Who would pay for electricity-system upgrades?

VERBATIM RETAINED PASSAGEH.R. 10809 · IH · Introduced October 13, 2026§224(d)

    ``(d) Applicability.--
            ``(1) Prospective application.--Subsection (b) applies to a 
        covered load that interconnects on or after the date of 
        enactment of this section.
            ``(2) Existing arrangements.--An arrangement to serve a 
        covered load that was approved by the Commission or by a State 
        before the date of enactment of this section shall remain in 
        effect.''.

This passage supports the explanation above. It does not establish every legal effect or a household-bill outcome.

VERBATIM RETAINED PASSAGEH.R. 10809 · IH · Introduced October 13, 2026§224(c)

    ``(c) Rule of Construction.--Except as expressly provided in 
subsection (b), nothing in this section expands or diminishes the 
jurisdiction of the Commission or of any State, including State 
authority over retail electric service, rate design, and resource 
planning.

This passage supports the explanation above. It does not establish every legal effect or a household-bill outcome.

VERBATIM RETAINED PASSAGEH.R. 9340 · EH · House-passed September 16, 2026EH §2(a), proposed §111(d)(22)(A)

                    ``(A) Recovery of full, incremental cost of 
                upgrades.--A rate charged, or entered into, by an 
                electric utility for providing electric service to a 
                large-load customer shall be designed to recover from 
                the large-load customer the full, incremental cost of 
                any generation, transmission, or distribution upgrade 
                necessary to serve the load of such large-load 
                customer, including in the event of such large-load 
                customer terminating a contract or other agreement with 
                the electric utility pertaining to the sale of electric 
                energy, or otherwise ceasing the purchase of electric 
                energy from the electric utility.

This passage supports the explanation above. It does not establish every legal effect or a household-bill outcome.

VERBATIM RETAINED PASSAGEH.R. 9340 · EH · House-passed September 16, 2026Proposed §111(d)(22)(C)

                    ``(C) Large-load customer defined.--In this 
                paragraph, the term `large-load customer' means a non-
                residential electric consumer that, on or after the 
                date of the enactment of this paragraph, requests to 
                enter into, or enters into, a contract or other 
                agreement pertaining to the sale of electric energy for 
                one or more facilities that--
                            ``(i) require electric energy primarily to 
                        operate information technology infrastructure 
                        and related systems pertaining to data storage 
                        and computational applications and services; 
                        and
                            ``(ii) have, in the aggregate, a peak 
                        electric demand of 100 megawatts or more at a 
                        single site or campus.''.

This passage supports the explanation above. It does not establish every legal effect or a household-bill outcome.

VERBATIM RETAINED PASSAGEH.R. 9340 · EH · House-passed September 16, 2026Proposed §111(d)(22)(A)–(B)

                    ``(A) Recovery of full, incremental cost of 
                upgrades.--A rate charged, or entered into, by an 
                electric utility for providing electric service to a 
                large-load customer shall be designed to recover from 
                the large-load customer the full, incremental cost of 
                any generation, transmission, or distribution upgrade 
                necessary to serve the load of such large-load 
                customer, including in the event of such large-load 
                customer terminating a contract or other agreement with 
                the electric utility pertaining to the sale of electric 
                energy, or otherwise ceasing the purchase of electric 
                energy from the electric utility.
                    ``(B) Financial assurances and contributions.--
                Before making any generation, transmission, or 
                distribution upgrade that is necessary to serve the 
                load of a large-load customer, an electric utility 
                shall require the large-load customer provide to the 
                electric utility financial assurances or contributions 
                to cover the cost of such upgrade.

This passage supports the explanation above. It does not establish every legal effect or a household-bill outcome.

VERBATIM RETAINED PASSAGEH.R. 9340 · EH · House-passed September 16, 2026Proposed §112(b)(9), §112(i)

    (b) Conforming Amendments.--
            (1) Obligations to consider and determine.--Section 112 of 
        the Public Utility Regulatory Policies Act of 1978 (16 U.S.C. 
        2622) is amended--
                    (A) in subsection (b), by adding at the end the 
                following:
            ``(9)(A) Not later than 1 year after the date of enactment 
        of this paragraph, each State regulatory authority (with 
        respect to each electric utility for which the State has 
        ratemaking authority) and each nonregulated electric utility 
        shall commence consideration under section 111, or set a 
        hearing date for consideration, with respect to the standard 
        established by paragraph (22) of section 111(d).
            ``(B) Not later than 2 years after the date of enactment of 
        this paragraph, each State regulatory authority (with respect 
        to each electric utility for which the State has ratemaking 
        authority) and each nonregulated electric utility shall 
        complete the consideration and make the determination under 
        section 111 with respect to the standard established by 
        paragraph (22) of section 111(d).'';
                    (B) in subsection (c)--
                            (i) by striking ``subsection (b)(2)'' and 
                        inserting ``subsection (b)''; and
                            (ii) by inserting ``In the case of the 
                        standard established by paragraph (22) of 
                        section 111(d), the reference contained in this 
                        subsection to the date of enactment of this Act 
                        shall be deemed to be a reference to the date 
                        of enactment of that paragraph (22).'' after 
                        ``paragraph (21).''; and
                    (C) by adding at the end the following:
    ``(i) Other Prior State Actions.--Subsections (b) and (c) shall not 
apply to the standard established by paragraph (22) of section 111(d) 
in the case of any electric utility in a State if, before the date of 
enactment of this subsection--
            ``(1) the State has implemented for the electric utility 
        the standard (or a comparable standard);
            ``(2) the State regulatory authority for the State or the 
        relevant nonregulated electric utility has conducted a 
        proceeding to consider implementation of the standard (or a 
        comparable standard) for the electric utility; or
            ``(3) the State legislature has voted on the implementation 
        of the standard (or a comparable standard) for the electric 
        utility.''.

