House Advances Ratepayer Protection Act to Curb AI Data Center Utility Costs

The House of Representatives voted 417-3 to advance the Ratepayer Protection Act, a bipartisan bill aimed at limiting utility rate hikes tied to new AI data center development. The Senate has not yet taken action.

What the bill would require regulators to do

The legislation would set standards for state regulators to require artificial intelligence data centers with a demand of 100 megawatts or more to cover the costs of building new power sources, transmission lines, and related infrastructure. The goal is to prevent those expenses from being passed on to consumers.

The bill was brought to the floor by House Speaker Mike Johnson using a process called suspension of the rules, which requires a two-thirds vote to pass.

Vote and who opposed it

Three lawmakers voted against the bill: Reps. Summer Lee of Pennsylvania, Delia Ramirez of Illinois, and Rashida Tlaib of Michigan were the only members to oppose it. All other House members supported advancing the measure.

Election pressure builds around data center regulation

Data centers have become a major issue ahead of the 2026 midterms. Republicans are trying to defend narrow majorities in both the House and Senate, while Democrats and outside groups argue the federal approach does not go far enough.

A cross-partisan grassroots movement opposing data center expansion has grown nationwide, with local residents citing higher utility costs near operational and proposed sites.

White House tie-in, outside group pushback

The bill would codify parts of the White House’s Ratepayer Protection Pledge, released in March by President Donald Trump. Rep. Kathy Castor, a Florida Democrat, said in June that ratepayers should not subsidize “wealthy corporations’ growing energy demands, especially from AI data centers.”

Environmental and anti-data center groups criticized the bill. The League of Conservation Voters said the measure relies on voluntary action by states, while Food & Water Watch argued it could speed construction and allow companies to claim they are paying for their own power. Food & Water Watch also called for a complete pause on new AI data centers.

Broader AI policy debate continues in Congress

House Minority Leader Hakeem Jeffries said he supports the bill but that “more clearly needs to be done,” and urged Republicans to keep the House in session beyond this week’s seven-week recess leading up to Nov. 3. He also called for action on broader AI concerns.

Separately, Sen. John Kennedy, R-La., said he plans to introduce an AI “kill switch” bill requiring companies to create a mechanism to shut down rogue technology.

Why it matters

If adopted by the Senate, the Ratepayer Protection Act would shape how states handle utility cost responsibility for large AI data centers, turning a local backlash into a federal policy framework before the 2026 election.