Senate Bill S10642

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   10642
 
                             I N  S E N A T E
 
                               June 1, 2026
                                ___________
 
 Introduced  by Sen. GONZALEZ -- read twice and ordered printed, and when
   printed to be committed to the Committee on Rules
 
 AN ACT to amend the environmental conservation law, the  public  service
   law,  the public authorities law, the energy law and the labor law, in
   relation to enacting the responsible data center development act

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Short  title. This act shall be known and may be cited as
 the "responsible data center development act".
   § 2. The environmental conservation law is amended  by  adding  a  new
 article 31 to read as follows:
                                ARTICLE 31
                 MORATORIUM ON DATA CENTER PERMIT ISSUANCE
 SECTION 31-0101. DEFINITIONS.
         31-0103. MORATORIUM ON LARGE DATA CENTER PERMIT ISSUANCE.
         31-0105. HEARING REQUIREMENT.
         31-0107. ENVIRONMENTAL IMPACT REPORT.
 § 31-0101. DEFINITIONS.
   FOR  THE  PURPOSES OF THIS ARTICLE, THE FOLLOWING TERMS SHALL HAVE THE
 FOLLOWING MEANINGS:
   1. A. "DATA CENTER" SHALL  MEAN  ALL  FACILITIES,  OR  COMBINATION  OF
 FACILITIES UNDER COMMON OWNERSHIP OR CONTROL AT THE SAME SITE, THAT:
   I.  RECEIVE  ELECTRIC,  GAS,  OR WATER SERVICE FROM AN ELECTRIC CORPO-
 RATION, GAS CORPORATION, WATER-WORKS CORPORATION, OR MUNICIPALITY,  HAVE
 APPLIED  OR  REQUESTED TO RECEIVE SUCH SERVICE, OR HAVE OTHERWISE CAUSED
 AN ELECTRIC CORPORATION, GAS CORPORATION,  WATER-WORKS  CORPORATION,  OR
 MUNICIPALITY TO INCUR AN EXPENSE IN RELATION TO THE PROVISION OF SERVICE
 PURSUANT TO THE PUBLIC SERVICE LAW; AND
   II. HAVE A PEAK DEMAND OF ONE MEGAWATT OR MORE THAT IS USED FOR:
   (1) COMPUTING INFRASTRUCTURE, NOT INCLUDING MANUFACTURING;
   (2) DATA PROCESSING SERVICES;
   (3) WEB HOSTING SERVICES, NOT INCLUDING SOFTWARE PUBLISHING;
   (4)  STREAMING SUPPORT SERVICES, NOT INCLUDING STREAMING DISTRIBUTION;
 AND
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD16039-04-6
 S. 10642                            2
 
   (5) OTHER RELATED SERVICES AND FUNCTIONS  AS  DEFINED  BY  THE  PUBLIC
 SERVICE COMMISSION.
   B. THE TERM "DATA CENTER" SHALL NOT INCLUDE FACILITIES MAJORITY-OWNED,
 OPERATED,  OR  OTHERWISE CONTROLLED BY A PUBLIC RESEARCH INSTITUTION AND
 USED FOR RESEARCH PURPOSES.
   2. "CONTROL", INCLUDING THE TERMS "CONTROLLED BY"  AND  "UNDER  COMMON
 CONTROL WITH", MEANS THE POSSESSION, DIRECT OR INDIRECT, OF THE POWER TO
 DIRECT OR CAUSE THE DIRECTION OF THE MANAGEMENT AND POLICIES OF AN ENTI-
 TY,  WHETHER THROUGH THE OWNERSHIP OF VOTING SECURITIES, BY CONTRACT, OR
 OTHERWISE.
   3. "ELECTRIC CORPORATION" SHALL HAVE THE SAME MEANING  GIVEN  TO  SUCH
 TERM IN SUBDIVISION THIRTEEN OF SECTION TWO OF THE PUBLIC SERVICE LAW.
   4. "GAS CORPORATION" SHALL HAVE THE SAME MEANING GIVEN TO SUCH TERM IN
 SUBDIVISION ELEVEN OF SECTION TWO OF THE PUBLIC SERVICE LAW.
   5. "WATER-WORKS CORPORATION" SHALL HAVE THE SAME MEANING GIVEN TO SUCH
 TERM  IN  SUBDIVISION  TWENTY-SEVEN OF SECTION TWO OF THE PUBLIC SERVICE
 LAW.
   6. "DISADVANTAGED COMMUNITIES" SHALL HAVE THE SAME  MEANING  GIVEN  TO
 SUCH TERM IN SECTION 75-0101 OF THIS CHAPTER.
   7. "LARGE DATA CENTER" SHALL MEAN A DATA CENTER THAT HAS A PEAK DEMAND
 OF TWENTY MEGAWATTS OR MORE.
 § 31-0103. MORATORIUM ON LARGE DATA CENTER PERMIT ISSUANCE.
   1.  NO  PERMIT,  CERTIFICATE,  REGISTRATION, LICENSE, OR OTHER FORM OF
 APPROVAL MAY BE ISSUED BY THE DEPARTMENT TO A LARGE DATA CENTER PRIOR TO
 ONE YEAR AFTER THE EFFECTIVE DATE OF THIS SECTION.
   2. THIS SECTION SHALL NOT APPLY TO:
   A. THE MODIFICATION, RENEWAL, REISSUANCE, OR  RECERTIFICATION  OF  ANY
 PREVIOUSLY  ISSUED  PERMIT, CERTIFICATE, REGISTRATION, LICENSE, OR OTHER
 FORM OF APPROVAL; OR
   B. LARGE DATA CENTERS COMMENCING CONSTRUCTION ON OR BEFORE THE  EFFEC-
 TIVE DATE OF THIS SECTION.
 § 31-0105. HEARING REQUIREMENT.
   1.  THE  DEPARTMENT SHALL NOT ISSUE ANY PERMIT, CERTIFICATE, REGISTRA-
 TION, LICENSE, OR OTHER FORM OF APPROVAL FOR A LARGE DATA CENTER UNLESS,
 NOT LESS THAN THREE MONTHS BEFORE THE ISSUANCE OF SUCH  PERMIT,  CERTIF-
 ICATE,  REGISTRATION,  LICENSE,  OR  OTHER  FORM  OF  APPROVAL, THE DATA
 CENTER, IN COORDINATION WITH  THE  PUBLIC  SERVICE  COMMISSION  AND  THE
 DEPARTMENT,  AND  SUBJECT  TO  SUCH  REQUIREMENTS  AS THE PUBLIC SERVICE
 COMMISSION AND THE DEPARTMENT SHALL STIPULATE, HAS  HELD  AT  LEAST  ONE
 IN-PERSON  PUBLIC  HEARING  IN  AT  LEAST  ONE  HOST COMMUNITY WHERE THE
 PROPOSED LARGE DATA CENTER IS TO BE CONSTRUCTED.
   2. THE DATA CENTER OPERATOR SHALL PROVIDE AT LEAST THIRTY DAYS ADVANCE
 NOTICE TO RESIDENTS OF HOST COMMUNITIES OF ANY PLANNED  PUBLIC  HEARING.
 NOTICE OF PUBLIC HEARINGS SHALL INCLUDE THE TIME, PLACE, AND LOCATION OF
 THE  PUBLIC  HEARING,  A  SUMMARY  OF THE LARGE DATA CENTER PROJECT, THE
 SPECIFIC LOCATION OF THE LARGE DATA CENTER, A  DETAILED  EXPLANATION  OF
 THE  PROJECTED ENERGY USE AND ENERGY SYSTEM IMPACTS, A DETAILED EXPLANA-
 TION OF THE PROJECTED WATER USE AND WASTEWATER IMPACTS, AND  A  DETAILED
 EXPLANATION  OF  THE  STATE AND LOCAL ECONOMIC INCENTIVES THE LARGE DATA
 CENTER IS APPLYING FOR AND THOSE IT HAS ALREADY BEEN AWARDED. METHODS OF
 PROVIDING NOTICE TO A HOST COMMUNITY SHALL INCLUDE,  BUT  SHALL  NOT  BE
 LIMITED  TO, COVERAGE IN PRINT OR DIGITAL PUBLICATIONS OF GENERAL CIRCU-
 LATION IN THE COMMUNITY, AND SUCH OTHER PUBLICATIONS AS  THE  DEPARTMENT
 MAY  REQUIRE.  THE HEARING SHALL BE HELD AT A REASONABLE TIME AND PLACE,
 AND MEANINGFUL OPPORTUNITY FOR PUBLIC COMMENT SHALL BE PROVIDED AT  SUCH
 HEARING.
 S. 10642                            3
 
