CS for CS for SB 484                             First Engrossed
       
       
       
       
       
       
       
       
       2026484e1
       
    1                        A bill to be entitled                      
    2         An act relating to data centers; creating s. 112.231,
    3         F.S.; defining terms; prohibiting an agency from
    4         entering into a nondisclosure agreement or other
    5         contract that restricts the agency from disclosing
    6         certain information to the public; providing that an
    7         agreement or contract, or a provision of an agreement
    8         or contract, is void and unenforceable under certain
    9         circumstances; providing civil penalties; authorizing
   10         the state attorney or Attorney General to bring an
   11         action to collect a fine; providing applicability;
   12         creating s. 163.326, F.S.; providing legislative
   13         findings; specifying that local governments maintain
   14         authority to exercise power and responsibility over
   15         comprehensive planning and land development
   16         regulations related to large load customers;
   17         prohibiting a large load customer from being
   18         considered an electric substation; amending s.
   19         288.075, F.S.; defining the term “data center”;
   20         requiring an economic development agency to disclose
   21         business activities related to the location,
   22         relocation, or expansion of a data center; providing
   23         applicability; reenacting s. 288.076(3) and (7), F.S.,
   24         relating to return on investment reporting for
   25         economic development programs, to incorporate the
   26         amendment made to s. 288.075, F.S., in references
   27         thereto; creating s. 366.043, F.S.; providing
   28         legislative findings; defining terms; requiring the
   29         Florida Public Service Commission to develop minimum
   30         tariff and service requirements for large load
   31         customers; requiring that such requirements ensure
   32         that large load customers bear their costs of service
   33         and that such costs are not shifted to the general
   34         body of ratepayers; requiring certain measures to
   35         minimize the risk of nonpayment of such costs;
   36         requiring that such minimum tariff and service
   37         requirements include certain provisions designed to
   38         prevent a public utility from providing electric
   39         service to a large load customer that is a foreign
   40         entity; prohibiting a customer from separating a
   41         certain electrical load into multiple smaller
   42         connections for a specified purpose; authorizing the
   43         commission to include certain measures in minimum
   44         tariff and service requirements; prohibiting any
   45         tariff, contractual provision, service requirement, or
   46         other public utility policy from preventing or
   47         hindering the curtailment or interruption of electric
   48         service to a large load customer for certain purposes;
   49         prohibiting a public utility from knowingly providing
   50         electric service to a large load customer that is a
   51         foreign entity; requiring the commission to adopt
   52         rules by a specified date; specifying a deadline for
   53         utilities to file a tariff in compliance with the
   54         final rule; amending s. 373.203, F.S.; defining terms;
   55         creating s. 373.262, F.S.; providing legislative
   56         intent; prohibiting the governing board of a water
   57         management district or the Department of Environmental
   58         Protection from issuing a permit for the consumptive
   59         use of water to a large-scale data center under
   60         certain circumstances; requiring that such permit be
   61         issued to a large-scale data center applicant if the
   62         applicant establishes that the proposed use of water
   63         satisfies certain requirements; requiring the
   64         governing board or the department to require the use
   65         of reclaimed water for a large-scale data center
   66         applicant’s allocation when certain requirements are
   67         met; specifying requirements for certain permit
   68         applications; prohibiting the approval of permit
   69         applications without a hearing; amending s. 373.239,
   70         F.S.; requiring that consumptive use permit
   71         modifications proposed by a large-scale data center be
   72         treated in a specified manner; providing an effective
   73         date.
   74          
   75  Be It Enacted by the Legislature of the State of Florida:
   76  
   77         Section 1. Section 112.231, Florida Statutes, is created to
   78  read:
   79         112.231Data center nondisclosure agreements.—
   80         (1)As used in this section, the term:
   81         (a) “Agency” means any state, county, district, authority,
   82  or municipal officer, public employee, department, division,
   83  board, bureau, or commission, or other separate unit of
   84  government created or established by law and any other public or
   85  private agency, person, partnership, corporation, or business
   86  entity acting on behalf of any such agency.
