NY State Senate Bill 2025-S9182A

Current Bill Status - In Senate Committee Energy And Telecommunications Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Date of Action	Assembly Actions - Lowercase Senate Actions - UPPERCASE
May 13, 2026	print number 9182a
May 13, 2026	amend (t) and recommit to energy and telecommunications
Feb 11, 2026	referred to energy and telecommunications

Bill Amendments

Original

A (Active)

co-Sponsors

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2025-S9182 - Details

See Assembly Version of this Bill:: A10852
Current Committee:: Senate Energy And Telecommunications
Law Section:: Public Authorities Law
Laws Affected:: Amd §2, Pub Auth L; amd §187, Ec Dev L; amd §1005, Pub Auth L; amd §874, Gen Muni L; amd §§8-0111 & 8-0109, En Con L

2025-S9182 - Summary

Prohibits allocation of economic development power to data centers; provides for certain caps on amounts and eligibility for industrial development agency financial assistance; provides for the return of industrial development agency-awarded financial assistance if certain job levels are not maintained within 5 years of project completion; designates the department of environmental conservation as the mandatory lead agency for environmental quality review of any action consuming over 50 megawatts

2025-S9182 - Sponsor Memo

                                 
BILL NUMBER: S9182

SPONSOR: MAY
 
TITLE OF BILL:

An act to amend the economic development law, the general municipal law
and the environmental conservation law, in relation to enacting the
"stop subsidizing data centers act"

 
PURPOSE:

To ensure that New York's economic development incentives are aligned
with long-term economic value, grid reliability, and environmental
responsibility by ending subsidies for large data centers that deliver
limited public benefit while imposing substantial energy and infrastruc-
ture costs.

 
SUMMARY OF PROVISIONS:

This bill makes focused adjustments to how the state evaluates and
supports energy-intensive development.

It removes data centers from eligibility for discounted state power
allocations. These programs are intended to support projects that gener-
ate substantial employment and broader economic activity, not facilities
that primarily rely on automated operations with minimal long-term job
creation.

It strengthens accountability for local tax abatements and other finan-
cial assistance by requiring agencies to recover subsidies when job
commitments are not met. It also places clear limits on public assist-
ance by capping the amount of aid per job created and by prohibiting
financial assistance for projects that, once completed, will consume
extraordinarily large amounts of electricity.

It provides for consistent, statewide environmental oversight of major
energy-using projects by designating the Department of Environmental
Conservation as the lead agency for projects above a defined electrici-
ty-use threshold.

It further requires a full environmental impact statement and consulta-
tion for projects proposed near federally recognized Indian nations,
ensuring that potential impacts are identified and addressed early and
transparently.

 
JUSTIFICATION:

New York continues to welcome large-scale investment and recognizes that
some energy-intensive projects can deliver transforniative economic
benefits when they create significant employment, strengthen regional
economies, and are built with robust environmental protections. Those
projects require careful planning, clear standards, and strong public
oversight, but they can be worth the investment.

Not every large energy user meets that test. Data centers present a
different profile. They typically require vast amounts of electricity
while creating relatively few permanent jobs. This large use of
resources places real pressure on the electric grid and contributes to
higher costs that are ultimately shared by households, small businesses,
and local governments, without the traditional benefit of good paying
jobs.

As electricity demand grows and infrastructure investment becomes more
expensive, the state must be more deliberate about how public subsidies
are used. Incentives should support projects that deliver broad and
durable economic value, not simply reward scale or energy consumption.

This bill reflects a course correction. It does not reject large or
complex development, and it does not oppose investment in New York.
Instead, it clarifies that projects seeking public support must justify
that support through meaningful economic returns and responsible use of
shared resources. By setting clearer boundaries and strengthening over-
sight, the state can promote growth that is both economically sound and
environmentally sustainable.

 
LEGISLATIVE HISTORY:

New bill.

 
FISCAL IMPLICATIONS:

The bill is expected to reduce foregone tax revenue and subsidy exposure
for projects with limited economic return and may help moderate future
utility cost pressures by reducing strain on the electric grid.

 
EFFECTIVE DATE:
This act shall take effect one hundred eighty days after it becomes law.

