South Dakota Lawmakers Debate Legislative Memo on Data Center Costs and Regulations
South Dakota lawmakers are engaged in a debate over a legislative memo concerning data centers, particularly regarding the costs associated with their electrical demands. Senator Steve Kolbeck, R-Brandon, an executive for Xcel Energy, criticized the 17-page 'Hyperscale Data Centers' issue memorandum, calling it 'very opinionated' and questioning the factual basis of some of its sources. Kolbeck, who cast the lone no vote against accepting the memorandum, argued that the report did not consult relevant stakeholders like electric cooperatives, investor-owned utilities, or the Public Utilities Commission. The memo, prepared by Legislative Research Council staff attorney Rachel Hale, was tasked with summarizing the effects and challenges of hyperscale data centers in other states, focusing on water and electricity. Hale defended her work, stating her sources included government publications, academic research, law review articles, and news reports, and that the assignment did not require stakeholder interviews...