   3.  AT THE HEARING, THE LARGE DATA CENTER SHALL ADDRESS THE EFFORTS IT
 WILL MAKE TO REDUCE ANY NEGATIVE IMPACTS TO THE HOST COMMUNITY  AND  ITS
 ENVIRONMENT THAT THE LARGE DATA CENTER MAY CAUSE.
   4.  THE  LARGE  DATA  CENTER  SHALL  PAY ALL EXPENSES FOR SUCH HEARING
 INCLUDING THE COSTS OF THE  DEPARTMENT  AND  THE  DEPARTMENT  OF  PUBLIC
 SERVICE.
 § 31-0107. ENVIRONMENTAL IMPACT REPORT.
   1.  THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION, IN CONSULTATION WITH
 THE DEPARTMENT OF PUBLIC SERVICE, DEPARTMENT  OF  HEALTH,  ENVIRONMENTAL
 FACILITIES  CORPORATION, AND THE FEDERALLY DESIGNATED BULK SYSTEM OPERA-
 TOR, SHALL PREPARE AN ENVIRONMENTAL IMPACT REPORT ON DATA CENTER  DEVEL-
 OPMENT IN THIS STATE.
   2.  THE  ENVIRONMENTAL  IMPACT REPORT SHALL ADDRESS MATTERS INCLUDING,
 BUT NOT LIMITED TO:
   A. THE NUMBER, SIZE IN ACREAGE, AVERAGE AND PEAK  ELECTRIC  LOAD,  AND
 LOCATION  OF CURRENT DATA CENTERS IN THE STATE, ACTIVE PROPOSALS FOR NEW
 DATA CENTERS, AND PROJECTIONS FOR FUTURE GROWTH OF DATA CENTERS.
   B. ELECTRICITY CONSUMPTION BY DATA CENTERS, INCLUDING:
   I. THE AMOUNT OF ELECTRICITY USED BY DATA CENTERS WITHIN THE STATE;
   II. IDENTIFICATION OF THE GENERATION SOURCES FOR SUCH ELECTRICITY;
   III. PROJECTIONS FOR THE CHANGES TO THE AMOUNT UNDER SUBPARAGRAPH I OF
 THIS PARAGRAPH FOR BOTH  THE  PROPOSED  AND  PROJECTED  GROWTH  OF  DATA
 CENTERS IN THE STATE; AND
   IV.  THE  AMOUNT  OF DISCOUNTED OR SUBSIDIZED ELECTRICITY USED BY DATA
 CENTERS WITHIN THE STATE AND THE AMOUNTS OF SUCH  DISCOUNTS  AND  SUBSI-
 DIES.
   C. WATER CONSUMPTION AND DISCHARGE BY DATA CENTERS, INCLUDING:
   I. THE AMOUNT OF WATER USED BY DATA CENTERS FOR COOLING, INCLUDING THE
 SOURCES OF SUCH WATER;
   II. THE DAILY RATE OF CONSUMPTION OF WATER FROM SUCH SOURCES;
   III.  THE  AMOUNT  OF WATER WITHDRAWN AND DISCHARGED FROM DATA CENTERS
 BACK INTO THE STATE'S WATER RESOURCES, THE TEMPERATURE OF THE WATER BOTH
 AT POINT OF  WITHDRAWAL  AND  DISCHARGE,  LOCATIONS  OF  WITHDRAWAL  AND
 DISCHARGE POINTS, AND THE LOCAL IMPACTS OF THE DISCHARGE;
   IV.  THE  AMOUNT  OF WATER CONSUMED BY COOLING SYSTEMS, LOST TO EVAPO-
 RATION, OR IN ANY WAY NOT RETURNED TO THE WATERS OF THE STATE;
   V. PROJECTIONS FOR THE CHANGES TO THE AMOUNTS UNDER  SUBPARAGRAPHS  I,
 II,  III,  AND  IV OF THIS PARAGRAPH FOR BOTH THE PROPOSED AND PROJECTED
 GROWTH OF DATA CENTERS IN THE STATE; AND
   VI. THE IMPACT OF DATA CENTER DEVELOPMENT ON  THE  MANAGEMENT  OF  THE
 STATE'S  WATER RESOURCES, INCLUDING ANY IMPACTS RELATED TO CAPITAL PLAN-
 NING, SPENDING, AND MAINTENANCE NEEDS  OF  WATER-WORKS  CORPORATIONS  OR
 MUNICIPAL  WATER  SYSTEMS AND OF ANY WATER AUTHORITIES, WATER BOARDS, OR
 SEWER AUTHORITIES ESTABLISHED UNDER ARTICLE FIVE OF THE PUBLIC  AUTHORI-
 TIES LAW, INCLUDING BILLING IMPACTS.
   D. LAND USE FOR DATA CENTERS, INCLUDING:
   I. THE TOTAL ACREAGE USED FOR EXISTING DATA CENTERS;
   II. PROJECTIONS FOR THE CHANGES TO THE AMOUNTS UNDER SUBPARAGRAPH I OF
 THIS  PARAGRAPH  FOR  BOTH  THE  PROPOSED  AND  PROJECTED GROWTH OF DATA
 CENTERS IN THE STATE;
   III. IMPACTS ON FARMLAND, INCLUDING AN ANALYSIS OF  IMPACTS  ON  PRIME
 FARMLAND MINERAL SOIL TYPES 1-4; AND
   IV.  WHETHER  DATA  CENTERS  ARE LOCATING ON AND REDEVELOPING EXISTING
 PREVIOUSLY-DEVELOPED AND UNDER-UTILIZED  PUBLICLY-OWNED  LANDS,  FACILI-
 TIES,  AND  OTHER  INFRASTRUCTURE THAT MAY BE AVAILABLE FOR REPURPOSING,
 REDEVELOPMENT, OR ADAPTIVE REUSE, AND THE AVAILABILITY THEREOF.
 S. 10642                            4
 
