AI Data Center Transparency Act

Full Title:
AI Data Center Site Selection Transparency Act of 2026

Summary#

This bill requires developers who plan to build, expand, or operate AI-focused data centers to give public notice and information before they take a definitive step toward the project. At least 180 days before a binding action (like signing a purchase or lease, starting major construction, or securing key utility agreements), the developer must tell relevant local elected officials and issue a public press release that includes the proposed location and estimates of resources needed and the environmental impact. Developers must also do local outreach (local media, social media, direct mail, and signage) and provide materials in multiple languages, including English and Spanish. The bill limits the use of non-disclosure agreements during the site-selection process and bars NDAs that hide information from government entities or about public resources. If multiple companies are involved, they must coordinate a single joint disclosure and are each responsible for compliance. The bill requires an environmental impact analysis done by an independent third party paid for by the developer. The Federal Trade Commission would enforce these requirements as unfair or deceptive acts under the FTC Act. The bill defines key terms such as “AI-focused data center,” “definitive step,” and “environmental AI impact.”

What it means for you#

  • If you are a developer, owner, or operator planning an AI-focused data center: you must disclose the site and estimates 180 days before a defined, binding step; perform community outreach; limit NDAs; and fund an independent environmental impact analysis. If multiple entities are involved, you must coordinate a joint disclosure and you are jointly responsible for following the rules.
  • If you are a local elected official or a member of the public in a proposed area: you should receive an official notice and public information before major project steps, in multiple languages. You may see press releases, mailings, social media posts, and signs at the proposed site.
  • Enforcement: the Federal Trade Commission would treat violations as unfair or deceptive practices and could apply FTC penalties and remedies.

Expenses#

  • The bill states the developer must pay for an independent third-party environmental impact analysis.
  • No publicly available information on other costs, funding sources, or estimated fiscal impacts is included in the bill text or provided metadata.

Proponents' View#

No publicly available information.

Opponents' View#

No publicly available information.