Saturday, October 24, 2026

Sen. Yaw To Introduce A.I. Data Center Impact Fee Modeled On Act 13 Shale Gas Impact Fee To Help Address Local Impacts

On October 23, Sen. Gene Yaw (R-Lycoming)
announced his intent to introduce legislation to enact an A.I. Data Center Impact fee modeled on the Act 13 shale gas impact fee to help address local impacts of data centers.

"Pennsylvania is experiencing increased interest in data center development, bringing opportunities for investment, construction, and economic growth," said Sen. Yaw. 

"However, these facilities can also place substantial demands on local roads, emergency services, water resources, public infrastructure, and the surrounding environment. 

“Communities hosting these facilities should have a reliable source of funding to address these impacts.

"The Marcellus Shale impact fee provides a proven Pennsylvania framework for collecting revenue from an industry and distributing a portion of those funds to communities and statewide programs affected by its development.

"My legislation would establish an annual impact fee on qualifying data centers operating in the Commonwealth, with the amount assessed based on the facility’s size and electricity demand. 

“The fee would be designed to provide predictable annual revenue throughout a facility’s operating life, rather than relying exclusively on one-time payments negotiated during project development.

"Pennsylvania has already demonstrated through its Marcellus Shale impact fee that a statewide fee and distribution model can direct meaningful resources toward communities affected by major industrial development. 

“A similar framework for data centers would provide a consistent, transparent approach to addressing the infrastructure and environmental demands associated with this growing industry.

"This legislation would help ensure that Pennsylvania communities have the resources necessary to accommodate responsible data center development while protecting taxpayers and addressing local impacts."

Click Here for a copy of the announcement.

The text of the bill was not made available with the announcement.

Related Articles This Week:

-- Joint State Government Commission Issues Update On Report Looking At The Costs, Benefits And Risks Of Pennsylvania Participating In The PJM Interconnection; Hearings To Be Held  [PaEN]

-- PUC Launches Working Group To Review Electric, Natural Gas, Water & Wastewater Utility Ratemaking, Address Affordability, Transparency And Changing Economic Conditions  [PaEN]  

-- PA House Sends Clean Energy, PA EDGE Tax Credits, New Fee For Electric Ratepayer Rebates Legislation Back To Senate For Action; Does NOT Repeal Data Center Tax Exemption  [PaEN] 

-- DEP Announces $14.4 Million Investment Of Federal Funds to Strengthen PA’s Electric Grid, Improve Electric Grid Reliability

-- PUC Approves 3.94% Increase In National Fuel Gas Rates; One-Time $30 Credit For Low Income Customers; Enhanced Energy Efficiency Pilot; Extended Temporary Weather Normalization Charge

-- PUC Chairman Steve DeFrank Elected President Of The Organization Of PJM States

NewsClips:

-- Post-Gazette - Anya Litvak: Electric Bills In The Pittsburgh Region Will Rise Again This Winter

-- KDKA: Electric Rates To Rise This Winter In PA As Power Demand Outpaces Supply Due To A.I. Data Center Demand, Experts Say

-- Post-Gazette - Anya Litvak: PUC Denies FirstEnergy’s Idea For Controlling Electric Bills Among Shopping Customers  

-- ABC27: Bills That Could Ease High Electric Rates Trapped In PA Senate Legislative Limbo

-- Spotlight PA: PA Legislature Set To Wrap Up Its Session, Many Bipartisan Bills Left Stranded [Data Centers, Allowing Sexual Abuse Survivors To Sue, Rewriting Illegal 2nd Degree Murder Law, No Gift Ban] 

-- Pittsburgh Business Journal: Washington & Jefferson College Survey Finds 64% Of Adults In PA Want More Regulation Of Data Centers; 59% See No Or Little Benefit Of Data Centers; 47.5% Oppose Data Centers 

-- AP: Facing Pushback On A.I. Data Centers, Tech Giants Are Promising Hosts More Money, Fewer Secrets [PA Included]

-- WHYY - Susan Phillips: How A.I. Data Center Battles In Philadelphia Suburbs Could Impact Party Control Of The PA General Assembly

-- Inside Climate News: With A Trifecta, PA Democrats Would Pass Energy Reforms And Rein In A.I. Data Centers; But Gov. Josh Shapiro May Be ‘The Limiting Factor’ 

-- Inside Climate News: A.I.Data Centers Are ‘Front And Center’ In PA’s Competitive Congressional Elections

[Posted: October 24, 2026]  PA Environment Digest

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