   E. POLLUTION FROM DATA CENTERS, INCLUDING, BUT NOT LIMITED TO:
   I. THE AMOUNT OF GREENHOUSE GASES EMITTED BY EACH EXISTING DATA CENTER
 AND  THE CUMULATIVE TOTAL FOR THE STATE EMITTED OR PROJECTED TO BE EMIT-
 TED BY EXISTING, PROPOSED, AND  PROJECTED  DATA  CENTERS,  EXPRESSED  IN
 METRIC  TONS OF CARBON DIOXIDE EQUIVALENT, AS DEFINED IN SECTION 75-0101
 OF THIS CHAPTER;
   II. THE TYPES AND QUANTITY OF AIR  POLLUTANTS  EMITTED  BY  EACH  DATA
 CENTER  AND  THE  CUMULATIVE  TOTAL  FOR  THE STATE EMITTED BY EXISTING,
 PROPOSED, AND PROJECTED DATA CENTERS;
   III. THE TYPES AND QUANTITY OF WATER POLLUTION PRODUCED BY  EACH  DATA
 CENTER, INCLUDING THERMAL POLLUTION FROM WATER DISCHARGES, AND THE CUMU-
 LATIVE TOTAL FOR THE STATE PRODUCED BY EXISTING, PROPOSED, AND PROJECTED
 DATA CENTERS;
   IV.  POTENTIAL  PUBLIC  HEALTH IMPACTS, IF ANY, DUE TO REDUCED AIR AND
 WATER QUALITY IN COMMUNITIES NEAR DATA CENTERS; AND
   V. THE LEVEL OF NOISE POLLUTION PRODUCED BY  EACH  DATA  CENTER,  WITH
 PROJECTIONS  FOR  PROPOSED AND PROJECTED DATA CENTERS, AT REGULAR INTER-
 VALS BEGINNING AT THE PROPERTY LINE OF THE  DATA  CENTER  AND  EXTENDING
 HALF A MILE.
   F. ELECTRONIC WASTE FROM DATA CENTERS, INCLUDING:
   I. THE CURRENT VOLUME OF ELECTRONIC WASTE PRODUCED BY DATA CENTERS, BY
 WASTE TYPE;
   II. THE CURRENT METHODS BEING USED TO DISPOSE OF OR RECYCLE ELECTRONIC
 WASTE PRODUCED BY DATA CENTERS; AND
   III.  PROJECTIONS  FOR THE CHANGES TO THE AMOUNTS UNDER SUBPARAGRAPH I
 OF THIS PARAGRAPH FOR BOTH THE PROPOSED AND  PROJECTED  GROWTH  OF  DATA
 CENTERS IN THE STATE.
   G.  THE  IMPACTS,  INCLUDING  HEALTH IMPACTS AND AIR, WATER, AND NOISE
 POLLUTION IMPACTS, OF CURRENT, PROPOSED, AND PROJECTED DATA  CENTERS  ON
 DISADVANTAGED  COMMUNITIES  AND FEDERALLY OR STATE RECOGNIZED INDIGENOUS
 NATIONS LOCATED WITHIN A TEN-MILE RADIUS OF SUCH DATA CENTERS.
   H. A REVIEW OF CURRENT STATUTES AND REGULATIONS ADDRESSING  THE  ENVI-
 RONMENTAL IMPACT OF DATA CENTERS.
   I.  IN  CONSULTATION WITH THE EMPIRE STATE DEVELOPMENT CORPORATION AND
 THE AUTHORITIES BUDGET OFFICE, THE AMOUNT OF PUBLIC  FUNDS  RECEIVED  BY
 DATA  CENTERS,  INCLUDING IN THE FORM OF STATE AND LOCAL TAX INCENTIVES,
 INCLUDING BUT NOT LIMITED TO PAYMENTS IN LIEU OF TAX ARRANGEMENTS, SALES
 AND USE TAX INCENTIVES, PROPERTY TAX INCENTIVES, MORTGAGE RECORDING  TAX
 INCENTIVES, AND REAL ESTATE TRANSFER TAX INCENTIVES.
   3. THE ENVIRONMENTAL IMPACT REPORT SHALL RECOMMEND NEW LEGISLATION AND
 REGULATIONS AS APPROPRIATE TO MITIGATE THE IMPACTS OF DATA CENTERS IDEN-
 TIFIED BY THE ENVIRONMENTAL IMPACT REPORT INCLUDING, BUT NOT LIMITED TO:
   A. MINIMIZE AIR, WATER, SOIL, AND NOISE POLLUTION;
   B. MINIMIZE WATER CONSUMPTION; AND
   C. AVOID NEW BURDENS ON DISADVANTAGED COMMUNITIES AND AVOID CONTRIBUT-
 ING TO EXISTING BURDENS ON DISADVANTAGED COMMUNITIES.
   4.  A DRAFT ENVIRONMENTAL IMPACT REPORT SHALL BE POSTED ON THE DEPART-
 MENT'S WEBSITE AND SHALL BE SUBJECT TO AT LEAST ONE HUNDRED TWENTY  DAYS
 OF PUBLIC COMMENT FROM THE DATE OF POSTING. THE DEPARTMENT SHALL CONDUCT
 AT  LEAST ONE IN-PERSON PUBLIC HEARING IN AT LEAST FIVE OF THE FOLLOWING
 REGIONS OF THE STATE: WESTERN NEW YORK, THE FINGER LAKES,  THE  SOUTHERN
 TIER,  CENTRAL NEW YORK, THE MOHAWK VALLEY, THE NORTH COUNTRY, THE CAPI-
 TAL REGION/HUDSON VALLEY, THE CITY OF NEW  YORK,  AND  LONG  ISLAND,  AS
 DEFINED  BY  THE EMPIRE STATE DEVELOPMENT CORPORATION, AND PROVIDE MEAN-
 INGFUL OPPORTUNITY FOR COMMENT AT SUCH HEARINGS.
 S. 10642                            5
 
