Khanna to Introduce Data Center Community Rights Resolution
On August 6, Rep. Ro Khanna, D-Calif., announced a "Data Center Bill of Rights" resolution that would give local communities authority to reject data center construction, CNBC reported. The proposal comes amid concerns about potential utility-rate increases and opposition to facilities near farmland and residential areas. Michigan Democratic Senate candidate Abdul El-Sayed has endorsed state and local moratoriums absent federal guardrails, according to CNBC.
Rep. Ro Khanna, D-Calif., is introducing a "Data Center Bill of Rights" resolution that would give local communities authority to reject proposed data center construction, CNBC reported on August 6. The resolution was shared first with CNBC, which reported that it would establish a set of rights for communities facing data center proposals.
Khanna told CNBC that feedback from a Pennsylvania trip centered on opposition to data centers. "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," he said.
The proposal is a resolution, not the federal construction moratorium proposed in H.R. 9442. Congress.gov records that H.R. 9442, the Artificial Intelligence Data Center Moratorium Act, was introduced in the House on June 24 and referred to the House Energy and Commerce and Foreign Affairs committees. Its stated purpose is to halt construction of new data centers until legislation safeguards the public from AI-related dangers.
Local control versus a federal moratorium
Khanna distinguished his approach from blanket restrictions. At a Philadelphia event in July, he said whether to impose data center bans should be a "state-by-state, community-by-community decision," according to The Center Square. He also said the proposed bill of rights would give communities the right to approve or reject projects.
CNBC reported that the resolution appears amid concerns that data center electricity demand could contribute to utility-rate increases. The outlet also reported that Abdul El-Sayed, the Michigan Democratic Senate candidate who won a competitive primary Tuesday, supports state and local data center moratoriums unless federal safeguards are enacted.
The Center Square, citing the National Conference of State Legislatures, reported that lawmakers in 15 states, including Pennsylvania, have introduced legislation proposing moratoriums on data center construction.
Implications for AI infrastructure
For AI infrastructure operators, the policy debate adds a local-permitting and community-consent variable alongside grid interconnection, land acquisition, water availability, and GPU supply. Companies undertaking comparable large-load projects commonly face different approval standards across states and municipalities, which can complicate site-selection timelines even when compute demand is growing.
The reported proposals also illustrate two distinct regulatory paths: local authority to reject individual projects, as described in Khanna's resolution, and a federal halt on new construction under H.R. 9442. The legislative status of H.R. 9442 remains "Introduced" on Congress.gov.
Key Points
- 1Khanna's reported resolution would give communities authority to reject data centers, placing local consent alongside conventional infrastructure permitting requirements.
- 2H.R. 9442 remains introduced in the House and proposes a broader federal construction moratorium pending AI safety legislation.
- 3Data center proposals are facing scrutiny over electricity costs, land use, and community approval.
Scoring Rationale
The proposal addresses local authority over data center siting, a growing constraint on AI compute expansion. It is a reported resolution rather than enacted law, but practitioners responsible for capacity planning and site selection should track the policy direction alongside H.R. 9442.
Sources
Primary source and supporting public references used for this report.
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