This passage supports the explanation above. It does not establish every legal effect or a household-bill outcome.

VERBATIM RETAINED PASSAGEH.R. 10809 · IH · Introduced October 13, 2026IH §2/new §224(a)(2)–(3)

            ``(2) Covered load.--The term `covered load' means electric 
        load that--
                    ``(A) is attributable to 1 or more data centers or 
                high-density computing facilities located at a single 
                site, or at multiple sites under common ownership or 
                control; and
                    ``(B) equals or exceeds 20 megawatts or, in the 
                case of data centers or high-density computing 
                facilities developed in phases, is reasonably expected 
                to equal or exceed 20 megawatts at full buildout.
            ``(3) Data center or high-density computing facility.--
                    ``(A) In general.--The term `data center or high-
                density computing facility' means a facility, or group 
                of colocated facilities, the primary purpose of which 
                is to house computing, networking, or data storage 
                equipment used to process, store, or transmit digital 
                data, including equipment used for--
                            ``(i) artificial intelligence training or 
                        inference;
                            ``(ii) cloud computing or data hosting; or
                            ``(iii) cryptocurrency mining or other 
                        distributed-ledger or digital-asset 
                        computation.
                    ``(B) Exclusion.--The term `data center or high-
                density computing facility' does not include computing 
                or data storage equipment that is ancillary to a 
                facility the primary purpose of which is a commercial 
                or industrial activity other than an activity described 
                in subparagraph (A).

This passage supports the explanation above. It does not establish every legal effect or a household-bill outcome.

VERBATIM RETAINED PASSAGEH.R. 10809 · IH · Introduced October 13, 2026§224(a)(4)

            ``(4) Incremental cost.--The term `incremental cost' means 
        the cost that would be avoided had a specific covered load not 
        been served by the electric utility, including all costs to 
        construct, own, and operate power generation or storage 
        resources and electric transmission and distribution services 
        associated with serving the covered load, based on costs 
        estimated by the electric utility at or around the time that 
        the covered load becomes operational and subject to approval by 
        the Commission or a State, as appropriate.

This passage supports the explanation above. It does not establish every legal effect or a household-bill outcome.

VERBATIM RETAINED PASSAGEH.R. 10809 · IH · Introduced October 13, 2026§224(b)(1)

            ``(1) No subsidy of covered load.--No portion of the 
        incremental cost may be allocated to, or recovered in the rates 
        of, any customer other than a covered load.

This passage supports the explanation above. It does not establish every legal effect or a household-bill outcome.

VERBATIM RETAINED PASSAGEH.R. 10809 · IH · Introduced October 13, 2026§224(b)(2)

            ``(2) Surplus permitted.--Paragraph (1) does not limit the 
        authority of the Commission or a State, under any other 
        provision of law, to recover from covered loads amounts in 
        excess of incremental cost and to credit those amounts to other 
        customers as a rebate or a reduction to the utility costs that 
        are used as a basis for the calculation of customer rates.

This passage supports the explanation above. It does not establish every legal effect or a household-bill outcome.

VERBATIM RETAINED PASSAGEH.R. 10809 · IH · Introduced October 13, 2026§224(b)(3)–(4)

            ``(3) Continuing recovery on exit.--A rate, charge, or 
        agreement for service to a covered load shall be designed to 
        recover from the covered load the full incremental cost of the 
        electric utility, and such recovery shall continue 
        notwithstanding the termination by the covered load of a 
        contract or other agreement pertaining to the sale of electric 
        energy, or the cessation by the covered load of the purchase of 
        electric energy, before that incremental cost has been fully 
        recovered.
            ``(4) Financial assurance.--Before constructing, or making 
        an upgrade to, a generation, transmission, or distribution 
        facility necessary to serve a covered load, an electric utility 
        shall require the covered load to provide financial assurances 
        or contributions sufficient to cover the cost of the facility 
        or upgrade, subject to the condition that any financial 
        assurances or contributions provided by the applicable covered 
        load to a public utility or Transmission Organization for the 
        same facility or upgrade shall be credited against the 
        requirement of this paragraph.

This passage supports the explanation above. It does not establish every legal effect or a household-bill outcome.

VERBATIM RETAINED PASSAGEH.R. 10809 · IH · Introduced October 13, 2026§224(d)

    ``(d) Applicability.--
            ``(1) Prospective application.--Subsection (b) applies to a 
        covered load that interconnects on or after the date of 
        enactment of this section.
            ``(2) Existing arrangements.--An arrangement to serve a 
        covered load that was approved by the Commission or by a State 
        before the date of enactment of this section shall remain in 
        effect.''.

This passage supports the explanation above. It does not establish every legal effect or a household-bill outcome.

VERBATIM RETAINED PASSAGEH.R. 10809 · IH · Introduced October 13, 2026§224(c)

    ``(c) Rule of Construction.--Except as expressly provided in 
subsection (b), nothing in this section expands or diminishes the 
jurisdiction of the Commission or of any State, including State 
authority over retail electric service, rate design, and resource 
planning.

This passage supports the explanation above. It does not establish every legal effect or a household-bill outcome.