   5. THE DEPARTMENT SHALL ISSUE  A  FINAL  ENVIRONMENTAL  IMPACT  REPORT
 AFTER  THE  PUBLIC  COMMENT  AND PUBLIC HEARING PERIOD AND NO LATER THAN
 EIGHTEEN MONTHS AFTER THIS ARTICLE SHALL HAVE BECOME A LAW.
   § 3. Subdivision 5 of section 65 of the public service law, as amended
 by chapter 134 of the laws of 1921, is amended to read as follows:
   5. (A) Nothing in this chapter shall be taken to prohibit a gas corpo-
 ration  or  [electrical]  ELECTRIC corporation from establishing classi-
 fications of service based upon the quantity used, the time  when  used,
 the  purpose  for  which  used,  the  duration  of use or upon any other
 reasonable consideration, and providing schedules of just and reasonable
 graduated rates applicable thereto. No  such  classification,  schedule,
 rate  or  charge  shall  be  lawful  unless  it  shall be filed with and
 approved by the commission,  and  every  such  classification,  rate  or
 charge  shall  be  subject to change, alteration and modification by the
 commission.
   (B) (I) THE COMMISSION SHALL REQUIRE EACH  ELECTRIC  CORPORATION,  GAS
 CORPORATION, AND MUNICIPALITY TO ESTABLISH, AND FILE WITH THE COMMISSION
 FOR  APPROVAL  OR MODIFICATION, AN INDEPENDENT CLASSIFICATION OF SERVICE
 FOR LARGE DATA CENTERS THAT IS SEPARATE AND DISTINCT FROM OTHER  CLASSI-
 FICATIONS  OF  SERVICE.  THE COMMISSION SHALL ALSO REQUIRE EACH ELECTRIC
 CORPORATION, GAS CORPORATION,  AND  MUNICIPALITY  TO  FILE  UPDATES,  IF
 APPLICABLE, TO EXISTING CLASSIFICATIONS OF SERVICE TO EXCLUDE LARGE DATA
 CENTERS AND TO UPDATE ANY OTHER FILINGS, DOCUMENTS, OR COMPONENTS THERE-
 OF  NECESSARY  TO EFFECTUATE THE RECLASSIFICATION OF LARGE DATA CENTERS.
 EACH SUCH SERVICE CLASSIFICATION FOR LARGE DATA CENTERS SHALL AT A MINI-
 MUM, IN A MANNER THAT IS JUST AND REASONABLE, ESTABLISH A RATE,  CHARGE,
 OR SCHEDULE OF RATES, AND ADDITIONAL TERMS OF SERVICE, TO:
   (A)  ASSIGN THE COSTS INCURRED BY THE ELECTRIC CORPORATION, GAS CORPO-
 RATION, OR MUNICIPALITY TO SERVE LARGE DATA CENTERS, INCLUDING, BUT  NOT
 LIMITED  TO,  THE  COSTS  OF ANY INFRASTRUCTURE UPGRADES, ADMINISTRATIVE
 EXPENSES, IMPROVEMENTS, OR ADDITIONS AND OPERATIONAL COSTS, NECESSARY TO
 FACILITATE AND MAINTAIN SERVICE TO SUCH FACILITIES, ENTIRELY AMONG  SUCH
 CLASSIFICATION;
   (B)  ASSIGN  ALL  COSTS  RELATED TO THE RECOVERY OF ANY RATE OF RETURN
 ATTRIBUTABLE TO LARGE DATA CENTERS ENTIRELY AMONG SUCH CLASSIFICATION;
   (C) ASSIGN ALL COSTS OF THE DEPARTMENT, THE COMMISSION,  AND  AFFECTED
 MUNICIPALITIES  RELATED  TO  THE REQUIREMENTS OF THIS PARAGRAPH ENTIRELY
 AMONG SUCH CLASSIFICATION;
   (D) ASSIGN ALL COSTS OF THE DEPARTMENT  AND  THE  COMMISSION  FOR  THE
 IMPLEMENTATION  OF  THE  REQUIREMENTS OF SECTION EIGHT OF THE CHAPTER OF
 THE LAWS OF TWO THOUSAND TWENTY-SIX THAT ADDED THIS  PARAGRAPH  ENTIRELY
 AMONG SUCH CLASSIFICATION; AND
   (E)  MITIGATE  RISKS AND IMPACTS TO OTHER SERVICE CLASSIFICATIONS FROM
 LARGE DATA  CENTERS,  INCLUDING  ENSURING  THERE  ARE  NO  INCREASES  TO
 SURCHARGES, BASIC SERVICE OR OTHER FIXED CHARGES NOT DIRECTLY RELATED TO
 ACTUAL ENERGY USAGE;
   (II)  THE  COMMISSION,  IN  COORDINATION WITH THE FEDERALLY DESIGNATED
 BULK SYSTEM OPERATOR, SHALL ESTABLISH, IMPLEMENT, AND ANNUALLY UPDATE AN
 ADJUSTMENT MECHANISM TO ENSURE THAT ALL  COSTS  FROM  ANY  INCREASES  IN
 COMMODITY  PRICES AFTER THE EFFECTIVE DATE OF THE CHAPTER OF THE LAWS OF
 TWO THOUSAND TWENTY-SIX THAT AMENDED THIS  SUBDIVISION,  INCLUDING,  BUT
 NOT  LIMITED  TO,  TRANSMISSION SERVICE FEES, ATTRIBUTABLE TO LARGE DATA
 CENTERS ARE BORNE BY SUCH FACILITIES.
   (III) THE DEPARTMENT MAY PROMULGATE  REGULATIONS  REGARDING  FINANCIAL
 SURETY  REQUIREMENTS,  BETWEEN AN ELECTRIC CORPORATION, GAS CORPORATION,
 OR MUNICIPALITY AND A LARGE DATA CENTER, FOR THE PROVISION OF SERVICE TO
 S. 10642                            6
 
