Pennsylvania SB 939: Establishing the Office of Transformation and Opportunity and the Artificial Intelligence, Data Center and Emerging Technology Regulatory Sandbox Program; and providing for powers and duties of office and for permits for high impact data centers that have their own power.

Bill Text

PRIOR PRINTER'S NO. 1048 PRINTER'S NO. 1424
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No. 939
Session of
2025
INTRODUCED BY ROTHMAN, PENNYCUICK, FLYNN AND VOGEL,
JULY 14, 2025
SENATOR PENNYCUICK, COMMUNICATIONS AND TECHNOLOGY, AS AMENDED,
FEBRUARY 4, 2026
AN ACT
Providing for high impact data centers; establishing
ESTABLISHING the Office of Transformation and Opportunity and
the Artificial Intelligence, Data Center and Emerging
Technology Regulatory Sandbox Program; and providing for
powers and duties of office AND FOR PERMITS FOR HIGH IMPACT
DATA CENTERS THAT HAVE THEIR OWN POWER.
TABLE OF CONTENTS
Chapter 1. Preliminary Provisions
Section 101. Short title.
Section 102. Definitions.
Section 103. Establishment of office.
Chapter 3. High Impact Data Centers
Section 301. High impact data center.
Section 302. Uniformity of local ordinances.
CHAPTER 3. (RESERVED)
Chapter 5. Artificial Intelligence, Data Center and Emerging
Technology Regulatory Sandbox Program
Section 501. Definitions (RESERVED).
Section 502. Artificial Intelligence, Data Center and Emerging
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Technology Regulatory Sandbox Program.
Section 503. Review of application.
Section 504. Test period.
Section 505. Liability.
Section 506. Termination of participation in program.
Section 507. Business losses and expenses.
Section 508. Consumer protection.
Section 509. Exiting the program.
Section 510. Extension.
Section 511. Recordkeeping.
Section 512. Report to General Assembly.
Chapter 7. Fast Track
Section 701. High Impact Data Center Permit Program.
Section 702. Relationship with other agencies.
Section 703. Permit approval.
Section 704. Deemed approval of permit.
CHAPTER 7. BRING YOUR OWN GENERATION
SECTION 701. PERMIT APPROVAL.
SECTION 702. DEEMED APPROVAL OF PERMIT.
SECTION 703. CRITERIA.
Chapter 9. Duties of Office
Section 901. Enumeration of duties.
Section 902. Staffing and administration.
Section 903. Reports.
Chapter 11. Miscellaneous Provisions
Section 1101. (Reserved).
Section 1102. Effective date.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
CHAPTER 1
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PRELIMINARY PROVISIONS
Section 101. Short title.
This act shall be known and may be cited as the Artificial
Intelligence and Data Center Act.
Section 102. Definitions.
The following words and phrases when used in this act shall
have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Affiliated group." One or more chains of corporations,
limited liability entities or partnerships, or any combination
thereof, connected through the ownership of stock or ownership
interests with a common parent that is a corporation, limited
liability entity or partnership, but only if the common parent
owns directly, or indirectly, a controlling interest in each of
the members of the group.
"Artificial intelligence." Technology or tools that use
predictive algorithms to create new content, including audio,
code, images, text simulations or videos.
"Critical IT load." That portion of electric power capacity,
expressed in terms of megawatts, that is reserved solely for
owners or tenants of a data center to operate their computer
server equipment. The term does not include an ancillary load
for common areas.
"AFFILIATED GROUP." A PERSON THAT DIRECTLY OR INDIRECTLY,
THROUGH ONE OR MORE INTERMEDIARIES, CONTROLS OR IS CONTROLLED
BY, OR IS UNDER COMMON CONTROL WITH THE PERSON SPECIFIED.
"APPLICABLE AGENCY." ANY DEPARTMENT, BOARD OR COMMISSION OF
THE COMMONWEALTH.
"APPLICANT." AN INDIVIDUAL OR ENTITY THAT APPLIES TO
PARTICIPATE IN THE PROGRAM.
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"ARTIFICIAL INTELLIGENCE." THE FOLLOWING:
(1) A MACHINE-BASED SYSTEM THAT CAN, FOR A GIVEN SET OF
HUMAN-DEFINED OBJECTIVES, MAKE PREDICTIONS, RECOMMENDATIONS
OR DECISIONS INFLUENCING REAL OR VIRTUAL ENVIRONMENTS,
INCLUDING THE ABILITY TO:
(I) PERCEIVE REAL AND VIRTUAL ENVIRONMENTS;
(II) ABSTRACT PERCEPTIONS MADE UNDER THIS PARAGRAPH
INTO MODELS THROUGH ANALYSIS IN AN AUTOMATED MANNER; AND
(III) USE MODEL INFERENCE TO FORMULATE OPTIONS FOR
INFORMATION OR ACTION BASED ON OUTCOMES UNDER
SUBPARAGRAPHS (I) AND (II).
(2) THE TERM INCLUDES GENERATIVE ARTIFICIAL
INTELLIGENCE.
"ARTIFICIAL INTELLIGENCE, DATA CENTER AND EMERGING TECHNOLOGY
PRODUCT OR SERVICE." A PRODUCT OR SERVICE INVOLVING ARTIFICIAL
INTELLIGENCE, DATA CENTER AND EMERGING TECHNOLOGY THAT REQUIRES
COMMONWEALTH LICENSURE, REGISTRATION OR OTHER AUTHORIZATION.
"CONSUMER." A PERSON THAT PURCHASES OR OTHERWISE ENTERS INTO
A TRANSACTION AGREEMENT TO RECEIVE AN INNOVATIVE ARTIFICIAL
INTELLIGENCE, DATA CENTER AND EMERGING TECHNOLOGY PRODUCT OR
SERVICE THAT IS BEING TESTED BY A PARTICIPANT.
"Data center." A facility or group of facilities that is
used to ho