FARGO — A Fargo senator on Monday urged lawmakers to take up new rules for data centers when they meet for a special session next month, including a proposal to prohibit non-disclosure agreements and a short-term moratorium on new projects.
Lawmaker seeks transparency, pause on data center approvals
Sen. Tim Mathern said he will introduce a bill draft aimed at increasing transparency around data center developments and stop what he described as out-of-state actors taking advantage of limited public information in North Dakota. The draft would bar public officials from entering into non-disclosure agreements with developers and would seek to temporarily halt new projects while lawmakers and the public assess implications for energy, water and local communities.
Mathern announced the plans ahead of a joint news conference with Democratic agriculture nominee Vern Thompson. Legislative staff had not completed the bill language as of Monday afternoon, and Mathern acknowledged the proposal might face resistance in the Republican-controlled Legislature.
"Strike when the iron is hot," Mathern said Monday.
Scope of proposed disclosure rules
Mathern told reporters the nondisclosure ban would target specific categories of information often kept confidential under agreements with developers. He singled out project location, estimated energy and water use, and tax incentives as subjects that should not be hidden behind NDAs. Exact wording of the proposal was not available because legislative counsel was still drafting the measure.
Mathern and Thompson said they hear concerns about data centers from residents statewide and argued a moratorium would give the public time to study potential effects. "If they wait, there will be more trouble out around North Dakota, regarding data centers," Mathern said, adding that more projects could proceed without adequate transparency.
Special session timeline and GOP skepticism
Republican Gov. Kelly Armstrong has called the session to address concerns related to kratom and similar substances. While lawmakers may consider other issues during the convening, leadership has signaled an intent to keep the session brief — likely three days — prompting skepticism that a substantial policy debate on data centers would fit the schedule.
A top legislative leader cautioned that the focused nature of the session may not be the right forum for what could be an expansive policy discussion involving economic development incentives, utility capacity and local land-use concerns.
What Mathern says he hopes to accomplish
Mathern said his moratorium proposal is intended to provide colleagues with options. He portrayed the pause as a means for lawmakers and communities to gather information and consider long-term rules instead of allowing unregulated growth. He argued a failure to act could create problems, especially if companies proceed under confidentiality that limits public scrutiny.
- Ban on nondisclosure agreements between public officials and data center developers
- Temporary moratorium on new data center projects
- Required public disclosure of project location, energy and water use, tax incentives and other key details
| Proposal element | Purpose |
|---|---|
| Prohibit NDAs | Increase transparency of project details |
| Temporary moratorium | Allow time for study and public input |
| Disclosure requirements | Inform public and policymakers on impacts |
Legislative Management, a committee of senior lawmakers, planned to meet Monday to consider whether other topics will be added to the special session agenda. If the committee limits the session to the kratom-related matter, any effort to take up Mathern’s measures could be blocked by schedule constraints or procedural decisions.
For now, Mathern and supporters appear prepared to press for the matter to at least be discussed, saying the state needs a public conversation about how data centers affect energy grids, water resources, tax policies and local communities. Opponents and skeptical leaders have flagged the compressed timetable and priority focus as reasons to defer wider policy decisions to the upcoming regular legislative session.
As drafting continues, lawmakers and members of the public will be watching whether the special session remains narrowly focused or becomes the setting for a broader debate over the growth of large computing facilities in North Dakota.
