not be withheld as trade secrets | No such public database requirement applies specifically to data centers under this Act | 2(b)(8) |
Data center operators using affiliated entities | Prohibited from using separate entities, meters, tenants, parcels, or project phases to evade the Act; related/affiliated projects treated as one project; material expansion reopens review | No such anti-evasion provision applies | 2(b)(9) |
Employees who report violations | Protected from retaliation for reporting violations | No such retaliation protection applies specifically under this Act | 2(b)(10) |
Federal regulators (FERC, DOE, EPA, DOL) | Each agency is directed to issue rules and enforce the Act within its existing jurisdiction (transmission/reliability, energy data, environmental/water quality, worker retaliation) | No new enforcement mandate under this Act applies to these agencies | 2(c) |
State, Tribal, and local authorities | Retain existing jurisdiction over utility rates, water rights, land use, and permitting, and remain permitted to adopt additional protections | Current jurisdictional arrangement continues unchanged; the bill does not alter it either way | 2(c) |
4. Existing Law vs. What Would Change
Current Law or Condition | What This Bill Changes |
No existing federal statute is cited in the bill text establishing a disclosure requirement for data center electricity/water use, infrastructure costs, or public financial assistance. | Sec. 2(b)(1)–(2) would create such disclosure requirements. |
No existing federal statute is cited in the bill text prohibiting utilities from recovering data-center-driven infrastructure costs from other ratepayers. | Sec. 2(b)(3) would prohibit such cost-shifting and require a binding cost-recovery agreement and financial security. |
No existing federal statute is cited in the bill text requiring an independent pre-commitment water or electric-reliability assessment specific to data centers. | Sec. 2(b)(4)–(6) would require such assessments before final service commitments. |
No existing federal statute is cited in the bill text requiring advance public notice or a public meeting specific to data center siting or service decisions. | Sec. 2(b)(7) would require 60 days' notice and a local public meeting. |
State, Tribal, and local jurisdiction over utility rates, water rights, land use, and permitting is not altered by this bill. | Sec. 2(c) explicitly states these authorities are retained and preserved, and that stronger state/local protections remain permitted. |
No existing federal statute is cited in the bill text addressing the use of separate corporate entities, meters, or project phases to avoid data-center-specific requirements. | Sec. 2(b)(9) would create an anti-evasion provision treating affiliated/related projects as one project. |
5. Fiscal Impact Summary
No CBO score or official fiscal note is currently available for this legislation. Fiscal impact cells are left blank pending official scoring. (The bill was introduced August 24, 2026; a search of available sources found no published CBO score as of this analysis.)
6. Household Impact Matrix
Analysis for a household earning $35,000 to $100,000 (Median range for rural Ohio/Appalachian communities).
Metric | If Bill Passes | If Bill Fails / Status Quo Continues |
Household Overhead | Sec. 2(b)(3) specifies covered data centers must bear all project-driven costs and may not shift them to ratepayers through rates, riders, or surcharges; improper charges are refunded with interest within 90 days. No dollar figure or rate estimate is specified in the bill text. | Insufficient primary source data — pending official analysis. |
Market Stability | Sec. 2(b)(4) specifies an independent assessment must confirm sufficient water remains for existing businesses before a data center receives a final water commitment; Sec. 2(b)(6) requires a similar reliability assessment for electric service. The bill text does not address business licensing or property rights beyond these provisions. | Insufficient primary source data — pending official analysis. |
Mobility Check | The bill text does not contain income-eligibility thresholds, benefits-cliff provisions, or means-tested criteria; it applies uniformly to all ratepayers within the defined coverage area regardless of income. | Insufficient primary source data — pending official analysis. |
Local Government Impact | Sec. 2(c) specifies that state, Tribal, and local authorities retain existing jurisdiction over utility rates, water rights, land use, and permitting, and are not restricted from adopting additional protections. The bill text does not specify any change to state or county funding levels. | Current funding levels and regulatory authority remain under existing law, as specified in Sec. 2(c). |
7. Provisions Requiring Review
Section 2(b)(1) contains conditional language ("prompt notice of any material change") without defining "material change." Reason for review flag: undefined term with agency-discretion implications. Recommended action: verify against forthcoming FERC/DOE implementing rules.
Section 2(b)(3) contains the undefined term "adequate financial security." Reason for review flag: no bonding amount, formula, or standard is specified in the bill text. Recommended action: verify against forthcoming agency rulemaking.
Sections 2(b)(4)–(6) delegate the design of "independent assessment[s]" to unspecified methodology and unspecified assessing entities. Reason for review flag: delegates implementation details to agency rulemaking without specifying parameters. Recommended action: verify against FERC, DOE, and EPA implementing guidance.
Section 2(b)(6) contains the undefined term "materially reducing reliability." Reason for review flag: undefined term subject to agency or regulator discretion. Recommended action: verify against forthcoming agency rulemaking.
Section 2(b)(7) contains the conditional phrase "in English and Spanish where required." Reason for review flag: conditional language whose trigger ("where required") is not defined in the bill text. Recommended action: verify against forthcoming agency rulemaking.
Section 2(b)(9) contains the undefined term "material expansion." Reason for review flag: undefined term that determines when review is reopened. Recommended action: verify against forthcoming agency rulemaking.
Section 2(c) delegates rulemaking and enforcement authority to FERC, DOE, EPA, and DOL "within their existing jurisdictions" without specifying which provisions fall under which agency. Reason for review flag: delegates implementation and enforcement division to agency interpretation. Recommended action: verify against each agency's implementing rules as published.
8. What This Bill Does Not Do
The bill text does not contain provisions related to banning or restricting the siting or construction of data centers. Public discussion has referenced data center moratoriums or construction bans in connection with this legislation. No such provision appears in H.R. 10139 as introduced.
The bill text does not contain provisions related to federal regulation of artificial intelligence development or deployment. Public discussion has referenced AI regulation in connection with data center legislation generally. No such provision appears in H.R. 10139 as introduced.
The bill text does not contain provisions related to eliminating or restricting state or local tax incentive programs for data centers. Public discussion has referenced data center tax subsidies in connection with this legislation. No such provision appears in H.R. 10139 as introduced; the bill requires disclosure of public financial assistance received but does not alter incentive programs themselves.
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