LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
FISCAL IMPACT STATEMENT
LS 6337 NOTE PREPARED: Dec 4, 2024
BILL NUMBER: SB 135 BILL AMENDED:
SUBJECT: Data Center Development.
FIRST AUTHOR: Sen. Ford J.D. BILL STATUS: As Introduced
FIRST SPONSOR:
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
XDEDICATED
FEDERAL
Summary of Legislation: Company Reports to IURC: This bill requires: (1) a person that operates a data
center in Indiana to submit to the Indiana Utility Regulatory Commission (IURC) a quarterly report of the
amount of electricity used by the data center in the immediately preceding quarter; and (2) the IURC to
publish a summary of the reported information on the IURC's website.
Local Government Reporting: The bill provides that a county, municipality, or township shall, before issuing
a permit to a person for construction of a data center: (1) require the person to disclose the projected power
and water usage of the facility; and (2) perform a site assessment to determine the possible effects of the data
center.
IURC Electricity Projections: This bill also requires the IURC to establish a working group to: (1) determine
an estimate of the future electricity demands of the data center industry in Indiana; and (2) report to the
General Assembly regarding the working group's findings and recommendations not later than October 31,
2025.
Effective Date: Upon passage; July 1, 2025.
Explanation of State Expenditures: Company Reports to IURC: This bill would increase the workload of
the IURC to collect quarterly reports on data center electricity use in the state and subsequently publish this
information on its website. The bill’s requirements are within the agency’s routine administrative functions
and should be able to be implemented with no additional appropriations, assuming near customary agency
staffing and resource levels.
IURC Electricity Projections: This bill’s requirement of the IURC to establish a working group to estimate
future electricity demands of data centers in the state will increase the IURC’s workload in providing staff
oversight for working group. Additionally, the expenses of the working group shall be paid from funds
appropriated to the IURC.
The IURC will pay for the mileage and travel expenses of working group members who are not state
SB 135 1 employees or are state employees but not members of the General Assembly. Per diem, mileage, and travel
allowances of working group members who are also members of the General Assembly will be paid from
appropriations to the Legislative Council or the Legislative Services Agency. The total reimbursement
expenses for the working group is dependant on how many members the chairman of the IURC appoints, and
how often travel is necessary for the members that comprise the working group. The working group will have
at least 6 members.
Additional Information: The operating budget of the IURC is funded by regulated utilities operating in
Indiana. The rate at which to bill the utilities is based on the agencies' budgets, less reversions, divided by
the total amount of gross intrastate operating revenue received by the regulated utilities for the previous fiscal
year. Based on this formula, utilities are currently billed approximately 0.12% of their gross intrastate
operating revenues to fund the IURC.
The mileage allowance is $0.49 per mile driven for lay working group members. The mileage allowance in
$0.67 per mile driven for General Assembly members. Legislative per diem is currently $213.
Explanation of State Revenues:
Explanation of Local Expenditures: Local Government Reporting: This bill allows local governments to
perform site assessments to assess possible effects of a data center on water usage, the electrical grid, carbon
emissions, and agriculture. Such assessments may increase the workload and costs of their utility,
sustainability, agricultural, or other related local government departments.
Explanation of Local Revenues:
State Agencies Affected: Indiana Utility Regulatory Commission; Legislative Services Agency
Local Agencies Affected: Local Government Sustainability, Utility, and Agriculture Departments
Information Sources: Indiana Department of Administration;
https://www.in.gov/idoa/procurement/travel-services/
Fiscal Analyst: Abdulrahman Abdulkadri, 317-232-9852.
SB 135 2