2025-S9182 - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   9182
 
                             I N  S E N A T E
 
                             February 11, 2026
                                ___________
 
 Introduced  by  Sen.  MAY  --  read  twice and ordered printed, and when
   printed to be committed to the Committee on  Energy  and  Telecommuni-
   cations
 
 AN  ACT to amend the economic development law, the general municipal law
   and the environmental conservation law, in relation  to  enacting  the
   "stop subsidizing data centers 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 "stop subsidizing data centers act".
   §  2. Section 187 of the economic development law is amended by adding
 a new subdivision (h) to read as follows:
   (H) NOTWITHSTANDING ANY OTHER PROVISION OF  LAW,  NO  APPLICATION  FOR
 ECONOMIC  POWER  ALLOCATION  SHALL BE APPROVED UNDER THIS SECTION, WHERE
 SUCH ALLOCATION WOULD BE FOR THE OPERATION OF A  DATA  CENTER.  FOR  THE
 PURPOSES  OF  THIS  SUBDIVISION, THE TERM "DATA CENTER" MEANS A FACILITY
 PRIMARILY HOUSING COMPUTER SYSTEMS OF THE KIND TYPICALLY ASSOCIATED WITH
 TELECOMMUNICATIONS AND/OR DATA STORAGE INFRASTRUCTURE.
   § 3. Subdivision 11 of section 874 of the general  municipal  law,  as
 added  by chapter 563 of the laws of 2015, is amended and a new subdivi-
 sion 13 is added to read as follows:
   (11) (A) Each agency shall develop policies for the return of all or a
 part of the financial assistance provided for the project, including all
 or part of the amount of any tax exemptions, as specified in the policy,
 which [may] SHALL include but [shall] not be limited to material  short-
 falls  in job creation, AS PROVIDED UNDER PARAGRAPH (B) OF THIS SUBDIVI-
 SION, and MAY INCLUDE BUT SHALL NOT BE LIMITED TO retention  projections
 or  material  violations  of  the terms and conditions of project agree-
 ments. All such returned amounts of tax exemptions shall  be  redistrib-
 uted  to  the  appropriate  affected  tax jurisdiction, unless agreed to
 otherwise by any local taxing jurisdiction.
   (B) AN AGENCY'S POLICY FOR THE RETURN OF ALL OR PART OF THE  FINANCIAL
 ASSISTANCE  PROVIDED  FOR  A  PROJECT  FOR  MATERIAL  SHORTFALLS  IN JOB
 CREATION, DEVELOPED PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION, SHALL
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD14850-01-6
 S. 9182                             2
 