 LARGE DATA CENTERS WHICH MAY INCLUDE ONE, OR  ANY  COMBINATION,  OF  THE
 FOLLOWING:    INSURANCE,  GUARANTEE,  SURETY  BOND, LETTER OF CREDIT, OR
 QUALIFICATION AS A SELF-INSURER. IN PROMULGATING REQUIREMENTS UNDER THIS
 SECTION,  THE  COMMISSION SHALL BE AUTHORIZED TO SPECIFY POLICY OR OTHER
 CONTRACTUAL TERMS, CONDITIONS, OR DEFENSES WHICH ARE  NECESSARY  OR  ARE
 UNACCEPTABLE IN ESTABLISHING SUCH EVIDENCE OF FINANCIAL SURETY.
   (IV)  FOR  PURPOSES  OF THIS PARAGRAPH, "LARGE DATA CENTER" SHALL HAVE
 THE MEANING GIVEN TO SUCH TERM BY SECTION 31-0101 OF  THE  ENVIRONMENTAL
 CONSERVATION LAW.
   § 4. Subdivision 5 of section 89-b of the public service law, as added
 by chapter 715 of the laws of 1931, is amended to read as follows:
   5.  (A)  Nothing  in  this chapter shall be taken to prohibit a water-
 works corporation from establishing  classifications  of  service  based
 upon  the  quantity  of  water  used, times when used, purpose for which
 used, duration of use, or upon any other reasonable  consideration,  and
 providing  schedules  of  just and reasonable graduated rates applicable
 thereto. No such classification,  schedule,  rate  or  charge  shall  be
 lawful unless it shall be filed with and approved by the commission, and
 every  such  classification,  rate or charge shall be subject to change,
 alteration and modification by the commission.
   (B) (I) THE COMMISSION SHALL REQUIRE EACH WATER-WORKS  CORPORATION  OR
 MUNICIPAL  WATER  SYSTEM  TO ESTABLISH, AND FILE WITH THE COMMISSION FOR
 APPROVAL OR MODIFICATION, AN INDEPENDENT CLASSIFICATION OF  SERVICE  FOR
 LARGE  DATA CENTERS THAT IS SEPARATE AND DISTINCT FROM OTHER CLASSIFICA-
 TIONS OF SERVICE.  THE COMMISSION SHALL ALSO  REQUIRE  EACH  WATER-WORKS
 CORPORATION  TO FILE UPDATES, IF APPLICABLE, TO EXISTING CLASSIFICATIONS
 OF SERVICE TO EXCLUDE  LARGE  DATA  CENTERS  AND  TO  UPDATE  ANY  OTHER
 FILINGS,  DOCUMENTS,  OR  COMPONENTS THEREOF NECESSARY TO EFFECTUATE THE
 RECLASSIFICATION OF LARGE DATA CENTERS.  EACH SUCH  SERVICE  CLASSIFICA-
 TION FOR LARGE DATA CENTERS SHALL AT A MINIMUM, IN A MANNER THAT IS JUST
 AND  REASONABLE,  ESTABLISH  A  RATE,  CHARGE, OR SCHEDULE OF RATES, AND
 ADDITIONAL TERMS OF SERVICE, TO:
   (A) ASSIGN THE COSTS INCURRED BY THE WATER-WORKS CORPORATION OR MUNIC-
 IPAL WATER SYSTEM TO SERVE LARGE DATA CENTERS, INCLUDING, BUT NOT LIMIT-
 ED  TO,  THE  COSTS  OF  ANY  INFRASTRUCTURE  UPGRADES,   ADMINISTRATIVE
 EXPENSES, IMPROVEMENTS, OR ADDITIONS AND OPERATIONAL COSTS, NECESSARY TO
 FACILITATE  AND  MAINTAIN  SERVICE TO SUCH LARGE DATA CENTER FACILITIES,
 ENTIRELY AMONG SUCH CLASSIFICATION;
   (B) ASSIGN ALL COSTS RELATED TO THE RECOVERY OF  ANY  RATE  OF  RETURN
 ATTRIBUTABLE TO LARGE DATA CENTERS ENTIRELY AMONG SUCH CLASSIFICATION;
   (C)  ASSIGN  ALL  COSTS OF THE DEPARTMENT, THE COMMISSION, AND MUNICI-
 PALITIES RELATED TO THE REQUIREMENTS OF THIS  PARAGRAPH  ENTIRELY  AMONG
 SUCH CLASSIFICATION; AND
   (D)  MITIGATE  RISKS AND IMPACTS TO OTHER SERVICE CLASSIFICATIONS FROM
 DATA CENTERS, INCLUDING ENSURING THERE ARE NO INCREASES  TO  SURCHARGES,
 BASIC  SERVICE  OR  OTHER  FIXED  CHARGES NOT DIRECTLY RELATED TO ACTUAL
 WATER USAGE.
   (II) THE COMMISSION SHALL ESTABLISH, IMPLEMENT, AND ANNUALLY UPDATE AN
 ADJUSTMENT MECHANISM TO ENSURE THAT ALL  COSTS  FROM  ANY  INCREASES  IN
 COMMODITY  PRICES AFTER THE EFFECTIVE DATE OF THE CHAPTER OF THE LAWS OF
 TWO THOUSAND TWENTY-SIX THAT AMENDED THIS  SUBDIVISION,  INCLUDING,  BUT
 NOT  LIMITED  TO, WATER SERVICE FEES, ATTRIBUTABLE TO LARGE DATA CENTERS
 ARE BORNE BY SUCH FACILITIES.
   (III) THE DEPARTMENT MAY PROMULGATE  REGULATIONS  REGARDING  FINANCIAL
 SURETY  REQUIREMENTS,  BETWEEN  A  WATER-WORKS  CORPORATION OR MUNICIPAL
 WATER SYSTEM AND A LARGE DATA CENTER, FOR THE PROVISION  OF  SERVICE  TO
 S. 10642                            7
 
