THU AM News: Water policy advocate calls for more transparency around data center projects; Tiffany talks data center regulation at WisPolitics luncheon

May 28, 2026

— While Microsoft recently reversed course on requiring non-disclosure agreements for data centers, a Great Lakes water policy advocate says there’s more transparency issues to address for these controversial projects.

The company in March announced its new approach after realizing the NDAs were “working counter to” its community relations efforts around data centers, such as its multi-billion dollar hyperscale project in southeastern Wisconsin.

That’s according to Jonathan Noble, the company’s senior director of infrastructure and government affairs, who recently commented on some of the factors driving bipartisan distrust around data centers among the public. He spoke this week during a webinar hosted by the Great Lakes St. Lawrence Governors & Premiers.

Noble noted data center activity is happening in communities that haven’t seen this level of widespread infrastructure development since the early days of the national highway system being built out.

But Helena Volzer, senior source water policy manager for the Alliance for the Great Lakes, said Noble failed to mention the “lack of transparency” by tech companies is playing a role. While she acknowledged NDAs are very common in economic development, the water- and energy-related considerations for the massive projects have made the public “very responsive” to related concerns, Volzer argued.

She said the NDAs are obscuring how much resources will be used for data centers at the outset, which “can make predicting demand for the states a little bit challenging” while also driving those worries.

“This is really resource-intensive development in exchange for low direct employment generation, and many of these jobs are in the construction sector as well,” she said.

Noble said sharing data on water and energy use with locals is “critical” to Microsoft’s outreach efforts, noting the company works with utilities on project requirements to inform their planning processes.

And though he said NDAs have played a role in protecting business interests in competitive markets, he noted both Microsoft and other tech firms are now realizing “that proprietary info is not as … necessary anymore” as data center development becomes more widespread.

“There’s a recognition by Microsoft, for sure, that this is about a partnership and collaboration with the community and NDAs were working counter to that partnership, and therefore no longer had a place … as it related to our interactions with local governments,” he said.

In response to his comments, Volzer said “I think it’s great that Microsoft is setting an example” by backing off from NDAs. But she noted nothing is requiring the company to maintain that policy, adding it could change at any time.

“Microsoft is one company, there are many, many other players in this space,” she said, adding “there are no water use reporting requirements for data centers.”

About 97% of data centers are connecting to public water supplies for their operations, she noted. While many data centers are touting the use of closed-loop systems that require much less water than earlier designs, Volzer argued “the state doesn’t have a great insight” about how much water usage this sector is truly driving.

“So not only is there a need for transparency kind of up front, but also in an ongoing fashion,” she said.

— GOP gubernatorial candidate Tom Tiffany reiterated his plans to regulate data centers but stopped short of prescribing legislative action to enact his agenda.

Instead, the Republican congressman from Minocqua suggested at a WisPolitics luncheon in Madison that state utility regulators he appointed would be able to enact his policy agenda, saying “my Public Service Commission will be able to handle this.”

Tiffany is among the gubernatorial candidates who have spoken out against data center development.

He’s said he would repeal tax subsidies signed into law by Dem Gov. Tony Evers as part of the 2023-25 state budget, stop data centers from being built on “productive farmland,” and bar local governments from signing non-disclosure agreements with data center developers.

He’s also said he would work to keep utility rates stable for non-data center customers.

While a state lawmaker, Tiffany received a total of $11,500 from a PAC associated with WEC Energy Group, the parent of We Energies and Wisconsin Public Service.

“We’ve got three data centers that look like they’re going to be built. Let’s set good rules as we go forward, in case any more are being contemplated,” Tiffany said, referring to data center campuses in Beaver Dam, Mount Pleasant and Port Washington.

Repealing the current tax subsidies would require the state Legislature to pass a bill before it came to Tiffany’s desk. Lawmakers last session also introduced legislation to bar NDAs between data centers and municipalities and limit where renewable energy facilities that served data centers could be built.

Neither bill advanced to the governor’s desk.

The PSC in recent weeks has issued decisions regulating how data centers in We Energies’ coverage area and Meta’s Beaver Dam campus will be billed, as well as ordering Alliant Energy – which powers the Meta facility – to develop contract terms for future data center developments.

