When meeting with Nebraskans, I often receive questions about artificial intelligence, or AI, and data centers. I understand the curiosity surrounding these issues, because these topics dominate the news cycle nearly every day. AI is technology that enables computers and machines to perform tasks we associate with human intelligence, such as learning and problem-solving. While ChatGPT or Claude usually come to mind first, AI is also used to make farming more productive, solve mathematical equations faster, and make manufacturing processes more efficient.
But what is a data center? Data centers are facilities that host computers and servers that store, process, and share digital information. They power nearly everything we access online, including livestreams, online banking, and Facebook. These facilities also run massive AI models, which require large amounts of electricity to power the computers.
The possibilities enabled by AI are positive. We can analyze X-rays, measure distances on a battlefield, and calculate projections with greater speed than ever before. But as with any technological advancement, there are other impacts that must be considered.
Because AI uses significant energy, many Americans living near data centers are understandably concerned about their energy bills increasing. Nebraska families, farmers, and Main Street businesses shouldn’t see their utility rates go up because a data center needs millions of dollars in new electrical infrastructure.AI is becoming the backbone of innovation, competitiveness, and job growth. At the same time, AI and data centers that power it should be a net positive for communities where they are built.
That is why I cosponsored and voted for the Ratepayer Protection Act. Unfortunately, it failed to pass the Senate’s 60-vote threshold; not enough Democrats joined us in supporting this pragmatic policy. This is particularly perplexing given that the same bill passed the House overwhelmingly with the support of 206 Democrats. I am frustrated because this commonsense legislation would have established federal standards for states to consider as data centers expand.
These standards include requiring large data centers to cover the cost of any new infrastructure or electrical generation they need to power its systems. They also include instituting financial protections for customers if a data center no longer needs the infrastructure it built to serve its needs.
Communities know their needs best. Local utility providers understand exactly how their grids operate and their capacity needs. This legislation provides a framework for states when a large data center requires new power generation and infrastructure. These standards can be used to ensure households aren’t forced to foot the bill for higher electricity costs imposed by data centers.
Americans have always been fueled by bold ideas and ambitious citizens. Over the past 250 years, we’ve led the world in entrepreneurship, creativity, and new possibilities. I have faith that we will continue to do so. Thank you for participating in the democratic process. I look forward to visiting with you again next week.