   87         (b)“Data center” means a facility that primarily contains
   88  electronic equipment used to process, store, and transmit
   89  digital information, which may be:
   90         1. A free-standing structure; or
   91         2. A facility within a larger structure which uses
   92  environmental control equipment to maintain the proper
   93  conditions for the operation of electronic equipment.
   94         (2)An agency may not enter into a nondisclosure agreement
   95  or other contract restricting the agency from disclosing
   96  information about a potential data center development to members
   97  of the public.
   98         (3)An agreement or contract, or a provision of an
   99  agreement or contract, that violates this section is against
  100  public policy and is void and unenforceable.
  101         (4)An agency that violates this section is subject to a
  102  civil fine of not more than $1,000. The state attorney of the
  103  county in which the violation occurred or the Attorney General
  104  may bring an action to collect the fine.
  105         (5)This section applies to agreements entered into on or
  106  after July 1, 2026.
  107         Section 2. Section 163.326, Florida Statutes, is created to
  108  read:
  109         163.326Large load customer considerations.—
  110         (1)The Legislature finds that certain land uses, including
  111  facilities with substantial electric or other utility demands,
  112  such as data centers and other large load customers as defined
  113  in s. 366.043(2)(d), may present unique planning,
  114  infrastructure, and compatibility considerations. The
  115  Legislature intends that such considerations shall be addressed
  116  through local comprehensive planning and land development
  117  regulations adopted pursuant to this chapter, including
  118  provisions related to infrastructure capacity, land use
  119  compatibility, environmental impacts, and the efficient
  120  provision of public facilities and services.
  121         (2)Local governments shall maintain the authority to
  122  exercise the powers and responsibilities for comprehensive
  123  planning and land development regulation granted by law with
  124  respect to large load customers. A large load customer may not
  125  be considered an electric substation for the purposes of s.
  126  163.3208.
  127         Section 3. Present paragraphs (a), (b), and (c) of
  128  subsection (1) of section 288.075, Florida Statutes, are
  129  redesignated as paragraphs (b), (c), and (d), respectively, a
  130  new paragraph (a) is added to that subsection, paragraph (a) of
  131  subsection (2) of that section is amended, and subsection (8) of
  132  that section is republished, to read:
  133         288.075 Confidentiality of records.—
  134         (1) DEFINITIONS.—As used in this section, the term:
  135         (a)“Data center” has the same meaning as in s. 112.231.
  136         (2) PLANS, INTENTIONS, AND INTERESTS.—
  137         (a)1. If a private corporation, partnership, or person
  138  requests in writing before an economic incentive agreement is
  139  signed that an economic development agency maintain the
  140  confidentiality of information concerning plans, intentions, or
  141  interests of such private corporation, partnership, or person to
  142  locate, relocate, or expand any of its business activities in
  143  this state, the information is confidential and exempt from s.
  144  119.07(1) and s. 24(a), Art. I of the State Constitution for 12
  145  months after the date an economic development agency receives a
  146  request for confidentiality or until the information is
  147  otherwise disclosed, whichever occurs first. However, disclosure
  148  that the business activities include the location, relocation,
  149  or expansion of a data center is required by the economic
  150  development agency.
  151         2. An economic development agency may extend the period of
  152  confidentiality specified in subparagraph 1. for up to an
  153  additional 12 months upon written request from the private
  154  corporation, partnership, or person who originally requested
  155  confidentiality under this section and upon a finding by the
  156  economic development agency that such private corporation,
  157  partnership, or person is still actively considering locating,
  158  relocating, or expanding its business activities in this state.
  159  Such a request for an extension in the period of confidentiality
  160  must be received prior to the expiration of any confidentiality
  161  originally provided under subparagraph 1. This subparagraph does
  162  not apply to any business activities that include location,
  163  relocation, or expansion of a data center.
  164  
  165  If a final project order for a signed economic development
  166  agreement is issued, then the information will remain
  167  confidential and exempt for 180 days after the final project
  168  order is issued, until a date specified in the final project
  169  order, or until the information is otherwise disclosed,
  170  whichever occurs first. However, such period of confidentiality
  171  may not extend beyond the period of confidentiality established
  172  in subparagraph 1. or subparagraph 2.
