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HR 5227119th CongressIn Committee

Unleashing Low-Cost Rural AI Act

Introduced: Sep 9, 2025
Sponsor: Rep. Costa, Jim [D-CA-21] (D-California)
Agriculture & FoodTechnology & Innovation
Standard Summary
Comprehensive overview in 1-2 paragraphs

This bill, introduced by Rep. Costa (with Rep. Moore of Utah) and titled the Unleashing Low-Cost Rural AI Act, directs the Department of Energy to designate a National Laboratory to conduct a study on how the growth of artificial intelligence and data center sites—especially when co-located on land owned and operated by a public utility—affects the United States’ energy supply resources. The study will examine infrastructure needs, the feasibility of using a broad mix of energy sources (including hydro, solar, wind, storage, carbon capture, as well as nuclear/geothermal), and potential impacts on energy costs, reliability, land and water use, and consumer expenses. It also considers whether there are deficiencies in energy supply resources and lays out ways to expedite environmental reviews and permitting for AI/data center projects and related energy assets. The study must prioritize remote areas and culminate in a report to Congress within 180 days of enactment. In short, this bill asks for a fast, targeted federal study to assess how growing AI and data centers could shape energy supply and permitting in rural and remote areas, and to identify streamlined processes and energy strategies for future development.

Key Points

  • 1Designation of a National Laboratory to perform a comprehensive study on the impact of AI and data center site growth on U.S. energy supply resources.
  • 2Study contents include infrastructure updates for co-located AI/data center development and feasibility of using a wide range of energy sources beyond traditional nuclear/geothermal, such as hydro, solar, wind, storage, and carbon capture.
  • 3Evaluation of how co-located AI/data center sites affect energy costs, supply reliability, land-use, water-use, and consumer costs; and identification of deficiencies in energy supply resources.
  • 4Consideration of ways to expedite NEPA reviews and permitting for AI/data center development and associated energy generation, transmission, and distribution assets.
  • 5Prioritization of remote areas in assessing impacts and requirements; a report due to Congress within 180 days after enactment.
  • 6Definitions include AI as per the National AI Initiative Act, co-location as land owned/operated by a public utility, and remote areas per USDA ERS frontier/remote area codes.

Impact Areas

Primary: Rural and remote communities and economies, including energy consumers in those areas, and potential AI/data center operators seeking low-cost rural sites.Secondary: Public utilities, energy infrastructure planners, and policymakers responsible for energy generation, transmission, and permitting processes (including NEPA considerations).Additional impacts: Environmental review timelines, land and water-use considerations, and potential policy shifts toward expedited permitting and diversified energy sourcing for AI/data center growth.
Generated by gpt-5-nano on Oct 8, 2025