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1 New Chapter; DATA-CENTER INVESTMENTS AND GRID MODERNIZATION. Amend RSA 162-U by inserting after chapter 162 the following new chapter:
CHAPTER 162-V
DATA-CENTER INVESTMENTS AND GRID MODERNIZATION
162-V:1 Purpose. The purpose of this chapter is to attract large-scale data-center campuses to New Hampshire, modernize the electric grid through diversified non-gas generation, protect ratepayers from infrastructure costs, deliver local benefits, and strengthen workforce pipelines through partnerships with the university system and community colleges.
162-V:2 Definitions. In this subdivision:
I. "Data-center campus" means a facility or group of facilities primarily engaged in data processing, storage, and transmission, with minimum capital investment, square footage, and job creation thresholds established by rule.
II. "Grid modernization agreement" or "GMA" means a binding agreement between a developer and the department of energy and public utilities commission that includes cost-sharing, energy sourcing, and community benefit provisions.
III. "Non-gas generation" means electricity generated from nuclear, hydroelectric, solar with storage, wind, or geothermal sources.
162-V:3 Property-Tax Stabilization Agreements. Notwithstanding RSA 72:81, a municipality may offer a phased property-tax stabilization agreement or payment in lieu of taxes ("PILOT") for a qualifying data-center campus. The agreement may phase in full taxation over a period not to exceed 12 years. Eligibility criteria shall include minimum capital investment, facility size, and job creation thresholds, as defined by municipal vote and approved by the department of revenue administration.
162-V:4 Transferable Business Tax Credit. A developer of a qualifying data-center campus shall be eligible for a transferable credit against the business profits tax and business enterprise tax equal to a percentage of construction costs, subject to a statewide cap of 20 percent of the total construction costs. The credit may be transferred to other New Hampshire taxpayers. The department of revenue administration shall administer registration, tracking, and transfer of credits.
162-V:5 Grid Modernization Agreement Required. As a condition of receiving any incentive under this chapter, a developer shall enter into a GMA with the department of energy and public utilities commission. The GMA shall include:
I. Full payment of direct interconnection costs and a defined share of network upgrades.
II. Annual procurement or financing of non-gas generation equal to the facility's annual New Hampshire load.
III. Enrollment in grid-stabilizing programs, including demand response.
IV. Enforcement mechanisms and claw-back provisions.
162-V:6 Fast-Track Siting. The department of energy, in coordination with municipalities, shall designate eligible industrial and brownfield zones for fast-track permitting. Projects sited in such zones shall be subject to expedited review, provided they comply with environmental standards and local zoning.
162-V:7 Community Protections and Benefits. Developers shall enter into host-community agreements that include enforceable noise limits and setbacks, environmental justice screening, and resident bill credits funded by net revenues from on-site power exported to the grid.
162-V:8 Workforce Development. Developers shall meet minimum job creation standards, including living wages and apprenticeship opportunities. Developers shall fund partnerships with the university system and community colleges to support certificate programs in data-center operations, power systems, networking, and cybersecurity.
162-V:9 Oversight and Enforcement. The public utilities commission and the department of energy shall oversee execution of GMAs, including compliance with cost-sharing, non-gas energy obligations, demand-response participation, workforce commitments, and environmental standards.
2 New Paragraph; Data-Center Campus Development Credit. Amend 77-A:5 by inserting after paragraph XVII the following new paragraph:
XVIII. There shall be allowed a credit for qualifying data-center campus developers under RSA 162-V equal to a percentage of construction costs, subject to a statewide cap of 20 percent of the total construction costs.
3 New Section; Data-Campus Development Credit. Amend 77-E by inserting after 3-f the following new section:
77-E:3-g Data-Campus Development Credit. There shall be allowed a credit for qualifying data-center campus developers under RSA 162-V equal to a percentage of construction costs, subject to a statewide cap of 20 percent of the total construction costs.
4 Effective Date. This act shall take effect April 1, 2026.
Text to be added highlighted in green.