  173         (8) PENALTIES.—Any person who is an employee of an economic
  174  development agency who violates the provisions of this section
  175  commits a misdemeanor of the second degree, punishable as
  176  provided in s. 775.082 or s. 775.083.
  177         Section 4. For the purpose of incorporating the amendment
  178  made by this act to section 288.075, Florida Statutes, in
  179  references thereto, subsections (3) and (7) of section 288.076,
  180  Florida Statutes, are reenacted to read:
  181         288.076 Return on investment reporting for economic
  182  development programs.—
  183         (3) Within 48 hours after expiration of the period of
  184  confidentiality for project information deemed confidential and
  185  exempt pursuant to s. 288.075, the department shall publish the
  186  following information pertaining to each project:
  187         (a) Projected economic benefits.—The projected economic
  188  benefits at the time of the initial project award date.
  189         (b) Project information.—
  190         1. The program or programs through which state investment
  191  is being made.
  192         2. The maximum potential cumulative state investment in the
  193  project.
  194         3. The target industry or industries, and any high-impact
  195  sectors implicated by the project.
  196         4. The county or counties that will be impacted by the
  197  project.
  198         5. For a project that requires local commitment, the total
  199  cumulative local financial commitment and in-kind support for
  200  the project.
  201         (c) Participant business information.—
  202         1. The location of the headquarters of the participant
  203  business or, if a subsidiary, the headquarters of the parent
  204  company.
  205         2. The firm size class of the participant business, or
  206  where owned by a parent company the firm size class of the
  207  participant business’s parent company, using the firm size
  208  classes established by the United States Department of Labor
  209  Bureau of Labor Statistics, and whether the participant business
  210  qualifies as a small business as defined in s. 288.703.
  211         3. The date of the project award.
  212         4. The expected duration of the contract.
  213         5. The anticipated dates when the participant business will
  214  claim the last state investment.
  215         (d) Project evaluation criteria.—Economic benefits
  216  generated by the project.
  217         (e) Project performance goals.—
  218         1. The incremental direct jobs attributable to the project,
  219  identifying the number of jobs generated and the number of jobs
  220  retained.
  221         2. The number of jobs generated and the number of jobs
  222  retained by the project, and the average annual wage of persons
  223  holding such jobs.
  224         3. The incremental direct capital investment in the state
  225  generated by the project.
  226         (f) Total state investment to date.—The total amount of
  227  state investment disbursed to the participant business to date
  228  under the terms of the contract, itemized by incentive program.
  229         (7) Within 48 hours after expiration of the period of
  230  confidentiality provided under s. 288.075, the department shall
  231  publish the contract or agreement described in s. 288.061,
  232  redacted to protect the participant business from disclosure of
  233  information that remains confidential or exempt by law.
  234         Section 5. Section 366.043, Florida Statutes, is created to
  235  read:
  236         366.043 Large load tariffs for public electric utilities.
  237         (1)The Legislature finds that the provision of safe and
  238  reliable electric services, provided at fair, just, and
  239  reasonable rates, is essential to the welfare of the ratepayers
  240  of this state. The Legislature further finds that when one class
  241  of electric service customer requires uniquely large electrical
  242  loads at a single location, it imposes a disproportionate risk
  243  on the other ratepayers of this state and makes it necessary for
  244  the commission to develop and enforce rate structures and other
  245  policies for such customers which ensure such risk is mitigated
  246  as much as possible and prevent shifting the costs of serving
  247  large load customers to the general body of ratepayers.
  248         (2) As used in this section, the term:
  249         (a) “Controlled by” means having the power to direct or
  250  cause the direction of the management or policies of a company,
  251  whether through ownership of securities, by contract, or
  252  otherwise. A person or an entity that directly or indirectly has
  253  the right to vote 25 percent or more of the voting interests of
  254  the company or that is entitled to 25 percent or more of its
  255  profits is presumed to control the entity.
  256         (b) “Foreign country of concern” has the same meaning as in
  257  s. 692.201.
