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<ns0:Id>20250AB__246998AMD</ns0:Id>
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<ns0:Action>
<ns0:ActionText>INTRODUCED</ns0:ActionText>
<ns0:ActionDate>2026-02-20</ns0:ActionDate>
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<ns0:ActionText>AMENDED_ASSEMBLY</ns0:ActionText>
<ns0:ActionDate>2026-03-16</ns0:ActionDate>
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<ns0:SessionYear>2025</ns0:SessionYear>
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<ns0:MeasureType>AB</ns0:MeasureType>
<ns0:MeasureNum>2469</ns0:MeasureNum>
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<ns0:AuthorText authorType="LEAD_AUTHOR">Introduced by Assembly Member Papan</ns0:AuthorText>
<ns0:Authors>
<ns0:Legislator>
<ns0:Contribution>LEAD_AUTHOR</ns0:Contribution>
<ns0:House>ASSEMBLY</ns0:House>
<ns0:Name>Papan</ns0:Name>
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<ns0:Title> An act to add Section 65964.7 to the Government Code, and to add Section 10609.13 to the Water Code, relating to water. </ns0:Title>
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<ns0:GeneralSubject>
<ns0:Subject>Data centers: water use disclosures.</ns0:Subject>
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<html:p>The Planning and Zoning Law authorizes the legislative body of any county or city to adopt ordinances that, among other things, regulate the use of buildings, structures, and land as between industry, businesses, residences, and open space, as specified.</html:p>
<html:p>This bill would prohibit a city, county, or city and county from approving a discretionary or ministerial permit or other entitlement that would result in the construction, or an expansion that increases the maximum peak use, of a data center unless specified conditions are satisfied, including, among others, that the applicant provides the city, county, or city and a county prescribed information. The bill would include in this prescribed information a water scarcity plan, a water supply assessment, and a water
use assessment, each as provided. The bill would also include in the specified conditions that the construction or expansion is not within the boundaries of a groundwater basin designated as critically overdrafted by the Department of Water Resources, except as specified, and that the applicant assumes responsibility for the full cost of any required water conveyance, treatment or storage, or distribution infrastructure improvements necessary to serve the project, as determined by the Department of Water Resources or the applicable water supplier. By expanding the duties of local agencies to administer these provisions, this bill would impose a state-mandated local program.</html:p>
<html:p>Existing law requires the Department of Water Resources to recommend, and the State Water Resources Control Board to adopt, as prescribed, performance measures for water used by commercial, industrial, institutional, and large landscape water users (CII water use). Existing law requires each
urban retail water supplier, as defined, to implement the performance measures adopted by the board under these provisions.</html:p>
<html:p>This bill would require the department to recommend, and the board to adopt, no later than an unspecified date, a CII water use classification for users that qualify as large consumptive use facilities, including data centers. The bill would require that this classification be separate and distinct from classifications applicable to other CII water use.</html:p>
<html:p>The bill would include findings that changes proposed by this bill address a matter of statewide concern rather than a municipal affair and, therefore, apply to all cities, including charter cities.</html:p>
<html:p>The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.</html:p>
<html:p>This bill would provide that no reimbursement is required by this act for a specified reason.</html:p>
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<ns0:Preamble>The people of the State of California do enact as follows:</ns0:Preamble>
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<ns0:Num>SECTION 1.</ns0:Num>
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Section 65964.7 is added to the
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, to read:
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<ns0:Num>65964.7.</ns0:Num>
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(a)
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For purposes of this section:
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<html:p>
(1)
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“Water scarcity plan” means a report that includes measures to be implemented under 25-, 50-, and 100-year drought scenarios, including staged withdrawal reductions, nonessential use curtailment, recycling and reuse, thermal load reductions, and temporary load shedding where necessary.
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<html:p>
(2)
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“Water use assessment” means a report that includes all of the following:
</html:p>
<html:p>
(A)
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A description of the data center, including its location, identification of the owner and operator, and a detailed description of operations.
</html:p>
<html:p>
(B)
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A
detailed accounting of expected water intake, expressed in gallons per day and total volume, including:
</html:p>
<html:p>
(i)
<html:span class="EnSpace"/>
Maximum and average daily demand.
</html:p>
<html:p>
(ii)
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Maximum and average monthly demand.
</html:p>
<html:p>
(iii)
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Demand over an average 12-month consecutive period.
</html:p>
<html:p>
(iv)
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A distinction between withdrawals and deliveries.
</html:p>
<html:p>
(v)
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Phases of growth or expansion.
</html:p>
<html:p>
(vi)
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Trigger points for additional demand.
</html:p>
<html:p>
(vii)
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Full build-out and peak operation scenarios.
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<html:p>
(C)
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A detailed explanation of each direct water use, including cooling
systems, humidification, potable and sanitary uses, fire suppression systems, and commissioning or maintenance operations. For each use, the assessment includes identification of all of the following:
</html:p>
<html:p>
(i)
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Input water quality requirements.