1 New Chapter; DATA-CENTER INVESTMENTS AND GRID MODERNIZATION. Amend RSA 162-U by inserting after chapter 162 the following new chapter:
CHAPTER 162-V
DATA-CENTER INVESTMENTS AND GRID MODERNIZATION
162-V:1 Purpose. The purpose of this chapter is to attract large-scale data-center campuses to New Hampshire, modernize the electric grid through diversified non-gas generation, protect ratepayers from infrastructure costs, deliver local benefits, and strengthen workforce pipelines through partnerships with the university system and community colleges.
162-V:2 Definitions. In this subdivision:
I. "Data-center campus" means a facility or group of facilities primarily engaged in data processing, storage, and transmission, with minimum capital investment, square footage, and job creation thresholds established by rule.
II. "Grid modernization agreement" or "GMA" means a binding agreement between a developer and the department of energy and public utilities commission that includes cost-sharing, energy sourcing, and community benefit provisions.
III. "Non-gas generation" means electricity generated from nuclear, hydroelectric, solar with storage, wind, or geothermal sources.
162-V:3 Property-Tax Stabilization Agreements. Notwithstanding RSA 72:81, a municipality may offer a phased property-tax stabilization agreement or payment in lieu of taxes ("PILOT") for a qualifying data-center campus. The agreement may phase in full taxation over a period not to exceed 12 years. Eligibility criteria shall include minimum capital investment, facility size, and job creation thresholds, as defined by municipal vote and approved by the department of revenue administration.
162-V:4 Transferable Business Tax Credit. A developer of a qualifying data-center campus shall be eligible for a transferable credit against the business profits tax and business enterprise tax equal to a percentage of construction costs, subject to a statewide cap of 20 percent of the total construction costs. The credit may be transferred to other New Hampshire taxpayers. The department of revenue administration shall administer registration, tracking, and transfer of credits.
162-V:5 Grid Modernization Agreement Required. As a condition of receiving any incentive under this chapter, a developer shall enter into a GMA with the department of energy and public utilities commission. The GMA shall include:
I. Full payment of direct interconnection costs and a defined share of network upgrades.
II. Annual procurement or financing of non-gas generation equal to the facility's annual New Hampshire load.
III. Enrollment in grid-stabilizing programs, including demand response.
IV. Enforcement mechanisms and claw-back provisions.
162-V:6 Fast-Track Siting. The department of energy, in coordination with municipalities, shall designate eligible industrial and brownfield zones for fast-track permitting. Projects sited in such zones shall be subject to expedited review, provided they comply with environmental standards and local zoning.
162-V:7 Community Protections and Benefits. Developers shall enter into host-community agreements that include enforceable noise limits and setbacks, environmental justice screening, and resident bill credits funded by net revenues from on-site power exported to the grid.
162-V:8 Workforce Development. Developers shall meet minimum job creation standards, including living wages and apprenticeship opportunities. Developers shall fund partnerships with the university system and community colleges to support certificate programs in data-center operations, power systems, networking, and cybersecurity.
162-V:9 Oversight and Enforcement. The public utilities commission and the department of energy shall oversee execution of GMAs, including compliance with cost-sharing, non-gas energy obligations, demand-response participation, workforce commitments, and environmental standards.
2 New Paragraph; Data-Center Campus Development Credit. Amend 77-A:5 by inserting after paragraph XVII the following new paragraph:
XVIII. There shall be allowed a credit for qualifying data-center campus developers under RSA 162-V equal to a percentage of construction costs, subject to a statewide cap of 20 percent of the total construction costs.
3 New Section; Data-Campus Development Credit. Amend 77-E by inserting after 3-f the following new section:
77-E:3-g Data-Campus Development Credit. There shall be allowed a credit for qualifying data-center campus developers under RSA 162-V equal to a percentage of construction costs, subject to a statewide cap of 20 percent of the total construction costs.
4 Effective Date. This act shall take effect April 1, 2026.