 REQUIRE THAT EACH AGREEMENT EXECUTED BY  SUCH  AGENCY  SHALL  INCLUDE  A
 PROVISION UNDER WHICH SUCH RETURN OF FINANCIAL ASSISTANCE SHALL BE TRIG-
 GERED  IF  THE  RECIPIENT  FAILS  TO CREATE AND MAINTAIN A SPECIFIED JOB
 LEVEL WITHIN FIVE YEARS OF PROJECT COMPLETION. SUCH POLICY SHALL PROVIDE
 FOR  THE  ANNUAL  SUBMISSION  OF A CERTIFICATION OF COMPLIANCE WITH SUCH
 SPECIFIED JOB LEVEL UNTIL THE END OF SUCH FIVE-YEAR PERIOD.
   (13) (A) FINANCIAL ASSISTANCE SHALL NOT BE AWARDED FOR ANY PROJECT  IN
 AN AMOUNT EXCEEDING FIVE HUNDRED THOUSAND DOLLARS FOR EACH FULL-TIME JOB
 ANTICIPATED  TO  BE CREATED BY SUCH PROJECT, AS INDICATED IN THE PROJECT
 APPLICATION.
   (B) FINANCIAL ASSISTANCE SHALL NOT BE AWARDED FOR ANY PROJECT THAT IS,
 UPON COMPLETION, CAPABLE OF CONSUMING MORE THAN  ONE  HUNDRED  MEGAWATTS
 DURING NORMAL OPERATIONS.
   (C)  FOR THE PURPOSES OF THIS SUBDIVISION, THE TERM "FINANCIAL ASSIST-
 ANCE" SHALL INCLUDE, BUT NOT BE LIMITED TO, SALES TAX EXEMPTIONS,  MORT-
 GAGE RECORDING TAX EXEMPTIONS, AND REAL PROPERTY TAX EXEMPTIONS.
   § 4. Subdivision 6 of section 8-0111 of the environmental conservation
 law,  as added by chapter 612 of the laws of 1975, is amended to read as
 follows:
   6. Lead Agency. When an action is to be carried out or approved by two
 or more agencies, the determination of whether the  action  may  have  a
 significant  effect  on the environment shall be made by the lead agency
 having principal responsibility  for  carrying  out  or  approving  such
 action  and  such  agency  shall  prepare,  or  cause  to be prepared by
 contract or otherwise, the environmental impact statement for the action
 if such a statement is required by this article. In the event that there
 is a question as to which is the lead agency, any agency may submit  the
 question  to  the  commissioner and the commissioner shall designate the
 lead agency, giving due consideration to the capacity of such agency  to
 fulfill  adequately  the  requirements of this article.   THE DEPARTMENT
 SHALL BE THE MANDATORY LEAD AGENCY FOR ANY ACTION CAPABLE  OF  CONSUMING
 OVER FIFTY MEGAWATTS DURING NORMAL OPERATIONS.
   §  5.  Section 8-0109 of the environmental conservation law is amended
 by adding a new subdivision 10 to read as follows:
   10. AN ENVIRONMENTAL IMPACT STATEMENT SHALL BE PREPARED FOR ANY ACTION
 FOUND TO BE LOCATED WITHIN TEN MILES OF A  FEDERALLY  RECOGNIZED  INDIAN
 NATION'S  TERRITORY.  PRIOR  TO  THE  PREPARATION  OF SUCH ENVIRONMENTAL
 IMPACT STATEMENT, THE APPLICANT SHALL CONSULT WITH SUCH  INDIAN  NATION,
 AND  INCLUDE  ANY  COMMENTS  SUBMITTED BY SUCH INDIAN NATION PURSUANT TO
 SUCH CONSULTATION IN ITS ENVIRONMENTAL IMPACT STATEMENT.
   § 6. This act shall take effect on the one hundred eightieth day after
 it shall have become a law. Effective immediately, the addition,  amend-
 ment and/or repeal of any rule or regulation necessary for the implemen-
 tation  of  this act on its effective date are authorized to be made and
 completed on or before such effective date.

co-Sponsors

View additional co-sponsors

2025-S9182A (ACTIVE) - Details

See Assembly Version of this Bill:: A10852
Current Committee:: Senate Energy And Telecommunications
Law Section:: Public Authorities Law
Laws Affected:: Amd §2, Pub Auth L; amd §187, Ec Dev L; amd §1005, Pub Auth L; amd §874, Gen Muni L; amd §§8-0111 & 8-0109, En Con L

2025-S9182A (ACTIVE) - Summary

2025-S9182A (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  9182--A
 
                             I N  S E N A T E
 
                             February 11, 2026
                                ___________
 
 Introduced  by  Sens. MAY, ADDABBO, FAHY, KRUEGER, SALAZAR, WEBB -- read
   twice and ordered printed, and when printed to  be  committed  to  the
   Committee  on  Energy  and Telecommunications -- committee discharged,
   bill amended, ordered reprinted as amended  and  recommitted  to  said
   committee
 
 AN  ACT  to  amend  the public authorities law, the economic development
   law, the general municipal law and the environmental conservation law,
   in relation to enacting the "stop subsidizing data centers 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 "stop subsidizing data centers act".
   § 2. Section 2 of the public authorities law is amended  by  adding  a
 new subdivision 7 to read as follows:
   7.  "DATA  CENTER"  SHALL  MEAN  A FACILITY PRIMARILY HOUSING COMPUTER
 SYSTEMS OF THE KIND TYPICALLY ASSOCIATED WITH TELECOMMUNICATIONS  AND/OR
 DATA STORAGE INFRASTRUCTURE.
   §  3. Section 187 of the economic development law is amended by adding
 a new subdivision (h) to read as follows:
   (H) NOTWITHSTANDING ANY OTHER PROVISION OF  LAW,  NO  APPLICATION  FOR
 ECONOMIC  POWER  ALLOCATION  SHALL  BE APPROVED UNDER THIS SECTION WHERE
 SUCH ALLOCATION WOULD BE FOR THE OPERATION OF A DATA CENTER, AS  DEFINED
 BY SECTION TWO OF THE PUBLIC AUTHORITIES LAW.
   §  4.  Paragraph (a) of subdivision 13-a of section 1005 of the public
 authorities law, as added by section 3 of part CC of chapter 60  of  the
 laws of 2011, is amended to read as follows:
   (a)  Notwithstanding  any  other provision of law to the contrary, but
 subject to the terms and conditions of federal energy regulatory commis-
 sion licenses, to allocate, reallocate or extend, directly  or  by  sale
 for  resale, up to nine hundred ten megawatts of recharge New York power
 to eligible applicants located within the state of  New  York  upon  the
 recommendation  of  the  New York state economic development power allo-
 cation board pursuant to  section  one  hundred  eighty-eight-a  of  the
 economic  development  law;  PROVIDED,  HOWEVER, THAT NO SUCH ALLOCATION
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD14850-04-6
 S. 9182--A                          2
 
