A bill for an act relating to water efficiency of data centers, including requirements for water-efficient cooling technologies and encouragement for the use of nonpotable and recycled water sources, providing civil penalties, and including effective date and applicability provisions.

HF 2001 requires new data centers (permit applications on or after January 1, 2026) and existing data centers expanding or renovating after that date to use cooling technologies that limit water consumption to a maximum of 0.2 liters per kilowatt-hour of energy used. It mandates data centers to submit water usage plans before construction and provide annual compliance reports for five years, while encouraging the use of nonpotable or recycled water sources like treated wastewater or stormwater for cooling. Violations may result in civil penalties up to $10,000 per day, corrective action orders, or permit suspension. The bill directly affects data centers consuming at least one megawatt of electricity annually, aiming to reduce strain on Iowa’s freshwater resources.