Senator Cortese Champions Economic Development through Data Center Expansion Bill

Senator Dave Cortese introduced legislation today to sustain the growth of Silicon Valley’s technology sector by facilitating the expansion of data centers across California. Recognizing the critical demand for data processing capabilities, Senate Bill (SB) 1298 allows infrastructure development to keep pace with advancements in cloud computing and artificial intelligence.

The current vacancy rate of data centers in Silicon Valley is a mere 1.6%, underscoring the need to expand capacity to meet the growing demand. By streamlining the approval process for data centers and maintaining clear guidelines for development, SB 1298 will ensure that innovation is thriving and sustainable in Silicon Valley and across California.

“Expanding our data center infrastructure is essential for the continued growth and competitiveness of our tech industry, supporting or expanding the economy throughout California in many sectors,” said Senator Cortese (D-San Jose).

SB 1298 is sponsored by the Silicon Valley Leadership Group (SVLG), the leading business association representing Silicon Valley’s innovation economy and ecosystem.  

“Data Centers are critical for supporting a vast array of digital services, and new and emerging technologies like AI," said SVLG CEO Ahmad Thomas. "SB 1298 will fuel innovation and enhance the lives of all Californians engaged in this technology, and will bolster the economic vitality our industry brings to the Golden State.” 

SB 1298 proposes to raise the threshold for data center eligibility under the Small Power Plant Exemption process from 100 megawatts to 200 megawatts to meet the demand from individuals, organizations, and industries in California while maintaining California’s thorough environmental examination processes. 

Senator Dave Cortese represents Senate District 15, which encompasses San Jose and much of Santa Clara County in the heart of Silicon Valley. Visit Senator Cortese’s website: