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PRINTER'S NO. 1633
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No. 1297
Session of
2026
INTRODUCED BY KEARNEY, COLLETT, FONTANA, COSTA, CAPPELLETTI,
SCHWANK AND STREET, APRIL 23, 2026
REFERRED TO FINANCE, APRIL 23, 2026
AN ACT
Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An
act relating to tax reform and State taxation by codifying
and enumerating certain subjects of taxation and imposing
taxes thereon; providing procedures for the payment,
collection, administration and enforcement thereof; providing
for tax credits in certain cases; conferring powers and
imposing duties upon the Department of Revenue, certain
employers, fiduciaries, individuals, persons, corporations
and other entities; prescribing crimes, offenses and
penalties," in Computer Data Center Equipment Incentive
Program, further providing for application for certification
and for separation of facilities, providing for additional
eligibility requirements, further providing for notification,
for revocation of certification, for application for
certification and for separation of facilities, providing for
additional eligibility requirements and further providing for
notification and records and for revocation of certification.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 2912-D of the act of March 4, 1971
(P.L.6, No.2), known as the Tax Reform Code of 1971, is amended
by adding a paragraph to read:
Section 2912-D. Application for certification.
To be considered for a certification, an owner or operator of
a computer data center shall submit to the department an
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application on a form prescribed by the department that includes
the following:
* * *
(4.1) Beginning January 1, 2030, if the computer data
center is to qualify under sections 2915-D and 2915.1-D, an
affirmation, signed by an authorized executive representing
the owner or operator, that the computer data center has
satisfied the certification requirements under sections 2915-
D and 2915.1-D.
* * *
Section 2. Section 2914-D(a) of the act is amended to read:
Section 2914-D. Separation of facilities.
(a) Separate certification.--An owner or operator of a
computer data center may separate a facility into one or more
computer data centers, which may each receive a separate
certification, if each computer data center individually meets
the requirements prescribed in section 2915-D[.] and, beginning
January 1, 2030, the requirements prescribed in sections 2915-D
and 2915.1-D .
* * *
Section 3. The act is amended by adding a section to read:
Section 2915.1-D. Additional eligibility requirements.
In addition to the requirements under section 2915-D,
beginning January 1, 2030, a computer data center must meet all
of the following requirements:
(1) The computer data center shall purchase 100% of the
computer data center's annual electric load from a Tier I
alternative energy source as defined in section 2 of the act
of November 30, 2004 (P.L.1672, No.213), known as the
Alternative Energy Portfolio Standards Act.
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(2) T he computer data center shall demonstrate
sufficient investment in environmental management and energy
efficiency measures to provide systemwide benefits. The
department shall determine that t he owner or operator of the
computer data center has demonstrated sufficient investment
in environmental management and energy efficiency measures to
provide systemwide benefits if the computer data center has
attained certification under International Organization For
Standardization 14001 environmental management and two or
more of the following sustainable design or green building
standards on the effective date of this paragraph:
(i) Building Research Establishment Environmental
Assessment Methodology (BREEAM) for new construction or
BREEAM in-use.
(ii) Energy Star.
(iii) Envision.
(iv) ISO 50001 energy management.
(v) Leadership in Energy and Environmental Design
(LEED) for building design and construction or LEED for
operations and maintenance.
(vi) Green Globes for new construction or Green
Globes for existing buildings.
(vii) UL 3223.
(viii) Any other reasonable standards approved by
the department.
Section 4. Sections 2916-D and 2917-D(a) of the act are
amended to read:
Section 2916-D. Notification.
(a) Requirements satisfied.--On or before the fourth
anniversary of the certification of a computer data center, the
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owner or operator of a computer data center shall notify the
department in writing whether the computer data center for which
the certification is requested has satisfied the requirements
prescribed in section 2915-D and, beginning January 1, 2030, the
requirements prescribed in sections 2915-D and 2915.1-D.
