Bipartisan Bill Aims to Ban NDAs on Government Data Center Deals
A bipartisan group of Representatives has introduced legislation to prohibit nondisclosure agreements that keep details of data-center projects from public view.
Lawmakers Greg Landsman, Tom Barrett and Jamie Raskin have unveiled the No Secrets for Data Centers Act, a bipartisan bill that would void nondisclosure agreements restricting government officials from discussing data-center proposals with constituents. The legislation also seeks to deny federal subsidies to tech firms when those subsidies depend on keeping project details secret, except where legitimate trade secrets exist.
The sponsors argue that communities deserve to know how such facilities will affect land, water supplies, electricity costs and local economies before decisions are made. The bill follows growing scrutiny in states such as Arizona, Indiana, Louisiana, Pennsylvania, Tennessee, Virginia and Wisconsin, where NDAs have limited public insight into large-scale AI-driven infrastructure projects. Critics of NDAs claim they hinder meaningful debate about the environmental and fiscal impacts of data centers that often receive tax incentives. Supporters of the bill, including Brad Carson of Americans for Responsible Innovation, say the measure will bring needed openness to a rapidly expanding sector.
Why it matters
It seeks to ensure communities can see how data-center projects will affect local resources and finances.
How this story developed
- Aug 4 Texas governor pauses new data center approvals pending power grid audit
- Aug 31 President Trump posted on Truth Social that communities rejecting AI data‑center projects will become “backwards and poor.”
- Sep 1 Nvidia announced quarterly revenue of $96.2 billion, surpassing analyst forecasts.
- Sep 2 At a virtual G‑20 technology ministers’ session, Mark Zuckerberg and Elon Musk called for accelerated AI data‑center construction and additional power capacity.
- Sep 2 Trump labeled communities that reject data‑center projects “backwards and poor” and warned that China would welcome such resistance.
- Sep 12 The House is set to debate the Ratepayer Protection Act, a measure aimed at easing power costs for data centers and appealing to voters concerned about AI-driven utility bills. In the Senate, a crypto market-structure proposal is expected to face a tough vote amid ethics disputes involving Donald Trump, while the bipartisan Protect College Sports Act looks likely to advance with strong backing from donors. Lawmakers are racing to pass these initiatives before a three-week Senate session ends and the midterm elections arrive.
- Sep 13 Jon Husted introduced legislation to shield consumers from rising electricity bills linked to data‑center demand.
- Sep 17 A bipartisan House bill to shift data‑center infrastructure and energy costs to tech firms has been introduced.
- Sep 21 Senator John Fetterman publicly endorsed President Trump’s data‑center push, aligning with the administration despite broad opposition.
- Sep 22 A new Data & Society report finds that more than 60% of Americans, especially Pennsylvanians, oppose new data-center construction, citing cost, health and environmental worries.
- Sep 24 Google will send a prototype satellite carrying its Tensor Processing Units into low Earth orbit next week to assess AI hardware performance in space.
- Sep 24 Trade unions have voiced support for the projects, citing promised jobs.
- Sep 27 The satellite will now fly as part of a rideshare mission rather than a dedicated launch.
- Sep 28 Martin Heinrich introduced the GRID Savings Act after blocking the Ratepayer Protection Act.
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