Water resources: data centers.

Assembly Member Papan's data center water usage legislation establishes new reporting requirements for California facilities that process, store, or distribute electronic data. The measure creates three tiers of data centers based on server capacity and power consumption, ranging from smaller facilities using under 2 megawatts to large-scale operations exceeding 25 megawatts.

Under the proposed framework, data center operators must provide water suppliers with usage estimates before applying for initial business licenses from cities or counties. The application process requires self-certification that these estimates were submitted. For license renewals, operators must certify they have reported their actual annual water consumption to suppliers. These requirements apply uniformly across all California jurisdictions, including charter cities, as the bill designates water conservation a matter of statewide concern.

The Department of Water Resources will develop efficiency guidelines and best management practices for data centers. One year after these standards are established, facilities must self-certify compliance to obtain or renew business licenses. The bill defines data centers as commercial, industrial, and institutional users under California's water conservation regulations, placing them within existing frameworks for urban water use objectives.