</html:p>
<html:p>
(ii)
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Whether the use is consumptive.
</html:p>
<html:p>
(iii)
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Average daily consumptive volume.
</html:p>
<html:p>
(iv)
<html:span class="EnSpace"/>
Whether the use is continuous, intermittent, or seasonal.
</html:p>
<html:p>
(v)
<html:span class="EnSpace"/>
Opportunities for reuse or closed-loop systems.
</html:p>
<html:p>
(D)
<html:span class="EnSpace"/>
A cooling alternatives analysis that compares the proposed cooling method to a range of alternatives, including all of the following:
</html:p>
<html:p>
(i)
<html:span class="EnSpace"/>
Evaluation of water use at the data center and at the site of energy generation.
</html:p>
<html:p>
(ii)
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Evaluation of impact on source water and water scarcity.
</html:p>
<html:p>
(iii)
<html:span class="EnSpace"/>
Consideration of closed-loop cooling.
</html:p>
<html:p>
(E)
<html:span class="EnSpace"/>
A detailed estimate of indirect water use associated with energy production disaggregated by generation type.
</html:p>
<html:p>
(F)
<html:span class="EnSpace"/>
A cost-of-service study completed within the last five years, or funded by the data center if none exists.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
Notwithstanding any other law, a city, county, or city and county shall not approve a discretionary or ministerial permit or other entitlement that would result in the construction, or expansion that increases the maximum peak use, of a data center unless all of
the following conditions are satisfied:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
The applicant has provided the city, county, or city and county with all of the following:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
A water supply assessment that was completed pursuant to Part 2.10 (commencing with Section 10910) of Division 6 of the Water Code, if applicable.
</html:p>
<html:p>
(B)
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Upon request of the city, county, or city and county, a water use assessment, as defined in paragraph (2) of subdivision (a).
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
Beginning January 1, 2028, a water scarcity plan, as defined in paragraph (1) of subdivision (a).
</html:p>
<html:p>
(D)
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Projected and actual water use and water efficiency measures.
</html:p>
<html:p>
(E)
<html:span class="EnSpace"/>
Disclosures regarding workforce needs
associated with the project, including all of the following:
</html:p>
<html:p>
(i)
<html:span class="EnSpace"/>
Workforce composition.
</html:p>
<html:p>
(ii)
<html:span class="EnSpace"/>
Job classifications.
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<html:p>
(iii)
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Employment duration.
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<html:p>
(iv)
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Wage ranges and benefits.
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<html:p>
(v)
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The proportion of the workforce residing within the county in which the project is located.
</html:p>
<html:p>
(vi)
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The proportion of the workforce residing within the state.
</html:p>
<html:p>
(vii)
<html:span class="EnSpace"/>
All water resource plans, water usage reports, supporting documentation, and any approval issues by a state or local agency related to the plans or applications.
</html:p>
<html:p>
(2)
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The construction or expansion is not located within the boundaries of a groundwater basin designated as critically overdrafted by the Department of Water Resources. The department may waive this prohibition upon a comprehensive assessment demonstrating that the project does not pose a disproportionate risk to the health, welfare, or environment of an environmental justice community or equity investment eligible community.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
The applicant assumes responsibility for the full cost of any required water conveyance, treatment or storage, or distribution infrastructure improvements necessary to serve the project, as determined by the Department of Water Resources or the applicable water supplier.
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<ns0:Num>SEC. 2.</ns0:Num>
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Section 10609.13 is added to the
<ns0:DocName>Water Code</ns0:DocName>
, to read:
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<ns0:Num>10609.13.</ns0:Num>
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<html:p>
(a)
<html:span class="EnSpace"/>
The department, in coordination with the board, shall conduct necessary studies and investigations and recommend, no later than ____, a CII water use classification system for users that qualify as large consumptive use facilities, including data centers. The classification system required by this section shall be separate and distinct from classifications applicable to other CII water use.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
The board, in coordination with the department, shall adopt the classification for CII water use required by this section on or before ____.
</html:p>
<html:p>
(2)
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Each urban retail water supplier shall implement the classification adopted by the board pursuant to paragraph
(1).
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<ns0:Num>SEC. 3.</ns0:Num>
<ns0:Content>
<html:p>The Legislature finds and declares that water conservation is a matter of statewide concern and is not a municipal affair as that term is used in Section 5 of Article XI of the California Constitution. Therefore, Section 1 of this act adding Section 65964.7 to the Government Code applies to all cities, including charter cities.</html:p>
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<ns0:Num>SEC. 4.</ns0:Num>
<ns0:Content>
<html:p>
No reimbursement is required by this act pursuant to Section 6 of Article XIII
<html:span class="ThinSpace"/>
B of the California Constitution because a local agency or school district has the authority to levy service charges, fees, or assessments sufficient to pay for the program or level of service mandated by this act, within the meaning of Section 17556 of the Government Code.
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