  258         (c) “Foreign entity” means an entity that is:
  259         1. Owned or controlled by the government of a foreign
  260  country of concern; or
  261         2. A partnership, an association, a corporation, an
  262  organization, or other combination of persons organized under
  263  the laws of or having its principal place of business in a
  264  foreign country of concern, or a subsidiary of such entity.
  265         (d) “Large load customer” means a customer with an
  266  anticipated monthly peak load of 50 megawatts or more,
  267  calculated as the highest average load over a 15-minute interval
  268  at a single location. This does not include a load aggregated
  269  across multiple locations owned by the same customer. However,
  270  it does include all customers or other entities that have
  271  entered into a colocation or similar agreement at a single
  272  location that otherwise meets the anticipated monthly peak load
  273  provided in this paragraph.
  274         (e) “Public utility” has the same meaning as in s. 366.02,
  275  except that it does not include a gas utility.
  276         (3) The commission shall develop minimum tariff and service
  277  requirements for large load customers pursuant to all of the
  278  following:
  279         (a) The minimum tariff and service requirements must
  280  reasonably ensure that each large load customer bears its own
  281  full cost of service and that such cost is not shifted to the
  282  general body of ratepayers. Such cost of service includes, but
  283  is not limited to, connection, incremental transmission,
  284  incremental generation, and other infrastructure costs;
  285  operations and maintenance expenses; and any other costs
  286  required to serve a large load customer. The risk of nonpayment
  287  of such costs must be minimized to the maximum extent
  288  practicable through commercially reasonable performance and
  289  financial security arrangements established with the large load
  290  customer, including financial guarantees sufficient to protect
  291  the public utility and its ratepayers.
  292         (b) The minimum tariff and service requirements must
  293  include provisions reasonably designed to prevent a public
  294  utility from providing electric service to a customer that would
  295  otherwise qualify as a large load customer if that customer is a
  296  foreign entity.
  297         (4)A customer may not separate an electrical load at a
  298  single location into multiple smaller connections to avoid being
  299  classified as a large load customer.
  300         (5) To effectuate the requirements of subsection (3), the
  301  commission may include in such requirements utility industry
  302  accepted ratemaking and other financial tools, including, but
  303  not limited to, all of the following:
  304         (a) Contributions in aid of construction or other required
  305  customer infrastructure investments that may be returned, in
  306  whole or in part, to such customers over time.
  307         (b) Demand charges, including minimum demand charges.
  308         (c) Incremental generation charges.
  309         (d) Financial guarantees.
  310         (e) Minimum load factors.
  311         (f) Take-or-pay provisions or similar provisions requiring
  312  payment for contracted capacity, regardless of a large load
  313  customer’s actual electricity use or demand.
  314         (g) Minimum period of service contract requirements,
  315  including early termination fees or other fees for violation of
  316  such contracts.
  317         (6)Any tariff, contractual provision, service requirement,
  318  or other public utility policy relating to large load customers
  319  may not prevent or otherwise hinder the curtailment or
  320  interruption of electric service to a large load customer where
  321  such curtailment or interruption is intended to ensure grid
  322  stability, reduce the likelihood or breadth of wider service
  323  outages, or ensure public safety during an emergency or other
  324  exceptional circumstance.
  325         (7) A public utility may not knowingly provide electric
  326  service to a customer that would otherwise qualify as a large
  327  load customer if that customer is a foreign entity.
  328         (8) The commission shall adopt rules to implement and
  329  administer this section and shall propose a rule for adoption by
  330  March 1, 2027.
  331         (9) Within 60 days after adoption of the final rule
  332  implementing this section, each public utility shall file, for
  333  commission approval, a tariff that complies with the final rule.
  334         Section 6. Present subsections (3) and (4) of section
  335  373.203, Florida Statutes, are redesignated as subsections (5)
  336  and (6), respectively, and new subsections (3) and (4) are added
  337  to that section, to read:
  338         373.203 Definitions.—
  339         (3) “Data center” means a facility that primarily contains
  340  electronic equipment used to process, store, and transmit
  341  digital information, which may be:
  342         (a) A free-standing structure; or
  343         (b) A facility within a larger structure which uses
  344  environmental control equipment to maintain the proper
  345  conditions for the operation of electronic equipment.
