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- A bipartisan bill aimed at reining in data center-related utility hikes stalled in the Senate on Thursday, as Sen. Martin Heinrich, D-N.M., argued it doesn’t go far enough to hold companies accountable.
- The legislation, dubbed the Ratepayer Protection Act, is the first bill of its kind taken up by Congress and is a response to growing opposition to data centers across the country ahead of the 2026 midterm election.
- The House passed the legislation with a 417-3 vote on Wednesday.
U.S. Sen. Martin Heinrich (D-NM) speaks to reporters after a roundtable on rising energy costs on Capitol Hill on March 17, 2026 in Washington, DC. Anna Moneymaker | Getty Images
An attempt by Senate Republicans to quickly pass a bipartisan bill to prevent data center-related utility cost increases failed on Thursday, amid Democratic concerns that it would rely only on voluntary commitments from states and data center developers.
Congress this week attempted to rush the measure, dubbed the Ratepayer Protection Act, in the waning days before November’s election, as data centers have become an increasingly contentious issue. But Sen. Martin Heinrich, D-N.M., the top Democrat on the Senate Committee on Energy and Natural Resources, blocked the proposal, after its sponsor, Sen. John Husted, R-Ohio, requested unanimous consent to quickly vote without a roll call.
Heinrich’s move makes it all but assured that the legislation won’t advance out of Congress before the election, as the Senate is set to leave town in two weeks.
The legislation doesn’t go far enough, Heinrich said, echoing concerns from progressive Democrats and environmental groups that it wouldn’t prohibit states or developers from raising costs for area residents related to the facilities, which store data, process information and have helped fuel the AI boom.
“It’s not enough to tell states to consider making data centers pay for grid updates,” Heinrich said from the Senate floor on Thursday, as he quashed the measure. “Rather than voluntary pledges or suggestions to states, Congress needs to pass real legislation with real teeth.”
Despite the setback, Husted, who is in a tough reelection fight for his seat, said he would continue to work toward the passage of the bill, which he introduced in July.
Congress took up the measure this week in the waning legislative days before November’s midterm elections, and as outrage over the proliferation of artificial intelligence data centers have grown nationwide.
The House passed the legislation Wednesday night on an overwhelming 417-3 vote. Three progressive Democrats — Reps. Summer Lee of Pennsylvania, Delia Ramirez of Illinois and Rashida Tlaib of Michigan — were the only opponents.
The bill would establish a regulatory framework that states could choose to adopt. They would aim to require AI data centers with a demand of 100 megawatts or more to cover the costs of building new power sources, transmission lines and other infrastructure, rather than passing those costs down to consumers.
“America’s expected to build the equivalent of 1,000 major data centers during the next five years … with more than 2,000 projects currently being proposed or tracked,” Husted said on the Senate floor. “And we need to protect American ratepayers from footing the bill. The clock is ticking and we have no time for delay.”
Data centers could be a key issue this November, particularly in states that have seen a crush of development. Husted has been hit by his Democratic opponent, former Sen. Sherrod Brown, for allegedly helping to bring data centers to the state when he was lieutenant governor.
The Cook Political Report with Amy Walter rates the race a “toss up.”
Though the legislation received overwhelming support from lawmakers, some environmental and anti-data center groups opposed the measure, calling it a half-step.
“If Congress truly intends to take the AI data center crisis seriously, it must reject this pointless legislation that merely suggests states should act,” Mitch Jones, managing director of policy and litigation at Food & Water Watch, said in a statement on Monday.
Heinrich, in his dissent, expressed his concern over rising utility costs caused by data centers. He instead promoted his own proposal, called the GRID Savings Act of 2026, which would give the Federal Energy Regulatory Commission rulemaking jurisdiction over facilities demanding 150 megawatts or more of electricity and require those data centers to pay for any costs associated with increased demand on the grid.
Sen. Bernie Moreno, R-Ohio, objected to Heinrich’s request and slammed the Democrat for blocking Husted’s proposal.
“All we had to do was not have an objection from a Democrat senator,” Moreno said. “That bill would become law today and taxpayers all over America, electricity users all over this country would’ve seen immediate relief.”