(b) Records.--Until a computer data center satisfies the
requirements prescribed in section 2915-D, and, beginning
January 1, 2030, the requirements prescribed in sections 2915-D
and 2915.1-D, the owner, operator and qualified tenants shall
maintain detailed records of all investments created by the
computer data center, including costs of buildings and computer
data center equipment, and all tax refunds directly received by
the owner, operator or qualified tenant.
Section 2917-D. Revocation of certification.
(a) Revocation.--If the department determines that the
requirements of section 2915-D have not been satisfied or ,
beginning January 1, 2030, the requirements of sections 2915-D
and 2915.1-D have not been satisfied, the department may revoke
the certification of a computer data center.
* * *
Section 5. Section 2932-D(a) of the act is amended by adding
a paragraph to read:
Section 2932-D. Application for certification.
(a) Application.--To be considered for a certification, an
owner or operator of a computer data center shall submit to the
department an application on a form prescribed by the department
that includes all of the following:
* * *
(4) Beginning January 1, 2030, signed by an authorized
executive representing the owner or operator, that the
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computer data center is expected to satisfy the certification
requirements prescribed under sections 2935-D and 2935.1-D.
* * *
Section 6. Section 2934-D(a) and (c) of the act are amended
to read:
Section 2934-D. Separation of facilities.
(a) Separate certification.--An owner or operator of a
computer data center may separate a facility into one or more
computer data centers, which may each receive a separate
certification, if each computer data center individually meets
the requirements prescribed in section 2935-D and, beginning
January 1, 2030, the requirements prescribed in sections 2935-D
and 2935.1-D.
* * *
(c) Aggregation.--An owner or operator may aggregate one or
more parcels, buildings or condominiums in a facility into a
single computer data center for certification under this
subarticle if, in the aggregate, the parcels, buildings and
condominiums meet the requirements prescribed in section 2935-D
and, beginning January 1, 2030, the requirements prescribed in
sections 2935-D and 2935.1-D.
Section 7. The act is amended by adding a section to read:
Section 2935.1-D. Additional eligibility requirements.
In addition to the requirements under section 2935-D, i n
order to be certified under this subarticle, beginning January
1, 2030, an owner or operator of a computer data center must
meet all of the following requirements:
(1) The owner or operator of the computer data center
shall purchase 100% of the computer data center's annual
electric load from a Tier I alternative energy source as
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defined in section 2 of the act of November 30, 2004
(P.L.1672, No.213), known as the Alternative Energy Portfolio
Standards Act.
(2) The owner or operator of the computer data center
shall demonstrate sufficient investment in environmental
management and energy efficiency measures to provide system-
wide benefits. The department shall determine that t he owner
or operator of the computer data center has demonstrated
sufficient investment in environmental management and energy
efficiency measures to provide system-wide benefits if the
computer data center has attained certification under
International Organization For Standardization 14001
environmental management and two or more of the following
sustainable design or green building standards on the
effective date of this paragraph:
(i) Building Research Establishment Environmental
Assessment Methodology (BREEAM) for new construction or
BREEAM in-use.
(ii) Energy Star.
(iii) Envision.
(iv) ISO 50001 energy management.
(v) Leadership in Energy and Environmental Design
(LEED) for building design and construction or LEED for
operations and maintenance.
(vi) Green Globes for new construction or Green
Globes for existing buildings.
(vii) UL 3223.
(viii) Any other reasonable standards approved by
the department.
Section 8. Sections 2936-D(a) and 2937-D(a) of the act are
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amended to read:
Section 2936-D. Notification and records.
(a) Requirements satisfied.--On or before the fourth
anniversary of the certification of a computer data center, the
owner or operator of the computer data center shall notify the
department in writing whether the computer data center for which
the certification is requested has satisfied the requirements
prescribed under section 2935-D and, beginning January 1, 2030,
the requirements prescribed in sections 2935-D and 2935.1-D.
* * *
Section 2937-D. Revocation of certification.
(a) Revocation.--If the department determines that the
requirements of section 2935-D have not been satisfied or ,
beginning January 1, 2030, the requirements of sections 2935-D
and 2935.1-D have not been satisfied, the department may revoke
the certification of a computer data center.
* * *
Section 9. This act shall take effect in 60 days.
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