  346         (4)“Large-scale data center” means a single location, with
  347  a data center on site, that has an anticipated monthly peak load
  348  of 50 megawatts or more, calculated as the highest average load
  349  over a 15-minute interval. This does not include a load
  350  aggregated across multiple locations owned by the same customer.
  351  However, it does include all customers or other entities that
  352  have entered into a colocation or similar agreement at a single
  353  location that otherwise meets the anticipated monthly peak load
  354  provided in this subsection.
  355         Section 7. Section 373.262, Florida Statutes, is created to
  356  read:
  357         373.262Large-scale data center permitting.—
  358         (1)It is the intent of the Legislature that the
  359  development and operation of large-scale data centers in this
  360  state be managed under a permitting framework that ensures this
  361  state’s water resources are used in the public interest, in a
  362  manner that is not harmful to the water resources of this state,
  363  and consistent with local government zoning regulations and
  364  comprehensive plans.
  365         (2)Consistent with other provisions of this part, the
  366  governing board of a water management district or the department
  367  may not issue a permit to a large-scale data center applicant
  368  for an allocation of water if the proposed use of the water is
  369  harmful to the water resources of the area or is prohibited by
  370  the applicable local government zoning regulations and
  371  comprehensive plan. A permit shall be issued to a large-scale
  372  data center applicant for an allocation of water if the
  373  applicant establishes that the proposed use of water:
  374         (a)Is a reasonable-beneficial use as defined in s.
  375  373.019;
  376         (b)Will not interfere with any presently existing legal
  377  use of water; and
  378         (c)Is consistent with the public interest.
  379         (3)The governing board or the department shall require the
  380  use of reclaimed water in lieu of all or a portion of a proposed
  381  use of surface water or groundwater by a large-scale data center
  382  applicant when:
  383         (a)A suitable reclaimed water supply source is available
  384  and permitted;
  385         (b)Reclaimed water distribution or supply lines are
  386  available at the property boundary in sufficient capacity and
  387  quality to serve the applicant’s needs;
  388         (c)The applicant is capable of accessing the reclaimed
  389  water source through distribution or supply lines;
  390         (d)Use of reclaimed water is environmentally,
  391  economically, and technically feasible; and
  392         (e)Use of reclaimed water would not conflict with the
  393  requirements contained in the applicant’s surface water
  394  discharge permit, if applicable.
  395         (4)(a)In addition to the requirements of s. 373.229, all
  396  permit applications made under this part requesting an
  397  allocation of at least an average daily flow of 100,000 gallons
  398  of water per day by a large-scale data center must contain:
  399         1.All sources and amounts of water and losses of water
  400  used for cooling, industrial and treatment processes, personal
  401  or sanitary needs of employees, and landscape irrigation; and
  402         2.A water conservation plan that, at a minimum,
  403  incorporates recycling cooling water before discharge or
  404  disposal, implementation of a leak detection and repair program,
  405  use of water efficient fixtures, and implementation of an
  406  employee awareness and education program concerning water
  407  conservation.
  408         (b)Notwithstanding s. 373.229(4), the governing board or
  409  the department may not approve a permit application made under
  410  this part by a large-scale data center without a hearing.
  411         Section 8. Subsection (2) of section 373.239, Florida
  412  Statutes, is amended to read:
  413         373.239 Modification and renewal of permit terms.—
  414         (2) If the proposed modification involves water use of
  415  100,000 gallons or more per day or is proposed by a large-scale
  416  data center as defined in s. 373.203, the application shall be
  417  treated under the provisions of s. 373.229 in the same manner as
  418  the initial permit application. Otherwise, the governing board
  419  or the department may at its discretion approve the proposed
  420  modification without a hearing, provided the permittee
  421  establishes that:
  422         (a) A change in conditions has resulted in the water
  423  allowed under the permit becoming inadequate for the permittee’s
  424  need, or
  425         (b) The proposed modification would result in a more
  426  efficient utilization of water than is possible under the
  427  existing permit.
  428         Section 9. This act shall take effect July 1, 2026.