
Claim that data centers could be a 'utility like electricity' prompts pushback
The Pennsylvania House passed a bill 202-1 that would prevent commercial data centers from being designated as public utilities and using eminent domain to acquire land. The measure, sponsored by Rep. Chris Pielli, faces little chance of passing the Republican-controlled Senate this year, while a similar Senate bill sponsored by Sen. Katie Muth remains inactive.
The Pennsylvania House approved legislation sponsored by Democratic Rep. Chris Pielli that would prohibit commercial data centers from receiving public-utility status, which could otherwise allow them to seek approval to condemn property through eminent domain. Pielli said he was prompted in part by OpenAI CEO Sam Altman’s description of artificial intelligence as a utility comparable to electricity or water.
Democratic Sen. Katie Muth of Chester County introduced a similar measure in the Senate, arguing that hyperscale data center proposals are expanding across Pennsylvania and that state law should be changed. The House bill passed 202-1 but was sent to a Senate with little remaining voting time and no activity on Muth’s proposal, making enactment unlikely this year. Rep. Mark Gillen of Berks County said concerns about eminent-domain authority and potential rate increases represented a red flag for lawmakers.