Public pushback puts bit barn resource use under the microscope.
California Governor Gavin Newsom on Monday signed seven state bills that need datacenter operators to report more info about their operations, and to involve communities as they plan future facilities.
The California Assembly Bills and Senate Bills signed by Newsom need greater disclosure of datacenter water and electricity use, address who pays for grid connections and other power infrastructure, and introduce rules covering electricity rates, water resources, and environmental review.
California state senator Steve Padilla said the bills will ensure that datacenters pay for energy grid connection, for electricity generation costs, and for a larger share of wildfire mitigation and liability costs.
The governor's office cited the Trump administration's dismissal of Americans' concerns about AI and datacenters to emphasize Newsom's willingness to constrain an industry of significance to California's economy.
Much has been said about the need to regulate the safety of AI services, and the environmental impact of the datacenters that host them.
The White House has pushed to accelerate datacenter deployment with executive orders and President Trump has insisted regulation is not necessary.
Yet datacenters have proven unpopular with local communities the potential for increased noise, pollution, and energy prices, plus general unease about AI's effect on labor and society.
According to the National Conference of State Legislatures, 16 states are now considering whether to ban datacenter construction.
The watchdog group estimates that at least 45 projects worth about $68 billion were blocked or delayed in the second quarter of 2026.