Congress is considering legislation that would require federal agencies to assess the impact of data centers on rural communities.
Congress is considering the Unleashing Low-Cost Rural AI Act, which would require the U.S. Departments of Agriculture, Energy, and the Interior to jointly study the impact of new data centers on rural communities. The study would examine the effects on power grids, energy costs, and water use, as well as whether data centers could be located near existing power sources, such as nuclear, solar, or wind, to ease the strain. Supporters argue that data centers can bring new jobs and tax revenue, but they also raise concerns that rising electricity and water demand could drive up costs for residents and put added pressure on already-stressed local infrastructure.
For Maryland’s counties, this has both opportunities and risks. More data centers could mean stronger tax bases and infrastructure upgrades, especially in rural or exurban areas. However, they may also compete with agriculture and local industry for resources, which can lead to increased utility costs. While not directly addressed in the legislation, a key issue to watch is federal preemption. If the federal government sets national rules, counties may lose some control over zoning, siting, and environmental safeguards.