Two of the three commissioners appointed by Evers, Kristy Nieto and Marcus Hawkins, have not been confirmed by the state Senate.

— Energy efficiency improvements to around 40,000 Wisconsin homes would offset the power demand created by a 200-megawatt data center.

That’s according to a review of federally subsidized efficiency upgrades of 200 homes in Milwaukee and La Crosse conducted by energy efficiency contractors Green Homeowners United.

For reference, Meta’s Beaver Dam data center is expected to demand around 220 megawatts of power at full capacity; Microsoft and Vantage’s campuses are expected to reach power needs of up to 3.9 gigawatts over the next three years.

Rep. Supreme Moore Omokunde, D-Milwaukee, and stakeholders with Green Homeowners United, Forward Together Wisconsin and Elevate Inc. touted the report at a Capitol press conference yesterday.

Moore Omokunde said upgrading homes to be more energy efficient alone “will not solve everything.”

“Obviously the data center, AI and climate and energy crisis is far too expansive for a silver bullet kind of solution,” he said. “But the housing element absolutely should be a part of an … all of the above strategy to give a brighter future back to Wisconsin homeowners and residents.”

The report looked at the energy savings of homes that received federal Home Energy Efficiency Rebates and Home Electrification and Appliance Rebates under the Inflation Reduction Act.

The report’s authors argue those efficiency upgrades are an effective way to reduce residential grid load and save homeowners money on their energy bills as power demands grow rapidly.

“Based on our analysis, residential energy efficiency is one of the most cost effective methods for reducing overall energy use to free up the massive energy quantities demanded by data centers,” the report’s authors argue, adding the efficiency upgrades are second only to new wind power generation for creating energy cost savings.

— The Wisconsin Bankers Association is touting the latest federal banking indicators, showing banks in the state saw 8.69% growth in total assets over the year ending March 31.

At the same time, deposits grew by 7.57%, according to Federal Deposit Insurance Corporation figures WBA released yesterday. The group acknowledges concerns around inflation, but noted year-over-year lending “remained steady” across multiple categories.

While commercial lending increased 10.73% over the year, residential real estate loan volume rose 5.46% over the year. Meanwhile, farm lending rose 12.39% over the year as Wisconsin farmers geared up for the growing season.

“Bankers will continue to keep a close eye on the global supply chain, geopolitical issues, as well as the Fed’s interest rate decisions going into the rest of the year,” WBA President and CEO Rose Oswald Poels said in a statement.

See the release.

— Biohealth manufacturer Abingdon Health USA plans to spend $1.8 million to expand its presence in Madison, creating 46 jobs over a three-year period, WEDC announced.

The Wisconsin Economic Development Corp. says it’s providing up to $370,000 in performance-based state income tax credits to encourage the effort, though the company will need to meet job creation and capital investment benchmarks to claim the credits.

The project involves setting up a contract development and manufacturing operation in the state, “mirroring” its capabilities in the United Kingdom where parent company Abingdon Health plc resides. The facility will be “designed for rapid scale-up” to meet rising demand, WEDC says.

Chris Yates, president of the company’s U.S. subsidiary, says the WEDC support “serves as a welcome endorsement of our commitment and investment” in the state.

“These tax credits will support our expansion at University Research Park in Madison, including the creation of additional skilled roles as Abingdon Health USA continues to grow to meet customer demand across the United States,” he said in a statement.

See the release.

Top headlines from the Healthcare Report…

— State health officials have identified a “cluster” of mpox cases in southeastern Wisconsin and are urging greater prevention efforts.

For more of the most relevant health care news, reports on groundbreaking research in Wisconsin, links to top stories and more, sign up today for the free daily Health Care Report from WisPolitics and WisBusiness.com.

Sign up here.

— Cuba City is getting a $132,000 grant from the DNR to clean up a contaminated site that used to be an assisted living facility, the agency announced.

The funding comes from the DNR’s Ready to Reuse program, which helps cover the cost of environmental remediation at brownfield sites. The location targeted by the grant — which was acquired by the city in 2024 — was contaminated by tanks containing petroleum products.

After the cleanup project is finished, the site will be used to add new housing near the city’s downtown business district, the DNR says.

See the release.

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