AMENDED IN SENATE AUGUST 13, 2026
AMENDED IN SENATE JULY 2, 2026
AMENDED IN SENATE JUNE 15, 2026
AMENDED IN ASSEMBLY MAY 22, 2026
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AMENDED IN ASSEMBLY MARCH 16, 2026
CALIFORNIA LEGISLATURE— 2025–2026 REGULAR SESSION
93
Introduced by Assembly Member Papan
February 20, 2026
An act to add Section 65964.7 to the Government Code, and to add Section 10609.13 to the Water Code, relating to water.
Vote: majority Appropriation: no Fiscal committee: yes Local program: yes
LEGISLATIVE COUNSEL’S DIGEST
The Planning and Zoning Law authorizes the legislative body of any county or city to adopt ordinances that, among other things, regulate the use of buildings, structures, and land as between industry, businesses, residences, and open space, as specified.
This bill would prohibit a city, county, or city and county from approving a discretionary or ministerial permit or other entitlement that would result in the construction, or an expansion that increases the maximum peak water use, of a data center unless specified conditions are satisfied, including, among others, that the applicant provides the city, county, or city and a county prescribed information. The bill would include in this prescribed information a water scarcity plan,
plan and a water supply assessment, and a water use assessment, each as provided. The bill would also include in the specified conditions that the applicant assumes responsibility for the full cost of any required water conveyance, treatment or storage, or distribution infrastructure improvements necessary to serve the project, as determined by the Department of Water Resources or the applicable water supplier. By expanding the duties of local agencies to administer these provisions, this bill would impose a state-mandated local program.
This bill would require the department to develop a definition and estimate of annual water consumption, no later than June 30, 2028, for CII water users that qualify as large consumptive-use facilities, including data centers and similar water consumption patterns, as provided.
The bill would include findings that changes proposed by this bill address a matter of statewide concern rather than a municipal affair and, therefore, apply to all cities, including charter cities.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for a specified reason.
The people of the State of California do enact as follows:
SECTION 1.
Section 65964.7 is added to the Government Code, to read:
65964.7.
(a) For purposes of this section:
(1) “Water section, “water scarcity plan” means a report that includes measures to be implemented during an abnormally dry year, a moderate drought year, a severe drought year, an extreme drought year, and an exceptional drought year, as defined by the
United States drought monitor, including staged withdrawal reductions, nonessential use curtailment, recycling and reuse, thermal load reductions, and temporary load shedding where necessary.
(A) A description of the data center, including its location, identification of the owner and operator, and a detailed description of operations.
(B) A detailed accounting of expected water intake, expressed in gallons per day and total volume, including:
(i) Maximum and average daily demand.
(ii) Maximum and average monthly demand.
(iii) Demand over an average 12-month consecutive period.
(iv) Water withdrawals.
(C) A detailed explanation of each direct water use, including, but not limited to, cooling systems, humidification, potable and sanitary uses, fire suppression systems, and maintenance operations. For each use, the assessment includes identification of all of the following:
(i) Input water quality requirements.
(ii) Whether the use is consumptive.
(iii) Average daily consumptive volume.
(iv) Whether the use is continuous, intermittent, or seasonal.
(v) Opportunities for reuse or closed-loop systems.
(D) A cooling alternatives analysis that compares the proposed cooling method to a range of alternatives, including all of the following:
(i) Evaluation of water use at the data center and at the site of energy generation.
(ii) Evaluation of impact on source water and water scarcity.
(iii) Consideration of closed-loop cooling.
(b) Notwithstanding any other law, a city, county, or city and county shall not approve a discretionary or ministerial permit or other entitlement that would result in the construction, or expansion that increases the maximum peak water use, of a data center unless all of the following conditions are satisfied:
(1) The applicant has provided the city, county, or city and county with all of the following:
(A) A water supply assessment, as described in Part 2.10 (commencing with Section 10910) of Division 6 of the Water Code, for the construction or expansion.
(B) Beginning January 1, 2028, a water scarcity plan, as defined in paragraph (1) of subdivision (a).
(C) Projected water use and water efficiency measures.
(D) Disclosures regarding workforce needs associated with the project, including all of the following:
(i) Workforce composition.
(ii) Job classifications.
(iii) Employment duration.
(iv) Wage ranges and benefits.
(v) The proportion of the workforce residing within the county in which the project is located.
(vi) The proportion of the workforce residing within the state.
(2) The applicant assumes responsibility for the full cost of any required water conveyance, treatment or storage, or distribution infrastructure improvements necessary to serve the project, as determined by the Department of Water Resources or the
applicable water supplier.
(3) Nothing in this section shall be construed to require a city, county, or city and county to approve a permit, entitlement, or other approval for the construction or expansion of a data center solely because the applicant has satisfied the requirements of this subdivision.
Section 10609.13 is added to the Water Code, to read:
10609.13.
The department, in coordination with the board, shall conduct necessary studies and investigations to develop a definition and estimate of annual water consumption, no later than June 30, 2028, for CII water users that qualify as large consumptive-use facilities, including data centers and similar water consumption patterns. CII outdoor irrigation water use that is served through a dedicated irrigation meter shall be excluded from the definition and estimate.
SEC. 3.SEC. 2.
The Legislature finds and declares that water conservation is a matter of statewide concern and is not a municipal affair as that term is used in Section 5 of Article XI of the California Constitution. Therefore, Section 1 of this act adding Section 65964.7 to the Government Code applies to all cities, including charter cities.
SEC. 4.SEC. 3.
No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because a local agency or school district has the authority to levy service charges, fees, or assessments sufficient to pay for the program or level of service mandated by this act, within the meaning of Section 17556 of the Government Code.