Illinois Lawmakers Debate POWER Act as Data Centers Reshape State

Environmental Groups Rally for Data Center Regulation Before Legislative Deadline

Hundreds of activists gathered inside the Illinois State Capitol on April 8 to pressure lawmakers on three environmental bills, but the POWER Act has emerged as the most contentious measure as Illinois grapples with a data center boom.

The Illinois POWER Act — Protecting Our Water, Energy, and Ratepayers Act — would require large data centers to generate their own renewable energy rather than drawing from the state power grid. Environmental groups say this raises electricity costs for consumers, but proponents argue it addresses concerns about grid strain and water use.

"We can't trust local governments to do this," said House Majority Leader Robyn Gabel, D-Evanston, who introduced the POWER Act this session. "We need to make sure there are statewide rules because these data centers affect everyone in the state."

The bill also includes provisions for community benefit agreements, transparency requirements about water usage, and restrictions on diesel generators.

Data Centers Already Reshaping Illinois Communities

Illinois currently hosts at least 222 data centers, with more than a hundred planned or under construction. By 2028, data centers are expected to consume 12 percent of the nation's energy, according to the Department of Energy.

In DeKalb County, the Meta data center opened in 2023 with a $1 billion investment. DeKalb Mayor Cohen Barnes said the facility contributed tens of millions in property and utility taxes while funding local schools and police through community partnerships.

"Meta, he said. "It has also partnered with Northern Illinois University to bring STEM classes to area high schools."

Aurora Mayor John Laesch offered a different perspective, citing resident complaints about noise and power grid concerns.

"Residents living near data centers have described a constant low frequency hum day and night," Laesch said. "It's not loud in a traditional sense, but persistent. People have described trouble sleeping, increased stress, loss of quiet in their own homes."

Aurora currently operates five data centers with five more under construction. In March, the city enacted ordinances requiring data center developers to submit studies on noise, water consumption and energy needs.

Labor and Environmental Tensions

The issue has created tensions between labor groups and environmental advocates. Mark Poulos of Operating Engineers Local 150, which represents about 25,000 workers, spoke in support of data center development.

"The fact of the matter is, data centers are going to be built, they are being built," Poulos said. "The question is whether Illinois is ready to build them here."

Poulos argued that data centers bring union jobs and property tax revenue, making the state competitive with Texas and Virginia, which currently lead in the data center industry.

Conversely, environmental advocates argue that without state-level regulation, local communities bear the costs while benefits spread statewide.

Only the Polystyrene Ban Has Passed

Of the three environmental bills pushed by the Illinois Environmental Council — the POWER Act, the Wetlands Protection Act, and the Polystyrene Foam Foodware Ban — only the polystyrene ban has passed in either chamber.

The Wetlands Protection Act would create a permitting system for construction projects affecting wetlands in response to a Supreme Court ruling that stripped federal protections from a majority of Illinois wetlands.

"We are fighting for legislation on the state level that helps essentially fill the gap," said Hannah Flath, climate communications manager at the Illinois Environmental Council.

Flath expressed optimism but acknowledged the challenge of passage before the spring session ends on May 31.

"After that deadline, any environmental bills would have to wait until the fall veto session, which Illinois legislators have previously used to pass major environmental legislation," Flath said.

She attributed the lack of progress to 2026 being an election year, with many state legislators focused on primary races.

"Sometimes, it really is just that time isn't on our side, unfortunately," Flath said.

The Stakes for Illinois

Illinois sits at a crossroads. The state needs to remain competitive for data center investment while protecting its communities from environmental and infrastructure impacts.

House Executive Committee Chairwoman Rep. Ann Williams, D-Chicago, has called for hearings on the issue, emphasizing the need to balance competing interests.

"Whatever we do here, we have to put people first," Williams said. "We have to put communities first. Data's important, business is important, revenues are important, but people must come first."

The next two House committee hearings will focus specifically on energy use and water use. A Senate committee is also working on the issue with hearings scheduled for later this week.

If the POWER Act and other environmental bills do not pass before the May 31 deadline, they could wait until the fall veto session, potentially delaying implementation by months.

What Comes Next

The data center debate continues to grow more urgent as new projects break ground across the state. Joliet recently approved a 795-acre data center after significant public input, while Sangamon County approved a $500 million CyrusOne project.

Residents in these communities have raised concerns about noise, water use, and transparency about community benefit agreements.

Marc Ayers, who resigned from the Sangamon County Board after voting against the CyrusOne proposal, voiced frustration with the lack of neighborly consideration.

"Rather than fixing the noise in Aurora, they're expanding with a bigger project in Sangamon County," Ayers said.

As the legislative session winds down, the POWER Act faces an uphill battle. Environmental groups remain committed to passage, but with only 14 days remaining before the spring session deadline, the window for action is closing.

Sources:

• https://dailynorthwestern.com/2026/04/08/city/hundreds-rally-for-environmental-legislation-at-state-capitol/
• https://capitolnewsillinois.com/news/illinois-lawmakers-begin-days-of-deep-dives-on-data-centers/
• https://www.shawlocal.com/news/2026/04/09/illinois-weighs-new-data-center-limits-as-massive-projects-reshape-towns/
• https://www.chicagotribune.com/2026/04/08/hundreds-gather-in-springfield-to-push-environmental-bills-on-wetlands-plastics-and-data-centers/
• https://www.foxillinois.com/news/local/environmental-lobby-day-underway-at-illinois-state-capitol/article_81ddf408-a07f-5939-adf0-329558a76e0f.html