 SHALL BE APPROVED WHERE SUCH ALLOCATION WOULD BE FOR THE OPERATION OF  A
 DATA CENTER.
   §  5.  The  opening  paragraph  of  paragraph (a) of subdivision 13 of
 section 1005 of the public authorities law, as amended by chapter 645 of
 the laws of 2006, is amended to read as follows:
   Criteria for eligibility for expansion, replacement  and  preservation
 power.  Each application for an allocation for expansion, replacement or
 preservation power shall be evaluated by the trustees under THE criteria
 [which] PROVIDED UNDER THIS PARAGRAPH; PROVIDED, HOWEVER, THAT NO APPLI-
 CATION FOR ALLOCATION FOR EXPANSION, REPLACEMENT OR  PRESERVATION  POWER
 SHALL  BE APPROVED WHERE SUCH ALLOCATION WOULD BE FOR THE OPERATION OF A
 DATA CENTER.  THE CRITERIA TO BE EVALUATED BY THE TRUSTEES FOR  APPLICA-
 TIONS  FOR  ALLOCATION  FOR EXPANSION, REPLACEMENT OR PRESERVATION POWER
 shall include but need not be limited to:
   § 6. Section 874 of the general municipal law is amended by  adding  a
 new subdivision 13 to read as follows:
   (13)  (A)  ANY  AGREEMENT  EXECUTED  BY  AN AGENCY PROVIDING FINANCIAL
 ASSISTANCE TO A DATA CENTER PROJECT SHALL INCLUDE  PROVISIONS  REQUIRING
 THE RETURN OF ALL OR PART OF SUCH FINANCIAL ASSISTANCE, INCLUDING ALL OR
 PART  OF  THE AMOUNT OF ANY TAX EXEMPTIONS, WHERE THE RECIPIENT FAILS TO
 CREATE OR MAINTAIN THE  NUMBER  OF  FULL-TIME  JOBS  IDENTIFIED  IN  THE
 PROJECT   APPLICATION   OR   AGREEMENT  WITHIN  FIVE  YEARS  OF  PROJECT
 COMPLETION. SUCH AGREEMENT SHALL PROVIDE  FOR  MANDATORY  CLAW  BACK  OF
 FINANCIAL  ASSISTANCE  UPON  A  MATERIAL  SHORTFALL  IN  JOB CREATION OR
 RETENTION, AS DETERMINED BY THE AGENCY  PURSUANT  TO  WRITTEN  STANDARDS
 ADOPTED BY SUCH AGENCY.
   (B)  ANY  RECIPIENT  OF FINANCIAL ASSISTANCE FOR A DATA CENTER PROJECT
 SHALL SUBMIT AN ANNUAL CERTIFICATION OF COMPLIANCE WITH  THE  APPLICABLE
 JOB  CREATION  AND  RETENTION REQUIREMENTS ESTABLISHED PURSUANT TO PARA-
 GRAPH (A) OF THIS SUBDIVISION FOR  A  PERIOD  OF  FIVE  YEARS  FOLLOWING
 PROJECT COMPLETION.
   (C)  FINANCIAL  ASSISTANCE  SHALL  NOT  BE AWARDED FOR ANY DATA CENTER
 PROJECT IN AN AMOUNT EXCEEDING TWENTY-FIVE  THOUSAND  DOLLARS  FOR  EACH
 FULL-TIME JOB ANTICIPATED TO BE CREATED BY SUCH PROJECT, AS INDICATED IN
 THE PROJECT APPLICATION.
   (D)  FINANCIAL  ASSISTANCE  SHALL  NOT  BE AWARDED FOR ANY DATA CENTER
 PROJECT THAT, UPON COMPLETION, IS CAPABLE OF CONSUMING MORE THAN  TWENTY
 MEGAWATTS DURING NORMAL OPERATIONS.
   (E) FOR THE PURPOSES OF THIS SUBDIVISION:
   (I)  THE TERM "FINANCIAL ASSISTANCE" SHALL INCLUDE, BUT NOT BE LIMITED
 TO, SALES TAX EXEMPTIONS, MORTGAGE RECORDING TAX  EXEMPTIONS,  AND  REAL
 PROPERTY TAX EXEMPTIONS; AND
   (II)  THE TERM "DATA CENTER" SHALL HAVE THE SAME MEANING AS DEFINED BY
 SECTION TWO OF THE PUBLIC AUTHORITIES LAW.
   § 7. Subdivision 6 of section 8-0111 of the environmental conservation
 law, as added by chapter 612 of the laws of 1975, is amended to read  as
 follows:
   6. Lead Agency. When an action is to be carried out or approved by two
 or  more  agencies,  the  determination of whether the action may have a
 significant effect on the environment shall be made by the  lead  agency
 having  principal  responsibility  for  carrying  out  or approving such
 action and such agency  shall  prepare,  or  cause  to  be  prepared  by
 contract or otherwise, the environmental impact statement for the action
 if such a statement is required by this article. In the event that there
 is  a question as to which is the lead agency, any agency may submit the
 question to the commissioner and the commissioner  shall  designate  the
 S. 9182--A                          3
 
