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Oklahoma Legislature· HB 3397Second Reading referred to Rules

An act relating to data centers, the official text

Shown verbatim: the complete text as captured from the official PDF posted by the Oklahoma Legislature, fetched 2026-07-23. Page and line markers are part of the official record; nothing is edited or removed. The official bill page.
1                   STATE OF OKLAHOMA

2   2nd Session of the 60th Legislature (2026)

3 HOUSE BILL 3397                     By: Clinton

4

5

6                            AS INTRODUCED

7   An Act relating to data centers; defining terms;

    requiring Corporation Commission provide for certain

8   classification of service; requiring classification

    of service be distinct from other classifications and

9   have its own tariff schedule; listing requirements

    for tariff schedule; requiring Commission make

10  certain proposed tariff considerations regarding

    rates; exempting certain entities from using

11  classification of service; providing for certain

    expiration; requiring Commission to direct certain

12  contracts be entered into between entities; listing

    requirements for contracts; allowing certain charge

13  to be included in contract; requiring notice of delay

    under certain conditions; allowing contracts to

14  contain certain terms and conditions; stating

    contract shall not prevent Commission from carrying

15  out its duties; providing for codification; and

    providing an effective date.

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20 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:

21  SECTION 1.      NEW LAW  A new section of law to be codified

22 in the Oklahoma Statutes as Section 860 of Title 17, unless there is

23 created a duplication in numbering, reads as follows:

24  A. For the purposes of this act:

    Req. No. 15129                                         Page 1
1   1. "Costs of serving" includes, as applicable, the costs

2 incurred by an electric company in providing transmission,

3 distribution, energy, capacity or ancillary electricity services,

4 and any related costs or associated risks with serving a class of

5 retail electricity consumers or a retail electricity consumer;

6   2. "Electric company" means an entity engaged in the business

7 of distributing electricity to retail electricity consumers in this

8 state, but does not include a consumer-owned utility;

9   3. "Facility" means all buildings, equipment, structures, and

10 other stationary items that are located on a single site or on

11 contiguous or adjacent sites and that are owned or operated by the

12 same person or by any person who controls, is controlled by, or is

13 under common control with such person;

14  4. "Large energy use facility" means a facility that uses or is

15 able to use twenty (20) megawatts or more and is primarily engaged

16 in providing a service described under code 518210 of the 2022 North

17 American Industry Classification System; and

18  5. "Retail electricity consumer" means the end user of

19 electricity for specific purposes such as heating, lighting, or

20 operating equipment, and includes all end users of electricity

21 served through the distribution system of an electric utility,

22 whether or not each end user purchases the electricity from the

23 electric utility.

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    Req. No. 15129                                                  Page 2
1   B. The Corporation Commission shall provide for a

2 classification of service for retail electricity consumers that are

3 large energy use facilities. The classification of service must be

4 separate and distinct from classifications of service for other

5 commercial or industrial retail electricity consumers and have its

6 own tariff schedule. Any tariff schedule adopted by the Commission

7 for the class shall:

8   1. a. allocate the costs of serving the class of retail

9   electricity consumers that are large energy use

10  facilities to the class in a manner that is equal or

11  proportional to the costs of serving the class, or

12  b. directly assign the costs of serving a retail

13  electricity consumer that is a large energy use

14  facility to the retail electricity consumer;

15  2. Meet the same conditions the Commission requires for a

16 contract under division 5 of subparagraph a of paragraph 2 of

17 subsection A of Section 3 of this act; and

18  3. Mitigate the risk of:

19  a. other classes of retail electricity consumers paying

20  unwarranted costs, and

21  b. shifting the costs, in an unwarranted manner, of

22  serving a retail electricity consumer that is a large

23  energy use facility to other classes of retail

24  electricity consumers, including costs of an electric

    Req. No. 15129                                                 Page 3
1               company to meet load requirements resulting from the

2               provision of electricity service to a retail

3               electricity consumer that is a large energy use

4               facility.

5   C. In deciding whether to approve a proposed tariff schedule of

6 an electric company for a classification of service described under

7 subsection B of this section, the Commission shall consider whether

8 the rates:

9   1. Result in, or have the potential to result in, increased

10 costs or unwarranted risk to other retail electricity consumers;

11  2. Provide for equitable contributions to grid efficiency,

12 reliability, and resiliency benefits; and

13  3. Meet any other conditions the Commission may require in the

14 public interest.

15  SECTION 2.       NEW LAW  A new section of law to be codified

16 in the Oklahoma Statutes as Section 861 of Title 17, unless there is

17 created a duplication in numbering, reads as follows:

18  An electric company and a retail electricity consumer that is a

19 large energy use facility are not required to use a classification

20 of service provided for under Section 1 of this act if the

21 Corporation Commission has not approved for the electric company a

22 tariff schedule for the classification of service. This section

23 shall cease to have the force and effect of law on January 1, 2029.

24

    Req. No. 15129                                               Page 4
1   SECTION 3.      NEW LAW      A new section of law to be codified

2 in the Oklahoma Statutes as Section 862 of Title 17, unless there is

3 created a duplication in numbering, reads as follows:

4   A. 1. The Corporation Commission shall require an electric

5 company that is providing electricity service to a retail

6 electricity consumer that is a large energy use facility to enter

7 into a contract with the retail electricity consumer that covers the

8 provision of the electricity service, including, as applicable,

9 transmission, distribution, energy, capacity, or ancillary

10 electricity services.

11  2. a. any contract for the provision of electricity service

12              entered into between an electric company and a retail

13              electricity consumer that is a large energy use

14              facility shall:

15              (1) be consistent with the criteria listed under

16                  subsection C of Section 1 of this act,

17              (2) specify the duration of the contract and be for a

18                  duration for ten (10) years or longer,

19              (3) specify the date or estimated date that the

20                  electric company will begin to provide

21                  electricity service to the retail electricity

22                  consumer,

23              (4) obligate the retail electricity consumer to pay a

24                  minimum amount or percentage, as determined by

    Req. No. 15129                                                 Page 5
1                   the Commission, based on the retail electricity

2                   consumer's projected electricity usage for the

3                   electricity services the electric company is

4                   contracted to provide for the duration of the

5                   contract, and

6                 (5) meet any other conditions the Commission may

7                   require in the public interest.

8   b. any contract for the provision of electricity service

9                 entered into between an electric company and a retail

10                electricity consumer that is a large energy use

11                facility may include a charge for excess demand for

12                the electricity services the electric company is

13                contracted to provide that is in addition to the

14                tariff schedule.

15  B. If an electric company fails to begin to provide electricity

16 service on or by the date or estimated date specified in a contract

17 entered into under this section due to causes within the electric

18 company's reasonable control, the electric company shall provide the

19 retail electricity consumer notice of the delay as soon as

20 reasonably practicable. A contract entered into under this section

21 may include terms and conditions that address the possibility of a

22 delay due to causes within the reasonable control of the parties to

23 the contract.

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    Req. No. 15129                                                  Page 6
1   C. A contract, as described under subsection A of this section,

2 may not prevent the Commission from carrying out the Commission's

3 duties under this section or Section 1 of this act.

4   SECTION 4. This act shall become effective November 1, 2026.

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6   60-2-15129      JBH  01/07/26

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    Req. No. 15129                                     Page 7
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