Energy

SB 135 requires data center operators to pay all electricity costs associated with their facilities, preventing utilities from raising residential rates to cover these expenses (Section 3). It also prohibits tax exemptions for data centers (Section 5) and ensures local governments retain authority to regulate data center development (Section 4). The bill mandates data centers to report projected water usage to local providers and the Board of Water Management before operation, with annual reports on actual consumption (Sections 6-7), ensuring water allocation prioritizes residential and essential services. This directly affects data center operators, utilities, and South Dakota residents by limiting cost-shifting and protecting local resource management.

HB 1198 requires operators of large energy facilities (20+ megawatts average electrical demand) to seek conditional use permits from adjacent counties or municipalities. This applies only if the facility is within one mile of the adjacent political subdivision's boundary and that subdivision has adopted zoning ordinances. The bill directly affects developers of high-energy projects, such as large solar or wind installations, seeking to build near county or city borders. It adds new permit requirements to South Dakota law without changing existing zoning authority. (3 sentences)