The Little Hoover Commission will hold a virtual public hearing on Nov. 20 to examine the impact of data centers on California’s electricity system. The hearing is scheduled for 2 pm, the oversight agency announced.

The hearing follows a legislative session in which lawmakers advanced several bills addressing data centers’ water and electricity use. While one proposal was signed into law, another was vetoed, and a third stalled in committee.

Senate Bill 57 (Padilla -D), signed by the governor in October, authorizes the California Public Utilities Commission to assess whether costs tied to new energy demands from data centers are being shifted to other utility customers. The CPUC must submit its findings to legislative policy committees and post the report online by Jan. 1, 2027.

Assembly Bill 93 (Papan -D), which would have required data center operators to report estimated and annual water use to their water suppliers, was vetoed. The bill also proposed authorizing the Department of Water Resources to set water efficiency standards based on different data center tiers. In his veto message, the governor cited implementation concerns and potential overlap with existing water reporting frameworks.

Assembly Bill 222 (Bauer-Kahan-D), did not advance past legislative deadlines. The bill would have required data center owners to submit power usage reports to the California Energy Commission on a biannual basis. The two-year bill may advance in January after the Legislature reconvenes.

The Little Hoover Commission, an independent oversight agency, that reviews state programs and policies, and makes recommendations to the Legislature and Governor to promote efficiency in government operations and programs.

More details on the hearing can be found here: https://lhc.ca.gov/events/virtual-hearing-on-data-centers-and-the-electricity-system/?section=events