How Proposition 45 Could Reshape California’s Battles Over Data Centers
Proposition 45 would streamline environmental review for certain infrastructure projects, and critics warn its broad language could allow data centers to bypass recently adopted California safeguards and local restrictions. Supporters, including the Data Center Coalition and the Yes on Prop. 45 campaign, argue that data centers are not covered by the measure.
California voters will decide whether Proposition 45 should accelerate environmental review for housing and infrastructure projects. Critics, including environmental advocates and legal experts, say the measure’s treatment of broadband, telecommunications and ancillary facilities could allow data center developers to seek expedited review and potentially override newer state laws and local restrictions.
The Data Center Coalition and Yes on Prop. 45 representatives dispute that interpretation, citing the California Office of Legislative Counsel’s view that data centers are not included. The debate comes as Gov. Gavin Newsom has signed laws requiring greater disclosure of water use, payment for electrical-grid upgrades and environmental review, while at least 26 California cities and counties have proposed or adopted moratoriums, bans or limits on new data center construction. Prologis and Pacific Gas and Electric Company are among major financial supporters of the ballot campaign.