 lead  agency, giving due consideration to the capacity of such agency to
 fulfill adequately the requirements of this  article.    THE  DEPARTMENT
 SHALL  BE  THE MANDATORY LEAD AGENCY FOR ANY ACTION CAPABLE OF CONSUMING
 OVER FIFTY MEGAWATTS DURING NORMAL OPERATIONS.
   §  8.  Section 8-0109 of the environmental conservation law is amended
 by adding a new subdivision 10 to read as follows:
   10. AN ENVIRONMENTAL IMPACT STATEMENT SHALL BE PREPARED FOR ANY ACTION
 FOUND TO BE LOCATED WITHIN TEN MILES OF A  FEDERALLY  RECOGNIZED  INDIAN
 NATION'S  TERRITORY.  PRIOR  TO  THE  PREPARATION  OF SUCH ENVIRONMENTAL
 IMPACT STATEMENT, THE APPLICANT SHALL CONSULT WITH SUCH  INDIAN  NATION,
 AND  INCLUDE  ANY  COMMENTS  SUBMITTED BY SUCH INDIAN NATION PURSUANT TO
 SUCH CONSULTATION IN ITS ENVIRONMENTAL IMPACT STATEMENT.
   § 9. This act shall take effect on the one hundred eightieth day after
 it shall have become a law. Effective immediately, the addition,  amend-
 ment and/or repeal of any rule or regulation necessary for the implemen-
 tation  of  this act on its effective date are authorized to be made and
 completed on or before such effective date.

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Senate Bill S9182A

Sponsored By

Current Bill Status - In Senate Committee Energy And Telecommunications Committee

Actions

Bill Amendments

co-Sponsors

2025-S9182 - Details

2025-S9182 - Summary

2025-S9182 - Sponsor Memo

2025-S9182 - Bill Text download pdf

co-Sponsors

2025-S9182A (ACTIVE) - Details

2025-S9182A (ACTIVE) - Summary

2025-S9182A (ACTIVE) - Bill Text download pdf

Comments

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Sponsored By

Current Bill Status - In Senate Committee Energy And Telecommunications Committee

Actions

Bill Amendments

co-Sponsors

2025-S9182 - Details

2025-S9182 - Summary

2025-S9182 - Sponsor Memo

2025-S9182 - Bill Text download pdf

co-Sponsors

2025-S9182A (ACTIVE) - Details

2025-S9182A (ACTIVE) - Summary

2025-S9182A (ACTIVE) - Bill Text download pdf

Comments