 LARGE  DATA  CENTERS  WHICH  MAY INCLUDE ONE, OR ANY COMBINATION, OF THE
 FOLLOWING:   INSURANCE, GUARANTEE, SURETY BOND,  LETTER  OF  CREDIT,  OR
 QUALIFICATION AS A SELF-INSURER. IN PROMULGATING REQUIREMENTS UNDER THIS
 SECTION,  THE  COMMISSION SHALL BE AUTHORIZED TO SPECIFY POLICY OR OTHER
 CONTRACTUAL TERMS, CONDITIONS, OR DEFENSES WHICH ARE  NECESSARY  OR  ARE
 UNACCEPTABLE IN ESTABLISHING SUCH EVIDENCE OF FINANCIAL SURETY.
   (IV)  FOR  PURPOSES  OF THIS PARAGRAPH, "LARGE DATA CENTER" SHALL HAVE
 THE MEANING GIVEN TO SUCH TERM BY SECTION 31-0101 OF  THE  ENVIRONMENTAL
 CONSERVATION LAW.
   §  5.  The public service law is amended by adding a new section 114-b
 to read as follows:
   § 114-B. SERVICE CLASSIFICATION FOR LARGE DATA CENTERS. 1. THE COMMIS-
 SION SHALL:
   A. NOT APPROVE ANY CHANGE OF RATES OR  RELATED  UPDATES  TO  A  TARIFF
 REQUESTED  BY  AN  ELECTRIC  CORPORATION,  GAS  CORPORATION, WATER-WORKS
 CORPORATION, OR MUNICIPALITY AFTER THE EFFECTIVE DATE  OF  THIS  SECTION
 UNLESS  SUCH  PROPOSAL  INCLUDES A SERVICE CLASSIFICATION FOR LARGE DATA
 CENTERS AND AN ADJUSTMENT MECHANISM IN COMPLIANCE WITH THE PROVISIONS OF
 PARAGRAPH (B) OF SUBDIVISION FIVE OF SECTION SIXTY-FIVE OR PARAGRAPH (B)
 OF SUBDIVISION FIVE OF SECTION EIGHTY-NINE-B OF THIS CHAPTER, AS  APPLI-
 CABLE; AND
   B. ENSURE THAT ALL NEW OR MODIFIED SERVICE CLASSIFICATIONS AND ADJUST-
 MENT MECHANISMS REQUIRED BY PARAGRAPH (B) OF SUBDIVISION FIVE OF SECTION
 SIXTY-FIVE OR PARAGRAPH (B) OF SUBDIVISION FIVE OF SECTION EIGHTY-NINE-B
 OF  THIS  CHAPTER  ARE  FULLY  IMPLEMENTED BY ELECTRIC CORPORATIONS, GAS
 CORPORATIONS, WATER-WORKS CORPORATIONS, OR MUNICIPALITIES NO LATER  THAN
 JUNE FIRST, TWO THOUSAND THIRTY.
   2.  FOR  PURPOSES  OF THIS SECTION, "LARGE DATA CENTER" SHALL HAVE THE
 MEANING GIVEN TO SUCH TERM  BY  SECTION  31-0101  OF  THE  ENVIRONMENTAL
 CONSERVATION LAW.
   §  6.  The  public  authorities law is amended by adding a new section
 1854-e to read as follows:
   § 1854-E. ENERGY CONSUMPTION EFFICIENCY GOALS. 1. NO  LATER  THAN  ONE
 YEAR  AFTER  THE  EFFECTIVE  DATE  OF  THIS  SECTION,  THE AUTHORITY, IN
 CONJUNCTION WITH THE FEDERALLY DESIGNED BULK SYSTEM OPERATOR, THE PUBLIC
 SERVICE COMMISSION, AND THE NEW YORK STATE CLIMATE ACTION COUNCIL  SHALL
 DETERMINE  REASONABLE ENERGY CONSUMPTION EFFICIENCY GOALS FOR THE DESIGN
 AND OPERATION OF DATA CENTERS AS DEFINED IN SECTION 31-0101 OF THE ENVI-
 RONMENTAL CONSERVATION LAW, INCLUDING, BUT NOT LIMITED TO, RECYCLING  OF
 WASTE  HEAT  EMITTED FROM DATA CENTERS INTO AN ENERGY SOURCE. SUCH GOALS
 SHALL ALIGN WITH THE BENCHMARKS SET FORTH IN THE CLIMATE LEADERSHIP  AND
 COMMUNITY  PROTECTION ACT ENACTED BY CHAPTER ONE HUNDRED SIX OF THE LAWS
 OF TWO THOUSAND NINETEEN AND SHALL BE REVIEWED AND UPDATED  ACCORDINGLY,
 ANNUALLY.
   2.  A  DATA  CENTER OPERATOR THAT HAS COMMENCED OPERATION PRIOR TO THE
 EFFECTIVE DATE OF THIS SECTION SHALL HAVE TWO YEARS TO COMPLY  WITH  THE
 ENERGY  CONSUMPTION EFFICIENCY GOALS DEVELOPED PURSUANT TO THIS SECTION.
 A DATA CENTER OPERATOR THAT HAS COMMENCED OPERATION WITHIN ONE  YEAR  OF
 THE  EFFECTIVE  DATE  OF THIS SECTION SHALL HAVE ONE YEAR TO COMPLY WITH
 SUCH ENERGY CONSUMPTION EFFICIENCY GOALS.
   § 7. The energy law is amended by adding a new article 19 to  read  as
 follows:
                                ARTICLE 19
                               DATA CENTERS
 SECTION 19-101. DEFINITIONS.
         19-103. RENEWABLE ENERGY USE STANDARDS.
 S. 10642                            8
 
         19-105. RENEWABLE ENERGY PRODUCTION STANDARDS.
   § 19-101. DEFINITIONS.  FOR  PURPOSES  OF  THIS ARTICLE, THE FOLLOWING
 TERMS SHALL HAVE THE FOLLOWING MEANINGS:
   1. "DATA CENTER" SHALL HAVE THE MEANING GIVEN TO SUCH TERM IN  SECTION
 31-0101 OF THE ENVIRONMENTAL CONSERVATION LAW.
   2.  "RENEWABLE  ENERGY  SYSTEMS"  SHALL HAVE THE MEANING GIVEN TO SUCH
 TERM IN SECTION SIXTY-SIX-P OF THE PUBLIC SERVICE LAW.
   § 19-103. RENEWABLE ENERGY USE STANDARDS. EVERY  DATA  CENTER  WITH  A
 PEAK  LOAD  OF  FIVE  MEGAWATTS OR MORE SHALL DEMONSTRATE THROUGH ANNUAL
 THIRD-PARTY INDEPENDENT VERIFICATION ACCEPTABLE TO  THE  PUBLIC  SERVICE
 COMMISSION  THAT  IT  IS  PROCURING, WHETHER THROUGH CONTRACT OR ON-SITE
 GENERATION, THAT:
   1. AT LEAST ONE THIRD OF ITS ELECTRICITY CONSUMPTION IS  DERIVED  FROM
 RENEWABLE  ENERGY  SYSTEMS FOR THE YEARS TWO THOUSAND THIRTY THROUGH TWO
 THOUSAND THIRTY-FOUR,
   2. AT LEAST TWO-THIRDS OF ITS ELECTRICITY CONSUMPTION IS DERIVED  FROM
 RENEWABLE  ENERGY SYSTEMS FOR THE YEARS TWO THOUSAND THIRTY-FIVE THROUGH
 TWO THOUSAND THIRTY-NINE, AND
   3. AT LEAST NINETY PERCENT OF ITS ELECTRICITY CONSUMPTION  IS  DERIVED
 FROM RENEWABLE ENERGY SYSTEMS IN TWO THOUSAND FORTY AND THEREAFTER.
   § 19-105. RENEWABLE  ENERGY  PRODUCTION  STANDARDS.  EVERY DATA CENTER
 WITH A PEAK LOAD OF FIVE MEGAWATTS OR  MORE  SHALL  DEMONSTRATE  THROUGH
 ANNUAL  THIRD-PARTY  INDEPENDENT  VERIFICATION  ACCEPTABLE TO THE PUBLIC
 SERVICE COMMISSION THAT IT IS DERIVING AS MUCH OF ITS ENERGY NEEDS AS IS
 TECHNOLOGICALLY, ENVIRONMENTALLY, AND PRACTICALLY FEASIBLE FROM  ON-SITE
 GENERATION FROM RENEWABLE ENERGY SYSTEMS.
   § 8. Host community benefits. 1. For the purposes of this section, the
 following terms shall have the following meanings:
   (a) "Host community" shall mean any city, town or village within which
 a  large  data  center,  or  any  portion thereof, has been proposed for
 development.
   (b) "Eligible residential technologies" means:
   (i) cold-climate air-source heat pumps and  ground-source  heat  pumps
 for  space  heating and cooling, including but not limited to geothermal
 ground source heat pumps and thermal energy networks;
   (ii) heat pump water heaters;
   (iii) distributed solar photovoltaic systems; and
   (iv) behind-the-meter battery storage systems.
   (c) "Community infrastructure" means:
   (i) local broadband infrastructure;
   (ii) large data center noise mitigation measures;
   (iii) municipal drinking water infrastructure;
   (iv) municipal-  and  community-owned  renewable  energy  systems,  as
 defined in section 66-p of the public service law;
   (v) energy transmission infrastructure; and
   (vi) large data center pollution mitigation.
   (d)  "Large  data center" shall have the meaning given to such term by
 section 31-0101 of the environmental conservation law.
   (e) "Waters" shall have the meaning given to such term by  subdivision
 4 of section 15-0107 of the environmental conservation law.
   (f)  "Closed-loop  cooling  system"  means  a system in which the same
 water or other coolant is recirculated, with only make-up and  blow-down
 losses, and minimal fresh water intake.
   2.  Each  new  large  data  center,  or any existing large data center
 undergoing a major expansion that will meet or exceed  20  megawatts  of
 S. 10642                            9
 
