Sen. Rupie Phillips, R-Logan, speaks against House Bill 4983 on the Senate floor in Charleston, West Virginia, on Tuesday, March 11. Phillips said he did not support an amendment passed by the Senate that would direct developers to include water use among potential excessive burdens that should be examined when developing new data centers. (Photo by Will Price/West Virginia Legislative Photography)
The West Virginia Senate on Wednesday approved an amended version of a rules package that governs how the Commerce Department will certify and approve new microgrids and data centers proposed in the state.
Last week, the Senate Judiciary Committee changed The bill would include language under the “disproportionate burden” clause in the rules that would outline that potential water use will be studied and water sources will be “carefully protected” in applications and development plans submitted by developers.
House Bill 4983 passes the Senate 28-6 on Wednesday. Five Republicans and Sen. Joey Garcia, D-Marion, voted against the bill.
On Tuesday — as HB 4983 was on second reading in the Senate — Sen. Rupie Phillips, R-Logan, voiced his opposition to the amended version of the bill. He said requiring developers to include water in reports and studies “could impact many other industries.” Phillips did not elaborate on what he meant. The rules particularly apply to developers building powerful data centers and microgrids that could power them.
Under the proposed rulesDevelopers seeking certification must indicate whether their proposed project could impose a significant and unreasonable burden on surrounding property owners due to its location, environmental risks, proximity to schools, homes or historic sites, and, as amended, local water sources. Developers must communicate how they plan to offset these potential harms, and the Department of Commerce will have the right to independently verify or challenge developers’ claims.

Senate Judiciary Chairman Tom Willis, R-Berkeley, said on the floor Tuesday that while the amendment adopted by his committee would impose a “more burdensome requirement” on developers, it was intended to address concerns repeatedly raised by community members who live where developments have been proposed.
However, while Commerce has the ability to investigate claims made, developers are the only ones responsible for identifying potential risks that their projects may pose. Nicholas Preservati, the acting secretary of the Department of Commerce, confirmed this during the rulemaking process in January that information collected by the department about potential “disproportionate burdens” due to possible trade secrets would be kept confidential.
Some data centers can use up to 5 million gallons of drinking water per day, straining resources in communities. Water consumption by data centers nationwide tripled between 2014 and 2023, according to a study released earlier this month by environmental group Food and Water Watch. By 2028, they could use up to 720 billion gallons of water annually just to frosty AI data servers, according to the report.
The Consequences of that Water consumption are becoming clearer as communities across the country these are located alongside new data center developments have been patted dehydrated or had their water contaminated.
HB 4983 passed the House of Representatives in February. There the MPs voted against two amendments. One would have Developers were required to provide specific information about where they would source water for operations, how much water they expected to use, and what impact that water use might have on local residents. The other one They would have restricted water use, introduced transparency measures, created a 500-foot “buffer zone” for the developments and allowed residents to petition for proposals they believed could have a “significant impact” on their communities.
The proposed rules refer to last year’s passage of HB 2014which created the certified microgrid program and establish guidelines for the operation of certain data centers coming into the state. The rulemaking process began in November at the state Department of Economic Development.
In DecemberMore than 930 residents provided public comments on the proposed rules. They cited concerns about developments that could harm the economy Environment, Infrastructure and the Business in communities they are built, as are problems with the lack of local control And transparency within the proposed rules.
In the year since the passage of HB 2014, residents in numerous communities have organized against the developments. She Worries their communities will be irreparably changed through the data centers and microgrids – often gigantic, natural gas-powered power plants – built to power them.
Now that the bill has passed the Senate, lawmakers in the House of Representatives will vote on whether or not to accept the changes made in it. The 2026 legislative session is scheduled to end at midnight on March 14.
YOU MAKE OUR WORK POSSIBLE.

