# Data Center Development Takes a Beat

> California's new data center laws require environmental reviews and community input, adding time and cost for projects.
- Title: Data Center Development Takes a Beat | Shortify
- Summary: California's new data center laws require environmental reviews and community input, adding time and cost for projects. California's data center bills…
- Keywords: california, data center, environmental review, community input, water use, power infrastructure, ceqa, governor newsom, sb887, sb886, ab2383, ab1577
- Source: Los Angeles Business Journal — https://labusinessjournal.com/custom-content/trusted-advisors/data-center-development-takes-a-beat
- Author: Kelly Garcia
- Published: 2026-11-02T15:16:41+00:00
- Read time: 1 min
- Topics: california, data center, environmental review, community input, water use, power infrastructure, ceqa, governor newsom, sb887, sb886, ab2383, ab1577
## California Data Center Development
California has the third-highest number of data centers in the country after Texas and Virginia.
## Community Concerns and Regulations
Los Angeles County and other jurisdictions have adopted temporary moratoria or bans on data center development to limit community impact.
## Senator Padilla's Warning
California State Senator Steve Padilla notes data centers are built at an extreme rate without adequate guardrails, creating air quality, water supply, and energy supply challenges.
## Governor Newsom's Data Center Bills
On September 21, 2026, Governor Newsom signed seven data center bills, termed the most comprehensive data center laws in the nation.
## SB887 Environmental Review
SB887 requires environmental review under the California Environmental Quality Act for every data center project in California, eliminating categorical exemptions.
## Water and Power Reporting
Data centers must report water use, electrical use, and noise levels to local agencies for infrastructure evaluation.
## Developer Implications
Developers must plan for longer timelines, higher costs, and community engagement due to new environmental and regulatory requirements.
## Key takeaway

California's data center bills mandate environmental reviews and community involvement to address water, power, and infrastructure concerns.