 additional  load, shall, pursuant to subdivision 3 of this section, fund
 a program to:
   (a) install eligible residential technologies for host community resi-
 dents;
   (b) develop community infrastructure in the host community or communi-
 ties; and
   (c) implement measures to prevent increased levels of water pollution,
 strains  on wastewater infrastructure, water scarcity, and other adverse
 impacts to waters in  the  host  community  or  communities,  which  may
 include but shall not be limited to the adoption of efficient large data
 center   cooling   technology,  such  as  closed-loop  cooling  systems;
 provided, however, such measures shall not be required with  respect  to
 adverse  impacts which are addressed pursuant to paragraph (b) of subdi-
 vision 5 of section 89-b of the public service law.
   3. (a) The public service commission shall, within  ninety  days  from
 the  effective date of this subdivision, commence a proceeding to estab-
 lish a program under which large data center owners would be required to
 fund the program described in subdivision  2  of  this  section.    Such
 proceeding  shall  establish  a process for large data centers to notify
 host communities of the program  and  the  process  for  implementation,
 including meaningful community engagement.
   (b)  With respect to the program components contemplated by paragraphs
 (a) and (b) of subdivision 2 of this section, the  program  shall  allow
 such  communities  to  indicate  preferences for the installation of any
 eligible residential technologies  or  community  infrastructure.    The
 proceeding  shall further determine the amount of such eligible residen-
 tial technologies and/or community infrastructure to be installed  based
 on  community  input  and  all  other  factors deemed appropriate by the
 commission, including the expected average electric and water demand  of
 the facility, the average number of electric and water utility customers
 within  the large data center host community, and the expected aggregate
 annual electric and water consumption  within  such  host  community  or
 communities,  and  shall include prioritization of low- and moderate-in-
 come households and disadvantaged communities, and the  role  of  utili-
 ties,  if  any,  in  implementing any aspect of such program. The public
 service commission shall consult with the New York state energy research
 and development authority, the federally designated bulk  system  opera-
 tor,  and  the  empire  state  development corporation in fulfilling its
 responsibilities pursuant to this paragraph, and may also  consult  with
 the affected utilities in fulfilling its responsibilities.
   (c)  With  respect to the program components contemplated by paragraph
 (c) of subdivision 2 of this section, the data  center  shall  fund  all
 appropriate  measures necessary to fully prevent the adverse impacts set
 forth in such paragraph. The proceeding shall  determine  what  measures
 are  appropriate  to  satisfy  such requirements based on input from the
 host community and all other factors deemed appropriate by  the  commis-
 sion  in  consultation with the department of environmental conservation
 and the environmental facilities corporation, including  the  number  of
 wastewater customers within the large data center host community and the
 expected  aggregate  annual  wastewater  volumes  within such large data
 center host community and the role of wastewater management entities and
 local natural resource management entities, if any, in implementing  any
 aspect  of the program. The public service commission shall consult with
 the department  of  environmental  conservation  and  the  environmental
 facilities  corporation  in  fulfilling its responsibilities pursuant to
 this paragraph.
 S. 10642                           10
 
   (d) The large data center shall annually submit independently  audited
 financial reports to the public service commission for such fund.
   4. The data center, in coordination with the public service commission
 and  the  department  of environmental conservation, shall hold at least
 one hearing in at least one host  community  to  inform  the  proceeding
 contemplated  by  subdivision 3 of this section. Reasonable notice shall
 be given in advance of such hearing, the hearing  shall  be  held  at  a
 reasonable time and place, and meaningful opportunity for public comment
 shall  be  provided  at  such  hearing.    The data center shall pay all
 expenses for such hearing including  the  costs  of  the  department  of
 public service and the department of environmental conservation.
   5.  All  community infrastructure projects as defined in subdivision 1
 of this section with a total  construction  cost  of  not  less  than  1
 million  dollars  shall  be  subject  to prevailing wage requirements in
 accordance with sections 220, 220-a, 220-b, 220-i, 223, and 224-b of the
 labor law, provided that the requirements of this subdivision shall  not
 apply to:
   (a)  a project conducted under a pre-hire collective bargaining agree-
 ment between an  owner  or  developer  and  a  bona  fide  building  and
 construction  trades  labor  organization  which has established itself,
 and/or its affiliates, as the collective bargaining  representative  for
 all  persons who will perform work on such a project, and which provides
 that only contractors  and  subcontractors  who  sign  a  pre-negotiated
 agreement with the labor organization can perform work on such project;
   (b)  construction work on one- or two-family dwellings where the prop-
 erty is the owner's primary residence, or construction work performed on
 property where the owner of the property owns no more than four dwelling
 units; or
   (c) construction work performed on a multiple residence and/or  ancil-
 lary amenities or installations that is wholly privately owned in any of
 the following circumstances:
   (i)  where  more than twenty-five percent of the residential units are
 affordable and shall be retained subject to  an  anticipated  regulatory
 agreement  with  a  local,  state,  or federal governmental entity, or a
 not-for-profit entity with an anticipated formal agreement with a local,
 state, or federal governmental entity for purposes of providing afforda-
 ble housing in a given locality or region provided that  the  period  of
 affordability  for  a  residential  unit  deemed  affordable  under  the
 provisions of this paragraph shall be for no  less  than  fifteen  years
 from the date of construction; or
   (ii)  where  no less than thirty-five percent of the residential units
 involves the provision of supportive  housing  services  for  vulnerable
 populations provided that such units are subject to an anticipated regu-
 latory agreement with a local, state, or federal governmental entity.
   §  9.  The  Long  Island Power Authority shall establish a program for
 large data centers within its service  territory  to  achieve  the  same
 objectives  and in the same manner as set forth and described in section
 eight of this act.
   § 10. The labor law is amended by adding a new section 224-g  to  read
 as follows:
   § 224-G. LABOR STANDARDS FOR CONSTRUCTION OF DATA CENTERS. 1.  FOR THE
 PURPOSES OF THIS SECTION:
   A.  "DATA  CENTER"  SHALL  HAVE THE SAME MEANING GIVEN TO SUCH TERM IN
 SECTION 31-0101 OF THE ENVIRONMENTAL CONSERVATION LAW.
   B. "COVERED DATA CENTER" SHALL MEAN A DATA CENTER WITH A  PEAK  DEMAND
 CAPACITY OF FIVE MEGAWATTS OR MORE.
 S. 10642                           11
 
   C.  "FISCAL  OFFICER" SHALL MEAN THE COMMISSIONER; EXCEPT FOR PROJECTS
 PERFORMED PURSUANT TO A PERMIT ISSUED BY A CITY  WITH  A  POPULATION  IN
 EXCESS OF ONE MILLION, IN WHICH CASE THE "FISCAL OFFICER" SHALL MEAN THE
 COMPTROLLER OR OTHER ANALOGOUS OFFICER OF SUCH CITY.
   2. THE CONSTRUCTION OF A COVERED DATA CENTER OR EXPANSION OF AN EXIST-
 ING DATA CENTER WHICH WILL BE A COVERED DATA CENTER AFTER SUCH EXPANSION
 SHALL  BE  SUBJECT  TO  PREVAILING  WAGE REQUIREMENTS IN ACCORDANCE WITH
 SECTIONS TWO HUNDRED TWENTY, TWO HUNDRED TWENTY-A, TWO HUNDRED TWENTY-B,
 TWO HUNDRED TWENTY-I, TWO HUNDRED TWENTY-THREE, AND TWO HUNDRED  TWENTY-
 FOUR-B  OF  THIS ARTICLE, PROVIDED THAT SUCH REQUIREMENT SHALL NOT APPLY
 TO CONSTRUCTION OR EXPANSION OF A COVERED DATA CENTER CONDUCTED UNDER  A
 PRE-HIRE  COLLECTIVE  BARGAINING AGREEMENT BETWEEN AN OWNER OR DEVELOPER
 AND A BONA FIDE BUILDING  AND  CONSTRUCTION  TRADES  LABOR  ORGANIZATION
 WHICH  HAS  ESTABLISHED ITSELF, AND/OR ITS AFFILIATES, AS THE COLLECTIVE
 BARGAINING REPRESENTATIVE FOR ALL PERSONS WHO WILL PERFORM WORK ON  SUCH
 A  PROJECT,  AND WHICH PROVIDES THAT ONLY CONTRACTORS AND SUBCONTRACTORS
 WHO SIGN A PRE-NEGOTIATED AGREEMENT  WITH  THE  LABOR  ORGANIZATION  CAN
 PERFORM WORK ON SUCH PROJECT.
   3.  THE  OWNER  OR DEVELOPER OF SUCH COVERED DATA CENTER SHALL REQUIRE
 THE USE OF APPRENTICESHIP AGREEMENTS AS DEFINED BY ARTICLE  TWENTY-THREE
 OF  THIS  CHAPTER;  OR  FOR  INDUSTRIES WITHOUT APPRENTICESHIP PROGRAMS,
 REQUIRE THE USE OF WORKFORCE TRAINING, PREFERABLY IN CONJUNCTION WITH  A
 BONA FIDE LABOR ORGANIZATION; AND CONSIDER USE OF REGISTERED PRE-APPREN-
 TICESHIP  DIRECT  ENTRY  PROGRAMS  FOR  THE  RECRUITMENT OF LOCAL AND/OR
 DISADVANTAGED WORKERS.
   4. THE ENFORCEMENT OF ANY CONSTRUCTION UNDER  THIS  SECTION  SHALL  BE
 SUBJECT  TO THE REQUIREMENTS OF SECTIONS TWO HUNDRED TWENTY, TWO HUNDRED
 TWENTY-A, TWO HUNDRED TWENTY-B, TWO HUNDRED TWENTY-I, TWO HUNDRED  TWEN-
 TY-THREE,  TWO  HUNDRED  TWENTY-FOUR-B  OF THIS ARTICLE, AND SECTION TWO
 HUNDRED TWENTY-SEVEN OF THIS CHAPTER AND WITHIN THE JURISDICTION OF  THE
 FISCAL  OFFICER;  PROVIDED,  HOWEVER,  NOTHING CONTAINED IN THIS SECTION
 SHALL BE DEEMED TO CONSTRUE ANY PROJECT COVERED THIS SECTION  AS  OTHER-
 WISE BEING CONSIDERED PUBLIC WORK PURSUANT TO THIS ARTICLE.
   5.  THE  FISCAL  OFFICER MAY ISSUE RULES AND REGULATIONS GOVERNING THE
 PROVISIONS OF THIS SECTION. VIOLATIONS OF THIS SECTION SHALL BE  GROUNDS
 FOR  DETERMINATIONS  AND ORDERS PURSUANT TO SECTION TWO HUNDRED TWENTY-B
 OF THIS ARTICLE.
   6. FOR ANY BUILDING SERVICE WORK ON A PROJECT COVERED BY THIS SECTION,
 PREVAILING WAGE SHALL BE PAID CONSISTENT WITH ARTICLE NINE OF THIS CHAP-
 TER.
   7. THE OWNER OR DEVELOPER OF SUCH COVERED DATA  CENTER  SHALL  REQUIRE
 THAT  THE  IRON OR STEEL USED OR SUPPLIED FOR CONSTRUCTION, INCLUDING BY
 ANY CONTRACTOR OR SUBCONTRACTOR, SHALL BE PRODUCED OR MADE IN  WHOLE  OR
 SUBSTANTIAL  PART  IN THE UNITED STATES, ITS TERRITORIES OR POSSESSIONS.
 IN THE CASE OF AN IRON OR STEEL  PRODUCT  ALL  MANUFACTURING  MUST  TAKE
 PLACE  IN  THE UNITED STATES, FROM THE INITIAL MELTING STAGE THROUGH THE
 APPLICATION OF COATINGS, EXCEPT METALLURGICAL  PROCESSES  INVOLVING  THE
 REFINEMENT OF STEEL ADDITIVES.
   §  11.  Severability.  If  any clause, sentence, paragraph, section or
 part of this article shall be adjudged by any court of competent  juris-
 diction  to  be  invalid  and  after  exhaustion of all further judicial
 review, the judgment shall not affect, impair or invalidate the  remain-
 der  thereof,  but  shall  be  confined  in its operation to the clause,
 sentence, paragraph, section or part of this article  directly  involved
 in the controversy in which the judgment shall have been rendered.
   § 12. This act shall take effect immediately.